§ 44. Dr. Brayasked the Minister of Technology if he will examine the implications for United States owned industry in Great Britain of the action by the United States Department of Justice in opposing the purchase by British Petroleum of the Standard Oil Company of Ohio, which will still leave much the greater part of the United States oil industry under United States control.
The Joint Parliamentary Secretary to the Ministry of Technology (Mr. Alan Williams)We are following closely the development of B.P.'s operations in the United States and hope that this merger will soon be completed satisfactorily. My right hon. Friend the Foreign and Commonwealth Secretary has received assurances from the United States Secretary of State, and the Chairman of B.P. has had talks with the U.S. Attorney-General in which the latter assured him that the United States Department of Justice has no intention of discriminating against B.P. as a foreign company. These talks have led the Chairman of B.P. to believe that a solution will be found which will bring the merger within the guide lines set out by the Department of Justice last year.
Speculation about the implications of the B.P.—Sohio case for United States owned industry in this country would not 404 be appropriate at the present time. My hon. Friend will be aware that each case of inward investment into the United Kingdom is considered on its merits. The report of a major study instituted in 1967 by my right hon. Friend the then President of the Board of Trade into the effects of inward investment in the United Kingdom is expected shortly.
§ Dr. BrayIs my hon. Friend aware that his reply is very welcome and that it is most important that this merger should go through to enable B.P. to exploit its finds in Alaska? If by any chance it were not to go through, it would be a very serious setback to international investment in general.
Mr. WilliamsI am sure that my hon. Friend will be glad to know that the Government are keeping the matter closely under review. He and the House will appreciate that at this stage the less said on this matter probably the better.
§ Mr. SheldonWill my hon. Friend accept the view of a number of people concerned about this matter that, although he is pursuing his investigation thoroughly, it must be made quite clear that if this merger were not allowed it would be bound to have some repercussions in the way that American industry is treated in this country?
Mr. WilliamsI can understand my hon. Friend's concern about this, but he must appreciate that this country, like others, has its own restrictions on inward investment and that in this case it appears that there is no question of discrimination and that it is purely a matter of trying to meet the guide lines, as foreign industry in this country has to meet the guide lines laid down by our Government.
§ Mr. SpeakerI would remind the House that long questions and long answers prevent some hon. Member who expected to have his Question answered from having it answered.