§ Mr. Meacherasked the Secretary of State for Industry what has been the level of overseas direct investment for each year since 1945; what has been the level of manufacturing investment in the United Kingdom for each of these years; what each figure in these series represents as a percentage of gross national product for that year.
§ Mr. David MitchellFor information on overseas direct investment I refer the hon. Member to the answer given to him by my hon. Friend the Minister for Trade in theOfficial Report for 21 January 1980. [Vol. 977, c. 32–4.] Information on capital expenditure on fixed assets in the United Kingdom by manufacturing industry is available from 1948 and its value and percentage of gross national product is shown in the following table. Capital expenditure on fixed assets in the United Kingdom cannot be compared with United Kingdom direct investment 442W overseas which measures the amount invested in shares and loan capital, retained profits and trade credit by United Kingdom companies in their related concerns overseas.
How much is used by these concerns for capital expenditure on fixed assets is not known. Direct investment overseas may also be used to finance additions to stocks and debtors or to reduce local borrowings and creditors.
CAPITAL EXPENDITURE ON FIXED ASSETS IN THE UNITED KINGDOM BY MANUFACTURING INDUSTRY AT CURRENT PRICES Value Ratio to Gross National Product at current market prices £ million Per cent. 1948 320 2.7 1949 373 3.0 1950 443 3.3 1951 516 3.5 1952 553 3.5 1953 552 3.2 1954 590 3.2 1955 686 3.5 1956 838 4.0 1957 928 4.2 1958 906 3.9 1959 866 3.6 1960 1,021 4.0 1961 1,248 4.5 1962 1,182 4.1 1963 1,068 3.5 1964 1,232 3.7 1965 1,423 4.0 1966 1,517 4.0 1967 1,485 3.7 1968 1,639 3.7 1969 1,822 3.9 1970 2,130 4.1 1971 2,187 3.8 1972 2,044 3.2 1973 2,347 3.2 1974 3,067 3.7 1975 3,522 3.4 1976 3,955 3.2 1977 4,974 3.5 1978 5,841 3.6 Source: Annual Supplement to Economic Trends 1979. National Income and Expenditure 1979.