§ 30 Mr. HOLDSWORTHasked the President of the Board of Trade (1) what steps the Government propose to take to see that British commercial creditors are paid for goods shipped to Italy; will priority of payment be given to such creditors; and will the Government see that the debts contracted in sterling are liquidated in sterling;
(2) whether all payments to Italy by British importers are made through the Bank of England, or whether any payments have been made direct since the Anglo-Italian Payments Agreement was signed; and, if so, how much;
(3) what is the total amount owing to British exporters by Italian importers; and what was the total amount owing by British importers to Italian exporters?
§ 40. Mr. RANKINasked the President of the Board of Trade whether he is aware that there is at present outstanding the sum of approximately £1,300,000 due from Italian sources to British commercial creditors in this country; and what steps are to be taken, following the removal of sanctions, to provide for the payment of this sum?
§ Mr. RUNCIMANHis Majesty's Government fully recognise the importance of taking all possible steps to see that United Kingdom exporters are paid for goods shipped to Italy and that debts contracted in sterling are liquidated. I have no complete statement of the total amount due to British exporters by Italian importers, but, as the hon. Members will have observed from the published accounts, the sums deposited by 1010 Italian importers under the Payments Agreement and not yet transferred to creditors in the United Kingdom amount approximately to £1,300,000. Under the Anglo-Italian Payments Agreement of April, 1935, the sterling received from Italian imports into the United Kingdom has been utilised to pay such debts prior to 18th November, 1935. It was not obligatory for payments by United Kingdom importers to be made to the sterling account of the Bank of England. I am not in a position to state the amounts remitted direct to Italian exporters. Since the 18th November, 1935, it has been obligatory to make such payments to the Controller of Anglo-Italian Debts, and the total amount so paid has been approximately £600,000. The question, of future arrangements is under consideration, and I hope to be in a position to make a further statement very shortly.
§ Mr. HOLDSWORTHIs the right hon. Gentleman aware that all debts owing to this country have, under an Italian decree, to be paid to a certain bank, that they are paid in non-interest-bearing deposits, and that the risk of loss on the rate of exchange has to be borne by the British exporters? Is the right hon. Gentleman prepared to put pressure on the Italian Government either to pay interest from the date of deposits or to see that British exporters really get a fair deal?
§ Mr. RUNCIMANIf the hon. Gentleman will send me particulars of any specific case, I shall be happy to go into it.
§ Mr. HOLDSWORTH; Will the right lion. Gentleman tell the House, also, why he cannot give the figures of the amounts owing to British exporters? If the Italian Government insist on every penny being paid into a block account, what is the reason why pressure cannot be brought to bear on the Italian Government to state the amount?