§ 43. Brigadier - General CLIFTON BROWNasked the Chancellor of the Exchequer whether a scheme is being considered to appropriate money from the Road Fund to help the finance of the Electricity Commissioners, and whether it is his intention to allow any money from the Road Fund to be used for any other purposes than for the maintenance, construction, and improvement of roads?
§ 45. Mr. EVERARDasked the Chancellor of the Exchequer whether he proposes to use any part of the Road Fund for any other purpose than the construction and maintenance of roads?
§ Mr. CHURCHILLThe Government have under consideration, though no decision has been taken, a proposal whereby the surplus funds of the Road Fund, now invested in Treasury Bills might be temporarily advanced on commercial terms to assist in financing the schemes of electrical development which are being prepared, but this of course does not involve any permanent diversion of the Road Fund to other purposes than the maintenance, etc., of roads. Whether the whole of the rapidly expanding income from motor taxation should continue indefinitely to be allocated to the maintenance and improvement of roads irrespective of the comparative needs of this and other services or the general financial position of the country is a matter on 1150 which I have not as yet formed any conclusion. As the hon. and gallant Member is no doubt aware, the surplus revenues, of the Fund for some years ahead are already hypothecated to the numerous schemes of road improvement now in course of execution. I would add that the relative claims of rural roads affected by the increasing traffic as compared with the heavy cost of the new trunk roads also appear to require further consideration.
§ Major CRAWFURDIs the right hon. Gentleman aware that when the Road Fund was originally inaugurated in 1909, it was specifically stated by the then Chancellor of the Exchequer that every penny was to be used for the purpose of road making and road improvement? Does he not think that before any change is made Parliament should be consulted in the matter?
§ Mr. CHURCHILLNo change can possibly be made without Parliament being consulted; and deciding in favour of the change.
§ Sir DOUGLAS NEWTONWill the right hon. Gentleman say what the surplus of the Fund alluded to in his reply amounts to?
§ Mr. CHURCHILLI think it runs to something like £16,000,000.
§ Lieut. - Commander KENWORTHYWill any proposal for advancing the surplus on commercial lines to the Electricity Commissioners have to come before Parliament?
§ Mr. CHURCHILLEverything has to come before Parliament. Parliament has to approve, or otherwise.
§ Lieut. - Commander KENWORTHYThe Estimates, of course, come before Parliament, but will the specific permission of Parliament be asked for the conversion of this money, even temporarily?
§ Mr. CHURCHILLI cannot say, without notice, assuming that such a proposal is definitely placed before the Cabinet and the Cabinet approves of the proposal, that the procedure will involve a reference to Parliament before the proposals are definitely put forward; but the control of Parliament over the whole scheme will, of course, be maintained throughout.
§ Major CRAWFURDIs not that answer directly in contradiction of the right hon. Gentleman's answer to me a few moments ago, when he said that a change of this kind will have to be approved or accepted by Parliament?
§ Mr. CHURCHILLNo.