HC Deb 16 June 1955 vol 542 c746
30. Mr. Grimond

asked the Chancellor of the Exchequer what guidance he has given to the banks about advances to the nationalised industries.

Sir E. Boyle

None, Sir.

Mr. Grimond

Is not certain advice given to the banks about advances in general, and at the moment are not the nationalised industries very heavily in debt to the banks? Is it the policy of the Government that their long-term needs should be financed in this way?

Sir E. Boyle

It is not the present practice of my right hon. Friend in general to give the banks guidance on the attitude which he would wish them to adopt towards individual industries. The banks are aware of the essential nature of the services provided by these industries and, on the other hand, of the desirability of avoiding an undue expansion of advances generally.

Mr. P. Noel-Baker

Would the hon. Gentleman say that the Government's proposals for massive investment programmes of £2,000 million for electricity and £1,200 million for the railways constitute a very striking vote of confidence in the efficiency of the nationalised industries?