§ 3.54 p.m.
§ LORD SHACKLETONMy Lords, with your Lordships' permission, I should like to intervene to repeat a Statement which is being made by my right honourable friend the Minister of Aviation in another place on the Ferranti repayment. The Statement is as follows:
"On July 28 last my predecessor informed the House that Ferranti Limited were prepared to refund to the Government a total of £4¼ million of the profit on their production contracts in respect of the Bloodhound Mark I Missile and that discussions would take place with regard to the discharge of this liability. Agreement has now been reached on the method and timing of the refund and Ferranti Limited have to-day entered into a formal undertaking. Tax has already been paid on this sum and will be retained by the Government. The Agreement is designed to achieve repayment of the balance of approximately £2 million by September, 1969, in five annual instalments, with a proviso that no annual instalment shall exceed one third of the consolidated net profits of the company during the preceding year. In the event of any arrears arising from this limitation these will attract interest and will be added to the sum due in the next year."
§ VISCOUNT DILHORNEMy Lords, I thank the noble Lord for repeating the Statement made by his right honourable friend in another place, and express gratification that this matter has now been brought to a conclusion by an agreement entered into by the Company.