§ Mr. SpearingTo ask the Chancellor of the Duchy of Lancaster what representations he has received from the Commission of the European Economic Community concerning the proportion of golden shares held by Her Majesty's Government in Rolls-Royce plc.
§ Mr. AtkinsThe European Commission has raised with my Department the compatibility with the treaty of Rome of the 15 per cent. limit on foreign shareholdings which is imposed by Rolls-Royce's articles of association and is protected by the special share that the Government holds in the company. The Government are convinced that this provision is justified by article 223 of the treaty, which allows any member state to take such measures as it considers necessary to protect its national security interests. Discussions are continuing between my Department and the Commission on this issue.