HC Deb 20 March 1923 vol 161 cc2350-1
68. Mr. WHEATLEY

asked the Chancellor of the Exchequer, in view of the success of the municipal banks in Birmingham, Irvine, and Kirkintilloch, if the Cabinet will consider the advisability of bringing in legislation authorising town and county councils to establish municipal banks, and thereby enable local authorities to obtain credit facilities cheaper than by ordinary borrowing?

Mr. BALDWIN

I do not see any likelihood of legislation on this subject, and I am by no means sure that in any case the extension of such powers would be desirable.

Mr. WHEATLEY

Is the right hon. Gentleman aware that in Glasgow the citizens, through the corporation, borrow a sum of about £12,000,000 a year, that they have approximately an equal sum in the savings bank in the same city, and that on their investments they got 2½ per cent. interest? Does the right hon. Gentleman not think that legislation which would enable them to use their own city's money for civic purposes is desirable?

Mr. BALDWIN

If the hon. Gentleman has studied this question, as no doubt he has, he will know that there is a great deal to be said on both sides, and that it is more than we can discuss by way of question and answer.

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