HL Deb 13 May 1996 vol 572 cc324-5

3 p.m.

Lord Chapple asked Her Majesty's Government:

What were the main considerations which led to the proposal to privatise in full Horticulture Research International.

Lord Lucas

My Lords, Horticulture Research International is currently the subject of a prior options review which the Government are still considering.

Lord Chapple

My Lords, I hope that the Government will give some further thought to this matter because it is widely understood in the industry that the decision has been taken. That is causing great consternation in an organisation which is a flagship organisation of the industry and which has a worldwide reputation. The fear is that, if the Government act with undue haste, the organisation will be sold off piecemeal and the best of it will be lost.

Lord Lucas

My Lords, I echo entirely the remarks of the noble Lord, Lord Chapple, about the quality of HRI. It is an excellent organisation which is very well regarded by its customers and by the Government. We have taken no decision. I know that the noble Lord has a wide knowledge of this matter, not least because I believe that his daughter-in-law works for the organisation. I hope that he will feel able to reassure her that we have not yet taken a decision and we intend to do so in the interests of HRI to ensure that it has the best possible future.

Lord Haskel

My Lords, will the Minister say how much the Government expect to receive from the sale of HRI or does the Minister expect that we shall have to pay somebody to take it off our hands as we had to do with the National Engineering Laboratory last November?

Lord Lucas

My Lords, that is an entirely irrelevant question since we have not yet embarked on that stage of our considerations.

Lord Peston

My Lords, will the noble Lord explain why the Government are doing any of this? We have a very important horticulture industry which is subject to intense international competition and which needs first-class research and development to back it. Although I am not an expert in the field, I believe that Horticulture Research International is a body of international standing. I could give the Government a list a mile long of useful things to do. Why are they spending their time on this matter? Why do they not let this body get on with what it is doing; let the horticulture industry get on with what it is doing; and find something else for themselves to do?

Lord Lucas

My Lords, I am sure that at the end of the day, Horticulture Research International will feel that it has benefited from this process.

Lord Ewing of Kirkford

My Lords, I speak as a very keen horticulturist. Does the noble Lord accept that it is a great consolation to hear the noble Lord, Lord Chapple, speaking on horticulture and expressing his concern about the probability of privatisation and returning to his roots?

Lord Lucas

My Lords, the noble Lord expresses the matter far better than I could.

Lord Taylor of Blackburn

My Lords, is the institution commercially viable?

Lord Lucas

My Lords, yes.

Baroness Nicol

My Lords, will the Minister explain what consultation will take place in this situation if the Government decide to go ahead with privatisation? Will the Minister accept that this weekend I received from a large local garden centre an expression of anxiety about the possibility of this privatisation?

Lord Lucas

My Lords, I understand the noble Baroness's concern. I cannot answer her first question because we have not yet reached that stage of our considerations.