§ Mr. Sedgemoreasked the Chancellor of the Exchequer what stake the Government have in British Petroleum; how many directors they supply to the board of British Petroleum; how they are selected; what instructions they are given on conflicts which may arise between the interests of the public and the interests of the company; and whether the activities of this company or their directors are in any way accountable to Parliament.
§ Mr. DellThe Government own 48.2 per cent. of the ordinary stock of the British Petroleum Company Ltd. They are entitled to select and appoint to the board of the company two Government directors, who are required to report to the Treasury on all matters on which the Government ought to be informed; all such appointments are made with the approval of the Prime Minister and current practice is to appoint for three years. The Government directors maintain regular contact with the Treasury. They have a power of veto over decisions of the board on matters of general policy. It has, however, been the policy of successive Governments not to use the shareholding to intervene in the administration of the company as a commercial concern and the Government's general relations with the company are conducted, as with other companies, through normal departmental channels direct with the management.