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European Community

Volume 959: debated on Friday 1 December 1978

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asked the Chancellor of the Exchequer what have been the total United Kingdom payments to the EEC since joining; what has been received from the EEC in the same period; and if he will list the grants or loans which have been made.

pursuant to his reply [Official Report, 30th November 1978], gave the following information:Total payments to the European Communities by the United Kingdom from 1st January 1973 to 30th September 1978 have been as follows:

£million
Payments to the Community Budget2,924·1
EIB Capital Contributions77·4
EGSC Capital Contributions23·8
ECSC Production Levies†55·3
†ECSC production levies are paid direct by coal and steel producers.
Total receipts from the Community Budget for the period 1st January 1973 to 30th September 1978 have been as follows:
£million
European Agricultural Guidance and Guarantee Fund (EAGGF)— Guarantee Section 1,071·4
EAGGF—Guidance Section66·3
Social Fund134·1
Regional Development Fund112·1
Other271·8
Total1,655·7
I regret that the compilation of a comprehensive list of grants received from the Communities would involve a disproportionate cost. Details of loans received are as follows:

Between 1st January 1973 and 30th September 1978, the United Kingdom received loans from the European Investment Bank totalling £1,006 million. Details are as follows:
EUROPEAN INVESTMENT BANK LOANS

Borrower

Amount£million

Repayment period years

Interest rate Per cent.

Project

1973Industrial and Commercial Finance Corporation2·514For on-lending to small and medium-sized firms in the development areas.
1·097⅜
British Steel Corporation14·717½Expansion of burden-preparation facilities at the Teesside iron and steelworks.
British Steel Corporation 14·718Llanwern iron and steelworks.
32·9
1974North of Scotland Hydro-Electric Board10·420Peterhead Power Station, Aberdeenshire.
Elf Oil (UK)10·4109⅞Development of the Frigg gas field in the North Sea.
Total Oil (UK)
Aquitaine Oil (UK)
Kent and Essex County Councils7·01010½Second Dartford Tunnel.
British Steel Corporation8·01210½New Sinter plant at Port Talbot Steelworks.
British Steel Corporation12·01210½Construction of bar mill at Thryburg Steelworks near Rotherham.
Industrial and Commercial Finance Corporation10·0*10For on-loading to small and medium-sized firms in the development areas.
Lewis Offshore Ltd4·0810½Development of a construction yard at Arnish Point in the Hebrides for the assembly of equipment for offshore oil exploration and production.
Electricity Council15·61210½Nuclear Power Station at Hartlepool.
Short Bros & Harland Ltd. Belfast2·5510½Development of low-cost commuter aircraft at the company's factory in Belfast.
79·9
1975South of Scotland Electricity Board15·6129⅞Hunterston B Nuclear Power Station.
Electricity Council7·812Nuclear Power Station, Hartlepool.
Distillers Company12·010Whisky blending and bottling factory at Shieldhall, near Glasgow.
South of Scotland Electricity Board7·812Hunterston B Nuclear Power Station.
National Coal Board7·210Extension and modernisation of five coal mines in Yorkshire and South Wales.

*Lapsed in November 1975 after only £600,000 had been drawn.

Borrower

Amount £ million

Repayment period years

Interest rate Per cent.

Project

British Gas Corporation24·210New pipeline system to bring natural gas from the Frigg Field to Scotland and connect up with the national distribution grid.
British Gas Corporation23·610Second phase of extension to the natural gas transmission system to permit deliveries of gas from the Frigg Field.
Tate &Lyle1·610Glucose factory at Goole, Yorkshire.
Post Office.17·510Modernisation of telecommunications in Wales and the Borders.
National Water Council7·512Kielder water scheme, North East England.
British Steel Corporation17·510Installation of new coating lines at Shotton, North Wales.
South of Scotland Electricity Board10·08Power lines to connect Inverkid power station with the main transmission system.
North of Scotland Hydro-Electricity Board10.08Power lines to connect Peterhead North power station with the main transmission system, and to reinforce supply system to Aberdeen.
British Railways Board6·38Construction of"merry-go-round"coal wagons.
Shetland Island Council16·910Oil tanker harbour at Sullom Voe in the Shetlands.
Olivetti International1·05Conversion and expansion of the British Olivetti typewriter factory in Glasgow.
186·5
1976 British Gas Corporation20·010Gas pipelines network.
Post Office17·310Telecommunications network in Scotland.
National Water Council9·010Water supply schemes in North-West England.
National Water Council4·012Kielder water scheme in Northumbria.
British Gas Corporation17·389Southern Feeder gas pipeline.
British Railways Board11·689Construction of three prototype Advanced Passenger Trains.
British Gas Corporation8·689Gas pipeline to South-West England.
Post Office17·610Telephone installations in North-Eastern telecommunications regions.
British Railways Board5·510To modernise shipping service between Holyhead and Dun-Laoghaire.
Electricity Council26·012Dinorwic hydro-electric scheme.
North Sea Inc16·889Development of Beryl oil field in the North Sea.
British Steel Corporation6·7589Expansion of Consett works, Co. Durham.
British Steel Corporation3·589Expansion of Dalzell steelworks, Motherwell.

Borrower

Amount £ million

Repayment period years

Interest rate Per cent.

Project

British Railways Board5·0109Enlargement of two hovercraft.
British Steel Corporation14·7109(i)£12·6 million for coal handling and blending system at Port Talbot.
(ii)£2·l million for improvements at Distington Works, Workington.
National Water Council10·0128⅞(i) £6 million for the Kielder Water Scheme, North-umbria.
(ii) £4 million for water supply and sewerage projects in Cornwall.
Santa Fe Minerals (UK) Inc17·978⅜Development of Thistle oil field in the North Sea.
British Petroleum30·48(i) £19·7 million for acetic acid plant at Hull.
(ii) £10·7 million for pipeline from Ninian oil field to Sullom Voe.
British Steel Corporation17·0108⅞To increase casing pipe finishing capacity at two works near Glasgow and at Hartlepool.
258·95
1977Post Office18·5108⅞Extension and modernisation of telephone system in Northern Ireland.
National Water Council8·398⅞Increase of water supplies in Cheshire, Merseyside, Greater Manchester, Lancashire and Cumbria.
British Steel Corporation14·0128⅞Ravenscraig works, Motherwell.
National Water Council7·5159⅛Water supply project and sewerage scheme in Teesside region.
National Water Council6·2128⅞Water supply projects and sewerage schemes in Gwent, Mid and South Glamorgan.
National Water Council2·511½Water supply and sewage scheme in Cornwall.
National Water Council7·5158·95Water supply project and sewerage scheme in Teesside region.
National Water Council14·6158·95Water supply project in Yorkshire.
North of Scotland Hydro-Electricity Board4·1158·95Reinforcement of electricity transmission system to the Isle of Skye. Introduction of first mains electricity supply to three Shetland Islands.
British Steel Corporation Chemicals6·912Construction of Benzole refinery at Port Clarence on Teesside.
British Steel Corporation7·7128⅞Modernisation of iron foundries at Distington works, Workington and Fullwood, near Motherwell.
British Steel Corporation3·8128⅞Modernisation of steel foundry at Craigneute, near Motherwell.
British Steel Corporation52·712Expansion of steelworks at Motherwell.

Borrower

Amount £ million

Repayment period years

Interest rate Per cent.

Project

Lothian Water25·0159To increase water supplies to Edinburgh and Midlothian and to reduce pollution in the Firth of Forth by major improvements to Edinburgh sewerage system.
National Water Council6·211½Water supply projects and sewerage schemes in Gwent Mid and South Glamorgan.
National Water Council19·8159Works designed to increase water supplies in the North-West of England.
South of Scotland Electricity Board4·312Erection of transmission lines in Scotland.
United Kingdom Government Agency20·07Finance for small and medium-sized industrial ventures in the assisted areas.
British Railways Board7·2128·45High speed rail depots on East Coast.
British Steel Corporation8·0128·60Third iron ore reloader at Redcar, South Teesside.
British Steel Corporation3·9128·60Modernisation of Templeton Brickworks, Co. Durham.
Central Electricity Generating Board52·3158·65Construction of power station at Heysham, Lancashire.
National Water Council19·8158·60Improvement of water supplies by construction at Kielder dam and distribution system to the Wear and Tees.
320·7
1978*Electricity Council22·9158·60Dinorwic pumped storage power station, Wales.
Electricity Council22·9158·60Hartlepool nuclear power station.
National Water Council16·0158·55Water supply/sewerageschemes in North-West England.
National Water Council15·0209·30Water supply schemes in Yorkshire and Humberside
Grampian Regional Council5·0159·40Improvements to road and water supply schemes in Aberdeen.
Lothian Regional Council8·514½9·40Water supply and sewerage schemes in Edinburgh and Midlothian.
BICC Metals5·01010·25Modernisation of copper refining plant at Prescot Merseyside.
National Water Council10·01510·15Sewage disposal works in Tyneside.
National Water Council6·61510·15Kielder Dam.
National Water Council4·01510·15Water supply scheme in Plymouth area.
Civil Aviation Authority10·751010·75Extension of Sumburgh airport, Shetlands.
126·65

* To end of September.

The amount of grants from the European Coal and Steel Community received by the United Kingdom between 1st January 1973 and 30th September 1978 is as follows:—

£ million

British Steel Corporation2·2
National Coal Board25·8
Details of loans made by the ECSC are as follows:—
BRITISH STEEL CORPORATION
Period

Date of consent

Date of drawdown

Loan principal million

Sterling equivalent £ million

Rate of Interest

years

months

9th August 197430th August 1974US $20·959·06¼% p.a. on US $6·48m. for first 5 years, 9¼% p.a. thereafter79
9¼% p.a. on balance starting 30th May 1975
9th August 197430th August 1974US $23·0510·06¼% p.a. on US $6·96m. for first 5 years, 9£% p.a. thereafter99
9¼% p.a. on balance starting 7th June 1975
20th December 197416th January 1975US $54·023·010% p.a. payable half-yearly in arrears, i.e. 15th May and 15th 9 October.910
9th May 197515th May 1975US $16·537·26 % p.a. on US $ 83m. for first 5 years, 9 % p.a. thereafter96
9% p.a. on balance
9th May 197515th May 1975US $9·454·16 % p.a. on US % 35m. for first 5 years, 9 % p.a. thereafter96
9% p.a. on balance
16th June 197520th June 1975US $3·01·36% p.a. for first 5 years, 9% p.a. thereafter78
16th June 197520th June 1975US $7·03·19% p.a.78
20th October 197526th October 1975US $22·9911·29·7% p.a.611
US $12·436·1
1st December 19755th December 1975Sw.Fr. 22·444·48·5% p.a.80
1st December 19755th December 1975.Sw.Fr. 1·425·5% p.a. for first 5 years, 8·5% thereafter80
9th January 197615th January 1976Sw.Fr. 26·55·08·5% p.a.70

Period

Date of consent

Date of drawdown

Loan principal

Sterling equivalent

Rate of Interest

years

months

million

£ million

13th February 197617th February 1976US $50·8040·09·4% p.a410
US$28·08
27th February 19761st March 1976US $60·5130·09·6% p.a.910
US$31·8816·0
12th March 197616th March 1976Guilders 305·88·4% p.a.611
23rd March 1976.25th March 1976Can. $5026·49·5% p.a70
8th April 197614th April 1976Guilders 6·931·46% p.a. for first 5 years, 9% p.a. thereafter1911
8th April 197620th April 1976Guilders 306·08·4% p.a610
20th May 197626th May 1976US $53·7530·156% p.a. on US $2·79m. for first 5 years, 9% p.a. thereafter80
9% p.a. on balance
20th May 197626th May 1976US $53·6530·159·5% p.a.200
8th December 197615th December 1976Sw. Fr. 6616·46·35% p.a.150
18th January 1977US $8·785·09·3 % p.a. (Each half year of first 5 years, interest rebate of 47·600 units of account).1910
18th January 1977US $6336·28·65% p.a.79
18th January 1977DM 15·83·88·25% p.a.98
25th February 1977US $10·229·181% p.a.50
US$39·8
5th April 197715th April 1977Can. $2513·89·65% p.a.70
5th May 1977May 1977US $105·89·55% p.a.200
12th July 197722nd July 1977US $2011·69·3% p.a.180
7th October 1977.October 1977US $7·84·48·875% p.a.120
8th December 197712th December 1977.Sw. Fr. 19·859·67·35% p.a.80
£4·5
May/June 19771·11 % p.a. (loan for workers' housing)approx21
407·1

NATIONAL COAL BOARD

Date of drawing

Loan principal

Sterling equivalent £ million

Details

28th June 1974US $5·625 million2·48·25%.15 years. Combination of Horden & Blackhall collieries and provision of new coal preparation plant.
31st July 1974 US $10 million4·28·25 % 5 years. Purchase of powered roof supports.
31st July 1974US $15 million6·39·25 $ 8 years. Purchase of powered roof supports.
6th September 1974DM 25 million 4·19·25$. 7 years. Littleton, Trentham, Royston, Bettws, Easington collieries development project.
15th November 1974£1·0 million (out of total of £1·7 million* see 16th June 1975).1·01 %. 25 years. Improvements of coal industry workers' homes (1st instalment).
18th February 1975US $2·865 million1·210%. 10 years. Combination of Horden & Blackhall collieries.
18th February 1975US $11·025 million4·610%. 10 years. Development at Littleton, Trentham, Royston, Bettws and Easington collieries.
18th February 1975US $7·875 million3-310%. 10 years. Combination of Markham & Ireland collieries.
18th February 1975 US $18·435 million7·710%. 10 years. Purchase of powered roof supports.
30th April 1975US $23·5 million 10·09%. 8 years. Purchase of powered roof supports.
30th April 1975US $12·030 million5·19%. 9 years. Development at Littleton, Trentham, Royston, Bettws and Easington collieries.
15th May 1975US $46·5 million 20·29·. 8 years. Development at Thoresby, Haig, South Leicester, Ollerton, Taff Merthyr/Merthyr Vale, Thurcroft, Betteshanger, Dinnington, Blaenant and Lynemouth/EIlington collieries.
16th June 1975£ 0·7million*(see15th November 1974).0·71 ·. 25 years. Improvement of coal industry workers' homes (2nd instalment).
15th October 1975Sw. Fr. 25 million 4·68·5%. 8 years. The purchase of moveable underground plant and equipment, excluding powered roof supports.
26th November 1975US $18·15 million8·99·7%.7 years. The purchase of moveable underground plant and equipment, excluding powered roof supports.
27th November 1975Sw. Fr. 26·14 million4·88·5%. 8 years. Development at Thoresby, Haig, South Leicester, Ollerton, Taff, Merthyr/Merthyr Vale, Thurcroft, Betteshanger, Dinnington, Blaenant and Lynemouth/EIlington collieries.
15th January 1976Sw. Fr. 23·5 million4·48·5%. 7 years. The purchase of moveable underground plant and equipment, excluding powered roof supports.
17th February 1976US $46·12 million22·89·4%. 5 years. The purchase of moveable underground plant and equipment, excluding powered roof supports; coal preparation facilities; rapid loading facilities.
26th May 1976US $9·15 million 5·19%. 8 years. The establishment of a new drift mine on the site of the existing Prince of Wales Colliery on the North Yorkshire coalfield.
8th November 1976DM 65 million16·78·25%. 10 years. Improvements at Whitwell, Bolsover, Warsop, Linley, Newstead, Cresswell, Grimethorpe, Bentley, Westoe, Oakdale, Cwm/Coedeley, Abertillery, Blaenserchan and Snowdon collieries and Butterwell opencast site.
8th November 1976DM 20 million5·18·25%. 10 years. Improvements at Ackton Hall, Brodsworth, Bentinck, Bevercotes, Silverhill, Silverdale and Bold collieries.

Date of drawing

Loan principal

Sterling equivalent £ million

Details

24th December 1976US $60 million35·78·65 %. 8 years. The purchase of powered roof supports and improvements at Ackton Hall, Brodsworth, Bentinck, Bevercotes, Silverhill, Silverdale, Bold, Whitwell, Bolsover, Warsop, Linby, Newstead, Cresswell, Grimethorpe, Bentley, Westoe, Oakdale, Cwm/Coedeley, Abertillery, Biaenserchan, Snowdon and Butterwell opencast site.
3rd June 1977US $29·955 million17·48·4 %. 7 years. The purchase of underground plant and equipment excluding powered roof supports.
16th September 1977US $42 million24·19·25%. 15 years. The establishment of a new drift mine at Prince of Wales colliery, the purchase of powered roof supports, the construction of a new training centre and the expansion of existing coal preparation laboratories at MRDE, Staffs.
14th October 1977US $34·3 million19·58·75%. 12 years. Improvements at Shirebrook, Silverwood, Treforgan, Allerton, Bywater, Rawdon and Domsthorpe, South Kirkby, Ollerton and Trenton collieries Kingswood opencast site and Maryport Disposal Point.
28th February 1978US $25 million12·89·5%. 8 years. Improvements at Whitwell, Bolsover, Warsop, Linby, Newstead Creswell, Grimethorpe, Bentley, Butterwell, Westoe, Oakdale, Cwm/Coedeley, Abertillery, Biaenserchan, Snowdon, Shirebrook, Silverwool, Treforgan, Allerton Bywater, Rawdon and Donisthorpe, South Kirkby, Ollerton and Treeton collieries, Kingswood Opencast Site and Maryport Disposal Point and the extablishment of a new drift mine at Prince of Wales colliery.
14th March 1978£5 million5·010·25%.11 years 9 months. Improvements at Ackton Hall, Brodsworth, Bentinck Bevercotes, Silverhill, Silverdale and Bold collieries.
31st March 1978DM 56 million14·85·7%. 12 years. Improvements at Shirebrook, Silverwood, Treforgan, Allerton Bywater, Rawdon and Donisthorpe, South Kirkby, Ollerton and Treeton collieries, Kingswear Opencast Site and Maryport Disposal Point.
14th April 1978US $20 million10·69·05%. 9 years. Improvements at Goldthorpe/Highgate, Askern Houghton Main, Grimethorpe, Manton, Thoresby, Harworth, Wearmouth, Bagworth-Ellistow Lady Windsor/Abercynon, Lea Hall Seafield/Frances, Bentley, Frickley/South Elmsall.
19th June 1978£0·402 million (out of total of £0·435 million see 28th July 1978).0·4021 %. 20 years. Improvement and new construction of National Coal Board Housing (1st instalment).
23rd June 1978US $95 million51·59·3%.10 years. Improvements Goldthorpe/Highgate, Askern, Houghton Main, Grimethorpe Manton, Thoresby, Harworth, Wearmouth, Bagworth-Elliston, Lady Windsor/Abercynon, Lea Hall, Seafield/Frances Bentley, Frickley/South Elmsall. Selby.
25th July 1978US $75 million39·09·8%. 15 years. Purchase of Powered Supports. Improvements at Shirebrook, Kingswood, Silverwood, Treforgan, Maryport, Allerton Bywater, Rawdon and Donisthorpe, South Kirkby, Ollerton, Treeton.
28th July 1978DM 32 million8·26·85%. 15 years. Supply and installation of Underground plant and equipment.
28th July 1978£0·034 million (see 19th June 1978).0·0341 %. 20 years. Improvement of Coal Industry Workers' homes (last instalment).
382·2

asked the Chancellor of the Exchequer what he estimates the total United Kingdom payments to the EEC will be in 1979 and 1980; and what he estimates the grants or loans will be from the EEC to the United Kingdom in those two years.

pursuant to his reply [Official Report, 30th November 1978], gave the following answer:The latest estimates of the United Kingdom's gross contributions to, and receipts from, the Community Budget for 1979 and 1980 were published in the Green Paper"The European Monetary System"(Cmnd. 7045).It is not possible to forecast the amount of loans the United Kingdom will receive from the European Communities in future years.