§ SIR CHARLES CAMERONI beg to ask the Chancellor of the Exchequer, 606 whether he has received a communication from the Glasgow Corporation as to the effect of Clause 7 of the Finance Bill; whether it was intended that the new duty on allotted capital therein proposed shall be paid once for all in the exercise by local authorities of the borrowing powers which would increase their capital indebtedness, or whether it will fall to be paid upon every sum which was borrowed by local authority; whether such sum is a new loan increasing the indebtedness of the authority, or merely the sum required to replace an old loan which fell to be renewed, or a new loan in respect of which a loan duty may already have been paid; whether, under Sub-sections 1 and 5 of the said clause it is intended that every time stock, funded debt, or bills are issued, or money borrowed from the bank, such issue or borrowing shall be liable to the new duty; and, if not, whether he will insert words in the clause to make it clear that is not the tendency of the proposed enactment.
§ THE CHANCELLOR OF THE EXCHEQUER (Sir M. HICKS-BEACH,) Bristol, W.It is provided in Clause 7 of the Finance Bill that in the case of money borrowed on duly stamped mortgages the duty paid on the mortgage shall be allowed for. Money permanently borrowed to replace an old loan would attract the duty; but the clause is not intended to apply to money borrowed temporarily by short bills or from bankers. I do not think it does so apply; but if necessary I should not object to the insertion of words to make the matter clear.