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Airlines (Finance)

Volume 19: debated on Monday 1 March 1982

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34.

asked the Secretary of State for Trade when last he met the chairman of the Civil Aviation Authority to discuss the financial viability of British airlines.

35.

asked the Secretary of State for Trade on how many occasions since 1972 the Civil Aviation Authority has examined the finances of an airline operating a licence granted by that body, with a view to considering whether or not such airline was adequately or soundly financed.

The monitoring of the finances of air transport licence holders by the Civil Aviation Authority is a continuous process and is part of its statutory duties.

37.

asked the Secretary of State for Trade whether he will introduce legislation to require carriers by air to have a minimum ratio of paid up capital to loan capital.

In carrying out its duties under the Civil Aviation Act 1971, the Civil Aviation Authority closely monitors the financial position and performance of British airlines. I do not consider that detailed legislation on financial gearing is necessary.