HL Deb 09 February 1966 vol 272 cc728-9

2.24 p.m.

LORD MERR1VALE

My Lords, I beg leave to ask the Question which stands in my name on the Order Paper.

[The Question was as follows:

To ask Her Majesty's Government what was the exact or estimated number of British tourists to visit Spain from this country in 1964 and 1965, and whether they can estimate the effect (expressed in sterling) on the Spanish balance of payments; also what number of Spanish tourists visited this country from Spain in 1964 and 1965 and what was the corresponding effect on the British balance of payments.]

THE PARLIAMENTARY SECRETARY, BOARD OF TRADE (LORD RHODES)

My Lords, Spain was the main destination of some 700,000 visits by British tourists in 1964 and some 750,000 in 1965; their expenditure increased from about £38 million to about £40 million. Visits in the reverse direction increased from about 30,000 to about 33,000, but the visitors' expenditure fell from £2 million to £1½ million.

LORD MERRIVALE

My Lords, whilst thanking the noble Lord for that answer, would he not agree that the balance-of-payments figures he has quoted would tend seriously to detract from any financial benefit arising out of our overseas trade with Spain?

LORD RHODES

My Lords, leaving out the figures for tourism and quoting the crude trade balance, in 1964 imports into this country from Spain amounted to about £77 million. Our exports to Spain were about £77 million. But they were very different in 1965. Imports from Spain were £73 million; exports to Spain, £97 million.

LORD MERRIVALE

My Lords, while thanking the noble Lord for that supplementary reply, could I put the question another way? Would he not agree, on the figures which he has quoted in his reply, that any benefit arising out of our trade to Spain has been completely wiped out by the expenditure by British tourists in Spain? May I take it that my figures are correct when I say that for an eleven months' period from January to November, 1964, the balance of payments was in our favour to the extent of over £8 million, whilst during the same period in 1965 the balance of payments was in our favour to the extent of over £27 million?

SEVERAL NOBLE LORDS

Speech.

LORD MERRIVALE

Would not the noble Lord agree, when he quotes a figure of £40 million, that this benefit of trade has been completely wiped out by the British tourist in Spain?

LORD RHODES

My Lords, I quite agree with the noble Lord. I specifically said that the figures relating to tourism were outside the crude trade balance.