HC Deb 11 June 1973 vol 857 cc228-9W
Mr. Bishop

asked the Secretary of State for Trade and Industry if he is aware that navigation charges levied by States which participate in the Eurocontrol organisation are to be increased as from 1st November next by percentages ranging from 25.74 per cent. for Spain, to 147.91 per cent. for the United Kingdom; whether it conforms with Her Majesty's Government counter-inflation policy; and if he will make a statement.

Mr. Onslow

The United Kingdom and other States participating in the Eurocontrol route charges system have taken a general decision that these charges should be based on a 30 per cent. rate of cost recovery for the period 1st November 1973 to 31st October 1975 in place of the previous rate of 15 per cent. for the period 1st November 1969 to 31st October 1973. Even at this increased rate the Exchequer is still bearing 70 per cent. of the cost of en-route navigation services and it is the Government's objective to achieve 100 per cent. recovery in the next few years.

The variation in the increases as between countries is largely due to the differences in their rates of traffic growth; the figure for Spain reflects the great increase in tourist traffic over recent years to that country.

Since air navigation service charges are determined by international agreement these charges, in accordance with Clause 6(vi) of The Counter-Inflation (Price and Pay Code) Order 1973, are not subject to control.