§ Mr. Spring
To ask the Secretary of State for Northern Ireland what were the administrative costs of the electricity share offer and the trade sale of the generating stations in Northern Ireland.
§ Mr. Tim Smith
The costs to the Government of the electricity share offer and sale of the generating stations in Northern Ireland are estimated as follows:
£ million Underwriting 2.9 Selling and broking commission 1.5 Advisers fees 14.5
£ million Marketing 1.4 Receiving bank 1.7 Share information office, printing and other logistical costs 2.0 Total 24.0
These costs represent about 3 per cent. of the total proceeds due from the sale of the generating stations, the sale of shares in the electricity share offer and the repayment of debt which together are estimated at £780 million. The costs exclude stamp duty and VAT on services provided to the Government which are not net costs to the Exchequer, and incentives on employee and individual shareholdings. The figures include expenditure incurred from April 1991 to the end of January 1994, but do not include costs incurred in previous years primarily on the restructuring of the industry which amounted to about £3.1 million.