HC Deb 19 December 1967 vol 756 cc1079-80
22. Mr. Onslow

asked the Minister of Technology what Government assistance is now being given to the Beagle Aircraft Company; and if he will make a statement.

46. Mr. Ridley

asked the Minister of Technology when he intends to seek legislative authority for taking over the Beagle Aircraft Company Limited.

Mr. Benn

As previously announced, the Government have agreed, subject to legislation, to purchase Beagle from its present owners, Pressed Steel Fisher Limited. A Bill to this end will shortly be introduced, and in the meantime we are meeting the company's day-to-day requirements for working capital.—[Vol. 738, c. 36–9.]

Mr. Onslow

Would the right hon. Gentleman care to remind the House how long ago that announcement was made? Can he say how much money has been advanced to Beagle, and under what head? Can he say precisely when he expects legislation to be brought in to regularise this unsatisfactory position?

Mr. Benn

Legislation will be brought in and passed in the Session to which the first original agreement referred, namely, in the current Session. The money paid to the company to keep it going, £2½4 million, will be part of the capital of the new company. I think that that answers the hon. Gentleman's question.

Mr. Ridley

When will the Government return to legality in this matter? How dare the right hon. Gentleman take taxpayers money and spend it without any legal authority. Will he apologise to the House and to the country for this misuse of public funds?

Mr. Benn

The pledge to acquire the Beagle company was subject to legislation, and until the legislation is passed I will have authority to pay the company, but support for Beagle is an example of the support given by the Government to the aircraft industry.

Mr. Corfield

Am I not right in thinking that the pledge was given 18 months ago? Is not this a most dilatory way in which to behave?

Mr. Benn

The hon. Gentleman is wrong. When the pledge was given to the company about acquisition, it was made clear to it, and understood by it, that the legislation would be introduced and enacted in the present Session, and it will be.