HL Deb 17 November 1976 vol 377 cc1278-80

2.33 p.m.

Viscount MERSEY

My Lords, I beg leave to ask the second Question which stands in my name on the Order Paper.

The Question was as follows:

To ask Her Majesty's Government how many Concorde aircraft are at present under construction in the United Kingdom, and what is the estimated cost of each aircraft.

The MINISTER of STATE, NORTHERN IRELAND OFFICE (Lord Melchett)

My Lords, there are three Concorde aircraft at present under construction in the United Kingdom. The estimated average cost of the eight British-assembled aircraft in the authorised programme is£51 million per aircraft. It would be inappropriate to allocate this figure between individual aircraft in view of the substantial number of assumptions and estimates that would be required.

Viscount MERSEY

My Lords, I thank the noble Lord, Lord Melchett, who at least has produced a figure. Can he tell the House whether any of these three aircraft has been sold? Have we any firm orders for them?

Lord MELCHETT

My Lords, my understanding of the situation with reference to these three aircraft is that there are no firm orders for them at present, although some very useful discussions are going on.

The Earl of KIMBERLEY

My Lords, in view of the fact that the President-Elect of the United States of America, Mr. Carter, was rather unpopular with regard to Concorde before his election, can the noble Lord, Lord Melchett, say whether either Her Majesty's Government and/or the French have made any progress, since Mr. Carter became President-Elect, on what the result will be of Concorde going into New York so that these last five aircraft can be sold?

Lord MELCHETT

No, my Lords. I do not have that information. I would not be able to answer the question of the noble Earl, Lord Kimberley, without some notice.

Baroness BURTON of COVENTRY

My Lords, I hope that the questions asked by the Opposition do not imply criticism of British Airways. Might I ask my noble friend the Minister whether he is aware that many of us think that British Airways have made a superlative achievement in getting Concorde into the air? Is he further aware that we wish it every success? I think we should support it vocally in this House as well as elsewhere.

Lord TREFGARNE

My Lords, can the Government say what steps are being taken to provide leasing facilities for Concorde, bearing in mind that there are a number of smaller airlines who cannot afford to purchase Concorde outright but are interested in leasing arrangements?

Lord MELCHETT

My Lords, some of the discussions going on with interested parties include the possibility of leasing arrangements, as the noble Lord, Lord Trefgarne, has suggested.

Lord DAVIES of LEEK

My Lords, is my noble friend the Minister able to inform the House whether there is any reality in the suggested fact—or is it mere speculation?—that there is a possibility of the Chinese Government being interested in Concorde?

Lord MELCHETT

My Lords, I am afraid I do not have that information. I do not think it arises directly from the Question on the Order Paper.

Lord MACKIE of BENSHIE

My Lords, as I understood the noble Lord, Lord Melchett, he said that eight of the air- craft would cost approximately£51 million each. Does that mean that all the development costs have been written off against the eight aircraft? One hears that£500 million has been spent on development. Does the figure of£51 million include the development cost?

Lord MELCHETT

No, my Lords. The total development cost in Britain and France was£1,154 million. That is not included in the figures in the Answer which I gave, which covered the estimated costs of producing Concorde.