HC Deb 26 March 1973 vol 853 c899
9. Mr. Walter Johnson

asked the Secretary of State for Trade and Industry when he expects the negotiations between the Government and the Receiver of the old Rolls-Royce company to be completed.

The Under-Secretary of State for Trade and Industry (Mr. Cranley Onslow)

The negotiations on the price to be paid for the assets sold to Rolls-Royce (1971) Ltd. are being conducted between that company and the receiver. The hearing before the independent expert is scheduled to start on 1st May, but I cannot forecast when he will announce his decision.

Mr. Johnson

But is the hon. Gentleman aware that, whereas the receiver has a specific responsibility to obtain for creditors and shareholders the best possible price for the assets of the old Rolls-Royce company, the whole nation would be appalled if Rolls-Royce Motors was sold to a foreign country? May I have an assurance from the Minister that that will not happen?

Mr. Onslow

It is in the first instance for the receiver to conduct the sale as seems best to him, but the hon. Gentleman will know of the disadvantage relating to foreign ownership in the prospectus for sale. The hon. Gentleman may like to know that ultimately, because this is a company with assets of over £5 million, there is scope for a reference to the new Monopolies and Mergers Commission.

Mr. Benn

Is the hon. Gentleman aware that that answer is not satisfactory? Rolls-Royce was acquired by the Government two years ago. The Government are sole shareholders of Rolls-Royce, including the motor company, and it is for the Government to make it absolutely clear that the company should be retained in British ownership.

Mr. Onslow

The right hon. Gentleman is wrong. The ownership of Rolls-Royce Motors is vested in the receiver.