HC Deb 25 June 1940 vol 362 cc298-9
48. Mr. Stokes

asked the Chancellor of the Exchequer whether he will give an assurance that, for the rest of the war, the people will not be required to pay interest on their own credit by interest bearing loans; and whether he will undertake that the war shall be financed by the Government creating their own credit, strictly rationing all essential commodities and strictly controlling the price of all goods and services?

Sir K. Wood

The answer to both parts of the Question is in the negative, as it would be impossible to finance the war successfully without borrowing. It is, of course, already the policy of the Government to take all practicable steps to secure economy in private expenditure by taxation, by rationing the supplies of commodities and by the control of prices.

Mr. Stokes

Does the Chancellor of the Exchequer realise the bad example that has been set by the issue of the recent loan, and that it is no inspiration to the country to make sacrifices if people are to be required to pay interest on the country's own credit? Is it not about time this stopped?

Sir. K. Wood

I do not think anyone will agree with the hon. Member.

Mr. Glenvil Hall

Does not the Chancellor think that the banks have already made enough without making more in war-time?

Sir K. Wood

That is another question.

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