HC Deb 05 March 1957 vol 566 cc162-3
15. Mr. Hunter

asked the Chancellor of the Exchequer, in order to help local authorities lower the cost of council house building so that they can deal with their long waiting lists, and in view of the recent reduction in the Bank Rate, if he will take steps to lower the rates of interest on loans for housing.

Mr. P. Thorneycroft

Interest rates for loans from the Public Works Loan Board do not depend upon Bank Rate, but are fixed from time to time to correspond with the credit of local authorities of good standing in the market. It was on this basis that the rates were lowered on 15th February, as announced in reply to a Question by my hon. Friend the Member for Norwich South (Mr. Rippon).

Mr. Hunter

That was a very small reduction in interest rates. Is the right hon. Gentleman aware that the high interest rates over the past two years have added nearly 13s. a week to council rents? Will he bear those points in mind and consider lowering interest charges to help local authorities to deal with their long waiting lists and to help to lower the cost of living?

Mr. Thorneycroft

I will certainly take note of what the hon. Member has said.

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