§ 2. Mr. WilkinsonTo ask the Secretary of State for Transport when he next plans to meet European Transport Commissioner Kinnock to discuss the regulation of civil air transport in Europe. [17993]
§ Sir George YoungI met Mr. Kinnock on 5 February and discussed a number of matters, including civil air transport. No further meetings are planned at present.
§ Mr. WilkinsonGiven the evident inability of Commissioner Kinnock to regulate fair competition within the European Union, as evidenced by his accession to the Spanish Government's request to pump an extra £600 million or so into Iberia in addition to the large sum that they pumped in about five years ago, thus taking the figure well over £1 billion, will the Secretary of State go straight to Luxembourg and lodge an action with the European Court in view of the clear breach of article 92 of the treaty of Rome, which purports to ensure fair competition within the European Union?
§ Sir George YoungI agree with my hon. Friend that it was a disappointing decision which allowed Spain to subsidise Iberia to the tune of £566 million. It will distort competition and it is unfair to the United Kingdom airlines, which compete without subsidies. It is the second huge payment to Iberia in four years. We shall study the decision closely and consider carefully what options are available to us to take the matter further.