HC Deb 08 July 1925 vol 186 cc415-7
73. Captain GARRO-JONES

asked the Chancellor of the Exchequer whether, in view of his decision that it is unnecessary to secure, as a first step, an explicit assent from the Governments of France and Italy to the principle that no step should be taken by those nations to meet their obligations to the United States without a similar step being taken to meet their obligations to this country, and in view of the fact that the French and Italian Governments seem likely to conclude agreements with the United States without making an agreement with us, he will now say whether he will consider the desirability of insisting, as a precautionary measure, that France and Italy shall bind themselves to the principle of pari passu payments to their creditors?

Mr. GUINNESS

I cannot at present add to the answers given to the hon. and gallant Member on the 10th June and to the hon. Member for Reading (Mr. H. Williams) yesterday by the Chancellor of the Exchequer.

Captain GARRO-JONES

Does the right hon. Gentleman consider that there is no danger whatever of France and Italy in the near future concluding separate agreements with the United States?

Mr. GUINNESS

I think those countries are fully aware of our attitude, and we have no reason to believe that they consider our claims other than just.

Mr. SPENCER

Does the right hon. Gentleman not think that the time has arrived when John Bull should be John Bull and tell these people that they have to-day?

Captain GARRO-JONES

Does not the fact that France and Italy ignore our statement that they should not make separate agreements suggest that they intend to make separate agreements?

Mr. GUINNESS

The hon. and gallant Gentleman is under a misapprehension. We have never said that they should not make separate agreements; in fact, it is the natural procedure that they will agree with each of their creditors separately. We have only said that we should be paid pari passu and on equally favourable terms.

Captain GARRO-JONES

We have said that they should make pari passu payments to us, but they have never taken the slightest notice of that suggestion.

Mr. GUINNESS

They have not made any payments elsewhere.