§ Mr. Kilroy-Silk
asked the Secretary of State for Defence if, in view of the level of unemployment on Merseyside and in Kirkby, he will reverse his decision to cease directly to place contracts with the Fazakerley engineering works.
§ Mr. Lee
The decision to cease the direct funding of the Fazakerley Engineering Company after the end of 1985 need not necessarily have a direct impact on the level of employment on Merseyside and in Kirkby. The parent company, with its trained work force and its long experience in carrying out this kind of repair work, is very well placed to compete for the additional work which we now propose should be put to contract. Greater involvement of industry in meeting the repair support needs of the armed forces is closely in line with the policy on competition which we set out in "The Statement on the Defence Estimates 1984" (Cmnd. 9227–1 paras 234–241), and is intended to ensure the most cost-effective use of defence resources.