HC Deb 06 November 1996 vol 284 c1232
11. Ms Eagle

To ask the President of the Board of Trade in which quarter the United Kingdom last recorded[a surplus in the visible trade balance. [536]

Mr. John M. Taylor

The United Kingdom last recorded a surplus on visible trade in the fourth quarter of 1982. [Interruption.] Taking the current account as a whole, which one should, the House should know that the second quarter of 1996 produced the largest current account surplus for more than nine years.

Ms Eagle

How can we have that much-vaunted Conservative economic miracle when, according to their own figures, the Government are forecasting a £13.5 billion deficit on trade in goods this year alone? Will the Minister now get up, be honest and tell us when that figure will be in surplus?

Mr. Taylor

There have been only six years since 1946 in which there has been a surplus in visible trade. Those years were 1956, 1958, 1971, 1980, 1981 and 1982—all years of a Conservative Government.

Mr. Butterfill

Will my hon. Friend confirm that, notwithstanding the figures on the balance of trade, the United Kingdom's share of world markets has increased every year for the past few years, whereas Germany's, for example, has declined?

Mr. Taylor

I am grateful to my hon. Friend for reminding me of those matters. He is absolutely right, and the House should be aware of them.

Mr. Sheerman

The Minister knows the real truth—that the heart of the problems afflicting our economy, which has been so badly managed by this Government, is that our industrial base has shrunk and shrunk, year after year after year. When our manufacturing base is down to less than 20 per cent. of gross domestic product, compared to 25 and 26 per cent., we are getting close to a minimum level of viability as a manufacturing nation.

Mr. Taylor

I think that the hon. Gentleman is looking down the wrong end of his telescope. In the three months to August, exports of goods were at record levels and were 7 per cent. higher than they were a year earlier. Since 1979, the volume of both manufactured goods and total goods exported has doubled.