§ 35. Mr. Spearing
asked the Chancellor of the Exchequer what is his estimate of the amount in £ sterling to be paid in 1979 to the European Economic Community from United Kingdom value added tax; and what proportion of 1 per cent. of the total yield it will represent.
§ Mr. Peter Rees
The United Kingdom contributions of value added tax own resources are paid from the Exchequer and not from the proceeds of particular taxes. The basis of these payments was 289W explained in the reply given to the hon. Member for Glasgow, Maryhill (Mr. Craigen) on 30 October. It is now estimated that in 1979 the United Kingdom payment of value added tax own resources to the Community budget would be about £820 million; this would represent about 14.6 per cent. of the resources available to the Community from VAT and GNP-based contributions.