HC Deb 31 July 1975 vol 896 cc633-42W
Mr. Urwin

asked the Chancellor of the Exchequer if he will list in the Official Report details of all grants and loans to Great Britain from EEC sources, with rates of interest and dates, since 1st January 1973.

Mr. Dell

The following is the information:

Community Budget. In the period for 1st January 1973 to 30th June 1975, the United Kingdom received approximately £425 million from the budget of the European Communities. Of this total about £353 million was received by the Intervention Board for Agricultural Produce under the Guarantee Section of the European Agricultural Guidance and Guarantee Fund for market regulation under the common agricultural policy; about £22 million was received from the European Social Fund, for the purposes listed below, and about £46 million was received as the refund of the cost of collecting "own resources". Other miscellaneous sums totalling £4 million were also received in the period.

In addition to the sums listed above, which have already been received from the Community budget, a further £32 million has been allocated to the United Kingdom from the European Social Fund and there are commitments to pay the United Kingdom about £20 million from the Guidance Section of the EAGGF. Details of these commitments in respect of 1973 and the first allocation for 1974 were given in the answer which my right hon. Friend the Minister of Agriculture, Fisheries and Food gave to the hon. Member for Lancaster (Mrs. Kellett-Bowman) on 24th March.—[Vol. 889, c. 62.] Details of the second allocation in respect of 1974 are set out below. The Community is also committed to pay £3 million to United Kingdom companies in respect of projects in the hydrocarbons sector.

European Investment Bank. The European Investment Bank has to date lent a total of £211 million for projects in the United Kingdom. For details of loans in 1973 and 1974 I would refer my hon. Friend to the answers I gave on 31st July 1974 to the hon. Member for Blackpool, South (Mr. Blaker)—[Vol. 878, c. 231]—and on 31st January 1975—[Vol. 885, c. 248.]

Details of loans totalling £98.2 million granted in 1975 are set out below.

European Coal and Steel Community. Grants to the United Kingdom totalling about £13 million were approved by the European Coal and Steel Community in the period from 1st January 1973 to date. The ECSC has also contracted to pay about £7 million in research grants to the United Kingdom. In the same period the ECSC approved loans of about £236 million to the United Kingdom.

EUROPEAN SOCIAL FUND GRANT ALLOCATIONS 1973–75 FOR GREAT BRITAIN
1973 1974 1975
Training and transference … … … 16.4 14.7 5.5
Disabled persons … … … … 3.4 4.2 0.2
Aid to migrants … … … … 0.0 2.6 0.0

GUIDANCE SECTION, EUROPEAN AGRICULTURAL GUIDANCE AND GUARANTEE FUND DETAILS OF INDIVIDUAL PROJECTS APPROVED FOR GRANT
ENGLAND AND WALES
EEC Ref. No. EEC Description of Project
12 Construction of a vegetable processing and freezing plant and cold stores at Grimsby, South Humberside.
15 Construction of a seed processing and cleaning plant, warehouse, laboratory and offices by a farmers' co-operative in Wiltshire.
19 Expansion of a butter creamery at Alfreton, Derbyshire.
23 Modernisation and extension of an egg packing plant at Chesterfield, Derbyshire.
25 Improvement of hygiene standards and provision of staff amenities at a poultry processing plant at Dalton, North Yorkshire.
35 Construction of two pumping stations with ancillary drainage works at Witham, Lincolnshire.
37 Erection of milk processing factory at Blaydon, Tyne and Wear.
48 Expansion of a frozen fish plant at Grimsby, South Humberside.
50 Modernisation of a dairy at Bamber Bridge in Lancashire.
51 Construction of a pumping station and improvement of drains on the north bank of the River Humber.
58 Intensification of bulk milk collection in England and Wales (second phase).
71 Modernisation of a grass-drying plant at Widnes, Cheshire.
72 Modernisation of a cheese factory at Pwllheli, Gwynedd.
73 Installation of wet crop fractionation equipment at a crop drying plant near Southminster, Essex.
95 Modernisation and expansion of two cheese factories in Wensleydale, North Yorkshire.
96.1 Construction of a cheese store at Aspatria in Cumbria.
97 Construction of a cold store for fish at Whitehaven, Cumbria.
98 Installation of equipment for pre-packing cheese at a creamery at Maelor, Clwyd.
102 Installation of additional cheese presses, packaging equipment and transport facilities at a creamery at Maelor, Clwyd.
103 Modernisation of a butter making plant at a creamery at Felinfach, Dyfed.
105 Expansion and rationalisation of a dairy at Oswaldtwistle, Lancashire.
Total amount of grant: £4,718,350

SCOTLAND
EEC Ref. No EEC Description of Project
14 Construction of a poultry processsing factory at Coatbridge, Strathclyde Region.
17 Installation of protein extraction plant at a distillery in Kirkwall, Orkney, Islands Area.
20 Installation of a second processing line and freezer and cold store in an existing vegetable processing factory at Eyemouth, Borders Region.
24 Construction of a fish processing factory and cold store at Mallaig, Highlands Region.
53 Construction of a pig processing abattoir and cold store and modernisation of existing processing facilities at Stirling.
57 Provision of a barley drier and store at Turriff, Grampian Region, to be used in the production of malt.
60 Extension of a meat processing and canning factory at East Kilbride, Strathclyde Region.
86 Drainage works (improvements to a canal, provision of a pumping station and associated works) near Elgin, Grampian Region.
89 Installation of protein recovery plant at an Edinburgh distillery
117 Construction of a new malting plant at Inverness.
(formerly UK/31/73)
118 Installation of distillery effluent recovery plant for animal feed production at Invergordon.
(formerly UK/34/73)
126 Extension of factory for conversion of distillery by-products to animal feed at Ballindalloch, Grampian Region
(formerly UK/67/73)
131 Extension and improvement of fish farming facilities at South Uist (Western Isles Island Area), Otter Ferry and Ballochyle (Strathclyde Region)
(formerly UK/97/73)
Total amount of grant: £1,634,469

NORTHERN IRELAND
EEC Ref. No EEC Description of Project
21 Construction of grains silo facilities at Warrenpoint.
61 Installation of a new milk pudding line at Coleraine.
79 Provision of bulk milk collection facilities in Northern Ireland.
Total amount of grant:£1,561,618
EUROPEAN INVESTMENT BANK LOANS, 1ST JANUARY 1975 TO 31ST JULY 1975
Amount
Borrower Date £m. Terms Project
South of Scotland Electricity Board. 28.2.1975 15.6 12 years at 9⅞% Hunterston B Nuclear Power Station, Ayrshire.
Electricity Council 28.2.1975 7.8 12 years at 9⅞% Nuclear Power Station, Hartlepool.
Distillers Company 29.5.1975 12.0 10 years at 9½% Whisky blending and bottling plant at Shieldhall, near Glasgow.
South of Scotland Electricity Board. 2.6.1975 7.8 12 years at 9½% Hunterston B Nuclear Power Station, Ayrshire.
National Coal Board 2.6.1975 7.2 10 years at 9½% Extension and modernisation of five coal mines in Yorkshire and South Wales.
British Gas Corporation 26.6.1975 24.2 10 years at 9¼% New pipeline system to bring natural gas from the Frigg Field to Scotland and connect up with the national distribution grid.
British Gas Corporation 31.7.1975 23.6 10 years at 9¼% Second phase of extensions to the natural gas transmission system to permit deliveries of gas from the Frigg field.
EUROPEAN COAL AND STEEL COMMUNITY
LOANS TO THE COAL INDUSTRY UNDER ARTICLE 54
TABLE 1
£ million
i. Modernisation
NCB powered roof supports July 1974, $10m. for 5 years at 8¼ … 10.44
July 1974, $15m. for 8 years at 9¼ …
February 1975, $18.4m. for 10 years at 10% … 7.709
April 1975, $23.5m. for 8 years at 9% … 10.028
Morden & Blackhall June 1974, $5.6m. for 15 years at 8¼% … 2.362
February 1975, $2.865 for 10 years at 10% … 1.198
February 1975, $7.875 for 10 years at 10% … 3.299
Markham
Littleton
Royston September 1974, DM25.0m. for 7 years at 9¼% … 4.07
Easington February 1975, $11.025m. for 10 years at 10% … 4.61
Betws April 1975, $12.03m. for 9 years at 9% … 5.133
Trentham
Thoresby May 1975, $46.5m. for 8 years at 9% … 20.195
Haig
Ollerton
Thurcroft
Betteshanger
Dinnington
Ellington
Coalfield Farm.
Taff Merthyr
New loans (under negotiation) Not Available. 10.6*
Total approved … 79.644
* Not yet received.
TABLE 2
£ million
ii. Housing
Mirers Houses … … … November 1974, loan at 1 % for 25 years … … 0.667
June 1975, loan at 1% for 25 years … … … 1.651
Total approved … … … 2.318

TABLE 3
LOANS TO THE STEEL INDUSTRY UNDER ARTICLE 54
£ million
BSC, Scunthorpe June 1974, loan for 7 years at 9¼% [of which £1.5m. at subsidised 6¼%] 7.75
June 1974, loan for 10 years at 10% [of which £1.5m. at subsidised 7%] 7.75
January 1975, loan for 10 years at 10% 10.20
BSC, Templeborough September 1974, loan for 7 years at subsidised rate 6¼ % 1.25
BSC, Orgreave May 1975, loan for 5 years at 6% 0.16
May 1975, loan for 5 years at 9% 3.84
BSC, Normansbury Park May 1975, loans at 9% 7.00
BSC, Clydesdale July 1975, loans at 9% 6.00*
BSC, Port Talbot July 1975, loans at 9% 35.00*
BSC, Tinsley Park, Sheffield July 1975, loans at 9% 25.00*
Private Sector Loans:
Woodhead Components Information on terms of loans not available 0.5
Manchester Steel 2.3
Templeborough Rolling Mills 0.7*
Spartan Steel, Newcastle upon tyne. 0?8*
Total approved 108.25
Loans in the pipeline 79.00*
* Not yet received.
TABLE 4
LOANS TO THE STEEL INDUSTRY UNDER ARTICLE 56
£ million
BSC, Ravenscraig … … February 1975, loan at 10% … … … 5.1
… … February 1975, loan at 9¼% … … … 9.9
BSC, Ebbw Vale … … May 1975, loan at 9% … … … 15.55
BLMC … … March 1974, 15-year loan at 9% … … … 5.10
FFI … … March 1974, 10-year line of credit … … … 10.00
Total approved … … … 45.65
TABLE 5
GRANTS TO REDUNDANT WORKERS UNDER ARTICLE 56(2)6
£ million
NCB … … … … … … … … … … … … … 10.44
Steel … … … … … … … … … … … … … 3.042
Total approved … … … … … … 13.482
Grants in the pipeline … … … … … 18.43
ARTICLE 55—RESEARCH CONTRACTS AGREED TO, JULY 1975
(Normally payable over 3 years)
TABLE 6
1. COAL RELATED RESEARCH
Activity Date Amount contracted for Notes
MRDE … December 1973 … 480,600
CRE … December 1973 … 633,000 Including £228,000 jointly with MRDE.
MRDE … March 1974 … 143,280
IOM … March 1974 … 133,590
Medical … July 1974 … 15,532
IOM … July 1974 … 382,282
MRDE … October 1974 … 438,400
CRE … October 1974 … 909,900
Scientific … December 1974 … 90,000
MRDE … December 1974 … 104,231
MRDE … December 1974 … 23,484 Not yet subject to formal contract.
MRDE … February 1975 … 1,208,400 Not yet subject to formal contract.
CRE … February 1975 … 883,200 Not yet subject to formal contract.
CRE … June 1975 … 650,419
Total … 6,097,318

2. STEEL RELATED RESEARCH
Activity Date Amount contracted for Notes
BSC February 1975 … 0.025 Ergonomic Research.
0.934 Technical Research.
May 1975 … … 0.881 Technical Research.
BISPA 0.008
Round Oak 0.116
BISPA 0.035
New Research Grant … … 0.015
Total … … 2.043

Mr. Urwin

asked the Chancellor of the Exchequer what rôle he plays in the regional distribution of funds made available to British industry from the EEC.

Mr. Joel Barnett

The Government will influence the regional distribution mainly by the choice of projects they put forward for assistance from the Regional Development Fund. This will reflect the Government's regional industrial objectives. Responsibility for putting applications forward lies with my right hon. Friend the Secretary of State for Industry.