HC Deb 24 October 1988 vol 139 cc97-8W
12. Mr. Charles Wardle

To ask the Secretary of State for Transport what measures he is taking to enourage private sector involvement in transport infrastructure projects.

Mr. Channon

We continue to encourage privately financed projects. The Dartford-Thurrock crossing, the Channel tunnel, the new rail link to Heathrow and the competition for the second Severn crossing all prove that the private sector can make a valuable contribution to providing transport infrastructure. We shall take every opportunity to encourage more schemes.

40. Sir Geoffrey Finsberg

To ask the Secretary of State for Transport how many major transport infrastructure projects have been privately financed since 1979.

Mr. Portillo

Since 1979 the transport infrastructure projects, costing over £10 million, financed fully or partly by the private sector and known to my Department are:

Channel tunnel The construction of the tunnel—Europe's largest ever private sector civil engineering project—has been entirely financed through the international capital markets. There is no Government funding or financial guarantee; this is ruled out by the treaty and the Channel Tunnel Act. The total financial requirement is £6 billion—this has been raised through £1 billion of equity and £5 billion in credit facilities with an international group of lending banks.

Ports The privatised Associated British Ports was formed in 1983. Total capital expenditure of the 23 major port authorities from 1980 to 1987 was £534.5 million. Including the following major port developments:

£ million
Dover
Reclamation of camber and creation of new berths in Eastern docks (over 5 years) 20

£ million
Immingham
Deepwater LPG terminals—new dock facilities 35
Ramsgate
New linkspans, land reclamation and outer wall 17
Southampton
Container handling cranes and machinery 17

Airports British Airports Authority, privatised in 1987, invested £182 million in capital projects in the year to March 1988 including the north terminal at Gatwick and the new terminal under construction at Stansted. In addition London City airport was built by John Mowlem and Company plc at a cost of some £32 million and is owned by them. The airport opened in October 1987.