2
1
The same assumptions are made as in 1 abovo, but in addition allowance is made for the possible substitution of E.D.C. emporta for J.K. exports to the extent of HI‡285 mn. (i.c. £22 mm.). The timing of the E.E.C. olement is ascumod to be the same as for the U.E. olement.
2.
H.K. mas.
Present value of loan
Prosont value of rocoipts
(a) 2,553.2
(capital and interest)
(b) 1,775.5
Present value of cxports
(assuming that the timing of exports is as in 1)
(c) 1,951.7
This results in a subsidy to U.K. exports [(a)-(b) as a percentage of (c)] of 39.84. The subsidy element in the financing is the samo
1
1, 1.6.30.45.
I should add that these calculations have had to be made at very short notice and they are dependent solely upon the, perhaps inccmplote, information available to us.
I am copying this letter to Cotterill and Coggins (E.C.G.D.), Glaves-Smith and Miss Lackey (D.T.I.), Finlayson and Stuart (.c.o.) and Wilshire (0.D.A.).
{
[Yours sincerely,]
R.Jones, Esq., [H.M.Treasury, Great George Street, London SW1P 3AG]
(Signed) G. M. LAMBERT
Page 60Page 61