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it should be kept secret until he made his statement, so as to give it maximum impact.
The
In discussion, it was noted that it was of great importance to ring fence the decision to pay compensation in this case. The costs could be high if it came to be seen as a precedent. text of the Government response would need to be carefully considered in the light of this. It could not be denied that there had been some errors of administration.
PRIME MINISTER, summing up a brief discussion, said that Cabinet agreed the proposals by the Secretary of State for rade and Industry. They agreed in particular that the Vernment should pay compensation and that it would be right in the vernment's response to be critical of some aspects of the Parliamentary Commissioner's report. They "agreed that the Secretary of State should make an oral statement, which should be as short as possible, and publish the full response in the following week. The timing of this would be determined by the timing of the publication of the Commissioner's report.
It was essential that the Government's response should confidential until the statement was made.
The Cabinet
remain
Took note, wiroval, of the Prime Minister's summing up of their discussie and invited the Secretary of State for Trade and Induste guided accordingly.
Cabinet Office
15 December 1989
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