49. Mr. De la Bèreasked the Chancellor of the Exchequer whether he will give an assurance that he will restrict Government borrowing by way of Treasury deposit receipts to the affiliated English banks; and whether he can state the names of the banks outside the orbit of the English banks who have in the 1710 past two months been allowed to participate in these operations?
§ Sir K. WoodIn the reply which I gave on 4th July, 1940, to my hon. Friend the Member for the City of London (Sir G. Broadbridge), 1 stated that these deposits would be taken from the clearing banks and the Scottish banks, and the scheme has also been made available to other banks operating in the sterling area which have accumulated sterling balances here. It would not be advisable to lay down binding rules for the future. It is not the practice to publish the names of subscribers to Government loans of any description.
Mr. De la BèreDoes my right hon. Friend not think it desirable that there should be some statement of Government policy regarding the whole question of the issue of Treasury deposit receipts, in view of the fact that taxpayers all over the country have been called upon to pay for this rather expensive form of borrowing?
§ Sir K. WoodI cannot agree with the latter part of the supplementary Question, but I think a statement has been made, and if on the Finance Bill anyone desires to put a question on the subject no doubt a further statement could be made.
§ Sir F. SandersonIs it not in the national interest that the Treasury should borrow for its requirements from as broad a field as possible?
§ Sir K. WoodCertainly, and of course there is nothing objectionable in taking deposits from the central banks—rather the contrary.