HC Deb 05 December 1928 vol 223 cc1225-6W
Mr. A. V. ALEXANDER

asked the Postmaster-General (1) how many of the directors in the new Communications Company are to be appointed by the cable companies and how many by the wireless companies;

(2) in what way the contract with the Communications Company will ensure that wireless development, including the development of the beam services, will not be hampered by being subordinated to the interests of the cable companies, which will predominate in the merger;

(3) why it is proposed that the two directors on the Communications Company, whose nomination requires the approval of the Government, are to be suggested by the cable companies alone and not by the cable and Marconi companies?

Mr. SAMUEL

I will answer these questions together. I would refer the hon. Member to recommendation (IV) of the Imperial Conference on page 1S of the White Paper. It is, I understand, contemplated that there would be at the outset 22 directors, 10 nominated by the wireless group and 12 by the cable companies. Of the latter two must be approved by the Government, and excluding the Government directors there will be equal representation. The directorate will be reduced as and when opportunities offer to 12. I see no grounds whatever for the fears expressed by the hon. Member as to the hindrance of wireless development.