57. Mr. De la Bèreasked the Chancellor of the Exchequer whether he will now consider setting up a Royal Commission on banking and currency, with particular reference to the system in operation since the war, under which the banks are permitted to convert Treasury deposit receipts into 2½ and 3 per cent. Government securities, ranking pari passu with Government loans subscribed for by the public in cash?
§ Sir K. WoodNo, Sir.
Mr. De la BèreWhy should these converted credits be allowed to rank pari passu with the amount of money subscribed in cash by the public? Does not this arrangement provide power to exploit the taxpayer? Is the right hon. Gentleman not aware that power always corrupts and that absolute power corrupts absolutely? Will the right hon. Gentleman elucidate the matter? It has served a useful purpose, but cannot be allowed to continue much longer as it is.