§ Mr. Mike O'BrienTo ask the Chancellor of the Exchequer what is the capital cost provided by the Bank of England toward the funding of the EMI, in total and annually including projected contributions to 2000; and if this will be refunded if a European central bank is created but Britain does not participate in a single currency. [13439]
§ Mrs. Angela KnightArticle 16 of the protocol on the statute of the European Monetary Institute, annexed to the EC treaty, provides for member states' central banks to make contributions towards the capital resources of the EMI. The Bank of England has contributed 94.5 million ecu—equivalent to £74.7 million at the time—towards the capital of the EMI. The Bank of England made its contributions to the EMI from its own resources and its share of the EMI's capital is one of its own assets.
424WArticle 1091 of the treaty states that the EMI shall go into liquidation upon the establishment of the ECB— European central bank. The proceeds of the liquidation will be distributed to national central banks in the same proportion as capital was provided, under the terms of article 23 of the protocol. This procedure will apply whether or not the United Kingdom participates in the single currency.