§ Mr. Arthur Lewisasked the Chancellor of the Exchequer whether he is aware that in addition to an order of some £25 million awarded by Overseas Containers to Germany earlier this year, Associated Containers are placing a further order for three container ships for £15 million, and if he will refuse exchange control permission to this purchase, in view of its effects on the Government's attempts to achieve a favourable trade balance with Germany.
§ Mr. MacDermotNo. There are no restrictions on the importation of ships into the United Kingdom, and exchange control permission to make the necessary payments is therefore given automatically.
§ Mr. Arthur Lewisasked the Chancellor of the Exchequer whether he has considered the communication from the hon. Member for West Ham, North, giving details of a British businessman who has had a villa built for himself, on the French Riviera, standing in 12 acres of ground and costing £250,000; and in view of the need to conserve currency, whether he will take action, under the exchange controls, to prevent this drain on our currency reserves.
§ Mr. CallaghanThe transaction referred to took place before the present property currency arrangements were introduced and an operation on this scale would not be permitted under present rules.
Part of the foreign exchange cost was met with the proceeds of sale of another property in France and the remainder was remitted through the investment currency market and by means of the then property currency arrangements under the rules operating at the time. The site was purchased from another United Kingdom resident with sterling.
The relevant exchange control permissions for the construction of this villa were given between 1961 and 1964.