§ Mr. MeacherTo ask the Chancellor of the Duchy of Lancaster what has been the level of direct investment in overseas manufacturing industry and gross domestic fixed capital formation from private sector United Kingdom manufacturing industry in each year since 1977.
§ Mr. Alan ClarkThe information is given in the table. It should be noted that net overseas direct investment is a financial concept and is not the same as capital expenditure on fixed assets or the growth in a company's net assets. Direct investment covers only the sums invested in a related concern by the parent company and that concern will then decide how this is to be used, whether on fixed assets, to increase debtors, repay borrowing etc.
Net United Kingdom direct investment in overseas manufacturing1 Private sector manufacturing gross domestic fixed capital formation2 £million £million current prices 1977 1,077 4,190 1978 1,520 5,220 1979 1,397 6,163 1980 1,427 6,182 1981 2,528 5,113 1982 1,579 5,260 1983 2,126 5,655 1984 2,100 6,997 1985 2,860 8,443 1986 5,663 8,823 1 Includes overseas direct investment in manufacturing by public corporations and by non-manufacturing companies in the United Kingdom. Separate figures excluding these categories arc not available. 2 Excludes assets held on financial lease by manufacturing.