§ 16. Mr. Barnettasked the Chancellor of the Exchequer what recent discussions he has had with central banks and other institutions on the phasing of United Kingdom debts; and if he will make a statement.
§ Mr. Roy JenkinsI have had no such discussions.
§ Mr. BarnettWhat advantage does my right hon. Friend see in reducing central bank debts with short-term money, whether "hot" or only slightly warm? Would it not be preferable to lower Bank Rate and renegotiate the central bank debts?
§ Mr. JenkinsI do not accept what my hon. Friend says. There has been a natural re-flux of money to this country associated with the very strong position of our balance of payments and the return of confidence. I do not see any need to do as my hon. Friend suggests. Of course. Bank Rate was lowered a fortnight ago.
§ Mr. MaudlingIs it a fact that our total overseas indebtedness was increased by £356 million through the mishandling of devaluation and the effect on the Exchange Equalisation Fund?
§ Mr. JenkinsI do not agree that there was a mishandling of devaluation.