HC Deb 05 July 1926 vol 197 cc1598-600
47. Mr. PURCELL

asked the Prime Minister whether his attention has been called to the fact that the German Government and German business men have jointly arranged to give a credit of £15,000,000 to assist the development of German export Trade to Russia; whether he is aware that much of this money has been raised on the London market; and whether, as this agreement will give to German manufacturers and exporters an advantage over British manufacturers and exporters, His Majesty's Government intend taking any special measures to assist British firms who are at present trading or intend trading with Russia?

Mr. SAMUEL

As regards the first part of the question, I understand that with the assistance of the German Government a credit has been arranged for financing Russo-German trade up to from £6,000,000 to £7,500,000. Credits have not been arranged up to the £15,000,000 originally proposed. With regard to the second part, I am not aware that any of this money has been raised on the London market. With regard to the third part, I would refer the hon. Member to the speech of the President of the Board of Trade on 10th March last.

Mr. TAYLOR

Can the hon. Member say whether or not an Anglo-German Trust has been formed in London, for the purpose of financing this business during the last month, with which Lord Ashfield is connected?

Mr. SAMUEL

I have no knowledge of it.

Mr. PURCELL

Is it not the fact that in the case of the recent large loan that was raised, a large amount was subscribed from this country?

Mr. SAMUEL

I have no knowledge of any loan. I do not know to which loan the hon. Member refers.

Mr. A. V. ALEXANDER

Is the hon. Gentleman not aware that the German Government could hardly afford to back this loan now if it were not for the German Government loan of £18,000,000 obtained in this country 12 months ago?

Mr. SAMUEL

That is another matter, and I do not agree with what my hon. Friend says.

Mr. MARDY JONES

Is it not a well-known fact in money circles in this country that a great deal of the money we advanced to Germany is used by Germany to capture trade in Russia which would otherwise come to us?