§ 56. Mr. Craven-Ellisasked the Chancellor of the Exchequer if the Govern- 654 ment view with satisfaction the large increase in bank deposits, cheque money, which now amount to £4,100,000,000; and whether, in view of the small percentage of tangible cover provided, he will consider introducing legislation giving the Treasury power to fix the ratio of deposits to notes and reserves in hand pending finding a basis for bank money which will provide 100 per cent. cover.
§ Sir J. AndersonIn view of the high level of national activity and of Government expenditure during the war an appreciable increase in the volume of bank deposits has been unavoidable. In some cases the balances of individual depositors may exceed the minimum necessary to meet current needs and I hope that in such cases the depositors will invest the excess in war loans. The answer to the second part of the Question is in the negative.