HC Deb 10 June 1974 vol 874 cc415-7W
Mr. Blaker

asked the Chancellor of the Exchequer (1) what projections he has made of the likely percentage share of each of the other member countries of the European Community of the combined gross domestic product of the Community in 1980; and what growth rate he has assumed for this purpose for each of the countries concerned;

(2) upon what precise assumptions, including assumptions about the likely growth rate of the gross national product of the United Kingdom, his estimate of the United Kingdom's percentage share of the combined gross domestic product of the European Community in 1980 was based.

Mr. Dell

It would not be appropriate to give detailed projections relating to 1980 for the other member countries individually. The estimate of 14 per cent. for the United Kingdom share in the Community GDP for 1980 used in discussion with the other member States and the Commission was based on a weighted average annual growth rate for the period 1973–80 of 4.9 per cent. for the members of the Community other than the United Kingdom, and a rate of growth for the United Kingdom for 1972–79 of 3.9 per cent. This takes account of the expected impact of favourable factors such as North Sea oil. In the light of recent economic developments all these growth rates may appear optimistic, but their relative pattern is thought to be realistic.

Mr. Blaker

asked the Chancellor of the Exchequer what is his estimate of the net contribution by the United Kingdom to the budget of the EEC in 1974, assuming no changes are made in the present budgetary arrangements.

Mr. Joel Barnett

The latest estimate of the United Kingdom's gross contribution to the Communities budget in 1974 is some £225 million at 1974 prices. There are difficulties in forecasting receipts as their timing is often uncertain, but the latest estimate of receipts is some £145 million. This would give a net contribution of some £80 million at 1974 prices.

Mr. Dykes

asked the Chancellor of the Exchequer (1) what consultations have taken place between Her Majesty's Government and representatives of the Committee for Invisible Exports, and of the insurance industry, respectively, in connection with the renegotiation of United Kingdom membership of the European Economic Community; and if he will make a statement;

(2) what consultations have taken place between Her Majesty's Government and representatives of the clearing banks in connection with the renegotiation of United Kingdom membership of the European Community; and if he will make a statement.

Mr. Dell

Her Majesty's Government keep in close touch with the Committee for Invisible Exports, which includes representatives of several Government Departments, and with the banking and insurance industry on matters of mutual concern, including EEC topics. As regards the broad question of renegotiation, the Government's views were set out in the Secretary of State for Foreign and Commonwealth Affairs' statements to the Council of Ministers on 1st April 1974—[Cmnd. 5593]—and on 4th June 1974.