§ Mr. Barnettasked the Chancellor of the Exchequer how much of the £116 million estimated German offset payments against foreign exchange cost of British forces in Germany in and in respect of the two-year period ended 31st March, 1966, has been spent to date; when he estimates the balance will be spent; and what is his estimate for the two-year period ending 31st March, 1968.
§ Mr. DiamondThe reply to the first part of the Question is that payments actually made in the period 1st April, 1964, to 31st December, 1965, including payments from the Advance Payment Account set up in July, 1965, amounted to £47 million. Further payments followed in the quarter ending 31st March, 1966, but the exact figure will not be known until the end of June of this year; nor will it be known before then whether there will remain any balance in the Advance Payments Account. Finally, some payments were also made in pursuance of the provisions of Article 5 of the Protocol of 20th July, 1965. As to the second and third parts of the question I cannot anticipate when156W the remainder of the payments attributable to this Article will be made as this depends on the terms of contracts not yet known to us but a substantial proportion should be made by 31st March, 1968.