§ 32. Mr. DAVID MASON
asked the Chancellor of the Exchequer the loss on the recent purchases of gold by this country amounting to £50,000,000 at the now current price, calculated on the Gold Standard parity which prevailed prior to August, 1931?
§ The FINANCIAL SECRETARY to the TREASURY (Mr. Hore-Belisha)
As my hon. Friend is aware, gold purchased by the Issue Department of the Bank of England is carried at its par value in sterling, the excess value being adjusted in the Exchange Equalisation Account. Details of the transactions on that account cannot be published. No question of profit or loss arises except in the event of a resale of the gold.
§ Mr. HORE-BELISHA
No obligations have been or will be repudiated. If the gold is sold for more than it costs, there will be a profit. If it is sold for less than it costs, there will be a loss.