§ Lord Tebbitasked Her Majesty's Government:
Further to their answer of 24th June (HL Deb, col. WA 49) whether they will now estimate what is their current expectation of total expenditure throughout the European Union in respect of measures to deal with BSE including beef market support measures and all others, and state what part of that will be borne by the United Kingdom and what part will be spent in the United Kingdom.
Lord LucasThe European Commission's current CAP budget proposals contain provisions of £1,200 million in 1996 and £299 million in 1997 for measures so far agreed to deal with BSE including additional beef market support measures. As well as expenditure on slaughter compensation schemes covered in the answer of 24th June, this includes extra provision for the calf slaughter premium, private storage aid for veal, intervention purchases above those previously budgeted for and compensation to beef producers. The 1997 preliminary draft budget for the CAP also contains a reserve of £410 million to cover the cost of further support measures which may be necessary, including compensation for selective culling in the United Kingdom. The United Kingdom is forecast to contribute about 15 per cent. to the EU budget in 1996 and 14 per cent. in 1997 before our Fontainebleau abatement is taken into account.
About £287 million of the 1996 amount is expected to be spent in the United Kingdom, excluding the share of additional intervention purchases, for which a breakdown is not available. All of the £299 million in 1997 is expected to be spent in the United Kingdom.