HC Deb 17 January 1977 vol 924 cc20-1
16. Mr. Ioan Evans

asked the Secretary of State for Energy what representations he has made about the proposal to sell shares in British Petroleum.

Dr. J. Dickson Mahon

I have nothing to add to the statement made by my right hon. Friend the Chancellor of the Exchequer on 15th December.

Mr. Evans

Does my right hon. Friend realise that a large national stake was taken in BP at the time when Winston Churchill was in office? This stake was a national asset. What is the sense in losing our stake in BP at a time when we are taking some North Sea oil reserves into public ownership?

Dr. Mabon

We will not fall below a 51 per cent. holding in BP. Almost from the beginning that has been the traditional policy of the Government towards the company. This collective decision was taken by the Government in order to reduce the public sector borrowing requirement.

Mr. Adley

Does the Minister accept that this decision indicates a willingness on behalf of the Government to abandon their doctrinaire commitment to nationalisation? Have the Government any other proposals for similar solutions for other nationalised industries?

Dr. Mabon

It was a particularly painful decision for the Government. This was a good share and a good holding. It was logically part of our national asset. Because of the exigencies and difficulties, however, the painful decision had to be taken.