HC Deb 11 July 1967 vol 750 cc397-8
13. Mr. Barnett

asked the Minister of Technoloy what action he now proposes to take to bring about the merger between the airframe and missile interests of Hawker Siddeley and the British Aircraft Corporation.

Mr. Benn

Negotiations with the two companies are proceeding. Discussion of the future of the companies guided weapon interests forms part of these negotiations.

Mr. Barnett

I assume that my right hon. Friend agrees that a merger is essential. As it has been clearly shown that the pricing system is, to say the least, difficult, would he not consider it worth while looking into the advice given to him by the admittedly very Left-wing magazine the Economist that we might take this industry into public ownership?

Mr. Benn

There has been a lot of public discussion over the years about what should be done with the aircraft industry. The Government announced their decision last year. While the negotiations are in progress, I think that it would be wrong for me to say more.

Sir A. V. Harvey

I appreciate that these matters take a very long time to negotiate, but is the Minister aware that the long delay has a very unsettling effect on the staff and scientists whom we want to retain in this country? Unless he does something to assure them about their future, we shall lose more than ever.

Mr. Benn

I appreciate what the hon. Gentleman says, but it is the programme of work rather than the pattern of ownership which decides the matters to which he refers. In negotiations of this kind there are, by definition, three parties, and delay is not always attributable to one.

Mr. R. Carr

Since the right hon. Gentleman has just said, so truly, that it is the programme of work which matters, are negotiations being suspended until the Government know what they are going to make?

Mr. Benn

That is a separate question. I understand that there is to be a debate on the matter later this week. I do not think that what the right hon. Gentleman says arises on this Question.