§ Mr. Bestasked the Secretary of State for Defence what representations he has received from the board of Royal Ordnance factories about the sale of Royal Ordnance factory, Leeds.
§ Mr. Archie HamiltonMy right hon. Friend the Secretary of State for Defence had discussions with the chairman of Royal Ordnance plc prior to the announcement of the sale and exchanged correspondence with him. The chairman confirmed that the board of Royal Ordnance agreed in principle to the sale.
§ Mr. Bestasked the Secretary of State for Defence on what terms the board of the Royal Ordnance factories has agreed to the sale of Royal Ordnance factory, Leeds to Vickers; and how this compares with its asset value.
§ Mr. Archie HamiltonRoyal Ordnance plc and Vickers have signed a sale and purchase agreement, the details of which are subject to usual commercial confidentiality. The price is as described by my right hon. Friend the Secretary of State for Defence on 24 July 1986, at column 618, arid will not emerge finally until the audit of the net asset valuation has been completed.
§ Mr. Bestasked the Secretary of State for Defence what factors were taken into account in the decision to sell Royal Ordnance factory, Leeds to Vickers.
§ Mr. Archie HamiltonThere was no single overriding factor in our decision. We took the view that the sale was 821W the course which best satisfied the needs of the Ministry of Defence as a purchaser of tanks on the most economic basis possible; the longer term future of tank design and manufacture in the United Kingdom; and the aspirations of the work force to a secure and prosperous future in the business.