§ 35. Mr. CRAVEN-ELLIS
asked the Chancellor of the Exchequer whether an increase or a decrease in the National Debt has taken place during the time the National Government has been in office; and what are the comparative figures for the years 1931 to 1935?
The nominal capital of the debt has slightly increased; on the other hand the annual charge has been very greatly reduced. I will circulate the figures in the OFFICIAL REPORT.
§ Mr. CRAVEN-ELLIS
May I ask the right hon. Gentleman what are the principal items to account for the increase in the National Debt?
It is partly due to the borrowing of £350,000,000 on Treasury Bills for the Exchange Equalisation Account, and of course there are assets of more than that value to correspond. There are also the expenses of converting the 5 per cent. War Loan, 179 the loss on the foreign credits raised in 1931, and the issue of loans at a small discount in connection with conversion to a lower rate of interest; with a partial offset to these items by the application of Sinking Fund and other receipts to debt redemption.
|Nominal capital of Debt on 31st March||7,413,309||7,433,943||7,643,794||7,822,298||7,800,565|
|Less, outstanding issues to Exchange Equalisation Account.||—||—||150,000||350,000||350,000|
|Interest and Management Charge in year ending 31st March:|
|The increase in the nominal total due to the borrowing of £350,000,000 on Treasury Bills for the Exchange Equalisation Account is more than offset by corresponding assets. Other causes of increase in the nominal total have been the expenses of converting 5 per cent. War Loan, loss on the foreign credits raised in 1931, and the issue of loans at a small discount in connection with conversion to a lower rate of interest, these items being partially offset by the application of Sinking Fund and other receipts to debt redemption.|