Rolls-Royce

Lord Fox Excerpts

Wednesday 14th October 2020 Lords Chamber

[Lord Callanan (Con)]

The noble Viscount makes a very good point. We are working closely with the company to ensure that the UK remains at the heart of its operations, and we are currently supporting the development of the next generation of engine through the ATI programme, as well as discussing longer-term possibilities around new, clean aviation technologies.

[Lord Fox (LD)]

My Lords, in moving this vital skill to Singapore, Rolls-Royce was obviously responding to financial inducements. In his Answer to my noble friend, the Minister threw up his arms metaphorically and said “There’s nothing we can do. It’s the global market”. The Government had leverage and are giving support to the company. Why did the Government not tie that support to the retention of these jobs and skills in this country?

[Lord Callanan (Con)]

The noble Lord needs to understand the difficult environment in which Rolls-Royce is operating. Its revenues have fallen off a cliff, and we all know what has happened to the passenger jet market. It has to consolidate its operations across two sites, and that was the commercial decision it took. As I said, we are offering it extensive support and we are in regular and ongoing dialogue.