§ Mr. ButlerTo ask the Secretary of State for Energy what scope he envisages for the diversification of the business of the United Kingdom Atomic Energy Authority.
§ Mr. Michael Spicer[pursuant to the reply, 24 July 1989. c. 723] The United Kingdom Atomic Energy Authority (AEA) recently commissioned consultants to assist it with its longer-term strategic thinking. In line with the consultants' recommendations, the AEA has decided to restructure its activities into a series of distinct businesses under the new corporate identity of AEA Technology. The businesses will be focused on the areas of work with the best commercial prospects. Each will have its own chief executive, who will be responsible for its efficient and profitable development. I understand that a number of key appointments will be announced shortly. The businesses will serve customers worldwide and will spearhead the effective commercial exploitation in selected markets of the unique skills which the AEA has built up over the years, largely in the service of the nuclear industry.
812WThe Government welcome these developments. I believe that the AEA has the potential to improve the performance of a wide range of British industry. The Government also support its drives for increased exports and for greater efficiency.
The AEA has recently submitted a revised corporate plan on the basis of the new business structure. My Department will be discussing this with the AEA in the coming months. It will also be consulting the authority about any changes which may be needed in the working relationship between the Department and the authority to reflect these developments and to secure the best value for money from the authority's operations.