HC Deb 08 November 1982 vol 31 cc298-9
8. Mr. Colvin

asked the Minister for Trade what efforts Her Majesty's Government are making to help recover remittances owed to British airlines which are being held in certain African States.

Mr. Sproat

We remain in close touch with the British airlines affected and will continue, with our posts in the countries concerned, to give all possible assistance towards securing the repatriation of funds unreasonably delayed by overseas Governments. On appropriate occasions we raise the issues at ministerial level, and my hon. Friend the Minister of State, Foreign and Commonwealth Office did so last week with the Foreign Minister of Sierra Leone.

Mr. Colvin

Does my hon. Friend appreciate the damage that the loss of these remittances does to the cash flows of our international flag carriers? Will he take this matter into account when agreeing plans for the restructuring of British Airways' capital debt?

Mr. Sproat

The answer to both parts of my hon. Friend's supplementary question is "Yes." We take this matter extremely seriously. The fact that we have refused to issue a permit to the flag carrier of Sierra Leone shows that we are prepared to take these matters very far.

Mr. James Johnson

Is the Minister fully aware, despite what he said, of the difficulties facing President Siaka Stevens and the Sierra Leone Government in respect of landing fees in London? Will the hon. Gentleman use his good offices to settle this dispute before it escalates to a much worse position in terms of the Africanisation of British-Caledonian flights and other matters connected with Jordan? There is much more lying behind this than the hon. Gentleman appears to think.

Mr. Sproat

I do not know whether there is more behind it than I think. I am aware that airlines round the world are owed $550 million at present, 80 per cent. of which is owed by African States. I agree that it is a pity that we have not been able by negotiation to resolve the problem with Sierra Leone, with which otherwise we should wish to have very friendly relations.