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British Overseas Territories

Volume 705: debated on Wednesday 19 November 2008

asked Her Majesty's Government:

What has been the cost to the Treasury of contingent liabilities to each Overseas Territory in each of the past 10 years for which figures are available; and how much of this has been due to damage caused by climate incidents and other natural phenomena. [HL5520]

All assistance arises from the UK's contingent liability to meet the reasonable assistance needs of the Overseas Territories, and defence commitments.

The following government departments provide the majority of the assistance to the Overseas Territories: the Foreign and Commonwealth Office (FCO), the Department for International Development (DfID), the Ministry of Defence (MoD) and the Department for Transport (DfT).

DfID bilateral aid to the Overseas Territories between 1998-99 and 2007-08 was:

£ 000s

1998-99

1999-00

2000-01

2001-02

2002-03

2003-04

2004-05

2005-06

2006-07

2007-08

St Helena & Dependencies

8,805

9,363

10,116

10,106

9,555

10,525

14,481

13,564

15,692

17,550

Anguilla

1,977

2,058

2,232

1,847

1,044

954

1,216

895

127

British Virgin Islands

622

516

186

83

90

11

Cayman Islands

23

18

20

3

Montserrat

30,804

22,273

19,597

22,481

23,350

24,757

14,151

12,617

15,556

17,164

Turks and Caicos Islands

3,808

4,044

2,845

2,719

1,532

741

1,187

357

149

178

Pitcairn

148

99

18

26

53

64

1,314

2,582

1,837

1,460

Bermuda

13

4

Falkland Islands

Gibraltar

28

23

27

23

6

5

1

2

1

Regional programmes

563

578

1,618

1,409

957

663

642

1,532

1,771

1,001

TOTALS

46,779

38,984

36,662

38,697

36,586

37,719

32,991

31,548

35,132

37,353

Within these amounts, DfID provided bilateral humanitarian assistance following natural disasters to Montserrat (£19.9 million), St. Helena and Dependencies (£165,000), Anguilla (£112,000) and the Cayman Islands (£3,000).

DfID also made payments to the Gibraltar Social Insurance Fund in respect of the pension liabilities of certain Spanish nationals who had worked in Gibraltar, totalling £77.4 million between 1998-99 and 2006-07. In 2007-08 DfID made further payments of £15.3 million consisting of pension liabilities and incentive payments made to affected Spanish pensioners as part of the Cordoba pensions settlement.

The FCO's Overseas Territories Programme Fund (OTPF) has a number of high-level objectives, including ensuring that the UK's contingent liabilities are well managed and mitigated. Funding to the Overseas Territories, from this and its predecessor fund, since 2000 has been:

2000-01

2001-02

2002-03

2003-04

2004-05

2005-06

2006-07

2007-08

£m

3.30

2.95

2.84

3.10

3.00

6.50

4.50

6.60

The Department for Transport takes the lead in mitigating contingent liability arising from maritime and aviation activities in the Overseas Territories. Expenditure in these areas has been:

2000-01

2001-02

2002-03

2003-04

2004-05

2005-06

2006-07

2007-08

£m

n/a

0.461

0.461

2.91

2.05

3.06

3.47

3.36

1 Aviation Safety spend only. Other figures not readily available

The Ministry of Defence spent £104 million on maintaining its defence presence in the Falkland Islands in 2008-09. It commits approximately £2 million each year to fund defence of the Overseas Territories and disaster relief in the Caribbean Overseas Territories.