§ 36. Sir JOHN POWERasked the Chancellor of the Exchequer if he is in a position to make any further statement with regard to the French debt agreement?
§ Mr. CHURCHILLI have no further information on the subject. But I may say that, at the time when we signed the Debt Agreement and accepted the large abatements of our admitted claims, it was a definite understanding that the French Government would make itself responsible for securing the ratification of the Agreement as soon as possible. When M. Poincaré formed his Government, I was assured that he accepted this understanding, and nothing that has since passed justifies the suggestion that the intentions of the French Government are in any way altered. In the meantime, the payments due under the agreement for the financial years 1926–27 have been duly made, and the French Government have undertaken to pay the £8 millions due in the current financial year, half on 15th September next—half on 15th March next.
§ Captain GARRO-JONESIn view of the length of time which has elapsed since the agreement was made, has the right hon. Gentleman made any recent representations to M. Poincaré urging him to rectify the agreement and thus give us the advantage of certainty, for which alone we sacrificed so large a part of the debt?
§ Mr. CHURCHILLNo, I have made no such representations.
§ Captain GARRO-JONESWill the right hon. Gentleman consider doing so at the earliest possible date?
§ Mr. CHURCHILLI shall not be guided in that matter by any suggestion which may reach me from the hon. and gallant Gentleman. The question of our relations with the French in connection with the repayment of this debt is one which has to be handled with proper regard to its gravity.
§ Captain GARRO-JONESDoes not the right hon. Gentleman think he secured the consent of this House to the release of these large sums in consideration of this assurance that the agreement would be ratified by the French Government, and, as that has not been forthcomings he secured the acquiescence of the House under false pretences?
§ Mr. CHURCHILLNo, I do not think that is true at all, and I am quite sure the House will not wish the Government to be pressed into taking precipitate or unsuitable action.
§ 37. Sir J. POWERasked the Chancellor of the Exchequer whether he has yet made arrangements for writing off as a contra account the sum of £135,700,000 given on page 5 of the Financial Statement as the amount of loans from certain Allied Governments.
§ Mr. CHURCHILLI would refer my hon. Friend to the answer given to a similar question put by him on 21st March last. There has been no change in the position since that date.