HC Deb 09 December 1970 vol 808 cc389-92
2. Mr. Sillars

asked the Minister for Aviation Supply what representations he has received from Scottish aviation industry interests about the need for an early announcement of the Government's policy on the BAC311 project.

The Parliamentary Secretary to the Ministry of Aviation Supply (Mr. David Price)

Both the management and the union side of the industry in Scotland made representations. These were given full weight in the Government's consideration of the claims for launching aid for the BAC311.

Mr. Sillars

I am sure that the Minister appreciates that that Question was tabled before the announcement was made in the House.

Sir G. Nabarro

We cannot hear.

Mr. Sillars

I will speak just as loudly as the hon. Gentleman normally does.

Will the Minister confirm that his decision will have an effect on job opportunities in the Scottish aviation industry? Will he tell us what steps the Government took to take into account the effect on employment in development areas in general before the decision was made?

Mr. Price

Yes. I should make it clear to the hon. Gentleman that the decision was taken basically on the merits of the proposal. The question of employment in development areas comes secondary. It cannot be the primary question.

Concerning job opportunities, I do not think that the major employer in the aviation industry in Scotland, Rolls-Royce, will be affected. It is possible that the Scottish aviation industry will lose opportunities as a result. But, looking a little further ahead, we are reasonably hopeful that sub-contracts coming from other projects will help to make up some of the slack.

7. Mr. Cronin

asked the Minister for Aviation Supply if he will make a further statement on the Government's policy with regard to the A300B European Airbus and the BAC311.

10. Mr. Grylls

asked the Minister of Aviation Supply, in view of the concern amongst staff at the British Aircraft Corporation, Weybridge, factory over future employment prospects, whether he will make an early statement on the Government's policy to the BAC311 project.

13. Mr. Marten

asked the Minister of Aviation Supply if he will now make a statement on the BAC311 and the European Airbus.

17. Mr. Temple

asked the Minister of Aviation Supply if he will now announce the Government's intentions with regard to approaches made by the European Airbus Consortium concerning Great Britain once again entering that consortium, and the terms upon which the Government's decision has been based.

Mr. Corfield

I cannot add to the statement I made in the House on 2nd December.—[Vol. 807, c. 1286–94.]

Mr. Cronin

Will the right hon. Gentleman consider publishing a detailed account of the financial considerations which brought about his decision? Will he also consider whether it is possible to modify the contractual arrangements with Lockheed about the Tristar, bearing in mind that the Government are in the odd position of subsidising the American aircraft industry?

Mr. Corfield

I have given consideration to the matter raised in the first part of the hon. Gentleman's supplementary question. I believe that publication of any considerable detail is bound to be harmful overall, but I have offered to discuss the matter with the hon. Gentleman.

On the second part of the question, I made it clear, I think on 2nd December, that I had studied this contract and that I saw no prospect whatever of being able to renegotiate it to give the more favourable terms which the hon. Gentleman has in mind.

Mr. Grylls

Is my right hon. Friend aware that hon. Members on these benches think that there should continue to be a healthy aircraft industry? Is he aware that many of my constituents who work at Weybridge are concerned about their future in the late and mid-'seventies? As my hon. Friend the Member for Esher (Mr. Mather) made clear, they are very dependent on the future of the Concorde project. In the light of all this, will my right hon. Friend consider backing a project for a short take-off plane which B.A.C. is considering?

Mr. Corfield

It is too early to give any indication on those lines. No doubt the B.A.C., as other airframe companies, will have proposals, and when they are proposals I shall look at them on their merits.

Mr. Marten

What is the likely redundancy in the B.A.C. due to not going on with the BAC311?

Mr. Corfield

As I said a few moments ago, it is too early to make any assessment of that sort.

Mr. J. P. W. Mallalieu

Is the right hon. Gentleman aware that the short takeoff and vertical take-off concepts are probably the key to the future of the medium-haul industry in this country? Is he not taking this rather lightly in the answers that he has given?

Mr. Corfield

I am not taking it lightly. This has been of great personal interest over a number of years. What is abundantly clear is that there is a great deal of other research that has to be done on the infrastructure side, and it would be unwise to encourage anybody to believe that this is likely to appear in the immediate future.

19. Mr. Michael McNair-Wilson

asked the Minister of Aviation Supply what consideration he has given to the question of Government support for the long-range version of the European airbus, the A300 B7.

Mr. Corfield

Our decision not to participate in the A300B project extended to the B7 as well as the basic version.

Mr. McNair-Wilson

Could my right hon. Friend at least give some hope that in the event of B.E.A. wanting this aircraft, and in return for a firm commitment from the German and French Governments to assist Rolls-Royce with another mark of aircraft engine which would be suitable for this aircraft, and perhaps for a stretched version of the Lockheed Tristar, the Government would consider giving a measure of support to this project?

Mr. Corfield

My hon. Friend is raising hypothetical possibilities. The conclusion that we came to—and I see no signs of any of the facts on which that conclusion was based being altered—was simply that there was not a sufficiently large market for the A-300 B7 with Rolls-Royce engines to justify the very high costs of development.