§ 22. Sir MURDOCH McKENZIE WOODasked the Secretary to the Overseas Trade Department the amount of premium charged by His Majesty's Government for guaranteeing British manufacturers against risks involved in Russian trade; what losses, if any, have been incurred; and what are the rates charged for the same purpose by the German and the Italian Governments?
§ Lieut.-Colonel J. COLVILLE (Secretary, Overseas Trade Department)The premiums charged for export credit guarantees, given in connection with sales to Russia, are fixed by the Department's Advisory Committee, with due regard to the circumstances of each case, and are confidential. No losses have been incurred on these guarantees up to the present. So far as my information goes, the premiums charged for similar guarantees by the German Government amount to about 2 per cent. per annum of the value of the goods, and by the Italian Government from 1 to 1.4 per cent., according to the length of credit.
§ Sir M. WOODCan the hon. and gallant Gentleman say how those rates compare with those of Italy and Germany?
§ Lieut.-Colonel COLVILLEThey are higher?
§ Sir HERBERT SAMUELAre they many times higher?
§ Lieut.-Colonel COLVILLEThey vary, but they are considerably higher than the rates that I have mentioned.
§ Sir M. WOODWhy?