HC Deb 18 June 1968 vol 766 cc121-2W
44. Sir C. Osborne

asked the Chancellor of the Exchequer what is the present deficit per annum of the United Kingdom's balance of payments; and how much surplus per annum was required by the Bank for International Settlements as the condition for providing further help to solve the sterling balances problem.

Mr. Roy Jenkins

The outturn and a commentary on the balance of payments in the first quarter of 1968 were published today and are available in the Library. The figures cannot sensibly be expressed in terms of a "deficit per annum".

The inference in the second part of the Question is not correct. But I explained in my Budget speech the reasons why we need to achieve a balance of payments surplus of £500 million as soon as we can and to sustain it for as far ahead as we can see.—[Vol. 761, c. 253–8.]

45. Sir C. Osborne

asked the Chancellor of the Exchequer by what specific mechanism the problem of sterling balances will be dealt with once the Bank of International Settlements has agreed to provide the necessary money.

Mr. Roy Jenkins

It would not be useful for me to attempt to forecast the precise nature of any new arrangements which may be made.

Sir C. Osborne

asked the Chancellor of the Exchequer what unexpected factors led to his decision to ask for an extension of the existing 12-month $1,000 million Basle group loan; and how much longer he estimates that it will take to make Great Britain independent of foreign loans.

Mr. Roy Jenkins

I have no statement to make on the renewal of the Basle facility which was announced last March. On the second part of the Question, I have nothing to add to what I said in my Budget speech about our balance of payments objectives.—[Vol. 761, c. 253–8.]

Sir C. Osborne

asked the Chancellor of the Exchequer by how much he estimates the nation is still living beyond its means; and what new steps he proposes to take to stop this over-spending.

Mr. Roy Jenkins

The outturn and a commentary on the balance of payments in the first quarter of this year have been published today and are available in the Library. I explained the Government's economic strategy in my Budget Speech. I have no new proposals to announce.

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