HC Deb 24 March 1942 vol 378 cc1807-8
53. Mr. A. Edwards

asked the Chancellor of the Exchequer whether he is aware that the appeal for £125,000,000 in the London Warship Weeks will, if successful, increase the charges on the Exchequer by much more than £1,000,000 per annum; and will he consider bringing these demonstrations to an end?

Sir K. Wood

It is in the national interest that an adequate proportion of the money borrowed for the war should be raised by medium or long-term loans, and to these, of course, a higher rate of interest is appropriate than that of short-term borrowing. I very much hope, therefore, that Greater London will not only reach, but will exceed, its Warship Week target.

Mr. Edwards

Is it not a fact that the whole of this money was in the banks at the beginning of the week and that it will still be in the banks at the end of the week, and that all that happens is waste of time, a bookkeeping arrangement, causing colossal expenditure, and a certain waste of man-power?

Sir K. Wood

No, Sir.

Mr. Stokes

How is it to the advantage of the country to pay 3 per cent. for the money, when the Government could get it for 1 per cent.?

Sir K. Wood

I have already answered that.

Mr. Edwards

Owing to the unsatisfactory nature of the answer, I propose to raise the matter on the adjournment.