HC Deb 10 March 1955 vol 538 cc609-10
51. Mr. Roy Jenkins

asked the Chancellor of the Exchequer whether he will transfer the operation of the Exchange Equalisation Account from the Bank of England to the Treasury.

The Economic Secretary to the Treasury (Mr. Reginald Maudling)

I see no reason to alter the existing arrangements which have worked satisfactorily from the inception of the Exchange Equalisation Account.

Mr. Jenkins

In view of the well-known predilection of the Bank of England for convertibility, and in view of the fact that the new use of the Exchange Equalisation Fund may well lead to convertibility by the back door, does the hon. Gentleman not think that the Chancellor of the Exchequer had better keep a pretty close eye on the Bank in this matter?

Mr. Maudling

I think that the hon. Member is under some misapprehension. Policy remains the responsibility of my right hon. Friend the Chancellor of the Exchequer, and the Bank of England, as agent, conducts the day-to-day operations of the Fund with a very high degree of technical ability.