51. Mr. Norman Smithasked the Chancellor of the Exchequer to what extent the increase in sterling balances is due to the continued expenditure of British Forces in the Middle East, India and elsewhere; and what controls or other safeguards are available to prevent British exports from being used to offset sterling balances instead of to pay for necessary imports.
§ Mr. DaltonTo a large extent. I am seeking to co-operate with the Service Ministers to reduce this expenditure. As regards the second part of the Question, I would refer my hon. Friend to the reply I gave him last Tuesday.
§ Mr. DaltonYes, Sir. The same as last Tuesday.