§ Mr. Hooleyasked the Secretary of State for Defence what, in the light of the offset agreement with the German Federal Republic, will be the estimated total net overseas Government military expenditure in 1968–69.
§ Mr. HealeyAnnex H of Cmnd. 3540 provides a comprehensive account of our total net Government overseas defence expenditure in 1968–69. The effect of the agreement announced by my right hon. Friend the Minister of State for Foreign Affairs on 1st April, is to reduce the £90 million foreign exchange cost of our forces in Germany in 1968–69 by some236W £70 million allowing for Government receipts of some £10 million taken into account in Annex H. Under our accounting conventions the rest of the receipts will be credited to Civil Accounts not to Defence Account.