Aviation

Part of the debate – in the House of Commons at 12:00 am on 21 November 1966.

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Photo of Mr Arthur Woodburn Mr Arthur Woodburn , Clackmannan and East Stirlingshire 12:00, 21 November 1966

It does not exist. If we did not have B.E.A. and other companies doing this, there would be a monopoly in no time. The companies concerned would converge and join up because it is a natural thing to achieve efficiency and cut out waste from overlapping and double services. But the problem has to be solved by the Government and all of us. I hope that, in the future, right hon. and hon. Members opposite will take a leaf from the hon. Member for Hendon, North and deal with this matter objectively, not using it as a sort of battleground for the scoring of party political points because, in doing so, they hamper the Government and make it difficult for them to take risks in the future developments of the aircraft industry—and if the Government are to put capital into these companies we must face the fact that many of the eggs laid will never hatch, for we have world competition from America to face and the fact that, during the development of an aircraft, so many people invent improvements that it is obsolete before it gets into the air. An aircraft may also be made obsolete by the fact that America has anticipated what is happening, with the result that one loses one's money and can do nothing about it.

The aircraft industry has always depended on the Government for purchases and for money to do its development. The only reason it has not been nationalised long ago is that the Government wanted to leave the industry of its own free will to get some profit by selling aircraft abroad—not for philanthropic reasons but because the Government wanted some return on development costs by a share of what the industry got from sales abroad. If the industry did not have sales abroad and simply sat back, saying, "You pay us for what we do", it would mean a considerable loss to the Government in foreign exchange and in the return on development costs.

I hope that this matter will be treated objectively and scientifically because, if the House does so, the industry can be developed to the best possible extent. But it means that we must take the risk of failures because, if we do not risk failures, we will never have successes. I am disturbed and sorry that Short Bros. & Harland is not to be made full use of. It was developed as the finest modern aircraft factory in the country. It took many years to build up the research and development team and although the firm belonged to the Government it did not get any failures. I regret that it has not been possible to develop it for aircraft alone. I hope that the Government's idea of giving it alternative outlets will be a success and that, sooner or later, the firm will come into its own.