HC Deb 21 March 1918 vol 104 cc1180-1W

asked the Chancellor of the Exchequer whether, with a view to giving confidence to those willing to invest in Government loans and needing large sums for capital and trading purposes after the War, an inquiry could be held with bankers and finance houses as to the best means to render Government loans available as good collateral security either by Government accepting payment of taxation at issue values of loans in such securities or by other effective means to prevent over-selling with its consequent depreciation, the fear of which may retard investment now and limit enterprise afterwards?


I do not think any useful purpose would be served by any general inquiry into the matters referred to in the question at the present time. I need hardly say that I fully appreciate their importance, and am in constant consultation with those most competent to advise me on these subjects. As my hon. Friend is aware, very valuable rights of tender for the purpose of payment of taxes are already attached to the various War Loans, but it is obvious that such rights cannot be indefinitely extended without endangering the capacity of the revenue to provide the cash necessary for carrying on the public service.