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IRON AND STEEL INDUSTRY
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1. In the King's Speech at the opening of the present Parliament, it was announced that legislation would be introduced "to annul the Iron and Steel Act with a view to the re-organisation of the industry under free enter- prise, but with an adequate measure of public supervision". A Bill to give effect to this policy will be presented to the House of Commons as soon as the parliamentary timetable permits. However, since it appears unlikely that this legislation can be passed during the present session, the Govern- ment consider it desirable to make a statement of their proposals so as to remove uncertainty in this regard.
2. In framing their proposals the Government have had regard to earlier arrangements for the supervision of the industry, first by the Import Duties Advisory Committee from 1932 to 1939, then by the Iron and Steel Control during the war and later by the Iron and Steel Board set up in 1946.
3. The Government have discussed their proposals in outline with the Iron and Steel Corporation of Great Britain, the Iron and Steel Consumers' Coun- cil, the British Iron and Steel Federation, the Trades Union Congress, the Joint Iron Council and the National Council of Associated Iron Ore Produ- cers. These organizations were not asked to express final opinions and the Trades Union Congress, for their part, stated that they wished to reserve their position. The Government have also had discussions with a number of trade associations on matters affecting their particular sectors of the industry.
4. The Government's proposals, which are set out in the succeeding paragraphs, fall into two parts-relating respectively to the transfer of ownership and to public supervision. To deal with the first of these problems, it is proposed to create a Holding and Realisation Agency. The second will be the responsibility of a new Iron and Steel Board.
II. TRANSFER OF OWNERSHIP
Dissolution of Corporation
5. The Bill will provide for the repeal of the Iron and Steel Act, 1949, and for the dissolution of the Iron and Steel Corporation of Great Britain.
Holding and Realisation Agency
6. The securities of the nationalised companies now vested in the Cor- poration will be transferred to a Holding and Realisation Agency.
7. The Agency, which will be composed of a small number of persons possessing the necessary qualifications and experience, will be appointed by the Treasury.
8. The Agency will have the duty to secure the return of these companies to private ownership and meanwhile to ensure their efficient direction, as explained in the ensuing paragraphs.
Disposal of Companies
9. In disposing of the securities transferred to them from the Corporation, the Agency will be required to obtain the approval of the Treasury in regard to the terms of sales. Subject to similar approval, the Agency will have discretion as to the timing. Sales will start as soon as possible after the passing of the Bill. However in view of the magnitude of the financial operations involved, these may well take some years to complete.
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