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THIS
DOCUMENT
IS
THE
PROPERTY
Printed
OP
HIS
for the Cabinet.
BRITANNIC
December
MAJESTY*S
GOVERNMENT
1947
Copy N o . 4 6
SECRET
C M . (17)
95th Conclusions
C A B I N E T . 95 (47)
CONCLUSIONS
of a Meeting of the Cabinet
on Monday, 15th December,
held at 10 Downing
1947. at 11 a.m.
Street,
S.W. 1,
Present:
T h e R i g h t H o n . C . R. A T T L E E , M . P . , P r i m e M i n i s t e r (in the
The Right Hon. HERBERT MORRISON,
M.P., L o r d P r e s i d e n t of t h e Council.
Chair).
The Right Hon. ERNEST BEVIN, M.P., S e c r e t a r y of S t a t e for F o r e i g n Affairs. The R i g h t Hon. A . V . ALEXANDER, M . P . , M i n i s t e r of Defence. The R i g h t H o n . S i r STAFFORD C R I P P S ,
K.C., M . P . , Chancellor
of t h e
Exchequer. The Right Hon. VISCOUNT ADDISON, The R i g h t Hon. VISCOUNT JOWITT,
L o r d Chancellor.
Lord P r i v y Seal.
The R i g h t H o n . J . C H U T E R E D E , M . P . , T h e R i g h t H o n . A . C R E E C H J O N E S ,
M . P . , S e c r e t a r y of S t a t e for t h e
Secretary of S t a t e for the H o m e
Colonies.
Department,
The R i g h t H o n . P . J . N O E L - B A K E R ,
The
Right
Hon.
T H E EARL
OF
M.P.,
Secretary
of
State
for
LISTOWEL, S e c r e t a r y of S t a t e for
Commonwealth R e l a t i o n s . Burma.
The R i g h t H o n . A . W O O D B U R N , M . P . , T h e R i g h t H o n . G. A . I S A A C S , M . P . ,
M i n i s t e r of L a b o u r a n d N a t i o n a l
Secretary of S t a t e for Scotland.
Service. The R i g h t H o n . A N E U R I N B E V A N , M . P . , T h e R i g h t H o n . T . W I L L I A M S , M . P . ,
Minister
of
Agriculture
and
Minister of H e a l t h .
Fisheries. The R i g h t H o n . G E O R G E T O M L I N S O N , T h e R i g h t H o n . J . H . W I L S O N , M . P . ,
M.P., M i n i s t e r of E d u c a t i o n .
P r e s i d e n t of t h e B o a r d of T r a d e . T h e following w e r e also p r e s e n t :
The R i g h t H o n .
J O H N STRACHEY,
M.P.,
T h e R i g h t H o n . G. R. S T R A U S S , M . P . , Minister of Food (Item 6).
M i n i s t e r of S u p p l y (Item 5). The R i g h t H o n . L O R D NATHAN, M i n i s t e r T h e R i g h t H o n . C . W . K E Y , M . P . , of Civil A v i a t i o n (Item 5).
M i n i s t e r of W o r k s (Item 4). The R i g h t H o n . W . W H I T E L E Y , M . P . ,
P a r l i a m e n t a r y Secretary, T r e a s u r y
(Items 1-2).
Secretariat:
S i r N O R M A N BROOK.
34725-2
Mr.
W . S. M U R R I E .
Mr.
S. E . V . L U K E .
CABINET
95
(47)
CONTENTS
Minute
No.
1
2
Subject
D e a t h of E a r l B a l d w i n
M a r r i a g e of H . R . H . T h e P r i n c e s s E l i z a b e t h
Civil List
3
Provision.
E c o n o m i c Affairs
Man-Power.
Production.
Stocks.
Overseas Economic
D r a i n on Reserves.
Publicity.
4
....
....
....
....
....
....
146
....
....
....
....
....
147
Position.
Investment Programme
P r i o r i t y for B u i l d i n g
5
Page
145
145
Labour.
Civil A v i a t i o n
Enquiry into Tudor
147
Aircraft.
6
White Fish Industry
7
C o u n c i l of F o r e i g n M i n i s t e r s . . . .
149
....
....
150
Death of Earl
1. The Prime Minister said t h a t the Cabinet would have h e a r d
Baldwin.
w i t h r e g r e t of t h e d e a t h of E a r l B a l d w i n .
I n accordance w i t h
p r e c e d e n t the leaders of the political P a r t i e s w o u l d p a y t r i b u t e to
fiis memory w h e n P a r l i a m e n t met t h a t a f t e r n o o n ; a n d he h a d been
c o n s i d e r i n g w h e t h e r P a r l i a m e n t should t h e r e a f t e r be a d j o u r n e d
u n t i l the following day. T h e w e i g h t of the p r e c e d e n t s w a s i n favour
of a d j o u r n i n g ; but, as the C h r i s t m a s Recess w a s so near, i t m i g h t
be t h o u g h t inconvenient to lose a whole day of P a r l i a m e n t a r y time.
I n discussion there w a s general s u p p o r t for the view that, as
the p r e s s u r e on P a r l i a m e n t a r y time w a s now so great, t h e r e w a s
m u c h to be said a g a i n s t a n y a u t o m a t i c p r a c t i c e of a d j o u r n i n g both
H o u s e s of P a r l i a m e n t for a whole day on the d e a t h of a former
P r i m e M i n i s t e r . T h i s w a s not, however, a m a t t e r on w h i c h any
controversy should be allowed to develop between the P a r t i e s ; and,
if t h e r e w a s a n y s u b s t a n t i a l body of opinion a m o n g Conservative
Members in favour of a d j o u r n i n g t h e H o u s e oh this occasion, the
G o v e r n m e n t should meet t h e i r wishes.
The C a b i n e t —
I n v i t e d the Chief W h i p to take soundings about the
probable views of Conservative M e m b e r s ; and. a g r e e d t h a t
P a r l i a m e n t should not be a d j o u r n e d for t h e d a y as a m a r k
of respect for the memory of the late E a r l B a l d w i n unless
there w a s reason to believe t h a t a s u b s t a n t i a l body of
opinion a m o n g Conservative Members would p r e f e r "that
course. *
* N O T E . — I n the event both Houses of Parliament were adjourned for one day
as a mark of respect for the memory of t h e late Earl Baldwin—the House of
Commons on 15th December, and the House of Lords on 17th December.
M a r r i a g e of
H.R.H.
The
Princess
Elizabeth.
Civil List
Provision.
(Previous
Preference:
CM. (47) 93rd
Conclusions,
Minute 5.)
2. T h e C a b i n e t discussed t h e line to be t a k e n on behalf of the
G o v e r n m e n t i n t h e f o r t h c o m i n g debates on the R e p o r t of the Select
C o m m i t t e e on the Civil List.
T h e Cabinet h a d agreed t h a t t h e Chancellor of t h e Exchequer
should suggest to the Select Committee t h a t the t o t a l provision to be
m a d e to H e r R o y a l H i g h n e s s T h e P r i n c e s s E l i z a b e t h and. H i s Royal
H i g h n e s s The D u k e of E d i n b u r g h should be £45,000 a year. The
Select Committee h a d i n the event recommended, by a majority, a
t o t a l provision of £50,000 a year. Of the n i n e L a b o u r members of
the Committee five h a d voted in favour of the suggestion originally
m a d e to the Committee by the Chancellor of the E x c h e q u e r w i t h the
C a b i n e f s a p p r o v a l : three, i n c l u d i n g the P r i m e M i n i s t e r , h a d voted
for the l a r g e r figure : t h e Chancellor of the Exchequer, a s C h a i r ­
m a n , h a d not voted.
T h e Cabinet were informed- of the proceedings i n the Select
Committee a n d t h e circumstances a t t e n d i n g the t a k i n g of t h i s vote.
T h e P r i m e M i n i s t e r h a d desired to' avoid d i v i d i n g the Committee
on P a r t y lines, a n d h a d t h o u g h t t h a t a u n a n i m o u s recommendation
could be obtained on the basis of the h i g h e r figure.
The C a b i n e t A g r e e d t h a t the Government should, commend to P a r l i a ­
ment ( w i t h the s u p p o r t of the G o v e r n m e n t W h i p * ) the
recommendation m a d e by t h e m a j o r i t y of the Select Com­
mittee on the Civil L i s t r e g a r d i n g the financial provision
to be m a d e for H e r R o y a l H i g h n e s s The P r i n c e s s Elizabeth
a n d H i s Royal H i g h n e s s T h e D u k e of E d i n b u r g h .
* N O T E . — I n the light of views expressed by the Parliamentary Labour Party
on 17th December, the decision was in the event left to a free vote.
34725-2 Economic
3. T h e C a b i n e t h a d before t h e m a note by the Chancellor of the
E x c h e q u e r ( C P . (47) 332) covering the second of his periodical
r e p o r t s on the economic s i t u a t i o n .
Affairs.
(Previous
Reference:
T h e following p o i n t s w e r e r a i s e d in discussion :—
C M . (47) 92nd Conclusions, Minute
2.)
Man-Power.
Production.
Stocks. Overseas
Economic
Position.
Drain
on
Reserves.
Publicity.
W a s there not scope for a more s u s t a i n e d a n d better co-ordinated
drive to r e c r u i t labour for t h e textile i n d u s t r i e s ? The Cabinet were
i n f o r m e d t h a t R e g i o n a l Officers of the D e p a r t m e n t s concerned were
now e x a m i n i n g the possibility of d i v e r t i n g female labour from other
i n d u s t r i e s i n the textile a r e a s .
The suggestion w a s made that
r e c r u i t m e n t m i g h t be assisted if a d d i t i o n a l day nurseries were pro­
vided i n these a r e a s e i t h e r by the local a u t h o r i t i e s w i t h increased
G o v e r n m e n t g r a n t s or by t h e factories. A g a i n s t this, it was argued
t h a t a n y s u b s t a n t i a l increase i n the r a t e of Government g r a n t would
seriously weaken the local a u t h o r i t i e s ' sense of financial respon­
sibility; a n d t h a t the provision of d a y n u r s e r i e s in factories might
be d a n g e r o u s from the p o i n t of view of the c h i l d r e n ' s health.
I t w a s suggested t h a t the p r o d u c t i o n t a r g e t s set for the textile
i n d u s t r i e s m i g h t be raised.
I t w a s suggested t h a t the p r o d u c t i o n of a n t h r a c i t e might be
s t i m u l a t e d by a suitable p u b l i c i t y c a m p a i g n in the anthracite
d i s t r i c t s i n S o u t h W a l e s designed to b r i n g home to the miners the
r e l a t i o n between the e x p o r t of a n t h r a c i t e a n d the i m p o r t of Canadian
w h e a t a n d o t h e r food-stuffs.
A n x i e t y w a s expressed, about the c o n t i n u e d decline in stocks
of p i g i r o n a n d scrap, and. t h e question w a s r a i s e d whether effective
measures h a d been t a k e n to e n s u r e the efficient collection of scrap.
H a d every effort been m a d e to release s u r p l u s s h i p p i n g for con­
version i n t o s c r a p ?
M i n i s t e r s recalled t h a t when the future of
Rosyth D o c k y a r d w a s discussed by the Defence Committee on
8 t h A u g u s t (D.O. (47) 19th M e e t i n g , M i n u t e 3), it h a d been sug­
gested t h a t H . M . D o c k y a r d s should be employed on the breaking up
of ships.
H a d a n y action been t a k e n on t h i s suggestion ?
The
C a b i n e t w e r e i n f o r m e d t h a t the Defence Committee were shortly
to consider w h e t h e r five c a p i t a l ships should now be scrapped.
Should special efforts be m a d e to e x p o r t a d d i t i o n a l tractors
immediately to E u r o p e a n countries in time for the s p r i n g ploughing?
I t w a s p o i n t e d out t h a t 25 p e r cent, of t h e total United. Kingdom
t r a c t o r o u t p u t w a s allocated for export, a n d t h a t this figure could
n o t be increased w i t h o u t p r e j u d i c e to home a g r i c u l t u r e .
I t was
agreed, however, t h a t the B o a r d of T r a d e should consider whether
the e x p o r t of t r a c t o r s d u r i n g the n e x t two m o n t h s might be adjusted
to the i m m e d i a t e needs of the E u r o p e a n countries in time for the
spring ploughing.
T h e r e h a d been no i m p r o v e m e n t in the r a t e of d r a i n on the
G o v e r n m e n t s gold a n d dollar reserves. I m p o r t prices h a d con­
t i n u e d to rise, a n d the d i s p a r i t y between i m p o r t a n d export prices
h a d f u r t h e r increased. Discussions w i t h the I n d i a n a n d Pakistan
G o v e r n m e n t s w o u l d s t a r t early i n J a n u a r y . A satisfactory agree­
m e n t m i g h t still be reached w i t h the C a n a d i a n Government, who
were, however, anxious to ease t h e i r own dollar position by selling
to the U n i t e d S t a t e s food-stuffs a n d r a w m a t e r i a l s which we wished
to obtain.
A t a recent meeting of the P a r l i a m e n t a r y L a b o u r P a r t y it had
been suggested t h a t the G o v e r n m e n t should provide Members of
P a r l i a m e n t w i t h p e r i o d i c a l r e p o r t s on the economic situation. Would
there be a n y objection to t h e circulation to Members of a document
on the lines of the Economic Bulletins p r e p a r e d by the Economic
Information Unit?
I t w a s agreed t h a t t h i s proposal should be
further examined.
The Cabinet—
(1) I n v i t e d the M i n i s t e r of H e a l t h , i n consultation w i t h the
M i n i s t e r of L a b o u r a n d the P r e s i d e n t of the Board of
T r a d e , to consider w h e t h e r a d d i t i o n a l day nurseries
m i g h t be p r o v i d e d as a means of encouraging recruit­
m e n t to the textile i n d u s t r i e s ;
ft
147 C M . 95 (57)
(2) I n v i t e d the P r e s i d e n t of the B o a r d of T r a d e to consider
w h e t h e r the p r o d u c t i o n t a r g e t s for t h e textile i n d u s t r i e s
m i g h t be r a i s e d ;
(3) I n v i t e d t h e M i n i s t e r of Fuel a n d P o w e r to consider w h e t h e r
the o u t p u t of a n t h r a c i t e m i g h t be increased by a suitable
p r o p a g a n d a c a m p a i g n among the m i n e r s concerned;
(4) Invited, t h e Chancellor of the Exchequer, a f t e r consultation
w i t h the M i n i s t e r of S u p p l y a n d the F i r s t L o r d of the
A d m i r a l t y , to submit a r e p o r t on the a r r a n g e m e n t s for
collecting steel s c r a p , i n c l u d i n g the b r e a k i n g u p of ships
i n ELM. D o c k y a r d s ;
(5) I n v i t e d t h e P r e s i d e n t of the B o a r d of T r a d e to consider
w h e t h e r the e x p o r t p r o g r a m m e for t r a c t o r s could be
a d j u s t e d so as to d i v e r t e x p o r t s d u r i n g the coming
m o n t h s to those countries where they could be p u t to
most profitable use in the s p r i n g p l o u g h i n g ;
(6) I n v i t e d t h e L o r d P r e s i d e n t a n d the Chancellor of t h e
E x c h e q u e r to consider a n d . r e p o r t on the proposal t h a t
the Government should m a k e available to Members of
P a r l i a m e n t periodical r e p o r t s on the economic s i t u a t i o n .
Investment
Programme.
(Previous
Reference:
C M . (47) 8 1 s t
Conclusions,
Minute
4.)
Priority
for
Building
Labour.
4. T h e C a b i n e t h a d before t h e m m e m o r a n d a by the Chancellor
of the E x c h e q u e r ( C P . (47) 334) a n d the M i n i s t e r of H e a l t h ( C P .
(47) 329) r e g a r d i n g a decision of the P r o d u c t i o n Committee t h a t
W . B . A . p r i o r i t y for b u i l d i n g labour should i n f u t u r e be l i m i t e d
to a very small n u m b e r of b u i l d i n g projects of n a t i o n a l urgency.
The Minister
of Health said t h a t the proposal p u t f o r w a r d i n
his p a p e r was t h a t local a u t h o r i t y h o u s i n g schemes should continue
to enjoy W . B . A . p r i o r i t y for a f u r t h e r period of a t least six m o n t h s .
H e now believed, however, t h a t the essential needs of the local
a u t h o r i t y h o u s i n g p r o g r a m m e m i g h t be met by other m e a n s ; a n d
he would p r e f e r to discuss his revised proposals in the first i n s t a n c e
w i t h the Chancellor of the E x c h e q u e r , the M i n i s t e r of L a b o u r a n d
the M i n i s t e r of W o r k s .
The C a b i n e t Took note t h a t the M i n i s t e r of H e a l t h would discuss w i t h
the Chancellor of the E x c h e q u e r , the M i n i s t e r of L a b o u r
a n d the M i n i s t e r of W o r k s proposals for s a f e g u a r d i n g the
supply of labour for the local a u t h o r i t y h o u s i n g p r o g r a m m e .
C i 5 i l
Aviation.
(Previous
Reference:
C.M.(47)38th
Conclusions,
Minute
7.)
Enquiry
into Tudor
Aircraft.
5. The C a b i n e t h a d before t h e m a m e m o r a n d u m by the
M i n i s t e r of S u p p l y a n d the M i n i s t e r of Civil A v i a t i o n ( C P . (47)
331) covering a proof of a n i n t e r i m R e p o r t on the T u d o r I a i r c r a f t
by a Committee a p p o i n t e d to e n q u i r e into t h e development a n d
p r o d u c t i o n of T u d o r a i r c r a f t for the B r i t i s h A i r w a y s C o r p o r a t i o n s .
T h e m e m o r a n d u m s t a t e d t h a t i n P a r l i a m e n t a n d the press keen
i n t e r e s t w a s t a k e n in the outcome of t h i s Committee's enquiry, a n d
recommended t h a t the R e p o r t should be presented to P a r l i a m e n t a t
once w i t h o u t a n y s t a t e m e n t of t h e G o v e r n m e n t s a t t i t u d e t o w a r d s
findings.
I n discussion there w a s general s u p p o r t for the view t h a t t h i s
R e p o r t should n o t be published u n t i l t h e Government h a d h a d t i m e
to define their a t t i t u d e t o w a r d s i t s findings a n d to consider w h e t h e r
the s i t u a t i o n w h i c h it disclosed called for any modifications of
Government policy. T h e R e p o r t provided m a t e r i a l for c r i t i c i s m
which would be directed, n o t merely a g a i n s t the B r i t i s h Overseas
A i r w a y s C o r p o r a t i o n , b u t a g a i n s t the M i n i s t r i e s of Civil A v i a t i o n
a n d S u p p l y a n d a g a i n s t the G o v e r n m e n t ; a n d i t w a s expedient t h a t
the G o v e r n m e n t should have t i m e to consider, before the R e p o r t w a s
published, w h a t could be said to forestall or m i t i g a t e such criticism.
O p p o r t u n i t y should also be t a k e n to consider w h a t could be s a i d
to offset the p r e j u d i c i a l effects w h i c h the publication of the R e p o r t
i t s
aj
m i g h t h a v e i n foreign countries. T h e r e w a s the f u r t h e r point t h a t
some of the specific recommendations (e.g., t h a t the Government
should h i r e T u d o r I a i r c r a f t to the C o r p o r a t i o n s ) should not be
t h r o w n open for public discussion long in advance of the expression
of the G o v e r n m e n t s views u p o n them.
T h e C a b i n e t s conclusion was t h a t the publication of the Report
should be delayed so t h a t they m i g h t have a n o p p o r t u n i t y to formu­
l a t e t h e i r views on i t a n d to decide Avhat s t a t e m e n t should be made
on their behalf simultaneously w i t h its publication.
Meanwhile,
t h e M i n i s t e r of S u p p l y should say, in reply to enquiries, t h a t the
R e p o r t h a d been received a n d w a s being considered.
Discussion then t u r n e d on the r e l a t i o n s between the Airways
C o r p o r a t i o n s a n d the M i n i s t r i e s of Civii A v i a t i o n a n d Supply, as
reflected i n t h i s R e p o r t ,
T h e C a b i n e t were informed t h a t the
responsible M i n i s t e r s w e r e n o t satisfied w i t h the e x i s t i n g procedure
by which t h e M i n i s t r y of S u p p l y o r d e r e d civil a i r c r a f t from manu­
f a c t u r e r s as a g e n t s of the Corporations, a n d t h a t they were already
c o n s i d e r i n g how this p r o c e d u r e should be modified. T h e suggestion
w a s m a d e in discussion t h a t much of t h e e x i s t i n g difficulty might
be obviated if civil a i r c r a f t were ordered by the Government or by
a G o v e r n m e n t C o r p o r a t i o n a n d leased to the operators. U n d e r the
e x i s t i n g d i s t r i b u t i o n of responsibilities one of the inherent difficul­
ties w a s t h a t t h e first concern of the C o r p o r a t i o n s w a s the most
efficient o p e r a t i o n of t h e i r services, while the Government h a d also
to have r e g a r d to the f u t u r e of t h e B r i t i s h a i r c r a f t i n d u s t r y .
T h e C a b i n e t were also informed t h a t the M i n i s t e r of Civil
A v i a t i o n w a s concerned a t the r e l a t i o n s between the A i r w a y s
C o r p o r a t i o n s a n d the M i n i s t r y , as established by the Civil Aviation
Act, 1946, a n d w a s a l r e a d y considering w h e t h e r there was a case
for a m e n d i n g legislation which would c r e a t e a Board corresponding
to the B o a r d s for socialised i n d u s t r i e s . I n this connection various
a r g u m e n t s w e r e used for b r i n g i n g the Corporations u n d e r closer
supervision a n d control by the responsible Minister. Thus, i t was
e m b a r r a s s i n g t h a t the C o r p o r a t i o n s should be free to issue, without
consultation w i t h the M i n i s t e r , s t a t e m e n t s b e a r i n g on Government
policy. I t w a s also suggested t h a t the B r i t i s h Overseas Airways
C o r p o r a t i o n h a d not always been the w i l l i n g agents of Government
policy a n d h a d on occasion sought to f r u s t r a t e the execution of
decisions t a k e n by the Government.
The C a b i n e t ­
(1) A g r e e d t h a t p u b l i c a t i o n of the I n t e r i m R e p o r t of the
Committee of E n q u i r y i n t o t h e T u d o r A i r c r a f t should
be delayed u n t i l they h a d had a n o p p o r t u n i t y of defining
t h e i r a t t i t u d e t o w a r d s i t s specific recommendations and
t h e i r views on t h e relations, as reflected in the Report,
between the M i n i s t r i e s of Civil A v i a t i o n a n d Supply, the
A i r w a y s C o r p o r a t i o n s a n d the a i r c r a f t manufacturers
i n respect of the o r d e r i n g of a i r c r a f t for operation by
the Corporations.
(2) I n v i t e d the L o r d P r e s i d e n t , the Chancellor of the
E x c h e q u e r , the L o r d P r i v y Seal a n d the Ministers of
Civil A v i a t i o n a n d S u p p l y to consider the immediate
issues r a i s e d by the R e p o r t , a n d to submit to the Cabinet
a d r a f t s t a t e m e n t of the G o v e r n m e n t s views on these
issues for p u b l i c a t i o n simultaneously w i t h the Report.
(3) Took note t h a t the L o r d P r e s i d e n t would a r r a n g e for the
Committee on the Socialisation of I n d u s t r i e s to consider
t h e s t a t u t o r y relations of the M i n i s t e r of Civil Aviation
w i t h the A i r w a y s C o r p o r a t i o n s a n d such other questions
of long-term policy i n respect of civil aviation as might
a r i s e from the e x a m i n a t i o n of the R e p o r t by the
M i n i s t e r s n a m e d in Conclusion (2) above.
149
White Fish
Industry.
23
C M . 95 (17)
6. T h e Cabinet h a d before t h e m —
...
i
by the M i n i s t e r of A g r i c u l t u r e a n d t h e
Secretary of S t a t e for Scotland ( C P . (47) 328) o u t l i n i n g
proposals for the establishment of a W h i t e F i s h P r o d u c ­
tion B o a r d to r e o r g a n i s e , r e g u l a t e a n d develop the w h i t e
fish i n d u s t r y ; a n d
(ii) A m e m o r a n d u m by the M i n i s t e r of Food ( C P . (47) 325)
s e t t i n g out his objections to these proposals a n d sugges­
t i n g t h a t a F i s h E x e c u t i v e should be established to
secure improvements in the t r a w l i n g fleet for n e a r a n d
middle w a t e r s a n d i n the facilities for h a n d l i n g a n d
m a r k e t i n g fish, a n d t h a t p l a n s should be p r e p a r e d for
n a t i o n a l i s i n g the wholesaling of fish i n the n e x t
Parliament.
A
m
e
m
o
r
a
n
c
u
m
The Cabinet were i n f o r m e d t h a t the conflicting views of the
F i s h e r i e s M i n i s t e r s a n d of the M i n i s t e r of Food h a d been considered
by the L o r d P r e s i d e n t s Committee, w h o h a d r e m i t t e d the m a t t e r
to a sub-committee u n d e r the c h a i r m a n s h i p of the M i n i s t e r of
T r a n s p o r t . The recommendations of t h i s sub-committee, which were
b r o a d l y i n line w i t h t h e proposals i n C P . (47) 328, h a d been
a p p r o v e d by the L o r d P r e s i d e n t s Committee on 12th A u g u s t , the
M i n i s t e r of Food alone dissenting.
I t w a s e x p l a i n e d t h a t the p r i m a r y object of the proposals of the
F i s h e r i e s M i n i s t e r s w a s to create conditions i n w h i c h t r a w l e r - o w n e r s
w h o fished in t h e n e a r a n d m i d d l e w a t e r s could make a living.
T h o u g h t h e i r e a r n i n g s h a d been h i g h since the w a r , m a n y of them
needed n e w vessels w h i c h would p r o v i d e better methods of c a t c h i n g
a n d h a n d l i n g fish, a n d better accommodation for the crews. More­
over, w i t h o u t some measure of r e o r g a n i s a t i o n a n d r e g u l a t i o n of
l a n d i n g s , the m a r k e t would a g a i n be flooded w i t h inferior fish from
the more d i s t a n t w a t e r s a n d those fishermen who c a u g h t the better
qualities of fish would be driven out of business. T h e proposed
P r o d u c t i o n B o a r d would consist of i n d e p e n d e n t members a n d would
be subject to the directions of the F i s h e r i e s M i n i s t e r s , who could
see t h a t it did n o t p u r s u e a restriccionist policy.
I n discussion the following p o i n t s were r a i s e d :—
(a) A W h i t e F i s h P r o d u c t i o n B o a r d , even t h o u g h i t consisted
of i n d e p e n d e n t members a n d o p e r a t e d subject to the direction of
the Fisheries M i n i s t e r s , would t e n d to look at t h e problems of the
i n d u s t r y too much from the p o i n t of view of the producer.
For
t h i s reason some M i n i s t e r s were inclined to favour a scheme u n d e r
w h i c h a n y necessary powers for r e o r g a n i s a t i o n , r e g u l a t i o n and
development of the i n d u s t r y would be exercised by the Fisheries
D e p a r t m e n t s themselves or by a body similar to the development
councils u n d e r the I n d u s t r i a l O r g a n i s a t i o n a n d Development
Act, 1947.
(b) I n s t e a d of a t t e m p t i n g to improve the fishing fleet by the
m e r g e r of t r a w l e r - o w n e r s a n d by g r a n t i n g loans for the b u i l d i n g
of new fishing vessels, would i t n o t be better to set u p a Government
o r g a n i s a t i o n w h i c h would build t r a w l e r s a n d h i r e them to
fishermen
(c) T h o u g h some of the vessels fishing in the m i d d l e a n d n e a r
w a t e r s were obsolete, t h e A d m i r a l t y h a d t r a n s f e r r e d to fishermen
since the w a r a l a r g e n u m b e r of newly-built motor vessels a n d h a d
g i v e n s u b s t a n t i a l financial assistance for the r e c o n d i t i o n i n g of
t r a w l e r s which h a d been taken for w a r service.
(d) The Fisheries M i n i s t e r s h a d suggested t h a t , as the M i n i s t e r
of Food would r e t a i n complete control of t h e q u a n t i t i e s of foreign­
c a u g h t fish landed i n t h e U n i t e d K i n g d o m , he could by a d j u s t i n g
i m p o r t s prevent a n y e x p l o i t a t i o n by U n i t e d K i n g d o m producers. I t
should, however, be noted t h a t once we h a d overcome our p r e s e n t
balance of p a y m e n t s difficulties w e should probably have inter­
n a t i o n a l obligations which would m a k e i t impossible to make sudden
changes i n the q u a n t i t i e s of f o r e i g n - c a u g h t fish a d m i t t e d to the
United Kingdom.
?
(e) T h e U n i t e d K i n g d o m fishing i n d u s t r y would have to face
i n c r e a s i n g competition from t h e fleets of other E u r o p e a n countries,
i n c l u d i n g Russia.
(/) T h e m a x i m u m fish prices o r i g i n a l l y fixed by the Ministry
of Food h a d p e r h a p s n o t allowed sufficiently for differences in
quality, b u t the price schedules h a d recently been adjusted to remedy
t h i s defect.
T h e general view of the C a b i n e t was t h a t , in the light of the
p o i n t s m a d e in discussion, a f u r t h e r a t t e m p t should be made to
evolve a scheme w h i c h would improve the efficiency of the fishing
i n d u s t r y a n d s a f e g u a r d the position of fishermen fishing the middle
a n d n e a r w a t e r s w i t h o u t i n c u r r i n g the r i s k s w h i c h M i n i s t e r s saw
i n the establishment of a P r o d u c t i o n B o a r d on the lines proposed
i n C P . (47) 328. T h e a i m should be to devise a system which would
ensure to the public ample supplies of fish of good quality a t reason­
able prices and the problem should be considered p r i m a r i l y from this
angle.
The C a b i n e t Took note t h a t the P r i m e M i n i s t e r would a r r a n g e for a
Committee of M i n i s t e r s to re-examine, in the light of the
discussion, the p r o p o s a l s m a d e i n C P . (47) 328 and
C P . (47) 325.
C o u n c i l of
Foreign
Ministers.
(Previous
Reference:
C M . (47)90th Conclusions, Minute
2.)
7. The Foreign Secretary said t h a t t h e present meeting of the
Council of F o r e i g n M i n i s t e r s w a s unlikely to lead to agreement
between the F o u r P o w e r s on the m a i n issues o u t s t a n d i n g in respect
of G e r m a n y . Unless t h e r e w a s a r a d i c a l change in the present
a t t i t u d e of the Soviet Government, h e saw n o purpose in continuing
t h e discussions t h r o u g h the m e d i u m of t h e Council of Jeoreign
Ministers.
The C a b i n e t took note of the F o r e i g n S e c r e t a r y ' s statement.
Cabinet Office, S.W. 1, 15th December, 1947.