§ 5. Mr. Whiteheadasked the Secretary of State for Trade and Industry if he will make a statement about the financing of the RB-211 engine, under manufacture by Rolls-Royce (1971) Limited.
§ 16. Mr. Walter Johnsonasked the Secretary of State for Trade and Industry if he will make a further statement on the Rolls-Royce RB-211 engine.
§ 19. Mr. Waddingtonasked the Secretary of State for Trade and Industry if he will make a further statement on the future of the Rolls-Royce RB-211 programme.
§ The Minister for Aerospace (Mr. Frederick Corfield)By 14th September all the pre-conditions had been 1203 met for the continuation of the RB-211 programme for the Lockheed TriStar. The Rolls-Royce Lockheed contract for the engine and the Government's undertaking to finance the RB-211 programme accordingly took effect. I am sure the House will wish this major project every success.
§ Mr. WhiteheadMay I ask whether the funds now being made available for the RB-211 project include funds for the continuance of work on the up-rated engine? My information is that work on the up-rated engine at the Derby Engine Division is now being postponed for some six months. Secondly, can the right hon. Gentleman say whether there will be any redundancies at the office closing at the Derby Engine Division, announced last week? Thirdly, can he tell us what the present state of the order book is for Lockheed TriStar and whether it includes any order for British airlines interested?
§ Mr. CorfieldWith regard to the question of redundancies, all I can say is that funds are available for the RB-211 project to go ahead, but I cannot commit the management to the actual manpower at any particular stage. With regard to the number of aircraft on order, it is now 149. This results from the subtraction of the 29 Air Holdings aircraft which were not actually ordered by the airlines. With regard to the up-rated engine, I think the House must appreciate that this requirement will depend on Lockheed's estimate of what is desirable and what Lockheed themselves can undertake, and on Rolls-Royce consideration when the estimate is given.
§ Mr. JohnsonWould the Minister not agree that the lack of firm orders for TriStar is very worrying indeed, and in these circumstances would he now try to persuade B.E.A. to place an order or at least to make a declaration of intent? Would the Minister agree that the lack of firm orders could cause a very serious cash flow problem in future?
§ Mr. CorfieldWhile I appreciate that, all these matters apply equally to Hawker Siddeley, who are interested in the A300 B, and it is not for me to bring pressure to bear on B.E.A. at this stage.
§ Mr. WaddingtonMay I, on behalf of many people who live in my constituency, 1204 congratulate the Minister warmly on the calm, sensible manner with which he has handled this whole affair?
§ Mr. CorfieldI am very grateful to my hon. and learned Friend, and I would like to pay tribute to the restraint in all parts of the House during those crucial negotiations.