HL Deb 25 November 1991 vol 532 c76WA
Lord Kennet

asked Her Majesty's Government:

How they propose to apply the £1.93 billion which have so far been paid to the United Kingdom as cash contributions pledged by other governments in relation to Operation Granby.

The Earl of Arran

In practice, the UK's additional defence costs arising from Operation Granby have been, and will continue to be, met by Supply Estimates and drawn from the Consolidated Fund. Of the £2 billion generously pledged by other governments to offset these costs some £1.98 billion has now been received. Of the amount received in 1990–91, some £25 million was taken directly on to MoD Votes and the balance surrendered to the Consolidated Fund. The amounts received in 1991–92 are also being surrendered to the Consolidated Fund. The contributions therefore reimburse the Consolidated Fund for the appropriate share of Gulf costs and thus meet the purpose intended by contributing governments.