§ Sir ALBERT SPICER(by Private Notice): I beg to ask the Chancellor of the 18 Exchequer whether the issue of 6 per cent. Exchequer Bonds may be taken as an indication that the future policy of the Government is tot finance the War by short-date borrowing, or whether a long-term loan in respect of which the conversion rights attaching to the 4½ per cent. War Loan and 5 and 6 per cent. Exchequer Bonds can be exercised will be issued at an early date?
§ Mr. McKENNAThe decision to issue 6 per cent. Exchequer Bonds was taken because the moment did not appear to be the most favourable one for the issue of a long-date loan. I cannot, of course, give any definite pledge to issue such a loan at any particular date, but it is my intention to recommend such an issue to Parliament at the first suitable opportunity.
§ Mr. OUTHWAITEIs the right hon. Gentleman considering the question of a forced loan at a reasonable rate of interest, so that the State cannot be blackmailed by the moneylenders?
§ Mr. McKENNAI should like to have a definition of the term "forced loan" before I answer that.