HC Deb 06 May 1986 vol 97 cc27-9W
Mr. Gordon Brown

asked the Secretary of State for Trade and Industry if he will provide a table on the same

Direct Aid to Shipbuilding Home Credit Scheme Aid to Shipowners
United Kingdom
Up to 22½ per cent, of contract price (includes 2 per cent. Shipbuilders Relief) 80 per cent, over eight and a half years at 7½per cent, (on orders placed in United Kingdom yards only)
Belgium
Nil 80 per cent, over 15 years. Interest relief subsidy (maximum three percentage points)
Denmark
Nil 80 per cent, over 14 years at 8 per cent, interest including four years grace period
France
(Arrangements still awaiting Commission approval) Eight and a half years at 7½ per cent, interest
Germany
Nil 12½ per cent, investment grant; 2 per cent, interest subsidy. (The Investment Grant automatically reduces the amount of credit to which the Interest Subsidy applies.) Credit Guarantees at OECD terms
Ireland
Nil Nil (capacity now closed)
Italy
Up to 25 per cent, of contract price 80 per cent, over eight and a half years at 7½ per cent, interest. Investment aid payable at 2.75 per cent, of contract price half-yearly for 12 years
Netherlands
Up to 7 per cent, of contract price 80 per cent, over eight and a half years at minimum of 8 per cent, interest plus subsidy of not more than 2 per cent, of the interest rate
Finland
Nil 80 per cent, over period of construction (at least two years normally not more than eight years at 11 per cent, interest)
Japan
Nil Government (Japan Development Bank) loan of 50–60 per cent, over 13 years at 7½ per cent, interest including three years grace period and eight years in the case of commercial banks
Norway
Nil 80 per cent, of contract price over eight and a half years at 7 per cent.
Spain
Up to 19 per cent, of contract price 85 per cent, over 12 years at 8 per cent, interest with up to two years grace period
Sweden
Nil 90 per cent, of contract price over 12 years at 8.95 per cent.

basis as the answer of 8 November 1982, Official Report, column 71, showing the aid to shipbuilding and shipowners in EEC countries, Japan, South Korea and Brazil.

Mr. Peter Morrison

The following is the current information on merchant shipbuilding support:

Direct Aid to Shipbuilding Home Credit Scheme Aid to Shipowners
South Korea
Nil 80 per cent, over eight and a half years at 8 per cent, interest
Brazil
Home owners 40 per cent. Export 90 per cent, over 10 years at 7½ per cent. Home 85 per cent, over 12 years, including four years grace, at 6 per cent.

Mr. Gordon Brown

asked the Secretary of State for Trade and Industry how much money has been paid out in shipbuilding intervention fund assistance in each year since the fund was established.

Mr. Butcher

Payments made from the shipbuilding intervention fund during each financial year since its inception are as follows:

Financial year £ million
1976–77 1.4
1977–78 19.3
1978–79 10.8
1979–80 31.9
1980–81 41.9
1981–82 49.1
1982–83 47.9
1983–84 36.2
1984–85 20.1
1985–86 25.9

It should be noted that actual expenditure from the intervention fund is geared to the contractual payment stages during the course of construction figures for offers of assistance are published in the annual report on the Industrial Development Act 1982.