§ 17. Mr. Jon Owen JonesTo ask the President of the Board of Trade when UK trade in goods is to be in surplus on current trends. [544]
§ Mr. Ian TaylorMy right hon. and learned Friend the Chancellor of the Exchequer will set out his latest estimate of the balance of trade in goods in his financial statement on 26 November. The latest data show the trend deficit narrowing.
§ Mr. JonesAlthough we welcome the recent short-lived improvement, the Government's own forecasts show that the UK is in deficit by £13.5 billion in its goods exports for this year. That is £2.5 billion more than last year and £3 billion more than the year before. Do not those figures—as opposed to the Government's propaganda—prove the Government's record of economic mismanagement over the past few years?
§ Mr. TaylorThey prove nothing of the sort. They show the vibrancy of British manufacturers in an expanding global trade position. The deficit is merely a netting off of imports and exports across the board. Look at how exports have been doubling. Look at how we have penetrated markets more successfully than the French and Germans in competition with us. Look at how new technologies have been applied by British industries. Look at how we have attracted inward investment, because of our high skills base. Those are all extremely positive developments. The Confederation of British Industry predicts a 4 per cent. increase in manufacturing output next year and a 7.5 per cent. increase in manufacturing investment.