§ Mr. Skeetasked the Secretary of State for Industry what is the Government's policy on the Treaties of Paris upon which is based the ECSC ; whether he is seeking any modifications of the treaties; and if he will particularise the extent of Government control over investment, acquisitions and prices in relation to the United Kingdom industry.
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§ Mr. Benn:The Secretary of State for Foreign and Commonwealth Affairs stated in the Council of Ministers on 3rd March that the Government were concerned about certain practical problems in relation to the steel industry and put the Community on notice that the Government intend to pursue this issue, if necessary by suggesting amendments to the Treaty of Paris, so as to restore key powers over the steel industry in the United Kingdom to Her Majesty's Government, though not as part of the renegotiations and only if we cannot avoid it.
The British Steel Corporation's capital investment programme is subject to the approval of the Secretary of State, but there have been no Government powers over private sector steel investment, since Section 15 of the Iron and Steel Act 1967 was repealed on our accession to the ECSC. Any acquisitions by the British Steel Corporation need the consent of the Secretary of State, but there are no similar Government powers over mergers between private steel companies.
The prices of the basic steel products covered by the ECSC Treaty are not subject to the Price Code, although this does not apply to some highly processed steel products, e.g., tubes.