British Steel Corporation

HC Deb 26 March 1986 vol 94 cc475-6W

Mr. Hickmet

asked the Secretary of State for Trade and Industry if he will make a statement on the future funding of the British Steel Corporation.

Mr. Peter Morrison

Since 1978 the British Steel Corporation has been funded by subscriptions of capital under section 18 of the Iron and Steel Acts of 1975 and 1982. The Government have decided that it would be appropriate in the light of the encouraging results BSC has recorded recently and in the knowledge that the European Commission has accepted BSC's restructuring plan as demonstrating that the corporation is on the path to sustained viability, to allow the BSC once more to resume medium and long-term borrowing from the national loans fund.