§ Mr. James Johnsonasked the Chancellor of the Exchequer how much capital was invested abroad for the last five years, respectively, to the latest convenient date.
§ Mr. DellThe table below gives figures for United Kingdom private investment overseas in the years 1970 to 1974; information by category of investment is given on page 87 of the June issue ofEconomic Trends. Included in these figures, and shown in the second line of the table, is that part of the profits of United Kingdom companies' overseas branches and subsidiaries which is retained overseas for use in the business; the balance of private investment overseas is very largely financed by overseas borrowing which appears as an inflow elsewhere in the account. The third line of the table gives figures for such borrowing.
Timing and other discrepancies mean that the investment and borrowing figures are not precisely comparable; fuller, though less up-to-date, details are given in table 25 of the "Pink Book" (United Kingdom Balance of payments 1963–73); the issue covering the years 1964 to 1974 will be published early in September. But it is clear from the table that the charge on the balance of payments represented by private capital invested abroad is relatively small.