§ 63. Sir N. Grattan-Doyleasked the Chancellor of the Exchequer whether, in order that private trustees and trustees of institutional funds can make their plans for investing in British Government securities, he will indicate in his Budget statement whether it is his intention to continue during the coming financial year the policy of transferring on suitable occasions Exchange Fund gold to the issue department of the Bank of England in connection with the management of credit and currency?
§ Sir J. SimonNo, Sir. Specific undertakings on questions of detailed management such as my hon. Friend apparently has in mind could not be given. But I should add that, as I have stated on several occasions, I continue to regard a general policy of easy credit as appropriate to this country at the present time.
§ Mr. BellengerWas not the Exchange Equalisation Fund set up for the primary purpose of levelling out fluctuations in the Exchange? Why, therefore, has it anything to do with the bank policy of easy money?
§ Sir J. SimonI did not say in my answer whether it has or not. Of course, the purposes of the fund are stated in the Act of Parliament.