§ Mr. Foulkesasked the Secretary for Trade if there has been any change from his most recently announced proposals for the future arrangements for financing British Airways and his intentions regarding implementation of part I of the Civil Aviation Bill.
Mr. TebbittThere has been no change since my announcement on 13 October this year that an amendment would be tabled to the Civil Aviation Bill to increase British Airways borrowing powers to £1,000 million.
413WPart I of the Civil Aviation Bill will come into force on Royal Assent. Clause 1 (reduction of public dividend capital of British Airways Board), clause 2 (borrowing powers of the Board) and clause 10 (interpretation) will then have effect immediately. Clauses 3 to 9 (vesting property etc of British Airways Board in a company nominated by the Secretary of State) will have effect only when my right hon. Friend exercises the relevant powers; I cannot yet say when this will be.