§ Mr. Eggarasked the Secretary of State for Defence whether an external financing limit for 1985–86 and a financial objective have been set for Royal Ordnance plc.
§ Mr. ButlerAn external financing limit of £50 million for 1985–86 has been set for Royal Ordnance plc. This will be met from the Reserve and will therefore not add to planned public expenditure. I have also agreed with the company a financial objective of a 5 per cent. real rate of return on average capital employed on a current cost basis.