Debt Provision

HC Deb 25 May 1988 vol 134 c197W

Mr. Tom Clarke

To ask the Chancellor of the Exchequer what was the total tax relief made available to United Kingdom banks for debt provision to less developed countries in each financial year from 1973–74 in constant 1987 pound sterling.

Mr. Norman Lamont

The reductions in tax receipts as a result of losses incurred by banks on irrecoverable overseas loans are estimated to be as follows:

Effective exchange rates: percentage changes in annual averages
	Belgium	Denmark	France	Netherlands	United Kingdom	United Stales	Germany	Japan
1975	-2.6	0.7	8.1	-4.2	-7.7	-2.5	1.3	-1.9
1976	1.5	1.4	-4.4	2.3	-14.3	5.1	4.9	4.2
1977	5.6	0.5	-4.5	6.8	-5.2	-0.5	7.8	10.6
1978	3.7	2.0	0.0	4.7	0.4	-8.6	6.3	23.0
1979	2.4	1.3	2.2	3.4	7.1	-2.2	6.1	-7.2
1980	0.2	.70	1.0	1.1	10.0	0.1	1.0	-3.8
1981	-6.8	-10.0	-10.6	-6.8	-1.1	12.7	-7.3	13.1
1982	-9.8	-5.5	-9.2	4.0	-4.7	11.7	4.2	-5.7
1983	-4.0	-2.0	-8.7	0.9	-8.0	5.8	2.3	10.1
1984	-3.2	-5.0	-6.0	-3.1	-5.6	7.9	-2.7	5.7
1985	0.7	1.4	0.9	0.4	-0.5	4.5	-0.2	2.4
1986	6.2	10.4	6.1	11.0	-6.9	-18.4	10.9	26.7
1987	4.7	6.6	2.4	7.2	-0.4	-11.9	7.6	8.2

Source: IMF international Financial Statistics.