HC Deb 26 October 1971 vol 823 cc1449-50
1. Dr. Gilbert

asked the Chancellor of the Exchequer if he is now in a position to make a statement about the discussions between the Bank of England and financial institutions in the City with respect to the Bank's proposals for changes in the banking systems.

The Financial Secretary to the Treasury (Mr. Patrick Jenkin)

These discussions were successfully concluded during the summer and the new arrangements are now in force. They are described in a supplement to the September issue of the Bank of England Quarterly Bulletin entitled "Reserve Ratios and Special Deposits". I have arranged for copies to be placed in the Library.

Dr. Gilbert

These new developments are very welcome so far as they go, but would the hon. Gentleman not agree that we shall not achieve proper competition among the clearing banks and the ending of the cartel until, for example, they publish their charges to customers? Could he say whether supervision in matters of this sort is a matter for his Department or for the Department of Trade and Industry?

Mr. Jenkin

I very much welcome the first remarks of the hon. Member, and agree that this new scheme has got off to a very good start. The matter that he raises about charges he should address in the form of a Question to my right hon. Friend the Secretary of State for Trade and Industry.

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