HC Deb 29 November 1949 vol 470 cc945-8
47. Mr. Osborne

asked the Chancellor of the Exchequer if he will set out in tabular form the amount of gifts and loans received by this country since the end of the war, showing the countries from which they have come; the total sales of overseas investments in dollars and in gold; and also the amounts of loans or gifts made by this country so as to show the net gain or loss on these transactions.

Sir S. Cripps

I will, with permission, circulate in the OFFICIAL REPORT a table showing the gifts and loans to His Majesty's Government, and also the postwar relief and similar assistance made available by the United Kingdom to other countries. There is no question of making a gain or loss on these transactions, and the lists are in no sense a balance of payments. Thus they exclude new capital investment overseas and the drawing down by other countries of their short-term sterling assets.

Mr. Osborne

Am I right in saying that we have received more in gifts and loans than we have given during the past four and a half years, and, if so, may I ask what is going to happen to our * standard of living when gifts and loans cease?

Sir S. Cripps

The answer to the first part of the question, if the omitted matters which I have mentioned were taken into account, would be "No."

Mr. J. Langford-Holt

Would the Chancellor of the Exchequer agree that it is slightly misleading to say that these gifts were made to His Majesty's Government when, in point of fact, they were made to the nation as a whole?

Sir S. Cripps

They were made to the nation as a whole. I was answering the question which was put to me.

Following is the table:

A. Post-war relief and similar aid by U.K. (up to end September, 1949)
(1) Gifts £ million
U.N.R.R.A. 155
I.R.O. 11.2
Civil Affairs (not recoverable) 49
Greece, Armed Forces initial equipment, maintenance, etc. 31
Greece, Surplus stores and relief supplies 2
Poland, Welfare and Social Services, June, 1946-March, 1947 5
Poland, Surplus stores 6
Austria:
Before 1st April, 1946 10
Post U.N.R.R.A. 7.5
Surplus machine tools 0.125
Hungary: Surplus machine tools 0.2
Italy: estimated value of surplus stores in excess of payments under financial agreement 55
Netherlands: Military equipment and surpluses, estimated portion in excess of payment under Debt settlement 16
Roumania: Medical supplies and surplus army foodstuffs 0.02
U.N. fund for Araby refugees in Palestine 1
Ex-Italian Colonies: Cost of administration 12
Burma:
 Cancellation of debt 15
 B.M.A. expenditure (cancelled claim) 23
  Total (say) 400
(ii) Loans and recoverable aid £ million
Civil Affairs (recoverable) 50
France:
Financial Agreement 100
Private credit 15
Denmark: Financial Agreement 35
Germany: Cost of supplying German civil economy 207
Netherlands: Military equipment and surpluses—estimated relative portion of total payment agreed under Debt Settlement 25
Greece: Stabilisation Loan 10
Burma:
Loan and credits since 1945 (less amounts forgiven) 27
Stores supplied against later repayment 9
Miscellaneous (say) 15
Total 493

(iii) Drawing rights exercised on U.K. during June, l948- Seplember, 1949

Drawn by: £ million
Austria 6.3
France 46.4
Greece 8.3
Bizone 0.9
Turkey 2.9
64.8

B. Aid to U.K. up to end September, 1949

(i) Monetary Gifts £ million
Australia 28
New Zealand 10
38

In addition, a further £8 million has been received from Australia this month.

(ii) Loans (excluding drawings on International Monetary Fund)

U.S.A. line of Credit under 1945
£ million
Financial agreement 931
Canada Credit under 1946 Financial Agreement (amount drawn) 268
1,199

NOTE.—This excludes the £154 million Loan under Lease-Lend terminal settement of 1945.

(iii) Assistance to the U.K. by the U.S.A. under the European Recovery Programme

£ million
Total receipts 393

(iv) Drawing rights exercised by U.K. during June, 1948-September, 1949

£ million
Drawn on: Belgium 16.5

C. Net sales and redemptions of U.S. and Canadian securities, £53 million