§ Mr. HuttonTo ask the President of the Board of Trade if he will make a statement on access to EU intervention funds for United Kingdom warship yards.
§ Mr. Sainsbury[holding answer 13 December 1993]: Negotiations with the European Commission have been under way since May this year to attempt to obtain access to the shipbuilding intervention fund for all warship-builders. It has become clear that the Commission will not amend the 1985 agreement, which removed warship-builders' entitlement to support for all four companies involved.
As a result of a number of discussions with directorate general IV, agreement has been reached on a proposal for making special intervention funding available for Swan Hunter, subject to certain conditions.
It is expected that this proposal will be considered by the Commission before Christmas.
I hope for a favourable decision.