HC Deb 26 October 1984 vol 65 cc767-8W
Mr. Proctor

asked the Prime Minister if she will discuss with President Mitterrand the decision by the European Economic Community development fund agency not to grant the Leeward Islands Air Transport concern development funds for the purchase of British Aerospace's 748 turboprop aeroplanes; and if she will make a statement.

The Prime Minister

No, I do not think it would be appropriate for me to discuss this matter with President Mitterrand. The choice of contractors for projects financed by the European development fund is for the European Commission, acting in accordance with the rules laid down in the Loméconvention, and the recipient states. My right hon. Friend the Minister for Overseas Development has made clear to the Commission that we expect the rules to be fully and fairly applied in this case. I understand discussions are continuing between LIAT and the Commission and my right hon. Friend is keeping a close watch on developments. It is clear that LIAT member countries prefer the Super 748.

Mr. Proctor

asked the Prime Minister if she will raise at the next European Economic Community Heads of State and Government meeting the decision by the European Economic Community development fund agency not to grant the Leeward Islands Air Transport concern development funds for the purchase of British Aerospace's 748 Turboprop aeroplanes.

The Prime Minister

I understand discussions are continuing between LIAT and the Commission. We expect the rules for approving contractors to be fully and fairly applied by the Commission and shall continue to make this clear in all instances of the Community as appropriate.

Mr. Proctor

asked the Prime Minister if she will make it her policy to grant £20 million to the Leeward Islands Air Transport concern for the purchase of British Aerospace 748 Turboprop aeroplanes; and if she will make a statement.

The Prime Minister

The Governments of the Caribbean which own Leeward Islands Air Transport (LIAT) have requested aid for the purchase of aeroplanes from the European development fund, to which the United Kingdom contributes 17.76 per cent. I hope aid from this source can be made available in a way that is satisfactory to the Caribbean Governments.