§ 108. Dame Irene Wardasked the Secretary of State for Foreign Affairs what communications he has had with the oil concerns in which Her Majesty's Government have an interest on their decision to withdraw from Israel; and whether he will give an assurance that in future no company in which Her Majesty's Government holds shares will take decisions which raise vital issues relating to the balance of power in the Middle East without consultation.
§ Mr. Ormsby-GoreAs the hon. Lady will be aware, my right hon. and learned Friend stated on 29th July in reply to a268W Question by the hon. Member for Leeds, East (Mr. Healey)that neither he nor any member of Her Majesty's Government was consulted in advance by the two oil companies concerned about their decision to seek to dispose of their marketing interests in Israel. Subsequent to the announcement of their decision, my right hon. and learned Friend had discussions with directors of both British Petroleum and Shell and is left in no doubt that their decision was a commercial one.
As regards the second part of the Question, Her Majesty's Government hold shares in a variety of companies and, even where Her Majesty's Government hold a controlling interest, it has long been established policy that Her Majesty's Government do not interfere in the purely commercial decisions of such companies. Where strategic issues are clearly involved Her Majesty's Government would, of course, expect to be consulted.