HC Deb 01 December 1978 vol 959 cc420-37W
Mr. Lomas

asked the Chancellor of the Exchequer what have been the total United Kingdom payments to the EEC since joining; what has been received from the EEC in the same period; and if he will list the grants or loans which have been made.

Mr. Joel Barnett,

pursuant to his reply [Official Report, 30th November 1978], gave the following information:

Total payments to the European Communities by the United Kingdom from 1st January 1973 to 30th September 1978 have been as follows:

£million
Payments to the Community Budget 2,924.1
EIB Capital Contributions 77.4
EGSC Capital Contributions 23.8
ECSC Production Levies† 55.3
†ECSC production levies are paid direct by coal and steel producers.

Total receipts from the Community Budget for the period 1st January 1973 to 30th September 1978 have been as follows:

£million
European Agricultural Guidance and Guarantee Fund (EAGGF)— Guarantee Section 1,071.4
EAGGF—Guidance Section 66.3
Social Fund 134.1
Regional Development Fund 112.1
Other 271.8
Total 1,655.7

I regret that the compilation of a comprehensive list of grants received from the Communities would involve a disproportionate cost. Details of loans received are as follows:

Between 1st January 1973 and 30th September 1978, the United Kingdom received loans from the European Investment Bank totalling £1,006 million. Details are as follows:
EUROPEAN INVESTMENT BANK LOANS
Borrower Amount£million Repayment period years Interest rate Per cent. Project
1973 Industrial and Commercial Finance Corporation 2.5 14 For on-lending to small and medium-sized firms in the development areas.
1.0 9 7⅜
British Steel Corporation 14.7 17½ Expansion of burden-preparation facilities at the Teesside iron and steelworks.
British Steel Corporation 14.7 18 Llanwern iron and steelworks.
32.9
1974 North of Scotland Hydro-Electric Board 10.4 20 Peterhead Power Station, Aberdeenshire.
Elf Oil (UK) 10.4 10 9⅞ Development of the Frigg gas field in the North Sea.
Total Oil (UK)
Aquitaine Oil (UK)
Kent and Essex County Councils 7.0 10 10½ Second Dartford Tunnel.
British Steel Corporation 8.0 12 10½ New Sinter plant at Port Talbot Steelworks.
British Steel Corporation 12.0 12 10½ Construction of bar mill at Thryburg Steelworks near Rotherham.
Industrial and Commercial Finance Corporation 10.0* 10 For on-loading to small and medium-sized firms in the development areas.
Lewis Offshore Ltd 4.0 8 10½ Development of a construction yard at Arnish Point in the Hebrides for the assembly of equipment for offshore oil exploration and production.
Electricity Council 15.6 12 10½ Nuclear Power Station at Hartlepool.
Short Bros & Harland Ltd. Belfast 2.5 5 10½ Development of low-cost commuter aircraft at the company's factory in Belfast.
79.9
1975 South of Scotland Electricity Board 15.6 12 9⅞ Hunterston B Nuclear Power Station.
Electricity Council 7.8 12 Nuclear Power Station, Hartlepool.
Distillers Company 12.0 10 Whisky blending and bottling factory at Shieldhall, near Glasgow.
South of Scotland Electricity Board 7.8 12 Hunterston B Nuclear Power Station.
National Coal Board 7.2 10 Extension and modernisation of five coal mines in Yorkshire and South Wales.
*Lapsed in November 1975 after only £600,000 had been drawn.

Borrower Amount £ million Repayment period years Interest rate Per cent. Project
British Gas Corporation 24.2 10 New pipeline system to bring natural gas from the Frigg Field to Scotland and connect up with the national distribution grid.
British Gas Corporation 23.6 10 Second phase of extension to the natural gas transmission system to permit deliveries of gas from the Frigg Field.
Tate &Lyle 1.6 10 Glucose factory at Goole, Yorkshire.
Post Office. 17.5 10 Modernisation of telecommunications in Wales and the Borders.
National Water Council 7.5 12 Kielder water scheme, North East England.
British Steel Corporation 17.5 10 Installation of new coating lines at Shotton, North Wales.
South of Scotland Electricity Board 10.0 8 Power lines to connect Inverkid power station with the main transmission system.
North of Scotland Hydro-Electricity Board 10.0 8 Power lines to connect Peterhead North power station with the main transmission system, and to reinforce supply system to Aberdeen.
British Railways Board 6.3 8 Construction of"merry-go-round"coal wagons.
Shetland Island Council 16.9 10 Oil tanker harbour at Sullom Voe in the Shetlands.
Olivetti International 1.0 5 Conversion and expansion of the British Olivetti typewriter factory in Glasgow.
186.5
1976 British Gas Corporation 20.0 10 Gas pipelines network.
Post Office 17.3 10 Telecommunications network in Scotland.
National Water Council 9.0 10 Water supply schemes in North-West England.
National Water Council 4.0 12 Kielder water scheme in Northumbria.
British Gas Corporation 17.3 8 9 Southern Feeder gas pipeline.
British Railways Board 11.6 8 9 Construction of three prototype Advanced Passenger Trains.
British Gas Corporation 8.6 8 9 Gas pipeline to South-West England.
Post Office 17.6 10 Telephone installations in North-Eastern telecommunications regions.
British Railways Board 5.5 10 To modernise shipping service between Holyhead and Dun-Laoghaire.
Electricity Council 26.0 12 Dinorwic hydro-electric scheme.
North Sea Inc 16.8 8 9 Development of Beryl oil field in the North Sea.
British Steel Corporation 6.75 8 9 Expansion of Consett works, Co. Durham.
British Steel Corporation 3.5 8 9 Expansion of Dalzell steelworks, Motherwell.

Borrower Amount £ million Repayment period years Interest rate Per cent. Project
British Railways Board 5.0 10 9 Enlargement of two hovercraft.
British Steel Corporation 14.7 10 9 (i)£12.6 million for coal handling and blending system at Port Talbot.
(ii)£2.l million for improvements at Distington Works, Workington.
National Water Council 10.0 12 8⅞ (i) £6 million for the Kielder Water Scheme, North-umbria.
(ii) £4 million for water supply and sewerage projects in Cornwall.
Santa Fe Minerals (UK) Inc 17.9 7 8⅜ Development of Thistle oil field in the North Sea.
British Petroleum 30.4 8 (i) £19.7 million for acetic acid plant at Hull.
(ii) £10.7 million for pipeline from Ninian oil field to Sullom Voe.
British Steel Corporation 17.0 10 8⅞ To increase casing pipe finishing capacity at two works near Glasgow and at Hartlepool.
258.95
1977 Post Office 18.5 10 8⅞ Extension and modernisation of telephone system in Northern Ireland.
National Water Council 8.3 9 8⅞ Increase of water supplies in Cheshire, Merseyside, Greater Manchester, Lancashire and Cumbria.
British Steel Corporation 14.0 12 8⅞ Ravenscraig works, Motherwell.
National Water Council 7.5 15 9⅛ Water supply project and sewerage scheme in Teesside region.
National Water Council 6.2 12 8⅞ Water supply projects and sewerage schemes in Gwent, Mid and South Glamorgan.
National Water Council 2.5 11½ Water supply and sewage scheme in Cornwall.
National Water Council 7.5 15 8.95 Water supply project and sewerage scheme in Teesside region.
National Water Council 14.6 15 8.95 Water supply project in Yorkshire.
North of Scotland Hydro-Electricity Board 4.1 15 8.95 Reinforcement of electricity transmission system to the Isle of Skye. Introduction of first mains electricity supply to three Shetland Islands.
British Steel Corporation Chemicals 6.9 12 Construction of Benzole refinery at Port Clarence on Teesside.
British Steel Corporation 7.7 12 8⅞ Modernisation of iron foundries at Distington works, Workington and Fullwood, near Motherwell.
British Steel Corporation 3.8 12 8⅞ Modernisation of steel foundry at Craigneute, near Motherwell.
British Steel Corporation 52.7 12 Expansion of steelworks at Motherwell.

Borrower Amount £ million Repayment period years Interest rate Per cent. Project
Lothian Water 25.0 15 9 To increase water supplies to Edinburgh and Midlothian and to reduce pollution in the Firth of Forth by major improvements to Edinburgh sewerage system.
National Water Council 6.2 11½ Water supply projects and sewerage schemes in Gwent Mid and South Glamorgan.
National Water Council 19.8 15 9 Works designed to increase water supplies in the North-West of England.
South of Scotland Electricity Board 4.3 12 Erection of transmission lines in Scotland.
United Kingdom Government Agency 20.0 7 Finance for small and medium-sized industrial ventures in the assisted areas.
British Railways Board 7.2 12 8.45 High speed rail depots on East Coast.
British Steel Corporation 8.0 12 8.60 Third iron ore reloader at Redcar, South Teesside.
British Steel Corporation 3.9 12 8.60 Modernisation of Templeton Brickworks, Co. Durham.
Central Electricity Generating Board 52.3 15 8.65 Construction of power station at Heysham, Lancashire.
National Water Council 19.8 15 8.60 Improvement of water supplies by construction at Kielder dam and distribution system to the Wear and Tees.
320.7
1978* Electricity Council 22.9 15 8.60 Dinorwic pumped storage power station, Wales.
Electricity Council 22.9 15 8.60 Hartlepool nuclear power station.
National Water Council 16.0 15 8.55 Water supply/sewerageschemes in North-West England.
National Water Council 15.0 20 9.30 Water supply schemes in Yorkshire and Humberside
Grampian Regional Council 5.0 15 9.40 Improvements to road and water supply schemes in Aberdeen.
Lothian Regional Council 8.5 14½ 9.40 Water supply and sewerage schemes in Edinburgh and Midlothian.
BICC Metals 5.0 10 10.25 Modernisation of copper refining plant at Prescot Merseyside.
National Water Council 10.0 15 10.15 Sewage disposal works in Tyneside.
National Water Council 6.6 15 10.15 Kielder Dam.
National Water Council 4.0 15 10.15 Water supply scheme in Plymouth area.
Civil Aviation Authority 10.75 10 10.75 Extension of Sumburgh airport, Shetlands.
126.65
* To end of September.

The amount of grants from the European Coal and Steel Community received by the United Kingdom between 1st January 1973 and 30th September 1978 is as follows:—
£ million
British Steel Corporation 2.2
National Coal Board 25.8
Details of loans made by the ECSC are as follows:—
BRITISH STEEL CORPORATION
Period
Date of consent Date of drawdown Loan principal million Sterling equivalent £ million Rate of Interest years months
9th August 1974 30th August 1974 US $20.95 9.0 6¼% p.a. on US $6.48m. for first 5 years, 9¼% p.a. thereafter 7 9
9¼% p.a. on balance starting 30th May 1975
9th August 1974 30th August 1974 US $23.05 10.0 6¼% p.a. on US $6.96m. for first 5 years, 9£% p.a. thereafter 9 9
9¼% p.a. on balance starting 7th June 1975
20th December 1974 16th January 1975 US $54.0 23.0 10% p.a. payable half-yearly in arrears, i.e. 15th May and 15th 9 October. 9 10
9th May 1975 15th May 1975 US $16.53 7.2 6 % p.a. on US $ 83m. for first 5 years, 9 % p.a. thereafter 9 6
9% p.a. on balance
9th May 1975 15th May 1975 US $9.45 4.1 6 % p.a. on US % 35m. for first 5 years, 9 % p.a. thereafter 9 6
9% p.a. on balance
16th June 1975 20th June 1975 US $3.0 1.3 6% p.a. for first 5 years, 9% p.a. thereafter 7 8
16th June 1975 20th June 1975 US $7.0 3.1 9% p.a. 7 8
20th October 1975 26th October 1975 US $22.99 11.2 9.7% p.a. 6 11
US $12.43 6.1
1st December 1975 5th December 1975 Sw.Fr. 22.44 4.4 8.5% p.a. 8 0
1st December 1975 5th December 1975. Sw.Fr. 1.42 5.5% p.a. for first 5 years, 8.5% thereafter 8 0
9th January 1976 15th January 1976 Sw.Fr. 26.5 5.0 8.5% p.a. 7 0

Period
Date of consent Date of drawdown Loan principal Sterling equivalent Rate of Interest years months
million £ million
13th February 1976 17th February 1976 US $50.80 40.0 9.4% p.a 4 10
US$28.08
27th February 1976 1st March 1976 US $60.51 30.0 9.6% p.a. 9 10
US$31.88 16.0
12th March 1976 16th March 1976 Guilders 30 5.8 8.4% p.a. 6 11
23rd March 1976. 25th March 1976 Can. $50 26.4 9.5% p.a 7 0
8th April 1976 14th April 1976 Guilders 6.93 1.4 6% p.a. for first 5 years, 9% p.a. thereafter 19 11
8th April 1976 20th April 1976 Guilders 30 6.0 8.4% p.a 6 10
20th May 1976 26th May 1976 US $53.75 30.15 6% p.a. on US $2.79m. for first 5 years, 9% p.a. thereafter 8 0
9% p.a. on balance
20th May 1976 26th May 1976 US $53.65 30.15 9.5% p.a. 20 0
8th December 1976 15th December 1976 Sw. Fr. 66 16.4 6.35% p.a. 15 0
18th January 1977 US $8.78 5.0 9.3 % p.a. (Each half year of first 5 years, interest rebate of 47.600 units of account). 19 10
18th January 1977 US $63 36.2 8.65% p.a. 7 9
18th January 1977 DM 15.8 3.8 8.25% p.a. 9 8
25th February 1977 US $10.2 29.1 81% p.a. 5 0
US$39.8
5th April 1977 15th April 1977 Can. $25 13.8 9.65% p.a. 7 0
5th May 1977 May 1977 US $10 5.8 9.55% p.a. 20 0
12th July 1977 22nd July 1977 US $20 11.6 9.3% p.a. 18 0
7th October 1977. October 1977 US $7.8 4.4 8.875% p.a. 12 0
8th December 1977 12th December 1977. Sw. Fr. 19.85 9.6 7.35% p.a. 8 0
£4.5
May/June 1977 1.1 1 % p.a. (loan for workers' housing) approx 21
407.1

NATIONAL COAL BOARD
Date of drawing Loan principal Sterling equivalent £ million Details
28th June 1974 US $5.625 million 2.4 8.25%.15 years. Combination of Horden & Blackhall collieries and provision of new coal preparation plant.
31st July 1974 US $10 million 4.2 8.25 % 5 years. Purchase of powered roof supports.
31st July 1974 US $15 million 6.3 9.25 $ 8 years. Purchase of powered roof supports.
6th September 1974 DM 25 million 4.1 9.25$. 7 years. Littleton, Trentham, Royston, Bettws, Easington collieries development project.
15th November 1974 £1.0 million (out of total of £1.7 million* see 16th June 1975). 1.0 1 %. 25 years. Improvements of coal industry workers' homes (1st instalment).
18th February 1975 US $2.865 million 1.2 10%. 10 years. Combination of Horden & Blackhall collieries.
18th February 1975 US $11.025 million 4.6 10%. 10 years. Development at Littleton, Trentham, Royston, Bettws and Easington collieries.
18th February 1975 US $7.875 million 3-3 10%. 10 years. Combination of Markham & Ireland collieries.
18th February 1975 US $18.435 million 7.7 10%. 10 years. Purchase of powered roof supports.
30th April 1975 US $23.5 million 10.0 9%. 8 years. Purchase of powered roof supports.
30th April 1975 US $12.030 million 5.1 9%. 9 years. Development at Littleton, Trentham, Royston, Bettws and Easington collieries.
15th May 1975 US $46.5 million 20.2 9.. 8 years. Development at Thoresby, Haig, South Leicester, Ollerton, Taff Merthyr/Merthyr Vale, Thurcroft, Betteshanger, Dinnington, Blaenant and Lynemouth/EIlington collieries.
16th June 1975 £ 0.7million*(see15th November 1974). 0.7 1 .. 25 years. Improvement of coal industry workers' homes (2nd instalment).
15th October 1975 Sw. Fr. 25 million 4.6 8.5%. 8 years. The purchase of moveable underground plant and equipment, excluding powered roof supports.
26th November 1975 US $18.15 million 8.9 9.7%.7 years. The purchase of moveable underground plant and equipment, excluding powered roof supports.
27th November 1975 Sw. Fr. 26.14 million 4.8 8.5%. 8 years. Development at Thoresby, Haig, South Leicester, Ollerton, Taff, Merthyr/Merthyr Vale, Thurcroft, Betteshanger, Dinnington, Blaenant and Lynemouth/EIlington collieries.
15th January 1976 Sw. Fr. 23.5 million 4.4 8.5%. 7 years. The purchase of moveable underground plant and equipment, excluding powered roof supports.
17th February 1976 US $46.12 million 22.8 9.4%. 5 years. The purchase of moveable underground plant and equipment, excluding powered roof supports; coal preparation facilities; rapid loading facilities.
26th May 1976 US $9.15 million 5.1 9%. 8 years. The establishment of a new drift mine on the site of the existing Prince of Wales Colliery on the North Yorkshire coalfield.
8th November 1976 DM 65 million 16.7 8.25%. 10 years. Improvements at Whitwell, Bolsover, Warsop, Linley, Newstead, Cresswell, Grimethorpe, Bentley, Westoe, Oakdale, Cwm/Coedeley, Abertillery, Blaenserchan and Snowdon collieries and Butterwell opencast site.
8th November 1976 DM 20 million 5.1 8.25%. 10 years. Improvements at Ackton Hall, Brodsworth, Bentinck, Bevercotes, Silverhill, Silverdale and Bold collieries.

Date of drawing Loan principal Sterling equivalent £ million Details
24th December 1976 US $60 million 35.7 8.65 %. 8 years. The purchase of powered roof supports and improvements at Ackton Hall, Brodsworth, Bentinck, Bevercotes, Silverhill, Silverdale, Bold, Whitwell, Bolsover, Warsop, Linby, Newstead, Cresswell, Grimethorpe, Bentley, Westoe, Oakdale, Cwm/Coedeley, Abertillery, Biaenserchan, Snowdon and Butterwell opencast site.
3rd June 1977 US $29.955 million 17.4 8.4 %. 7 years. The purchase of underground plant and equipment excluding powered roof supports.
16th September 1977 US $42 million 24.1 9.25%. 15 years. The establishment of a new drift mine at Prince of Wales colliery, the purchase of powered roof supports, the construction of a new training centre and the expansion of existing coal preparation laboratories at MRDE, Staffs.
14th October 1977 US $34.3 million 19.5 8.75%. 12 years. Improvements at Shirebrook, Silverwood, Treforgan, Allerton, Bywater, Rawdon and Domsthorpe, South Kirkby, Ollerton and Trenton collieries Kingswood opencast site and Maryport Disposal Point.
28th February 1978 US $25 million 12.8 9.5%. 8 years. Improvements at Whitwell, Bolsover, Warsop, Linby, Newstead Creswell, Grimethorpe, Bentley, Butterwell, Westoe, Oakdale, Cwm/Coedeley, Abertillery, Biaenserchan, Snowdon, Shirebrook, Silverwool, Treforgan, Allerton Bywater, Rawdon and Donisthorpe, South Kirkby, Ollerton and Treeton collieries, Kingswood Opencast Site and Maryport Disposal Point and the extablishment of a new drift mine at Prince of Wales colliery.
14th March 1978 £5 million 5.0 10.25%.11 years 9 months. Improvements at Ackton Hall, Brodsworth, Bentinck Bevercotes, Silverhill, Silverdale and Bold collieries.
31st March 1978 DM 56 million 14.8 5.7%. 12 years. Improvements at Shirebrook, Silverwood, Treforgan, Allerton Bywater, Rawdon and Donisthorpe, South Kirkby, Ollerton and Treeton collieries, Kingswear Opencast Site and Maryport Disposal Point.
14th April 1978 US $20 million 10.6 9.05%. 9 years. Improvements at Goldthorpe/Highgate, Askern Houghton Main, Grimethorpe, Manton, Thoresby, Harworth, Wearmouth, Bagworth-Ellistow Lady Windsor/Abercynon, Lea Hall Seafield/Frances, Bentley, Frickley/South Elmsall.
19th June 1978 £0.402 million (out of total of £0.435 million see 28th July 1978). 0.402 1 %. 20 years. Improvement and new construction of National Coal Board Housing (1st instalment).
23rd June 1978 US $95 million 51.5 9.3%.10 years. Improvements Goldthorpe/Highgate, Askern, Houghton Main, Grimethorpe Manton, Thoresby, Harworth, Wearmouth, Bagworth-Elliston, Lady Windsor/Abercynon, Lea Hall, Seafield/Frances Bentley, Frickley/South Elmsall. Selby.
25th July 1978 US $75 million 39.0 9.8%. 15 years. Purchase of Powered Supports. Improvements at Shirebrook, Kingswood, Silverwood, Treforgan, Maryport, Allerton Bywater, Rawdon and Donisthorpe, South Kirkby, Ollerton, Treeton.
28th July 1978 DM 32 million 8.2 6.85%. 15 years. Supply and installation of Underground plant and equipment.
28th July 1978 £0.034 million (see 19th June 1978). 0.034 1 %. 20 years. Improvement of Coal Industry Workers' homes (last instalment).
382.2

Mr. Lomas

asked the Chancellor of the Exchequer what he estimates the total United Kingdom payments to the EEC will be in 1979 and 1980; and what he estimates the grants or loans will be from the EEC to the United Kingdom in those two years.

Mr. Joel Barnett,

pursuant to his reply [Official Report, 30th November 1978], gave the following answer

The latest estimates of the United Kingdom's gross contributions to, and receipts from, the Community Budget for 1979 and 1980 were published in the Green Paper"The European Monetary System"(Cmnd. 7045).

It is not possible to forecast the amount of loans the United Kingdom will receive from the European Communities in future years.