Light Dues (Hansard, 4 February 1987)

§ Mr. Moore

In recent years the annual expenditure of the general lighthouse authorities has increasingly exceeded income from light dues, but it has been possible to cover the difference by drawing on the considerable cash reserves which has accumulated in the general lighthouse fund. These cash reserves are now reducing rapidly and it will be necessary for light dues to be increased in 1987–88 in order to bring revenue into line with current operating costs. In addition, there is a new requirement to make provision for the costs of operating the United Kingdom transmitters of the Decca navigator system. Taking all those factors into account, I have concluded that light dues should be increased by just under 14 per cent. in 1987–88.

This increase follows a long period in which light dues have been held well below the rate of inflation, so that even after the increase has been brought into force light dues will still be 18 per cent. lower in real terms than they were in 1981–82. Almost half the revenue from the increase in dues is required to meet the costs of operating the United Kingdom Decca navigator transmitters.

The necessary order will be laid before Parliament shortly. I am conscious of the burden which light dues impose on ships calling at United Kingdom ports, and I have a number of measures in hand which I hope will reduce the need for increases in future years. First, given the considerable use which the fishing industry makes of the Decca navigator system, as an aid to fishing as well as an aid to navigation, I am considering proposals to extend light dues liability to the larger fishing vessels. Secondly, I am inviting the authorities to prepare running costs budgets for 1988–89 on the basis of nil cash growth after making allowances for the cost reductions to be achieved from automation projects. Thirdly, we have commissioned a joint study by consultants into ways in which the authorities' tender fleets requirements can be met. I hope the study will lead to further costs savings.

I much regret the need for this increase, and I recognise that will be unwelcome to shipowners and to the ports' industry.