§ 14. Mr. SpellarTo ask the Chancellor of the Exchequer what are the figures for the balance of trade for the last 12 months for United Kingdom and for Germany.
§ Mr. PortilloThe United Kingdom had a visible trade deficit of £13 billion in the 12 months to November 1993, while Germany had a surplus of £20 billion. But looking at the current account overall, the United Kingdom had a deficit of £10 billion in the 12 months to September, while Germany had not a surplus but a deficit of £17 billion.
§ Mr. SpellarDoes not the first part of the answer—the real answer about manufactured trade—show that, in spite of all the huffing and puffing from Conservative Members, in the real test of who can sell what in the world market, Germany, with its social market economy and many elements of the social chapter, is competitive and we are slipping behind in the world trade race?
§ Mr. PortilloThe hon. Gentleman was obviously stunned by the answer. Let me remind him that, taking the current account overall, Germany has a bigger deficit than the United Kingdom. The hon. Gentleman did not anticipate that answer and obviously did not like it when he got it.
§ Mr. Anthony CoombsWill my right hon. Friend confirm that not only are current manufactured exports from the United Kingdom at a record level but our proportion of world trade is rising, and has done so for the past four years? Will he also confirm that European statistics show that, last year, while the German economy fell in industrial production terms by 7 per cent., ours was the only economy in Europe to grow by 2.5 per cent?
§ Mr. PortilloWe look forward to a rise of about 5.5 per cent. in exports this year. In contrast, we reckon that consumption will rise by about 2 per cent. My hon. Friend is absolutely right to point out that, after a long period 1068 following the 1960s in which the United Kingdom's share of world trade in manufactures was falling, the position has now stabilised. I am hopeful that the figure will rise.