78/154/EEC: Commission Decision of 22 December 1977 authorizing the United Kingdom to take certain protective measures under Article 108 (3) of the EEC Treaty and repealing Decision 75/487/EEC (Only the English text is authentic)

• CELEX: Decision 75/487/EEC
• Articles: 6

Article 1

1. The United Kingdom is hereby authorized, subject to the conditions contained in paragraph 2, on a temporary basis, to maintain the restrictions on direct investments in Member States by United Kingdom residents and the liquidation of such investments.

2. (a) £ 500 000 or 50 % of the total cost of the investment, whichever is the greater, can be obtained at the official exchange rate, where the (1)OJ No L 211, 9.8.1975, p. 29. (2)OJ No L 179, 19.7.1977, p. 30. investment cost is to be recouped by benefits to the United Kingdom's balance of payments, within the period specified in paragraph 2 (b).

(b) The period referred to in paragraph 2 (a) shall not be less than three years.

Article 2

The United Kingdom is hereby authorized on a temporary basis to maintain the restrictions on the following capital movements of a personal nature: (a) transfers of capital belonging to United Kingdom residents who are emigrating, other than transfers in connection with the free movement of persons under the provisions of Title III of Part two of the EEC Treaty. However for transfers by emigrants not covered by the provisions of Title III of Part two of the EEC Treaty, the initial amount transferable per family unit is increased to £ 80 000 from £ 40 000;

(b) gifts and endowments, dowries, succession duties, and real estate investments, other than those in connection with the freedom of movement of persons under the provisions of Title III of Part two of the EEC Treaty. Restrictions shall, however, be abolished on: (i) cash gifts up to £ 1 500 per donor, per annum, plus £ 1 500 for EEC recipients;

(ii) wedding gifts or dowries from parents (or those in loco parentis) up to £ 7 500 per annum in excess of cash gifts allowance.

Article 3

The United Kingdom is hereby authorized on a temporary basis to maintain the restrictions on the acquisition by residents of foreign securities dealt in on a stock exchange and on the use of the proceeds of liquidation thereof, provided that: - the entire proceeds of liquidation of foreign securities can be sold on the investment currency market,

- the repayment of funds borrowed in foreign currency to buy securities issued by the Communities or by the European Investment Bank and quoted on a stock exchange, can be made : from the proceeds of liquidation, or by purchasing funds on the investment currency market, or, where the repayment is made over a period of five years, by purchasing funds at the official exchange rate.

Article 4

1. The Commission shall keep under close review the development of the economic situation in the United Kingdom. It shall investigate the situation and the effects of the measures authorized herein not later than 31 December 1978.

2. The Commission reserves the right to amend or revoke this Decision if it finds that the conditions on which it was based have changed or that the effects of the Decision are more restrictive than is necessary to achieve its purpose.

Article 5

Decision 75/487/EEC is hereby repealed.

Article 6

This Decision is addressed to the United Kingdom.

Done at Brussels, 22 December 1977.

For the Commission

François-Xavier ORTOLI

Vice-President