HC Deb 10 May 1916 vol 82 cc661-2
87. Sir J. LONSDALE

asked the Chancellor of the Exchequer if he is aware that money is being withheld from investment in Exchequer Bonds because of the uncertainty prevailing as to whether the Bonds will be received as cash in subscribing to a future long-date War Loan without any condition as to the subscription of new money for a further amount of the loan; and if he will repeat the assurance which he gave on 24th January, that the holders of old War Loan and new Exchequer Bonds will be able to convert into new War Loan without subscribing for an additional amount of new loan?

Mr. McKENNA

Yes, Sir; in accordance with the undertakings given in the prospectuses the 4½ per cent War Loan and the 5 per cent. Exchequer Bonds will be accepted as the equivalent of cash for the purpose of subscribing to a new loan without any condition as to a further subscription in cash.

Sir A. MARKHAM

Will the right hon. Gentleman consider the desirability of decreasing the amount of the Bonds to £500 instead of £1,000?

Mr. McKENNA

I will consider the matter.

Mr. LOUGH

Will further details with regard to this be laid before the House?

Mr. McKENNA

There are no further details to lay before the House.

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