The Rt. Hon. Sir John Major KG CH

Tag: Balance of Payments

  • Mr Major’s Written Parliamentary Answer on Balance of Payments – 8 June 1989

    Below is the text of Mr Major’s written Parliamentary Answer on Balance of Payments on 8th June 1989.

    Mr. Wall To ask the Chancellor of the Exchequer if he will forecast the balance of payments in each year until 1992.

    Ms. Abbott To ask the Chancellor of the Exchequer if he will forecast the balance of payments in each year until 1992.

    Mr. O’Brien To ask the Chancellor of the Exchequer if he will forecast the balance of payments in each year until 1992.

    Mrs. Mahon To ask the Chancellor of the Exchequer if he will forecast the balance of payments in each year until 1992.

    Mr. Major The Financial Statement and Budget Report for 1989–90 provides a forecast for the current account of the balance of payments for 1989 and the first half of 1990. Forecasts for later years are not published.

    Mr. Win Griffiths To ask the Chancellor of the Exchequer what was the balance of payments for the first quarter of 1989.

    Mr. Flynn To ask the Chancellor of the Exchequer what was the balance of payments for the first quarter of 1989.

    Mr. Major I refer the hon. Members to the reply my right hon. Friend the Financial Secretary gave earlier today to the hon. Member for Clwyd, South-West (Mr. Jones).

    Mr. Gareth Wardell To ask the Chancellor of the Exchequer what is his latest forecast for the United Kingdom balance of payments for 1989.

    Dr. Kim Howells To ask the Chancellor of the Exchequer what is his latest forecast for the United Kingdom balance of payments for 1989.

    Mr. Rogers To ask the Chancellor of the Exchequer what is his latest forecast for the United Kingdom balance of payments for 1989.

    Mr. Major I refer the hon. Members to the reply I gave to the hon. Member for Cardiff, West (Mr. Morgan) on 6 June.

  • Mr Major’s Written Parliamentary Answer on Balance of Payments – 6 April 1989

    Below is the text of Mr Major’s written Parliamentary Answer on Balance of Payments on 6th April 1989.

    Mr. George Howarth To ask the Chancellor of the Exchequer which countries in the European Economic Community have a larger balance of payments deficit as a percentage of gross domestic product than the United Kingdom.

    Mr. Robert Hughes To ask the Chancellor of the Exchequer which countries in the EEC have a larger balance of payments deficit as a percentage of gross domestic product than the United Kingdom.

    Mr. Hoyle To ask the Chancellor of the Exchequer which countries in the EEC have a larger balance of payments deficit as a percentage of gross domestic product than the United Kingdom.

    Mr. Major On the basis of published figures, none.

    Mr. Frank Field To ask the Chancellor of the Exchequer if he will estimate when the balance of payments will return to surplus.

    Mr. Flynn To ask the Chancellor of the Exchequer if he will estimate when the balance of payments will return to surplus.

    Mr. Fisher To ask the Chancellor of the Exchequer if he will estimate when the balance of payments will return to surplus.

    Mr. Flannery To ask the Chancellor of the Exchequer if he will estimate when the balance of payments will return to surplus.

    Mr. Major The Financial Statement and Budget Report for 1989–90 published on 14 March provided forecasts of the balance of payments for 1989 and the first half of 1990. The balance of payments on current account is expected to remain in deficit over this period. Forecasts for later years are not published.

    Ms. Harman To ask the Chancellor of the Exchequer if he will make a statement on the current balance of payments deficit.

    Mr. Win Griffiths To ask the Chancellor of the Exchequer if he will make a statement on the current balance of payments deficit.

    Mr. Grocott To ask the Chancellor of the Exchequer if he will make a statement on the current balance of payments deficit.

    Ms. Gordon To ask the Chancellor of the Exchequer if he will make a statement on the current balance of payments deficit.

    Mr. Major I refer the hon. Members to the recently published Financial Statement and Budget Report.

    Mr. Galloway To ask the Chancellor of the Exchequer when he expects the balance of payments deficit will begin to fall as a percentage of gross domestic product.

    Mr. Foulkes To ask the Chancellor of the Exchequer when he expects the balance of payments deficit will begin to fall as a percentage of gross domestic product.

    Mr. Major I refer the hon. Members to the reply that my right hon. Friend the Chancellor of the Exchequer gave earlier today to the hon. Member for Norwich, South (Mr. Garrett).

  • Mr Major’s Parliamentary Answer on Balance of Payments – 6 April 1989

    Below is the text of Mr Major’s response on Balance of Payments, made on 6th April 1989 in the House of Commons.

    Dr. Godman To ask the Chancellor of the Exchequer what representations he has received on his Budget forecast for the balance of payments in 1989 and 1990.

    The Chief Secretary to the Treasury (Mr. John Major) None, Sir.

    Dr. Godman After learning last week’s figures, does the Chief Secretary’s right hon. Friend, the Chancellor of the Exchequer, now predict that the balance of payments deficit for this year will rise or fall?

    Mr. Major I see no reason to change the estimate that my right hon. Friend gave some time ago.

    Mr. Nicholas Winterton Bearing in mind the answer given by my right hon. Friend the Chancellor to the last questions, does my right hon. Friend the Chief Secretary accept that if interest rates were lower, investment in this country would be higher and that our balance of payments would improve? Does my right hon. Friend agree that interest rates have affected, and will affect, investment, and that investment will have a direct impact on our balance of payments?

    Mr. Major What would certainly have a very direct effect on investment would be a failure to take the action necessary to bring down inflation – and that is the purpose of the current short-term interest rate policy. One of the attractive aspects of investment over the past year or two is that so much of it has been made out of retained profits, whereas in previous years and under previous Governments, profits were not there to provide for investment.

    Mr. John Smith Has the Chief Secretary seen the international monetary fund’s prediction that the balance of payments deficit for 1989 will reach a record £17 billion? As the Chancellor got it so badly wrong this year, why should we believe his prediction this year as opposed to that of the IMF?

    Mr. Major The right hon. and learned Gentleman will recall that the IMF was equally inaccurate last year, as were most other forecasters. The right hon. and learned Gentleman neglects to mention that the IMF report also described the Government’s policies as being entirely appropriate, and it confirmed that our strong fiscal policies support monetary policy and strengthen confidence.

    Mr. Beith Would the Government regard it as an achievement if, instead of being £10 billion out with their balance of payments forecast, this year they were only about £6 billion out? Will the Chief Secretary explain why he believes that exports will rise more than twice as fast as imports in order to make his promise come true?

    Mr. Major There is no doubt that in recent years exports have been performing extremely well. The reasons why we believe that export performance will continue include the degree of investment and the improved supply-side performance.

    Mr. Sumberg As we listen to the views of Opposition Members and hear their policies unfolded, is it not becoming clearer day by day that the Labour party remains the party of high taxation and of higher spending than we can afford, and that it wants to return to the days of public borrowing and public debt?

    Mr. Major My hon. Friend describes the situation with precise accuracy.

  • Mr Major’s Parliamentary Answer on Balance of Payments – 26 January 1989

    Below is the text of Mr Major’s response on Balance of Payments, made on 26th January 1989 in the House of Commons.

    Mr. McLeish To ask the Chancellor of the Exchequer if he will state the current balance of payments as a proportion of gross domestic product.

    Dr. Godman To ask the Chancellor of the Exchequer what is the current balance of payments as a proportion of gross domestic product.

    Mr. Tom Clarke To ask the Chancellor of the Exchequer if he will state the current balance of payments as a proportion of gross domestic profit.

    Mr. Major In the latest 12 months for which figures are available the current account deficit as a proportion of gross domestic product was 2½ per cent.

    Mr. Strang To ask the Chancellor of the Exchequer if he will list his policies which are aimed at reducing the balance of payments deficit; and if he will make a statement.

    Mr. Major The rise in the current account deficit has primarily reflected the strength of domestic demand. The Government responded appropriately by tightening monetary policy and the effects of this are already beginning to bite, particularly in the housing market and in the retail sector. However, as my right hon. Friend the Chancellor has made clear, the current account deficit is likely to be one of the last indicators to respond.

    Mr. Battle To ask the Chancellor of the Exchequer if he will give his latest forecast for the United Kingdom’s balance of payments.

    Mr. Cohen To ask the Chancellor of the Exchequer if he will give his latest forecast for the United Kingdom’s balance of payments.

    Mr. McFall To ask the Chancellor of the Exchequer if he will give his latest forecast for the United Kingdom’s balance of payments.

    Mr. Major The Autumn Statement forecast a current account deficit this year of £11 billion. There will be a new forecast published on Budget day in the usual way.

  • Mr Major’s Written Parliamentary Answer on Balance of Payments – 26 January 1989

    Below is the text of Mr Major’s written Parliamentary Answer on Balance of Payments on 26th January 1989.

    Mr. McLeish To ask the Chancellor of the Exchequer if he will state the current balance of payments as a proportion of gross domestic product.

    Dr. Godman To ask the Chancellor of the Exchequer what is the current balance of payments as a proportion of gross domestic product.

    Mr. Tom Clarke To ask the Chancellor of the Exchequer if he will state the current balance of payments as a proportion of gross domestic profit.

    Mr. Major In the latest 12 months for which figures are available the current account deficit as a proportion of gross domestic product was 2½ per cent.

    Mr. Strang To ask the Chancellor of the Exchequer if he will list his policies which are aimed at reducing the balance of payments deficit; and if he will make a statement.

    Mr. Major The rise in the current account deficit has primarily reflected the strength of domestic demand. The Government responded appropriately by tightening monetary policy and the effects of this are already beginning to bite, particularly in the housing market and in the retail sector. However, as my right hon. Friend the Chancellor has made clear, the current account deficit is likely to be one of the last indicators to respond.

    Mr. Battle To ask the Chancellor of the Exchequer if he will give his latest forecast for the United Kingdom’s balance of payments.

    Mr. Cohen To ask the Chancellor of the Exchequer if he will give his latest forecast for the United Kingdom’s balance of payments.

    Mr. McFall To ask the Chancellor of the Exchequer if he will give his latest forecast for the United Kingdom’s balance of payments.

    Mr. Major The Autumn Statement forecast a current account deficit this year of £11 billion. There will be a new forecast published on Budget day in the usual way.

  • Mr Major’s Written Parliamentary Answer on Balance of Payments – 14 July 1988

    Below is the text of Mr Major’s written Parliamentary Answer on Balance of Payments on 14th July 1988.

    Mr. Henderson To ask the Chancellor of the Exchequer if he will make a statement on the trend in the balance of payments.

    Mr. Lilley The current account deficit was £1.6 billion in 1987 and is estimated to be £4.7 billion so far in 1988.

    Mr. Harry Greenway To ask the Chancellor of the Exchequer what steps he is taking to improve the balance of payments position: and if he will make a statement.

    Mr. Campbell-Savours To ask the Chancellor of the Exchequer what steps he intends to take to bring about an improvement in Britain’s balance of payments performance.

    Mr. Radice To ask the Chancellor of the Exchequer what measures are being taken to improve the balance of payments.

    Mr. Major Policy will continue to be directed to defeating inflation and encouraging enterprise.

    Mr. Sedgemore To ask the Chancellor of the Exchequer what is the level of the current account deficit on the balance of payments that he now predicts for this financial year.

    Mr. Skinner To ask the Chancellor of the Exchequer what new estimates he has made for the balance of payments figures in 1988; and if he will make a statement.

    Mr. Mullin To ask the Chancellor of the Exchequer what is the level of the current account deficit on the balance of payments that he now predicts for this financial year.

    Mr. Cummings To ask the Chancellor of the Exchequer what level of current account deficit on balance of payments he now predicts for this financial year.

    Mr. Nigel Griffiths To ask the Chancellor of the Exchequer by how much he would now revise his Budget estimates of the likely outturn this year for the balance of payments.

    Mr. Andrew Smith To ask the Chancellor of the Exchequer what is his most recent estimate of the current account balance of payments for 1988 in (a) visible trade and (b) invisibles.

    Mr. Strang To ask the Chancellor of the Exchequer if, in the light of the most recent trade figures, he will revise his current estimate of the balance of payments deficit for 1988–89.

    Mr. Tony Lloyd To ask the Chancellor of the Exchequer if he will update his forecast for the 1988 current account deficit as given in the “Financial Statement and Budget Report 1988–89”.

    Mr. Cohen To ask the Chancellor of the Exchequer if he will give his latest estimate of the balance of payments for 1988–89.

    Mr. Major As my right hon. Friend the Chancellor of the Exchequer has already said, recent figures suggest that the current account deficit in 1988 may be larger than the £4 billion forecast at Budget time.

    Mr. Cousins To ask the Chancellor of the Exchequer what is his estimate of the impact of the measures announced in his Budget on the balance of payments.

    Mr. Patchett To ask the Chancellor of the Exchequer what is his forecast for the impact of his Budget income tax changes on the level of manufactured imports in the present year.

    Mr. Major I refer the hon. Members to the answer my right hon. Friend the Chancellor of the Exchequer gave on 12 May 1988 to the hon. Members for Newcastle upon Tyne, North (Mr. Henderson) and for Edinburgh, Central (Mr. Darling) at column 453.

    Mr. Wall To ask the Chancellor of the Exchequer what representations he has recently received about the level of the balance of payments deficit for the first few months of 1988.

    Mr. Major My right hon. Friend has received a number of representations on this, as on a number of subjects.

    Mr. Rooker To ask the Chancellor of the Exchequer what are the latest available figures in respect of the balance of payments; and what are the comparable figures for one and nine years ago.

    Mr. Major In the first five months of 1988 the current account deficit was £4.7 billion. In the same period a year ago, a surplus of £0.8 billion was recorded, while nine years ago a deficit of £0.6 billion was recorded.

    Mr. Wareing To ask the Chancellor of the Exchequer what action he intends to take in relation to the current balance of payments position.

    Mr. Wallace To ask the Chancellor of the Exchequer whether he proposes to take any measures to reduce the level of the balance of payments deficit.

    Mr. Major This Government will stick to firm monetary and fiscal policies. These, along with policies to encourage enterprise, will help to ensure continued economic prosperity. In particular, the current surge in domestic investment and lower tax rates will bring strong lasting benefit to United Kingdom trade performance.

  • Mr Major’s Written Parliamentary Answer on Balance of Payments – 7 July 1988

    Below is the text of Mr Major’s written Parliamentary Answer on Balance of Payments on 7th July 1988.

    Ms. Quin To ask the Chancellor of the Exchequer if he will give, for each year since 1983, the annual balance of payments figure; and if he will indicate what his estimate is now for the current year.

    Mr. Major I give the historical figures as follows:

    Year | Current account balances (in £ billion)
    1983 | 3.7
    1984 | 2.0
    1985 | 3.3
    1986 | 0.1
    1987 | -1.6

    Source: DTI Monthly Review of External Trade Statistics.

    As my right hon. Friend has already said, recent figures suggest that the current account deficit in 1988 will be larger than the £4 billion forecast at the time of the Budget.

  • Mr Major’s Written Parliamentary Answer on Balance of Payments – 16 June 1988

    Below is the text of Mr Major’s written Parliamentary Answer on Balance of Payments on 16th June 1988.

    Mr. Ernie Ross To ask the Chancellor of the Exchequer if he will make a statement regarding the effect of the recent appreciation of the value of the pound on the current account of the United Kingdom balance of payments.

    Mr. Doran To ask the Chancellor of the Exchequer if he will make a statement regarding the effect of the recent appreciation of the value of the pound on the current account of the United Kingdom balance of payments.

    Mr. Major I refer the hon. Members to the answer given earlier today by my hon. Friend the Economic Secretary to the hon. Member for Western Isles (Mr. Macdonald).

    Mr. Fisher To ask the Chancellor of the Exchequer what is his latest estimate of the balance of payments for 1988–89.

    Mr. Major At Budget time my right hon. Friend the Chancellor of the Exchequer forecast a current account deficit of £4 billion for 1988. A new forecast will be published at the time of the Autumn Statement.