§ 64. Mr. MORLEYasked the Chancellor of the Exchequer if, and when, he will take steps to allow of the increase of the fiduciary note issue of the Bank of England above the present limit?
§ Mr. P. SNOWDENUnder the Currency and Bank Notes Act of 1928 the Treasury can only act on representations from the Bank of England. No occasion has yet arisen for such representations to be made.
§ Mr. MORLEYDoes the Chancellor of the Exchequer propose to amend the Act in any way?
§ Mr. SNOWDENI am not aware that any occasion has arisen for dealing with this matter, and I do not think that any amendment of the Act is needed.
§ Mr. A. M. SAMUELDoes not that mean that the right hon. Gentleman denies the suggestion, implicit in the question, that there is a shortage of credit? Is it not a fact that there is no shortage of credit?
§ Mr. SNOWDENThat is so. There is no shortage of credit.
§ Mr. SAMUELWill the right hon. Gentleman convey that statement to his back benchers?