HC Deb 16 December 1974 vol 883 cc1113-4
29. Mr. Stanley

asked the Secretary of State for Trade when those who lost advance payments on holidays as a result of the collapse of Court Line will be recompensed; and whether he will make a statement.

The Under-Secretary of State for Trade (Mr. Eric Deakins)

I would refer the hon. Member to the reply to a similar Question by the hon. Member for Derbyshire, South-East (Mr. Rost) on 18th November.—[Vol. 881, c. 886.]

Mr. Stanley

As the Minister's Department has now admitted responsibility for the sums lost by holidaymakers who booked with Court Line, will he say whether, when the sums are eventually repaid, repayment will be made with interest accrued from the date of the Government statement in July?

Mr. Deakins

There has been no admission of responsibility of which I am aware. The matter of what sums are to be repaid to the holidaymakers will have to await the legislation that my right hon. Friend the Secretary of State will introduce soon after the Christmas Recess.

Mr. Adley

Was the hon. Gentleman or his Department aware that the difficulties over Court Line had been going on for years? Was he aware of the problem of building hotels on the wrong side of the island of St. Lucia of the problems of LIAT and Clarksons and of the over-enthusiasm in buying TriStars? Is he not aware than many people have been given the impression that his Department suddenly found itself confronted with a novel difficulty in the case of Court Line? Will he please give us an answer to this question?

Mr. Deakins

I am well aware of the deficiencies of a great deal of private enterprise in this country, as instanced by the Court Line collapse. However, it is not for my Department so closely to monitor the activities of every firm within its field in a way that perhaps the directors should be doing but are not.

Mr. Raphael Tuck

Can my hon. Friend explain why, when nationalisation of any industry is mooted, the Opposition utter cries of terror but when a private enterprise company goes on the rocks they expect the Government to take full responsibility for it?

Mr. Deakins

I entirely endorse what my hon. Friend says in his supplementary question.

Mr. Higgins

Does the Minister propose that the compensation should be paid out of the payments of future holidaymakers, or be paid by the taxpayers or his right hon. Friends the Secretary of State for Industry and the Secretary of State for Trade?

Mr. Deakins

I ask the hon. Gentleman to await the details of the scheme, which will be available fairly early in the new year when my right hon. Friend introduces the Tourist Reserve Fund Bill. There will then be a full opportunity to debate all these matters and go into the details for which the hon. Gentleman has asked.

Back to