§ Mr. Gordon BrownTo ask the Chancellor of the Exchequer what was the cost to the Exchequer in each of the privatisation flotations undertaken by Her Majesty's Government since 1980 of the underwriting(a) in the United Kingdom and (b) elsewhere.
§ Mr. Norman Lamont[holding answer 18 December 1987]: The cost of underwriting in each of the privatisation flotations and residual shares sales since 1980 is as follows:
£ million Company name Year United Kingdom offer Overseas offer Total British Aerospace 1981 2.42 — 2.42 Cable and Wireless 1981 3.92 — 3.92 Amersham International 1982 1.08 — 1.08 Britoil 1982 8.49 — 8.49 Associated British Ports 1983 0.34 — 0.34 British Petroleum 1983 6.95 — 6.95 Cable and Wireless 1983 3.61 — 3.61 Associated British Ports 1984 0.81 — 0.81 Enterprise Oil 1984 6.08 — 6.08 Jaguar 1984 4.83 — 4.83 British Telecom 1984 57.88 25.99 83.47 British Aerospace 1984 6.13 — 6.13 Britoil 1985 6.03 1.60 7.63 Cable and Wireless 1985 7.57 — 7.57 Brtish Gas 1986 52.33 17.72 70.05 British Airways 1987 6.78 2.90 9.68 Rolls Royce 1987 10.89 — 10.89 BAA 1987 13.60 0.24 13.84 British Petroleum 1987 41.99 30.60 72.59 Notes:
1. Figures shown are exclusive of VAT.
2. Figures do not include underwriting costs for shares offered by the company in the 1985 British Aerospace and 1985 Cable and Wireless sales. These costs were wholly borne by the company.
In most of the privatisations and residual share sales costs were shared with the company. Details of the cost sharing agreements negotiated for each sale are not held centrally.