§ Sir J. Mellorasked the Chancellor of the Exchequer whether he has reviewed the existing regulations, which permit the public offer for sale of units by unit trusts. while prohibiting the public offer for sale, without Treasury consent, of shares and debentures; and whether he will now take steps to amend the definition of securities for the purposes of Regulation 6 of the Defence (Finance) Regulations, 1939?
§ Sir K. WoodYes, Sir. I have come to the conclusion that in the national interest units and sub-units issued by unit trusts should be brought within the definition of securities and Regulation 6 has been amended accordingly. The effect of this amendment and of an exemption order issued concurrently is that unit trusts will not be able, without Treasury consent, to issue units and sub-units in excess of the number existing on the 12th May.