Transport Research Laboratory (Hansard, 14 March 1995)

§ The Parliamentary Under-Secretary of State, Department of Transport (Viscount Goschen):

We shall be seeking bids for the Transport Research Laboratory from a wide range of interests. Our objectives are:

to secure the continued provision of high quality, independent research and development at good 43WA value for money across the range of my department's inland surface transport;

to transfer the laboratory to the private sector as soon as reasonably practicable;

to optimise the net proceeds to the taxpayer.

In pursuing these objectives we shall have full regard to the need to help promote a competitive market for the supply of research services to the Department of Transport and to obtain reassurance that the purchaser has the capacity to meet transferred obligations and liabilities.

The work of our financial advisers, Price Waterhouse, has confirmed that there is interest in acquiring the TRL business as a whole, with a lease or freehold interest in the land and buildings required for the operation of the laboratory. We shall be seeking competitive bids for the laboratory on this basis. We have not ruled out any sale option, including the possibility of a proposal from TRL's management and staff to take over the laboratory as a non-profit distributing company.

To emphasise the Government's continuing commitment to TRL as it moves into the private sector, we have decided to provide the laboratory with guarantees of future research work for a number of years. The guarantees will be subject to the delivery of high quality, independent and impartial research at competitive prices. Bidders will be asked to demonstrate that the supply of scientific advice and research to government will not give rise to conflicts of interest with their other operations.

We are aiming to complete the sale of TRL during 1995.