Trafalgar House Bid For Northern Electric

EDM number 340 in 1994-95, proposed by Neville Trotter on 10/01/1995.

That this House recognises that electricity consumers in the north of England have benefited from falling prices and increased levels of customer service since the privatisation of Northern Electric plc in 1990; views with great concern the bid by Trafalgar House for Northern Electric; is concerned to ensure that any future takeovers are by fit and proper organisations and can be justified in the wider public interest as well as that of local customers and are not merely to be used to offset tax liabilities; believes that Trafalgar House's core business is not related to electricity supply and that the company has had over the last few years a weak financial and business track record; is concerned that Trafalgar House has failed to demonstrate satisfactorily that its interest in Northern Electric is motivated by reasons other than to improve its balance sheet and offset tax losses; further believes that, as a result, Northern Electric has justifiable concern that the bid, if successful, would not be in the interests of its customers and shareholders; and therefore calls upon the Government to refer this bid to the Monopolies and Mergers Commission pursuant to Part V of the Fair Trading Act 1973 to ensure that the interests of Northern Electric's customers are protected.

This motion has been signed by a total of 3 MPs, 1 of these signatures have been withdrawn.