§ Mr. Sedgemoreasked the Chancellor of the Exchequer (1) if he will estimate the overall financial effect and net loss to the Government of the sale of £500 million worth of BP shares, taking into account the direct loss of capital appreciation, attributable profit and the balance of payments effect of 100 per cent. share purchase by overseas interests;
(2) what would be the expected net annual effect on the balance of payments over the next 10 years on the sale of £500 million worth of BP shares to overseas interests;
(3) if he has done any calculations about the revenue and capital effects of the sale of £500 million worth of BP shares to overseas interests; and, if so, what conclusions he has reached.
§ Mr. Joel BarnettThe financial effects of the sale of BP shares to overseas interests would depend,inter alia, on the future share price and dividends declared, which cannot be forecast.
§ Mr. Sedgemoreasked the Chancellor of the Exchequer when he last consulted the management of BP about the prospective value of all property of the Government's share holding in the company; and what advice he has received.
§ Mr. Joel BarnettThe Treasury has regular consultations with BP about the prospects for the company, and hence the Government's shareholding; but if these meetings are to be frank they must remain confidential.