§ Mr. HancockTo ask the Secretary of State for Defence pursuant to his answer of 10 June 2004,Official Report, column 589W, on the Commercial Exportation Levy, what assessment he has made of the reasons for the change in the value of receipts collected; and if he will make a statement. [182548]
§ Mr. IngramCommercial Exploitation Levy is a form of royalty for any commercial sales of a design, use of special tooling or the granting of licences where the MOD has contributed wholly, or in part, to research and development costs. The level of receipts will consequently vary according to the levy arrangements agreed, the type of equipment involved (including software), the volume of sales and the extent to which its development was funded by the Ministry of Defence. From year to year the receipts generated for the MOD also depend upon the level of commercial sales achieved.