HC Deb 02 June 1954 vol 528 cc1251-2
1. Mr. George Craddock

asked the Secretary of State for Foreign Affairs what developments he is awaiting before deciding steps to participate in the establishment of the Special United Nations Fund for Economic Development.

The Minister of State (Mr. Selwyn Lloyd)

Although, as I said in my reply to the right hon. Member for Derby, South (Mr. Noel-Baker) on 22nd March, Her Majesty's Government accept and support the principle of an international fund within the framework of the United Nations, they do not envisage being in a position to contribute to such a fund until substantial additional resources become available through disarmament. Since they further understand that other major potential contributing Powers cannot yet commit themselves to contribute, they do not feel that immediate steps towards the establishment of a fund are practicable.

Mr. Craddock

Does not the Minister think that participation should be expedited notwithstanding the financial difficulty which he has mentioned? Does he not agree that we shall have to overcome this problem by making perhaps a smaller contribution at the outset?

Mr. Lloyd

It is important that such a fund as this should be launched in the best possible circumstances. One of those should be that one should have adequate resources at its disposal. That is not the present position.

Mr. Noel-Baker

Will the right hon. and learned Gentleman consider that our national income is increasing by about 2 per cent, per annum, that is £200 million? Could we not really afford £4 million a year for this very important international and Commonwealth purpose?

Mr. Lloyd

I do not think that there would be the slightest value in starting such a fund with £4 million only. It would have to be something very much bigger than that. At the moment, there is no one prepared to contribute to it.

Sir R. Acland

If participation is to be left until after disarmament has been achieved, does not that give the Russians more reason to refuse to agree to disarmament?

Mr. Lloyd

I should not have thought that that was logic.

Mr. Noel-Baker

Is not the right hon. and learned Gentleman misinformed about the replies that have been received? Have there not been a number of Governments who have said that they are ready to support it now?

Mr. Lloyd

I think only on a very small scale. The major potential contributors have said that they are not willing to contribute.

Mr. Craddock

Owing to the unsatisfactory answer from the Minister, I beg to give notice that I shall raise this matter on the Adjournment.