HL Deb 28 January 1948 vol 153 cc683-5
LORDBROUGHSHANE

My Lords, I beg to ask His Majesty's Government the question standing in my name on the Order Paper.

[The question was as follows:

To ask His Majesty's Government, what was the nature of the claims of the United Kingdom on the Soviet Government for supplies and services rendered during the recent war; and what was the value in British money of such claims and the reason why the Soviet Government, who have large supplies of gold urgently needed in the United Kingdom, have been excused payment.]

THE CHANCELLOR OF THE DUCHY OF LANCASTER (LORD PAKENHAM)

My Lords, the main items among these claims, which amount in total to approximately £27,000,000, are the cost of transport by rail and road of Allied supplies through Persia to the Russian frontier, oil for Russian road transport to Persia, and the value of certain aircraft bought in the United States before Lend-Lease and transferred to the Soviet Government. His Majesty's Government have accepted the contention of the Soviet Government that these costs should be regarded as an integral part of the common war effort.

LORD BROUGHSHANE

My Lords, can my noble friend say how it is that the very large gold reserve possessed by the Soviet Government appears to have been overlooked, especially bearing in mind the Lena Goldfield and other private undertakings which they took over some little time ago? Would it not have been appropriate that we, who are in such urgent need of gold, should have asked for some recompense from the large gold reserves which they possess towards the £27,000,000 which we have expended in services to the Soviet Government?

LORD PAKENHAM

My Lords, when the noble Lord studies my answer I think he will see that the size of the Soviet gold reserve in not relevant to the issue. In any case, I am afraid the Government have no knowledge of the extent of the gold reserves of the Soviet Union. We know, or think, they are considerable, but I would remind the noble Lord that "All that glisters is not gold."

LORD DE L'ISLE AND DUDLEY

My Lords, it is generally understood that previous commercial negotiations with the Soviet Government broke down upon this point of the payment for war stores in the last war. If I am correct in that, what new arguments were adduced by the Soviet Government which have now persuaded His Majesty's Government that the Russian case has more force than was previously supposed?

LORD PAKENHAM

The noble Lord is pursuing a slightly different matter. If he wishes to raise that, perhaps he will put down a question which can be dealt with on another occasion.

LORD BROUGHSHANE

My Lords, arising out of the reply of the noble Lord, Lord Pakenham, may I ask whether he is aware that, while it may be true that "All that glisters is not gold", the Soviet Government took a very active interest in the gold possessed by the Lena Gold-fields? That was a matter to which I had occasion to draw attention several times in another place. The Soviet Government evidently thought that there was a great deal that was more valuable than mere glitter for they appropriated the whole of the Lena Goldfields' gold, and they still have it. I would suggest that His Majesty's Government were a little lax in not asking that some of the gold which the Soviet Government have obtained in one way or another should have been used to compensate us for the great services which we rendered to them during the war,

LORD PAKENHAM

I gather that the noble Lord is referring to some previous statements of his own. Perhaps he will supply me with a copy of his previous speeches, and I will then endeavour to reply to him by post.

LORD BROUGHSHANE

The speeches are on record.