HC Deb 02 August 1956 vol 557 cc1584-5
33. Mr. Allaun

asked the Minister of Education if he is aware of the number of bank loans refused to the country's voluntary schools since the Government's credit restriction policy began; and if he will state the approximate additional annual cost to Catholic schools in the Salford diocese resulting from the raising of interest to its present rate on loans made to them for school building under Section 105 of the Education Act.

Mr. Vosper

My right hon. Friend does not obtain information about the number or amount of bank loans made or refused to the managers or governors of voluntary schools. He agreed to make a loan under Section 105 of the Education Act, 1944, to the managers of the only school in the Salford diocese which have applied, but they built the school without borrowing the money.

Mr. Allaun

But is the Minister aware that the increase of ½ per cent. in the Bank Rate has meant an extra £40 a week to be raised voluntarily in a neighbouring parish? Is not the only reason this has been avoided in Salford the past exceptional efforts by the parishioners, and is it not the case that if interest keeps at its present high rate there are limits to what can be done in this respect?

Mr. Vosper

My right hon. Friend is aware of this problem and recently received an all-party deputation. Only last week he discussed the matter again with the right hon. Member for Ipswich (Mr. Stokes), the leader of the deputation, to see if there was anything further that he could do about it.