§ Mr. H. Morrison
asked the Under-Secretary of State for Air what is the amount of Government subsidy to Imperial Airways, Limited; and whether, having regard to the prosperous condition of the company, as revealed in the legal proceedings of 28th June, 1937, it is proposed to discontinue the subsidy?
§ Lieut.-Colonel Muirhead
Payments to Imperial Airways, Limited, by way of subsidy from Air Votes totalled £377,239 during the financial year ended the 31st March last. As regards the second part of the question, the answer is in the negative. White Papers (Cmd. 5414, 5497 and 5501) have recently been presented to Parliament explaining the agreements to regulate the operation of the Empire Air Mail Scheme, which will involve a heavy increase in the Company's responsibilities and expenses. The terms of those agreements have been framed in full knowledge of the Company's financial position and I would invite the right hon. Member's consideration of the concluding paragraphs of Command Paper 5414 setting out the remarkable progress and great economy represented by the new arrangements.