HC Deb 01 February 1965 vol 705 cc236-7W
Mr. Gregor Mackenzie

asked the Minister of Power (1) what information was obtained by Her Majesty's Government about the amount of capital invested by Messrs. Colvilles Limited in new mills when making loans to this firm from 1959 to the latest convenient date;

(2) if he will give the amount of Government money loaned to Messrs. Colvilles Limited for new projects from 1959 to the latest convenient date.

Mr. Frederick Lee

Colvilles Ltd. has received a loan of £50 million from the Government under the Loan Agreement of 29th September, 1959, and, under the terms of the Agreement, has deferred payment of £5 million of the accrued interest. The loan was made in five instalments between March, 1961, and September, 1963, and in connection with each advance the company reported its estimated expenditure on the strip-mill project, which, by September, 1963, had amounted to about £71 million. In addition, the company has obtained the Minister's consent, as required by the Loan Agreement, to its proposals for substantial investment other than for the strip-mill project and has regularly supplied copies of its balance sheets and reports as well as quarterly estimates of its cash flows and total capital expenditure.