§ 57. Mr. Stokesasked the Chancellor of the Exchequer whether he will fix a maximum discount rate of 20s. per cent. For Treasury bills for the duration of the war, or if this is impracticable whether he will impose a direct tax on the discounting of such bills amounting to the difference between the actual discount rate and £1 whenever the rate is above the latter figure?
§ Captain CrookshankMy right hon. Friend does not regard the hon. Member's first suggestion as a practicable one. As regards the second, he has already indicated in reply to the hon. Members question of the 17th October that the trading profits on Treasury bills are liable to the same taxation as all other trading profits, and he can see no good reason for distinguishing them for further taxation.
§ Mr. StokesAs, in effect, the Minister turned down both those proposals, why should not the Government in fact finance the war out of Government-created money free of interest, having regard to the fact that this country is no longer on gold?