Written question asked by Lord Laird (Non-affiliated) on Tuesday, 8 November 2016, in the House of Lords. It was due for an answer on Tuesday, 22 November 2016. It was answered by Lord Young of Cookham (Conservative) on Tuesday, 22 November 2016 on behalf of the Treasury.

World War I: Debts

Question: To ask Her Majesty’s Government whether they owe any money to the government of the United States as a result of purchase of armaments and other equipment during the First World War; and if so, how much they owe and what are the arrangements for repayment.

Answer: The United Kingdom owed around £850 million to the United States for activities in the First World War. However, in 1931 the United States proposed a temporary moratorium on all War debts, to allow for negotiations on debt repayment. Following negotiations, no satisfactory agreement was reached and as such, repayments were cancelled between the United Kingdom and United States. The last repayment from the United Kingdom to the United States for debt from the First World War was made in the financial year 1932-33.

Secondary information