§ 82. Mr. Ronald Atkinsasked the Secretary of State for Foreign and Commonwealth Affairs in view of the fact that the foreign exchange costs of the British Army of the Rhine will rise by 8 per cent. as a result of the revaluation of the German mark, if he proposes to renegotiate the offset agreement; and if he will make a statement.
§ Mr. LuardAs my right hon. Friend the Chancellor of the Duchy of Lancaster told the House on 24th November, the amount of German purchases made in this country under the relevant articles of the current Anglo-German offset agreement will rise by 9.3 per cent. in sterling terms, in other words by a larger amount than the expected increase in costs. In these circumstances, it would not be to Her Majesty's Government's advantage to seek to renegotiate the agreement.—[Vol. 792, c. 21–2.]
§ 83. Mr. Barnettasked the Secretary of State for Foreign and Commonwealth Affairs if he will make a statement on the discussions he has had with the West German Government on offset costs.
§ Mr. LuardI would refer my hon. Friend to the reply given by my right hon. Friend the then Minister of State for Foreign and Commonwealth Affairs, on 23rd July. We have had no general negotiation on B.A.O.R. offset costs with the Federal Government since then. There has been discussion of the offset problems connected with the proposal to return 6 Brigade to Germany but, as my right hon. Friend the Chancellor of the Duchy of Lancaster told the House on 28th November, discussion with our 303W allies on this proposal is continuing and it would be premature to make a statement.—[Vol. 787, c. 1727–8; Vol. 792, c. 177.]