HC Deb 15 October 1968 vol 770 cc192-3
37. Mr. J. E. B. Hill

asked the Chancellor of the Exchequer what steps he is taking, in view of the effect of recent weather conditions on farm incomes, to ensure that agricultural recovery is not help up through lack of credit.

Mr. Diamond

None, Sir. Agriculture is a priority category within the credit ceiling, and I am sure that the banks will do all they can to help farmers badly affected by recent weather conditions.

Mr. Hill

None the less, is not the right hon. Gentleman aware that the short-fall in crop income is so great that most farmers will be reaching their ceilings a great deal earlier than was expected? Therefore, will he instruct the banks that they can extend credit to enable agriculture to get back into full production; and to use any spare credit for that purpose rather than giving it to other institutions to enable other industries to stop production?

Mr. Diamond

As I have already explained to the hon. Gentleman, there is no need to give additional instructions because instructions have already been given broadly to the effect he has indicated.