§ 68. Mr. Sheldonasked the Minister of Technology if he will give the calculations detailing the United Kingdom share of the Concorde costs; and how this has varied as a result of the United Kingdom and French devaluations.
§ Mr. Benn:The joint estimate of Concorde development costs before devaluation of the pound in November, 1967 was £ 500 million at January, 1966 prices. This total was divided almost equally between the United Kingdom and France.
A revised basic estimate of £ 730 million at January, 1969 prices was announced on 21st May, 1969 [OFFICIAL REPORT, Vol. 784, No. 120, c. 417]. The breakdown was as follows:
U.K. France Total £m. £m. £m. 340 390 730 The effect of the devaluation of the pound in November, 1967 was to increase the cost, in terms of sterling, of the French share of the programme, outstanding at that date by about £ 40 million. This was included in the May, 1969 estimate.
The effect of devaluation of the franc in August, 1969 was to reduce the cost, in terms of sterling of the French share of the programme outstanding at that date by about £ 25 million.
The present basic estimate is £ 730 million at October, 1969 prices. The breakdown is as follows:
U.K. France Total £m. £m. £m. 350 380 730