EXPLANATORY NOTE
The British Government has recently reviewed the
compositiɔn of the charges it makes against other Governments
when British Service personnel are loaned to those Governments,
whether or not such loans are covered by a Loan Agreement
setting out a particular division of costs between the
British Government and the other Government concerned.
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2. The British Government has always been conscious that
those charges have only covered such elements as the current
pay and allowances received by Service personnel loaned to
another Government.
hitherto been taken of the fact that personnel loaned to
another Government will have received during their service
expensive and valuable training by which they are enabled to
carry out proficiently the duties for which they have been
loaned to the borrowing Government, and of which the benefits
accrue to the other Government during the period of the loan.
3. By far the most expensive kind of training which the
British Services have to provide for their personnel is flying
trainin: and, in recent years, this has been becoming ever more
costly. It costs now, for examply, well over £100,000 to
produce a fully trained R.A.F. pilot. In the course of its
roview of chargesfor loaned personnel the British Government
has come to the conclusion that it can no longer forego seeking
reimbursement from other Governments for an appropriate share
In assessing the charges no account has
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of the cost to the British Government of the flying training
which aircrew have received during their service,
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