HL Deb 17 June 2004 vol 662 c38WS
The Parliamentary Under-Secretary of State, Department of Trade and Industry (Lord Sainsbury of Turville)

My right honourable friend the Secretary of State for Trade and Industry (Ms Hewitt) has made the following Written Statement.

The Government were expecting to receive a decision from the European Commission in summer 2004 on the Government's proposed restructuring aid to British Energy plc. Receipt of a positive decision is a condition of the proposed restructuring of the company.

Due to the need to complete final assessments in relation to the financing of the company post-restructuring, it will now not be possible for the Government to present all the necessary information to the Commission in time to enable the Commission to take a decision before its summer break. Consequently, I now expect the Commission to take a decision in the autumn 2004.

British Energy continues to make progress on its restructuring, which remains subject to a number of significant uncertainties and important conditions. As I have said previously, the Government's contingency plans to fund the administration of the company should any of the restructuring conditions not be met or the restructuring fail for any other reason will, therefore, remain in place.