§ 53. Mr. Sloanasked the Chancellor of the Exchequer whether he is aware that the ability of a large number of local authorities in Scotland to borrow money on short-term bills has been seriously prejudiced by a decision that such bills will be discounted only where they are issued by local authorities who have specific statutory powers to borrow by bills; and, as the effect of such decision is to enable the last-mentioned local authorities to borrow money on terms substantially better than other local authorities who are per forming exactly the same functions, will he take the necessary steps to see that the position is so adjusted that this unfair preference will be removed?
§ Sir J. SimonI would refer the hon. Member to the answers which I gave on this subject to my hon. Friend the Member for East Aberdeen (Mr. Boothby) on 13th June and to the hon. Member for Bassetlaw (Mr. Bellenger) on 20th June.
§ Mr. SloanCan the right hon. Gentleman say why authorities which have not these statutory powers should be penalised in this way when they are carrying out the very same functions as other authorities; and does he not realise that this is an imposition upon the poorer taxpayers in those areas?
§ Sir J. SimonI think if the hon. Member refers to the earlier answer and to the answers to supplementary questions, he will see that that really is not the case.