HC Deb 09 August 1966 vol 733 cc1383-4
31. Mr. Grant

asked the Chancellor of the Exchequer what effect he anticipates the recent economic measures will have upon national and private savings.

Mr. Callaghan

The measures will have no direct effect on National Savings, but they will on balance tend to increase personal savings.

Mr. Grant

Does the Chancellor agree that, in the present economic circumstances and difficulties, an increased level of savings is more necessary than ever? As last week the level of National Savings fell below that for the same time last year, will the right hon. Gentleman look again at the many schemes which have been put before him and not be so complacent?

Mr. Callaghan

I thought that a factual answer could not betray either complacency or the lack of it. As to the particular point the hon. Gentleman raises, National Savings have done well this year because of the introduction of the new National Savings Certificate, but there always are withdrawals in the holiday weeks. I hope that the level of savings will pick up again when the holidays are over.

Mrs. Thatcher

In making that reply, what assumptions has the Chancellor made about the level of interest offered by building societies?

Mr. Callaghan

There will be an answer on that, I hope, if my right hon. Friend the Minister of Housing and Local Government catches Mr. Speaker's eye at the end of Questions.