HC Deb 01 August 1922 vol 157 c1271
80. Sir R. CLOUGH

asked the Under-Secretary of State for Foreign Affairs whether he is aware that the Portuguese Government has recently fixed the. rate of exchange between Great Britain and Portugal at 4d. per escudo, whereas the real effective rate of exchange is round about 3¾ to 31d; and, seeing that this fixation of 4d. means a loss of nearly ¼. on every 4d., and, as the result, merchants in Bradford are unable to obtain payments of goods, as the banks naturally refuse to purchase sterling at the indicated loss, or, alternatively, must be prepared to forego the difference between the current and the official rates of exchange, which means a loss of £60 to £80 in every £1,000, and bearing in mind the fact that this difference absorbs all the profit on many transactions, will he make representations to the Portuguese Government to induce it to reconsider the whole matter in the interests of trade between the two countries?

Sir W. MITCHELL-THOMSON

I have been asked to reply. Complaints have reached me that action has been taken in Portugal on the lines indicated in the question, but I have received no official information on the subject. I am, however, having inquiries made, and will communicate the result to my hon. Friend. Meanwhile any further statement would be premature.