HC Deb 12 March 1940 vol 358 c1000
48. Mr. Leonard

asked the Chancellor of the Exchequer what estimate has been made of the proportions in which the £300,000,000 loan now pending will accrue from actual savings from citizens of Great Britain, from investors overseas, and from credits created by the joint stock banks, respectively?

Sir J. Simon

It is not possible to estimate in advance subscriptions from investors overseas. As regards the first and third heads, any credit given by the banks to facilitate subscriptions will be limited to temporary accommodation for a quite short period.

Mr. Thorne

Seeing that about £400,000,000 is invested overseas, could not the Chancellor of the Exchequer persuade some of those investors to bring some of the money back here?

Sir J. Simon

That raises another question.

Mr. Craven-Ellis

May I ask whether the right hon. Gentleman's statement about the bank credit being temporary is a condition of the Treasury's?

Sir J. Simon

I should have thought it would be generally agreed that it was desirable that the credit should be temporary, but it is clear that as 90 per cent. of the money subscribed has to be found on a particular day, there may be cases in which some bank assistance is justified.