§ Mr. Frank Allaunasked the Secretary of State for Defence if the figure of £6,255 million shown as the arms expenditure for 1977–78 in the Government's expenditure plans at 1977 survey prices includes the £427 million extra expenditure announced in the Supplementary Estimate for 1977–78 presented to Parliament on 2nd December 1977; and, as the original 1977–78 estimate presented on 28th February 1977 was £6,328 million, why the total is not in fact nearly £500 million greater than the £6,255 million stated in the Expenditure Plans.
§ Mr. MulleyThe figures of £6,255 and £6,328 quoted by my hon. Friend are both at 1977 survey prices, that is at the price levels ruling in September 1976. The Supplementary Estimate of £427 million reflected pay and price increases which have occurred since September 1976, including pay increases for the Armed Forces and the industrial and non-industrial Civil Service. Expenditure on defence in 1977–78 will be less in real terms than was provided for in defence budget estimates for the year.