§ Mr. Hale
asked the Minister of Aviation (1) what is the present estimated total expenditure on United States military aircraft, spares and equipment, in respect of contracts firmly placed; and how much of this sum is expected to fall due for payment in the present financial year and in each of the next three financial years;
(2) how much of the sum due to be found for the payment of United States manufactured military airplanes, spare parts and ancillary equipment is contracted to be paid in sterling at prices current at time of payment and how much in United States dollars; and what are the respective amounts.
§ Mr. Mulley
The present estimated total expenditure in respect of the orders so far placed by Her Majesty's Government on the U.S. Government for the development and production of Hercules, Phantom and F.111 aircraft, initial spares and equipment is about £450 million including interest under the credit terms 29W that have been arranged. Taking account of these credit terms, it is estimated that payments on account of these orders will be £10 million in the present financial year and about £25 million, £50 million and £55 million respectively in the three succeeding financial years.
In addition Her Majesty's Government have so far placed contracts with U.K. contractors in respect of these United States military aircraft, spares and equipment to a value of £95 million. Of this amount, payments of about £20 million are expected to be made in the present financial year.