HC Deb 09 November 1926 vol 199 cc876-7
51. Sir W. DAVISON

asked the Chancellor of the Exchequer whether, in view of the need to husband British credit in order to reduce taxation by conversion of debt, steps will be taken to secure that no loan shall in future be placed on the Trustee list under the Colonial Stock Act, 1900, unless a sinking fund for repayment within a specified time is provided; and also that the prospectus of any such loan shall give details of the financial position of the borrower and of the purpose for which the loan is required?

Mr. CHURCHILL

I agree that my hon. Friend's proposals are desirable both from the point of view of the investing public and, since the judgment of the market finally decides the terms on which loans can he raised, from that of borrowing Governments. But, as I stated in reply to my hon. and gallant Friend the Member for Coventry on the 25th March, I am not at present advised that I have power to compel borrowers to comply with such conditions.

Sir W. DAVISON

Will the right hon. Gentleman take an early opportunity of discussing this matter with the Dominion Premiers who are in this country, and will he also ascertain the opinion of the Stock Exchange Committee 'is cc, whether it would be desirable, in the interests of the Dominions as well as of our own, to have some legislation dealing with this matter as soon as possible?

Mr. CHURCHILL

Opportunities for an exchange of views will be taken as they arise.

Mr. HARRIS

Does the right hon. Gentlemen consider it patriotic to make these insinuations against our Dominions beyond the seas, and does he think it will help their credit?

Mr. CHURCHILL

I do not think there is anything unpatriotic in answering the question put on the Parr I am sure the hon. Gentleman does not wish British investors to be misled in any way, and that is the only object.

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