§ Sir W. Robson-Brownasked the Chancellor of the Exchequer whether he will state the total amount of money advanced from the Treasury since nationalisation, up to the last accounting period, to the Electricity Authority, the National Coal Board, the Gas Council, British Overseas Airways Corporation,
ADVANCES TO NATIONALISED INDUSTRIES FROM THE EXCHEQUER Since nationalisation up to 31st March, 1960 £ million — Total amount advanced from the Exchequer Amount repaid Interest received Electricity Council … 616 33 37 National Coal Board … 630 42 82 N(ote 4) Gas Council … 110 6 9 British Overseas Airways Corporation … 122 18 7 (Note 1) British European Airways Corporation … 55 7 2 (Note 2) British Transport Commission … 672 19 41 (Note 3) NOTE 1.—Includes £6 million deficiency grant and £26 million Exchequer grant paid between 1947 and 1952. Also includes commitments of British South American Airways. NOTE 2.—Includes £3 million deficiency grant and £13 million Exchequer grant paid between 1947 and 1955. NOTE 3.—Includes £297 million under the Transport (Railway Finances) Act, 1957. NOTE 4.—Borrowing by Coal Board under Section 26. Coal Industry Nationalisation Act, 1946. The Electricity and Gas Councils are repaying their Exchequer advances over 25 years from the year of advance.
British Overseas Airways Corporation and British European Airways Corporation are repaying their capital advances over a period of seven years; the Exchequer grants are only repayable when
130WBritish European Airways, and the British Transport Commission; how much of these amounts has been repaid; what has been the total amount of interest received; what is the total of the capital advances agreed by Parliament for each undertaking for the years from 1960 forward; what is the anticipated rate of repayment for each industry; and what was the total amount paid in compensation for each undertaking when nationalised.
§ Mr. BarberAdvances to the nationalised industries have been made under different statutes and the advances are not strictly comparable. The National Coal Board has since its inception drawn all its capital requirements from the Exchequer. The remainder of the industries have only drawn their capital requirements from the Exchequer since 1956. In addition to these advances, the British Transport Commission has received advances on deficit account and B.O.A.C. and B.E.A. have received Exchequer grants. The details are as follows:
the profitability of the industries justifies the step.
British Transport Commission are repaying capital advances over 25 years. The advances under the Transport (Railway Finances) Act, 1957, are not repayable for the first seven years; thereafter they are repayable as the Minister of 131W Transport with the approval of the Treasury shall determine.
The National Coal Board are repaying the advances over varying periods up to 50 years.
The advances to the National Coal Board are governed by the terms of the Coal Industry Nationalisation Act, 1946, as amended by the Coal Industry Act, 1960.
Parliament has authorised advances up to 31st August, 1960, under Section 42,
COMPENSATION £ million — Electricity (Note 1) National Coal Board Gas Council British Overseas Airways Corporation British European Airways Corporation British Transport commission Liability to responsible Minister — 292 — — — — (Note 2) Compensation Stock 342 — 189 — — 1,107 (Note 5) Obligations to Local Authorities 174 — 31 — — 1 Compensation to Local Authorities for severance 5 — 2 — — — Mortgages and other loans transferred 19 — 6 — — — Bank Overdrafts etc. transferred 19 — 34 — — — Cash — — — 3.4 0.8 1 (Note 3) (Note 4) (Note 5) NOTE 1.—Including England, Wales and South of Scotland. NOTE 2.—Does not include liability to the Minister in respect of Capital outlay refunds, amounting to £18 million (s. 18 of the Coal Industry Nationalisation Act, 1946) or of Treasury stock issued in Exchange for Coal Commission Stock, amounting to £78.4 million (s. 32 of the Coal Industry Nationalisation Act, 1946). NOTE 3.—British Overseas Airways Corporation was established in 1939 and the Compensation shown is that paid for the assets of Imperial Airways and British Airways. NOTE 4.—British European Airways Corporation was established in 1946 taking over the short haul services of B.O.A.C. and certain other air services, the compensation was in respect of these other services. NOTE 5.—This excludes the consideration for the acquisition of road passenger and road haulage undertakings which was satisfied by payments in cash amounting to £37 million and the issue of Stock to an amount of £95 million.