§ Lieut.-Colonel MOORE
asked the Secretary of State for Scotland whether the scheme of the Glasgow Corporation for replacing their £2,500,000 5½ per cent. loan by the issue of mortgages has received his approval; and what is the general policy of his Department with regard to such schemes?1717W
§ Sir G. COLLINS
The replacement of the loan in question by the issue of mortgages did not require or receive my specific approval. In general a local authority in Scotland may borrow for purposes authorised by Statute without the consent of any central department provided the resolution to borrow has been agreed to by two-thirds of the members present and voting at the meeting at which it is passed. When a local authority has so resolved to borrow—whether in connection with the redemption of a loan or not—it is within its discretion to decide that the sum1718W required shall be raised otherwise than by the creation of stock.