HC Deb 09 February 1938 vol 331 cc1030-1
17. Mr. A. Henderson

asked the Secretary of State for Foreign Affairs whether, in view of the recommendations contained in the van Zeeland report that guarantees should be provided that credit facilities would not be diverted from their object to serve warlike ends, His Majesty's Government will refuse to allow credit facilities to be granted to any Government declared to be an aggressor by the Council of the League of Nations?

Mr. Eden

The recommendation in M. van Zeeland's report which the hon. Member mentions appears to be of general application, and not to refer especially to the position which would arise if any Government were declared an aggressor by the Council of the League of Nations. In the event of such a declaration, the measures to be adopted by the States Members of the League would be a matter for their joint consideration in the light of the relevant provisions of the Covenant.

Mr. Henderson

Does that mean that the Government are not prepared to grant credit facilities to Italy and Japan as long as they are declared aggressors?

Mr. Eden

His Majesty's Government will conform to the decision of the Council of the League of Nations in this matter.

Mr. Wedgwood Benn

Is the right hon. Gentleman satisfied that the statement made by the Chancellor of the Exchequer the other day will not in any way facilitate the granting of credits to aggressor nations?

Mr. Eden

Yes, certainly.

Mr. Noel-Baker

Is it not a fact that any granting of credits to a nation declared an aggressor would be a violation of Article 16?

Mr. Eden

Of course, if the League pronounced and asked for certain action to be taken, His Majesty's Government would conform to that.

Mr. Noel-Baker

Whether the League has asked for action or not, is it not plain that it would be a breach of Article 16 to grant credits to an aggressor nation?

Mr. Eden

I think I would like notice of that question.

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