HC Deb 06 March 1958 vol 583 cc1326-7
34. Mr. Gower

asked the Chancellor of the Exchequer what considerations have led recently to a reduction in the lending rates to local authorities; and if he will make a statement.

Mr. Maudling

The interest rates on loans to local authorities from the Local Loans Fund were reduced as from 25th February in accordance with the established policy of keeping them in line with the rates prevailing in the market for loans to local authorities. The change is in no sense a sign of any relaxation in credit policy.

Mr. Lipton

Has not the time come for a cut in the Bank Rate?

Mr. Maudling

As soon as the time comes, action will be taken.