That the whole or any part of the sums required in the current financial year for the purposes mentioned in paragraph (a) or paragraph (b) of Sub-section (4) of Section twenty-three of the Finance Act, 1928, as amended by any subsequent enactment, may be provided out of money borrowed for the purpose under Section one of the War Loan Act, 1919, instead of out of the permanent annual charge for the National Debt.
§ Motion made, and Question proposed, "That this House doth agree with the Committee in the said Resolution."
§ 4.18 p.m.
§ The CHANCELLOR of the EXCHEQUER (Mr. Chamberlain)
I will readily give an explanation if one is required. I thought that I really explained this point in my Budget speech. I said then that I had fixed the amount of Fixed Debt Charge at the same rate as last year, and that, if the rate of interest should remain at its present low level or thereabouts, I thought that there probably would be a margin sufficient to provide for the necessary statutory Sinking Fund. If, however, rates of interest should go up materially during the year, it is obvious that there would not be such an amount available, and I thought it therefore desirable that I should be given power to borrow for the Sinking Fund.
§ Question put, and agreed to.