§ 51. Mr. Roy Jenkinsasked the Chancellor of the Exchequer for how long it is proposed that the United Kingdom should participate in the European Payments Union.
§ Mr. MaudlingThe proposal discussed at the Ministerial Council on 5th and 6th May was that the Union should be continued for a further year, subject to renegotiation if the need should arise.
§ Mr. JenkinsIs the hon. Gentleman aware that Dr. Erhardt, the West German Finance Minister, after his recent talks with the Chancellor at Bonn, confidently envisaged that this would be the last year preceding general convertibility? Is that the view of Her Majesty's Government? Will the hon. Gentleman bear in mind that there is a substantial body of informed opinion which feels that in moving rapidly towards the convertibility of sterling we shall still incur a grave risk?
§ Mr. MaudlingSo far as the future is concerned, I would refer the hon. Gentleman to the recent statement by my right hon. Friend the Prime Minister to the effect that it is a good thing to look ahead, but it is not a good thing to look further than one can see.
§ Mr. GaitskellWould the hon. Gentleman make it plain that Her Majesty's Government is not in agreement with the very categorical statement of Dr. Erhardt to the effect that convertibility was going to come in the very near future? Will he give an assurance, not only for the benefit of many people in this country but for the benefit of other European countries, which are seriously concerned in this matter?
§ Mr. MaudlingHer Majesty's Government's policy in this matter has been announced continually by my right hon. Friend, and not by Dr. Erhardt.