asked the Secretary of State for the Colonies if the Aids to Industry Board on Malta has arrived at a decision regarding the application by two shipping companies for permission to operate a car ferry service between Malta and the African, French and Italian ports; and if he will make a statement.

No, Sir. The applications, which involve substantial financial aid and tax concessions by the Malta Government raise issues of policy which are now being studied jointly by the Aids to Industries Board in Malta and the Malta Industrial Development Board in London.

Is it not a fact that last January two reputable firms made an application for the running of these ferries and that they were prepared to invest large amounts of money? If the ferries are put into operation it is bound to encourage the tourist trade of Malta, on which the people will depend. Will he hurry on the negotiations which have been pending since January?

It is right for the Government of Malta and the Development Board to look into the matter on questions of principle. What was requested was a loan of £125,000 and a grant of £250,000 for one of these companies. Matters of principle are involved. These will be studied, and we shall then look at the matter again.