51. Mr. De la Béreasked the Financial Secretary to the Treasury whether the Government will take steps to reduce the rate of 5 per cent. interest on the loans made by the Public Works Loan Board to farmers and others, and to assist farmers to pay their existing loans off and re-issue further loans at a lower rate of interest?
§ Lieut.-Colonel ColvilleMy hon. Friend's suggestion would involve the payment by the State of a subsidy to enable the Local Loans Fund to meet its existing obligations. Farmers who borrowed under the Agricultural Credits Act, 1923, are allowed to repay their outstanding loans if they wish without premium, the cost being borne on the Vote for the Ministry of Agriculture, but I am afraid that no extension of this exceptional arrangement could be entertained.
Mr. De la BèreAre the Government not aware that the farmer wants as fair treatment as railways and other industries, and does my right hon. and gallant Friend think that paying 5 per cent. can be compared with the 2½per cent. paid by the railways?
§ Lieut.-Colonel ColvilleOn several occasions I have had to defend the special treatment given by the Public Works Loan Board to farmers, and I do not think that that treatment can be extended.
Mr. ThutleIs the right hon. and gallant Gentleman aware that all that the hon. Member for Evesham (Mr. De la Bére) is trying to do is to galvanise the Government into some form of activity?