HC Deb 02 July 1931 vol 254 cc1459-60
61. Mr. McSHANE

asked the Financial Secretary to the Treasury whether he is aware that certain private financial corporations are offering to local authorities, for carrying out public works, loans at a lower rate of interest than that charged by the Public Works Loans Board; and whether he will consider a reduction of the rate charged by that Board also?

The FINANCIAL SECRETARY to the TREASURY (Mr. Pethick-Lawrence)

The rate of interest charged to borrowers from the Local Loans Fund depends on the market price of Local Loans Stock though it is impracticable to follow day to day fluctuations. I am glad to say that in view of the recent improvement in market conditions the minimum rate will be reduced to 4½ per cent. as from to-morrow.