HC Deb 16 December 1976 vol 922 cc1710-1
6. Sir J. Langford-Holt

asked the Chancellor of the Exchequer whether he will give details of total overseas borrowings of all public authorities since the beginning of the financial year 1974–75; what have been the terms and effects of these borrowings; and what is the cost in repayment charges.

18. Mr. Marten

asked the Chancellor of the Exchequer what is now the total of overseas borrowings on Government and public sector account.

The Chief Secretary to the Treasury (Mr. Joel Barnett)

The total amount of medium and long-term foreign currency borrowing by Her Majesty's Government and the United Kingdom public sector outstanding at the end of November 1976 was equivalent to $18.9 billion. Information about all public sector borrowings up to the end of September 1976 has already been placed in the House of Commons Library. I am arranging for this to be updated.

Sir J. Langford-Holt

Can the right hon. Gentleman tell the House what percentage of that is represented by Government borrowing, by nationalised industry borrowing and by local authority borrowing?

Mr. Barnett

I could if the hon. Gentleman put down such a Question.

Mr. Fernyhough

So that we may better appreciate these figures, will my right hon. Friend give us the corresponding figures for private investment in other countries by British citizens and private industry in Britain?

Mr. Barnett

Yes; my right hon. Friend is on to a very good point. Conservative Members are constantly complaining about the borrowing that we make. They take every opportunity to talk the country down and to indicate that we are borrowing at excessive levels. What they should know is that the latest available figures indicate that our external assets exceed external liabilities by about £1.8 billion.

Mr. Marten

Will the Minister enlighten the House about what plans the Government have for a phased repayment of the $19 billion?

Mr. Barnett

Yes. We have considerable plans for the phased repayment, which will be phased over a period after 1978, 1979, 1980 and beyond when we shall be in a substantial balance of payments surplus. I am sure that Opposition Members will be delighted to have that piece of information.