§ 43. Mr. Shinwellasked the Chancellor of the Exchequer whether he has any information as to the amount of free sterling transactions; and, further, whether there is any estimate of the amount of sterling lost by the sale of foreign-held United Kingdom securities in this country?
§ The Chancellor of the Exchequer (Sir Kingsley Wood)Transactions in free sterling take place outside this country and I have, therefore, no precise information of them. The market has always been a thin one, and the measures already taken, together with those recently announced, will reduce such transactions to a very small volume. It would not be in the public interest to give any estimate of the kind asked for in the second part of the Question; the restriction on the sale of securities owned by non-residents will effectively put an end to the possibility of losses from this source.
§ Mr. ShinwellAs regards the second part of the Question does the right hon. Gentleman appreciate that panic selling of foreign securities may have a serious effect on our financial position?