HL Deb 13 March 1978 vol 389 cc1046-7

3.7 p.m.

The Earl of KINNOULL

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

The Question was as follows:

To ask Her Majesty's Government what plans the British Steel Corporation has submitted to ensure a significant reduction in their current deficit for the coming year.

Lord WINTERBOTTOM

My Lords, discussions are continuing between the Government, the British Steel Corporation and the TUC Steel Committee on how best to deal with the losses currently being made by the Corporation. My right honourable friend the Secretary of State for Industry hopes shortly to make a Statement announcing the action it is proposed to take.

The Earl of KINNOULL

My Lords, while thanking the noble Lord for that reply, may I ask whether he can given any indication of the deficit for the current year? Can he also say when the White Paper is likely to be published?

Lord WINTERBOTTOM

My Lords, BSC's latest estimate is that it will make a loss of about £520 million, including the provision of £50 million for contingencies, in the current financial year which ends on 1st April. I cannot at the moment anticipate when the White Paper is likely to be published, but my right honourable friend the Secretary of State will be making a Statement before Easter.

The Earl of KINNOULL

My Lords, may I ask the noble Lord to say whether the value is accepted of Select Committees probing into nationalised industries, and whether in future both Ministers of the Crown and chairmen of nationalised industries will be absolutely frank with Parliament?

Lord WINTERBOTTOM

My Lords, have no reason to believe that either the Secretary of State or officials of the Steel Corporation have not been frank. As was said in relation to the previous Question, a great deal depends on interpretation. Certainly it is the intention of these gentlemen to be frank.

Lord ORR-EWING

My Lords, is the noble Lord aware that, while industrial expansion is at a standstill and has been for many years, and when so few new jobs are available, it is natural that, if we are to reduce the degree of over-manning in both public and private industry, there should be some generosity of compensation? However, in view of certain figures that are being bandied around, would it not be in the interest of the public for us to be given the facts and to be told exactly how much is being offered in compensation terms to those made redundant?

Lord WINTERBOTTOM

Certainly some of the figures quoted seem high, my Lords, but I am not in a position to give the noble Lord exact details as to the number of people to whom the high figures mentioned in the Press apply and what the average figure was. I understand that the very high figures quoted related in certain circumstances to long-serving, highly-skilled men in the industry, but that they were a small part of the whole.