asked Her Majesty's Government:What has been the net cost to the Treasury for each year since inception of the exchange cover scheme for each nationalised industry; all figures to be expressed both in current prices and in constant 1979 survey prices.

Any breakdown between years of the benefits from, and costs of, loans covered by the exchange cover scheme would be misleading. The sterling costs and benefits to the exchange equalisation account of the scheme depend upon the exchange rate between sterling and the various currencies borrowed at the beginning and at maturity of individual loans and the movement in sterling and overseas interest rates throughout the periods of the loans. During the life of the loans the exchange equalisation account also benefits from payments into the account by the public sector borrowers. The cost to the exchange equalisation account of the scheme consists of the increased sterling liability for the foreign currency borrowing. The assessment of any eventual net cost to the exchange equalisation account in respect of a particular loan can be completed only when that loan has been repaid.On 11th March 1981 the Financial Secretary to the Treasury announced that in future cover under the scheme will normally be offered only on approved loans through the Community institutions with which the Government wish to maintain a programme of borrowing.