§ Mr. BlairTo ask the Chancellor of the Duchy of Lancaster if the completion of the single European market by 1992 will affect the restrictions on the number of shares that can be owned by foreign shareholders in the privatised companies.
§ Mr. MaudeThe completion of the single European market in 1992 will not in itself directly affect any restrictions on foreign shareholdings in British companies. Article 7 of the EEC treaty already generally prohibits discrimination on the grounds of nationality and article 221 requires that member states accord nationals of other member states the same treatment as their own nationals as regards participation in the capital of companies or firms, without prejudice to application of other provisions of the treaty. One of the latter, article 223, enables any member state to take such measures as it considers necessary for the protection of the essential interests of its security which are connected with the production of or trade in arms, munitions or war material.