To ask the Secretary of State for Defence whether in the last 10 years he or his predecessors, either by direction or informally, secured changes in the accounting conventions followed by Royal Ordnance or Royal Naval dockyards, respectively; and if he will make a statement.

After 13 years of operation as a trading fund the Royal Ordnance was privatised from 1 April 1987. The Royal Naval dockyards were vote funded until April 1987 when they were transferred to commercial management. During these periods the broad accounting conventions followed were those required by legislation and consequential regulations appropriate to their status.