§ Mr. Lubbock
asked the Minister of Housing and Local Government what further proposals he has for alleviating the burden now falling on local authorities as a result of the 7 per cent. Bank Rate.
§ Mr. Crossman
My right Friend the Chancellor of the Exchequer has already announced that there will be no increase for the time being in the rate of interest222W charged on the quota of loans which local authorities are entitled to draw from the Public Works Loan Board, and that all authorities will be able to get the first £100,000 of their borrowing requirements from the Board, in place of the first £50,000. I have no further proposals. The real need is to effect an improvement in the economic situation which will make so high a Bank Rate unnecessary; and this the Government intend to do.