HC Deb 18 October 1993 vol 230 cc186-7W
Sir Ralph Howell

To ask the Minister of Agriculture, Fisheries and Food what has been the total of moneys received from the European Economic Community, in connection with agricultural support, subsidies or intervention payments of any kind, in each year since accession; and what has been the net cost of agricultural support, both national and community, after allowing for the moneys received from the European Economic Community.

Mr. Jack

Figures showing receipts from the EC budget and total United Kingdom public expenditure on agriculture in each year since 1972–73 are given in the table. The figures on total public expenditure include spending on the common agricultural policy; this is funded in the first place by the Exchequer and subsequently reimbursed, partly or in full, from the EC budget. The United Kingdom contributes to this reimbursement through its payments to the EC budget; as a net contributor the United Kingdom contributes more to the EC budget than it receives back.

Financial year United Kingdom receipts from the European Agricultural Guidance and Guidance and Guarantee Fund1 £ million Public expenditure in the United Kingdom under the CAP and on national grants and subsidies £ million
1972–73 0.3 267
1973–74 77 392
1974–75 170 495
1975–76 260 512
1976–77 169 378
1977–78 169 460
1978–79 329 537
1979–80 412 677
1980–81 606 1,012
1981–82 742 972
1982–83 805 1,433
1983–84 1,221 1,729
1984–85 1,203 1,712
1985–86 1,282 2,165
1986–87 1,481 1,449
1987–88 1,128 1,630

Financial year United Kingdom receipts from the European Agricultural Guidance and Guidance and Guarantee Fund1 £ million Public expenditure in the United Kingdom under the CAP and on national grants and subsidies £ million
1988–89 1,597 1,380
1989–90 1,229 1,258
1990–91 1,636 1,910
1991–92 1,810 1,959
21992–93 1,683 2,066
Sources: Annual review of agriculture 1972 to 1987; Agriculture in the United Kingdom 1988 to 1992.
1 Receipts do not always relate to expenditure in the year to which they are received.
2 Forecast.

1990–91 1991–92 1992–93
Expenditure £ million £/head1 Expenditure £ million £/head1 Expenditure (estimate) £ million £/head1
Exchequer expenditure on the CAP in the United Kingdom 1,849 32 1,871 32 1,993 34
Receipts from the EC in relation to agriculture2 1,636 28 1,810 31 1,683 29
Total Exchequer expenditure on agricultural grants and subsidies (EC and National) 1,910 33 1,959 34 2,066 36
Cost to the Exchequer of the United Kingdom's net contribution to the total Community budget (all EC expenditure including agriculture)3 2,185 38 943 16 2,100 36
Sources:
Agriculture in the United Kingdom 1992.
1992 Departmental Report of the Chancellor of the Exchequer's Department.
OPCS 1993 Annual Abstract of Statistics and Monthly Digest of Statistics (July 1993).
1 1990–91 population based on the OPCS 1990 population figure, 1991–92 and 1992–93 based on the OPCS 1991 population figure.
2 Receipts do not always relate to expenditure in the year to which they are received.
3 The bulk of contributions (excluding duties and levies) are based on estimates of domestic GNP, agreed well before the start of the year in question.

A difference invariably arises between estimates and outtum figures, and adjustments to contributions are made in following year to correct over/under payments; this leads to consequential correction to the abatement in the year after that. The net contribution is subject to considerable variation as a result of this process.

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