BRITISH ARMAMENTS.

Ashburton Guardian, Volume 57, Issue 172, 4 May 1937, Page 5

BRITISH ARMAMENTS.

MAKE SHELLS AT COST.

FIRM’S OFFER' REJECTED’.

LONDON, March 21

The “News-Chronicle” demands an explanation of why the War Office rejected the offer of Ransomes and Rapier, engineers, of Ipswich, to make tanks and shells without profit. The directors, when approached in 1935, deplored the necessity for • rearming and agreed to manufacture shells on a no-profit, no loss basis and suggested that all munition-makers do likewise.

The Minister of War, Mr. Duff Cooper, replied that he appreciated' the offer but lie would not press Ransomes to accept the contracts. Mr R. R. Stokes, managing director, then asked whether it was the War . Office’s policy not to give contracts to firms which did not desire a profit. The War Office replied, welcoming such patriotism. Ransomes tendered for 150,000 shells and were given to understand that the price was ■favourable.

Mr Stokes asked that an announcement should he made on the subject in the newspapers, and the War Office said it did not desire to proceed further.

Ransomes’ offer to make shells at 17s lid each was 3s 7d cheaper than the next lowest tender and 9s Id cheaper than Woolwich Arsenal’s price, Mr Stokes added. It would have saved the Government £30,000. The War Office later informed Ransomes that it had rejected the offer because Ipswich was vulnerable to air attack; also because it could obtain shells at 13s each.

Mr Stokes maintains that the shells,, can only be made at that price with a German shell-lathe, producing shells at five times the rate of the normal British methods. The Director of Munitions vetoed the German lathe as so complicated for semi-slcilled labour.