HC Deb 12 April 1994 vol 241 cc91-2W
Mr. Luff

To ask the Secretary of State for Transport what representations he is making to the French Government and the European Commission about the plans developed by the French Government to subsidise the state-owned shipping company Compagnie Generale Maritime.

Mr. Norris

The EC Commission has responsibility for initial consideration of these matters. My Department has made clear that we consider that a number of subsidies to shipping companies in the Community may represent illegal state aids within the terms of the treaty of Rome. We understand that the Commission is investigating whether subsidies paid by the French Government to Compagnie Generale Maritime, or proposed to be paid in the future, contravene the treaty.

Mr. Luff

To ask the Secretary of State for Transport what assessement he has made of the subsidy and tax concessions made available by member states of the European Union to their domestic shipping companies; and if he will make a statement.

Mr. Norris

We believe that some subsidies and tax concessions made available by member states to their domestic shipping industries may constitute illegal state aid within the terms of the treaty of Rome. We have presented detailed information to the EC Commission which has responsibility for the initial consideration of these matters, and we understand that it is currently investigating certain cases.