HL Deb 10 April 1986 vol 473 cc404-5WA
Lord Bruce of Donington

asked Her Majesty's Government:

What amounts of public money in respect of Rolls-Royce for the period since its nationalisation in 1971 until 31st March 1985 by each fiscal year were:

  1. (a) provided to the company by way of non-repayable grants;
  2. (b) provided to the company as investment capital;
  3. (c) made available to the company as repayable loans or advances; and
  4. (d) repaid by the company into public funds.

Lord Brabazon of Tara

Following is the information:

(a) The only non-repayment grants received by Rolls-Royce Limited from HM Government during the period in question were regional development grants. These amounted in total to about £9 million. An annual breakdown is not readily available.

(b) HM Government invested equity in Rolls-Royce Limited as follows (details are only available in calendar years):

£m Calandar Year
30 1971
30* 1973
77 1975
38 1976
21 1977
7 1978
31 1979
94 1980
130 1981
50 1982
*Includes £10m originally paid by HM Government as part of a loan to the company but later converted to equity.

(c) The following loans were advanced by HM Government to Rolls-Royce Limited, either directly or through the National Enterprise Board:

£m Fiscal Year
62.3* 1973/74
6.0 1974/75
22.0 1975/76
20.0 1976/77
3.0 1977/78
3.0 1978/79
*£10m of this loan was subsequently converted to equity.

(d) With the exception of the £10 million converted to equity, these loans have been repaid to HM Government in their entirety as follows:

£m Fiscal Year
52.3 1978/79
6.0 1979/80
22.0 1980/81
26.0 1981/82

In addition, HM Government have paid £603.9 million to Rolls-Royce Limited towards various aeroengine programmes. This includes £143.4 million for the fully funded RB211–22B programme in which the Government took all receipts for the first 555 engines, totalling £30 million. The total levy on sales received by HM Government for all other launch-aided engine programmes up to 31st March 1985 was £88.7 million.