HC Deb 23 January 1940 vol 356 c370
52. Mr. Craven-Ellis

asked the Chancellor of the Exchequer whether, as the level of the Bank rate is now at the unfettered discretion of the Treasury, he will reduce the rate to 1½per cent.?

Sir J. Simon

I am not prepared to forecast the future course of Bank rate. As I stated in reply to the hon. Member for Ipswich (Mr. Stokes) on 7th November and the 21st November last, while I am in constant communication with the Bank of England, the decision as to changing or maintaining the Bank rate is made by the Court of the Bank of England.

Mr. Craven-Ellis

Is the right hon. Gentleman not aware that the Treasury Bill rate, to which he referred in the previous Question, is maintained at its high level because of the high Bank rate; and in justice to the joint stock banks is it not imperative that this should be reduced so we may have a lower Treasury Bill rate? At the present time the cost to the taxpayer is over £17,000,000 per annum.

Sir J. Simon

The whole of my hon. Friend's Supplementary Question was rather addressed to his last Question and not to the present one.

Mr. Craven-Ellis

The right hon. Gentleman asks us to spend wisely. May I suggest to him that the Treasury should set an example?

Mr. George Griffiths

Will the Chancellor of the Exchequer, when speaking anywhere in future, get his speech over to these people and not to the workers all the time?

Forward to