HC Deb 08 May 1978 vol 949 cc346-7W
Mr. Terry Walker

asked the Secretary of State for Industry what is his latest estimate of the development and production costs of Concorde, and production receipts; and what is the net Government commitment to production expenditures.

Mr. Kaufman

The latest estimate of the manufacturers' total development costs in Britain and France is £1,137 million. The expenditure is divided as follows

British expenditure £ million French expenditure £ million Both countries £ million
Actual costs from 29th November 1962 to 31st December 1977 at the prices and exchange rates prevailing when the costs were incurred 532 530 (6,302 Fr. million) 1,062
Estimated costs from 1st January 1978 to completion of programme at January 1978 prices and at an exchange rate of £1=9.0 francs 43 32 75
Totals 575 562 1,137

The latest estimates of the manufacturers total production costs to the end of 1978 are £352 million in the United Kingdom and 3,330 million francs in

Britain £ million France Fr. million
Actual costs to 31st December 1977 at the prices and exchange rates prevailing when the costs were incurred 306 2,920
Estimated costs from 1st January 1978 to 31st December 1978 at January 1978 prices and at an exchange rate of £1=9.0 francs 46 410
Totals 352 3,330

Without taking account of possible receipts from further sales or leases the latest estimates of the manufacturers' receipts from the sale of aircraft, and from sale or lease of engines and spares

Britain £ million France Fr. million
Actual receipts to 31st December 1977 at prices and exchange rates prevailing when income was received 119 1,437
Estimated receipts from 1st January 1978 to 31st December 1978 at January 1978 prices and at an exchange rate of £1=9.0 francs 20 52
Totals 139 1,489

The Government's net commitment to Concorde production expenditures now stands at £259 million and net expenditure to 31st March 1978 at £206 million.