Problems Of British Aviation Taking Shape

Wanganui Chronicle, 24 January 1948, Page 5

Problems Of British Aviation Taking Shape

FUTURE OF NATIONAL CORPORATIONS

(Special N.Z.P.A. Correspondent) Reed. 8.20 p.m. London, Jan. 23 Now that the House of Lords has debated British Civil Aviation and the Courtney report has been published, several points have been cleared up regarding the future of this much criticised nationalised industry. The first is that there is to be no alteration in the structure of the three corporations—British Overseas Airways Corporation, British Empire Airways, and British South African Airways. There are to be no fundamental reorganisations and Lord Nathan has given an assurance that no legislation to implement any change in administration is being put, and the Government is determined that though it will cost the country a further loss over the next few years, the corporations are to “fly British.” This, in Lord Nathan’s words, is part of the price which has to be paid if the British aircraft industry is to have a chance of producing new types of aircraft which the Government is confident would lead the world. BUILDING CIVIL PLANES. British aviation is still in an interim period when the manufacturers are building civil aircraft which they were unable to do during the war

years, when they concentrated on producing military aircraft. The Government’s decision to fly British and not buy further foreign aircraft means, in effect, that it is subsidising the country’s aircraft industry. A third point which has emerged i» that criticisms of the system whereby corporations have to order their aircraft through the Ministry of Supply have drawn an admission from the Government that it "is not entirely satisfied” with the existing machinery. This criticism was made strongly by 8.5.A.A., and the Government has decided to call into consultation “a few men of wide business and administrative experience.” A further point is that the Government, despite the Courtney report, will not order 8.0.A.C. to operate Tudors on the North Atlantic route. They will be brought into service “as may best fit in with the development of the corporations' service.” With these points cleared up, it i* anticipated that British civil aviation may make a better showing in the future. Lord Nathan has promised "powerful management and ruthless economy." It is obvious, however, that civil flying has much bumpy air ahead of it, and that both losses and criticisms will continue. One criticism is that private enterprise could manage civil flying more efficiently. 8.0.A.C.’S reply is that it is doing what no private companies would undertake—subsiding the manufacturing industry by deliberately operating uneconomical aircraft and operating routes for Imperial and strategic, as well as business considerations.