HC Deb 19 December 1967 vol 756 cc1078-9
18. Mr. James Johnson

asked the Minister of Technology if he will make a statement about his negotiations with the Hawker Siddeley Company on the problems of work-load which the cancellation of the eight Buccaneer aircraft has created.

Mr. Stonehouse

The Department has kept in close touch with the company about all aspects of the cancellation, but the question of distribution of work between the various factories of the group is the responsibility of the management.

Mr. Johnson

Is the Minister aware that Humberside is an area of low wages and, consequently, engineering work of this kind is vitally important to uplift the levels of the workers and get workers of higher skills into the Humberside area? Therefore, would he accept the fact that we are pleased that we are no longer making Buccaneers. We want work, but we would sooner have men working on civil aircraft than Buccaneers.

Mr. Stonehouse

I admire the efficiency of the factory at Brough. The management there is first class and has achieved extremely good results. I hope that Hawker Siddeley will be able to transfer civil work to this particular factory.

Mr. Corfield

If there is a principle involved in selling Buccaneers to South Africa and this has been breached, is not this the answer to the hon. Gentleman's problem? Does it not make absolute nonsense of the Government's programme to increase exports to refuse this opportunity?

Mr. Stonehouse

The hon. Gentleman knows that I do not intend to be drawn on that one. A decision has been made and announced.

Sir Ian Orr-Ewing

Is it not true, as the Minister has announced, that it will cost £2½ million to cancel these eight aircraft? Rather than saddle the British taxpayer with this expense, would it not be more common sense to follow the 16 Buccaneers which have already been sold to South Africa by the present Government, by selling these eight to her?

Mr. Storehouse

Bearing in mind the need for financial stringency and the cutting down of the defence programme, I am satisfied that the right decision has been made in this case.