63. Major WOODasked the Chancellor of the Exchequer whether he is aware of the hardship caused by the regulation that limits a loan granted by the Public Works Loan Board to half the value of National Savings Certificates purchased within the area of the local authority which applies for the loan; and, seeing that the regulation acts as a discrimination against the smaller local authorities, whether he will consider the advisability of its withdrawal?
§ Mr. PETHICK-LAWRENCEThe hon. and gallant Member seems to be under a misapprehension. Only a very small part of the loans made by the Public Works Loan Board are made with reference to the sale of savings certificates. The general regulations are so favourable to the smaller authorities that 80 per 561 cent. of the total loans are made to authorities with a rateable value of under £200,000 a year.
Major WOODIs it not the case that this provision is imposed in the case of many loans, and will the hon. Gentleman say what is the reason for it?
§ Mr. PETHICK-LAWRENCEThere are loans which are granted under general rules, on the one hand, and under special rules relating to savings certificates on the other hand, and if the hon. and gallant Member will take the opportunity of consulting me at some time I think I can explain the point to him.
Major WOODI am quite familiar with the conditions. What I am asking is what is the reason for this provision and at whose instance it was laid down?
§ Mr. PETHICK-LAWRENCEThe hon. and gallant Member must be under a misapprehension. If he will take the opportunity of consulting me, I think I shall be able to satisfy him that he really does not quite understand the position.