HC Deb 15 January 2002 vol 378 cc154-5W
Mr. Kevin Hughes

To ask the Secretary of State for Trade and Industry what plans she has to subsidise the UK coal industry beyond July 2002. [10377]

Mr. Wilson

The Government currently have no plans to extend the current coal subsidy scheme, or to introduce a new scheme, beyond July 2002. However we are working to ensure that the new EU coal state aid regime from July this year gives us the flexibility to devise suitable schemes to aid the industry if that is ever appropriate. Once the new EU regime is in place, we will of course consider on its own merits any proposals for Government support that complies with the new rules.

We will also ensure that the new regime retains provisions to prevent subsidised coal from undercutting international prices, so that the UK coal industry cannot be disadvantaged with respect to its competitors in member states which may decide to pay continued aid.