HL Deb 08 November 1978 vol 396 cc297-8
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 how can they reconcile their undertaking, given to the French and German Governments, that British Airways would consider the purchase of A300–B10 airbuses, with the subsequent statement by British Airways executive Mr. Ross Stainton published in British Airways News of 8th September.

Baroness STEDMAN

My Lords, British Airways have told the Government that, if needs were to be identified in the area of wide-bodied medium range aircraft of 200 seats, comparisons they have made show the A310 to be the aircraft which would best meet such needs. That is the formal position, as notified to the French and German Governments, and it does not seem to me to be incompatible with the statements to which the noble Earl refers.

The Earl of KIMBERLEY

My Lords, I thank the noble Baroness for that Answer, for which I am grateful. Does she not agree, however, that the announcement was slightly unfortunate in view of the timing of the delicate negotiations that were going on at that time, and that it nearly put the whole apple-cart in jeopardy? Secondly, does she agree that the public relations of British Airways might perhaps be better organised in future so that British Airways and British Aerospace could get on in a slightly more co-operative way together, which I know is what British Aerospace wishes to do?

Baroness STEDMAN

My Lords, there is a measure of collaboration and co-operation between British Airways and British Aerospace. The Government are not able to dictate to British Airways what they should do. That is a matter for their commercial judgment. But the outcome of this affair now seems to be satisfactory. We are taking part in Airbus Industrie. We have, by doing this, safeguarded something upward of 7,000 jobs, and I should have thought that that was something to be considered quite satisfactory.

Lord ORR-EWING

My Lords, can the noble Baroness give us the cost of re-entry into the airbus amalgam? What is the total cost to this country spread over the years?

Baroness STEDMAN

No, my Lords, not without notice, but I shall inquire and write to the noble Lord.