§ 3. Mr. F. M. Bennett
asked the Chancellor of the Exchequer what action he will take to modify the high discount rate for bank bills in view of the current decline in the volume of bills discounted.
§ Mr. R. A. Butler
These rates are settled in the market. They are of course influenced by monetary policy which, as I have stated, is under continuous review.
§ Mr. Bennett
Does my right hon. Friend appreciate that even since I put this Question on the Order Paper a further statement has been issued by the clearing banks showing another serious decline in bank bills? In view of the fact that this is a very valuable source of foreign invisible earnings, does he not think that the time has come to take steps to prevent these losses of invisible earnings to this country?
§ Mr. Butler
I am aware of the circumstances to which my hon. Friend has drawn my attention, but I cannot add to my answer.