HL Deb 15 July 1980 vol 411 cc1614-5

2.47 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, in view of the motor trade's present unsatisfactory position, whether they will alter the hire-purchase terms of 33 per cent. cash down over two years, to 20 per cent. cash down over three years, so as to bring the terms offered to the general public in line with those offered to professional people.

Lord TREFGARNE

My Lords, I regret that, in the Government view, it would not be right to relax the controls at the present time.

The Earl of KIMBERLEY

My Lords, I thank my noble friend for that Answer, which was not unexpected. Would he consider a compromise that perhaps the present rates may apply to cars from Japan, and suchlike, but that Common Market vehicles could have a reduced HP?

Lord TREFGARNE

My Lords, I think that the difficulty with that proposal is that it would constitute a form of preference for European manufactured vehicles which I think would fall outside the provisions of the GATT.

The Earl of KIMBERLEY

My Lords, may I ask my noble friend this one further question: Surely one of the objects of our joining the Common Market is that we should help ourselves in the Common Market and the outsiders should come last?

Lord TREFGARNE

Yes, my Lords, but our international agreements extend beyond the simple fact of our joining the European Community.

Lord SOMERS

My Lords, would the noble Lord agree that the situation might be bettered if we were to produce slightly better cars ourselves? Would he not agree that it is practically impossible to buy a new British car that is in 100 per cent. working order?

Lord TREFGARNE

My Lords, I do not agree with that. I have a British manufactured car and I am very pleased with it.

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