§ Mr. Bill Walkerasked the Secretary of State for Scotland if he has determined the financial target for the Scottish Transport Group for 1984.
§ Mr. YoungerI have reapplied for a further year the previous targets set for the Scottish Transport Group. This will require the Scottish Bus Group to make a return of 445W 4½ per cent. on average net fixed assets at current cost in the year to 31 December 1984. The return will be calculated as before and audited as applying to current cost operating profit adjusted to take account of both gains/losses arising on disposal of traffic vehicles, and capital grants on an historic cost basis. The target set for Caledonian MacBrayne Ltd. is that the company should break even in historic cost terms after receipt of grant.
I have set these targets for one year only to allow time for more detailed consideration of the financial targets and the method of calculation that should be applied from 1 January 1985.