§ 9. Mr. Milneasked the Chancellor of the Exchequer if he will institute an inquiry into the rôle of unit trust com- 1336 panies in the investment economy of the nation: and if he will make a statement.
§ Mr. HigginsNo, Sir. The rôle of unit trusts is well understood, and I do not think an inquiry would serve any useful purpose.
§ Mr. MilneIs the hon. Gentleman aware that that is a disappointing reply, particularly in view of the examination of Investors Overseas Services at the weekend and because unit trusts play a large part in our economy? Is is aware that if funds are directed into the wrong channels the imbalance of the economy can be increased? Will he make a complete examination to assure investors in unit trusts that those sums are properly directed in a period of economic decline?
§ Mr. HigginsI do not necessarily accept the situation which the hon. Gentleman describes as regards imbalance but I will none the less look into the point he raises.
§ Mr. Bruce-GardyneWould my hon. Friend not agree that one of the most useful and effective ways in which my right hon. Friend could stimulate industrial investment this afternoon would be by getting rid of the last Government's double liability for capital gains tax on unit trusts and investment trusts?
§ Mr. HigginsI regret that again I cannot anticipate what my right hon. Friend might say.