§ 8. Mr. Gwilym Robertsasked the Secretary of State for Defence what are the latest figures available for the number of British troops in Germany, the number of German civilians employed and the balance of payments cost; and what progress has been made in obtaining adequate offset arrangements from the German Government.
§ Mr. MulleyI have nothing to add to the answer I gave to my hon. Friend on 14th December.
§ Mr. RobertsIn view of the statement made yesterday by the Prime Minister and Helmut Schmidt, indicating that an offset agreement is likely in the next two or three months, will my right hon. Friend assure the House, and make it clear to the German Government at the same time, that there is no possibility of our accepting anything like the whole or the great bulk of the costs?
§ Mr. MulleyI have explained to the House and to my hon. Friend before that it is not the practice for the Ministry of Defence to take the lead in such negotiations. As I have already stated, my right hon. Friend the Prime Minister is to make a report to the House on the talks that took place with Chancellor Schmidt over the weekend. I do not wish to anticipate my right hon. Friend's report at this stage.
§ Mr. Geoffrey FinsbergDoes the right hon. Gentleman appreciate that the value of the NATO Alliance, of which Britain 1158 is a part, is immense in that we are able to station troops in Germany and train them there, and that that cannot necessarily be measured purely in terms of a sterling-deutschemark offset?
§ Mr. MulleyI accept, as I have said previously, that our presence in Germany is part of the collective NATO defence. In any event, offset agreements in the past have been only a part, or a small contribution—nevertheless, a helpful contribution—to the foreign exchange aspect that is our particular problem.
§ Mr. Robin F. CookIs my right hon. Friend aware that in just under a decade the foreign exchange costs of the British Army of the Rhine have increased tenfold? Does he believe that it is an appropriate way of sharing the burden of the Alliance that the member country with the largest balance of payment deficit should pay £500 million across the exchange to the member country with the largest balance of payments surplus?
§ Mr. MulleyMy hon. Friend has put the position very clearly. Our special problem is foreign exchange costs, which will be the basis of any settlement that, I hope, will be forthcoming.