§ Mr. Austin Mitchellasked the Chancellor of the Exchequer what is his estimate of the likely return on capital in the next 12 months of money exported from the United Kingdom as a result of the removal of exchange restrictions; whether he expects these earnings to be brought back to the United Kingdom; and, if so what effect that is likely to have on exports of other goods and services.
§ Mr. LawsonThe effects on the balance of payments of the removal of exchange controls are uncertain: most of these controls have been in force for 40 years and it is not possible to estimate with any precision how much capital will be invested abroad by United Kingdom residents, what the returns will be or to what extent foreign earnings will be remitted to the United Kingdom. But overseas investment should help our exports and strengthen our international trading position generally.