HL Deb 10 July 1985 vol 466 cc188-9

2.48 p.m.

Lord Stoddart of Swindon

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

The Question was as follows:

To ask Her Majesty's Government what discussions they have had with the chairman of the Central Electricity Generating Board concerning the privatisation of the electricity supply industry.

The Minister of State, Scottish Office (Lord Gray of Contin)

My Lords, the Government have not discussed the privatisation of the electricity supply industry with the chairman of the Central Electricity Generating Board since they have no present plans to privatise the industry.

Lord Stoddart of Swindon

My Lords, I am grateful for that reply. Obviously the noble Lord has seen the remarks of Sir Walter Marshall, to whom we shall give a warm welcome to this House on 30th July. Does the Minister not think it rather unwise, if the Government have had no discussions with the chairman of the industry, for that chairman to advocate the privatisation of the electricity supply industry, bearing in mind that this is a highly contentious political issue? Perhaps he would like to take the chairman gently by the arm and advise him of that fact. May I ask the noble Lord to state once again categorically that there will be no legislation during the present Parliament to privatise the whole of the electricity supply industry, or any part of it?

Lord Gray of Contin

My Lords, I certainly would not give the noble Lord the assurance that he seeks. He will see that my Answer to his original Question, when he studies it in Hansard, was extremely forthcoming and factual. So far as the remarks made by Sir Walter Marshall are concerned, Sir Walter Marshall is well able to defend his own remarks. I have no doubt that your Lordships will be entertained to many instructive and interesting speeches from him when he joins us shortly. I would not dream of taking him to task on this.

I do not think that the noble Lord was quite correct in saying that he had advocated privatisation. He made reference to privatisation in answer to one of the questions put to him, and he is of course perfectly entitled to air his views in the way in which he did.

Lord Hatch of Lusby

My Lords, in view of the fact that the Chancellor of the Exchequer has given a pledge that income tax will be reduced during the life of this Parliament, and as the Government have found it impossible to collect sufficient money from North Sea oil and the sale of national assets so far, is it not the case that the word "present", which the Minister used in his answer to my noble friend Lord Stoddart of Swindon, has a somewhat sinister implication? Is it not likely that—

Noble Lords

Speech!

Lord Hatch of Lusby

Is it not likely that, along with the sale of gas, the Government will need to sell electricity also as a public asset to secure the revenue to pay out the tax bonuses which the Chancellor has promised before the next election?

Lord Gray of Contin

My Lords, even in my most generous frame of mind it would be difficult for me to answer briefly that conglomeration of questions. Indeed, they are far removed from the original Question.

Lord Grimond

My Lords, at any rate will the Minister confirm that income tax will be reduced during the present Parliament?

Lord Ezra

My Lords, can the noble Lord indicate to us whether, if and when the Government decide to privatise the electricity industry, they will do it en bloc, as they are doing in the case of gas and as they have done in the case of Telecom, or whether it will be in some other form?

Lord Gray of Contin

My Lords, I am afraid the noble Lord has asked me a hypothetical question. All I can say is that if and when such a thought were to enter the mind of the Government then the noble Lord and those noble Lords who are interested will be given ample warning.