§ Lord Strathcarronasked Her Majesty's Government:
Whether they will encourage the sale of municipal bus companies to employees on a single bid basis within 12 months in line with their philosophy of wider share ownership.
The Minister of State, Department of Transport (The Earl of Caithness)The Government endorse the philosophy of wider share ownership and wish to encourage employee participation in companies, but they are also committed to ensuring that the market price is obtained for the sale of public sector assets. The best way of showing that this has been achieved is by open competition. Within that framework the Government are willing to approve management-employee buyouts which are not more than 5 per cent. lower than the best competitive bid.