HC Deb 08 June 1956 vol 553 c79W
Sir I. Horobin

asked the Chancellor of the Exchequer whether further arrangements have now been made with the United States Government for the import of tobacco for sterling and for the building of houses for United States forces in this country.

Mr. H. Macmillan

Yes. We have agreed with the U.S. Government under Public Law 480 on a transaction involving $12 million worth of tobacco for sterling. The proceeds of this will be appropriated to the United Kingdom defence budget. The United Kingdom for their part undertake to provide houses for United States Service personnel and their families in this country at an equivalent cost; this will probably provide for up to 1,000 houses (possibly with some communal facilitles) in addition to the 1,500 houses being built under previous arrangements. These houses will be let to the United States Authorities at a nominal rent for so long as they are required, but will remain the property of the United Kingdom Government. This is a special measure to help to meet the United States military needs. The tobacco will go into companies' stocks. We have not accepted any undertakings as to the 50 per cent. shipping requirement in connection with this transaction.