§ Mr. PicklesTo ask the Secretary of State for Transport, Local Government and the Regions what discussions he has had since 11 September with the European Commission on state aid to airlines to compensate for(a) the four day closure of United States' air space and (b) insurance cover premiums. [15805]
§ Mr. JamiesonThe European Commission set out guidelines on emergency aid measures in its Communication on the repercussions of the terrorist attacks in the United States on the air transport industry, which was endorsed by the EU Transport Council on 16 October. The Government are considering whether to provide compensation to UK airlines for the four days closure of US airspace, and will notify the Commission if any such aid is forthcoming. In relation to insurance premiums, we have informed the Commission of the arrangements made to provide temporary third party war risk insurance cover for UK airlines and ground service providers. We introduced our scheme on 24 September, for 30 days in the first instance. On 22 October HM Treasury announced that the scheme would continue for a further 30 days until midnight on 24 November. A further announcement will be made 393W shortly on the future operation of the scheme. We are also participating in the Commission's Ad Hoc Insurance Group that has been established to discuss a common approach to resolving the present difficulties in the light of the Council Conclusions on state aid agreed on 16 October.