HL Deb 08 June 1978 vol 392 cc1385-7

3.21 p.m.

The Earl of KIMBERLEY

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

The Question was as follows:

To ask Her Majesty's Government on what date British Aerospace submitted their request for approval to develop the HS146 airliner.

Lord WINTERBOTTOM

My Lords, I understand that Lord Beswick wrote to the Secretary of State for Industry on 22nd March reporting the decision of his Board to recommend go-ahead on the HS146. This letter was followed in April by the detailed arguments in support of this decision, and it is on the basis of this latter information that the Government are considering the recommendation.

The Earl of KIMBERLEY

My Lords, I thank the Minister for that Answer. Would he not agree that the delay in making a decision must be inconsistent with an efficient business policy? Further, would he agree that British Aerospace are quite capable of funding this project without Government aid? Lastly, would he agree that this particular project has no hearing on any collaboration or plans that British Aerospace may have with Europe and/or the United States?

Lord WINTERBOTTOM

My Lords, I cannot comment on the last two points made by the noble Earl. I think that it is much better to get the right decision than a quick decision. After all, it is under two months since the arguments were put to the Government.

The Earl of KIMBERLEY

My Lords, would the Minister agree that even if it is under two months since the plans were put forward by British Aerospace the whole project has been under consideration for a much longer time than that?

Lord WINTERBOTTOM

Yes, my Lords, but it was in fact closed down by Hawker Siddeley itself, and it is only now being brought alive.

Lord TREFGARNE

My Lords, what is the tenor of the argument put forward by British Aerospace in favour of reviving this project? Is it that they now have more orders than were originally envisaged, or that they have somehow managed to recalculate cost prices on a more favourable basis?

Lord WINTERBOTTOM

My Lords, I cannot answer that question because I have not the answer.

Lord WYNNE-JONES

My Lords, was it not hoped that one of the advantages of having British Aerospace as a nationalised industry would be that decisions could be reached more quickly and would not be delayed?

Lord WINTERBOTTOM

My Lords, I am certain that that is absolutely right, but six weeks is not a long time.

The Earl of KIMBERLEY

My Lords, may I ask the Minister one more question? In view of the delay, could he please try to give some assurance that a decision will be made in the very near future, and, hopefully, a favourable one?

Lord WINTERBOTTOM

No, my Lords. I simply cannot say more than I did—that is, that it is better to have the right decision than a quick decision.