§ 13. Mr. Biffenasked the Chancellor of the Exchequer what proposals he has to issue a further Government stock involving borrowing for 25 years at 9 per cent. annual interest.
§ Mr. TaverneMy right hon. Friend has no such proposals. Hon. Members will have seen that the latest issue of long-dated stock was at 8¾ per cent.
§ Mr. BiffenThe hon. and learned Gentleman must know that the 8¾ per 935 cent. stock was issued at 96 and is now on a running yield of over 9 per cent.? Is it not absurd to be refinancing maturing debt at these fancy rates of interest over such a long period of time?
§ Mr. TaverneI am sure that the hon. Gentleman would be one of the first to appreciate that in the case of any issue of Government stock, it must be issued at the going rate. That is why this stock was issued at 8¾.