§ 48. Mr. FRANK GRAYasked the Chancellor of the Exchequer whether it is the 2054 practice of the Governors of the Bank of England to confer with His Majesty's Ministers before changing the bank rate; whether they did so before the last change; and whether such change had the approval or sanction of the Government?
§ Sir W. JOYNSON-HICKSThe answer to the first two parts of the question is in the negative, and the third part, consequently, does not arise. In accordance both with the tradition in this country and the unanimous advice of experts at the Brussels and Genoa Conferences, control of the bank rate rests with the Central Bank and not with the Government.
§ Mr. W. THORNECan the right hon. Baronet tell us the number of gentlemen who meet every Thursday to decide upon the bank rate?
§ Sir W. JOYNSON-HICKSI have been to the Bank several times, and the number varied. It may be ten or a dozen, or more.
§ Mr. THORNEOr less?
§ Sir W. JOYNSON-HICKSNot often. The Bank Board has, certainly, more than a dozen members—I forget how many there are—and they all have the right to attend Board meetings.
§ Mr. THORNEIs the right hon. Baronet in a position to say what 1 per cent. on the bank rate means to the community?
§ Mr. A. M. SAMUELIs it not a fact that the whole action of the Bank of England has been in the past, and is at present, marked by consideration for the public interest, rather than for the interests of the shareholders?
§ Sir W. JOYNSON-HICKSCertainly, I think that is so.
§ Sir W. JOYNSON-HICKSI think that hardly arises, but if the hon. Member will put a question down, I will ask the Bank if they will give me the information.