§ Mr. Brotherton
asked the Chancellor of the Exchequer what factors entered into his decision to reduce the surface area of the £1 note to 83.5 per cent. of the old note.
§ Mr. Denzil Davies
Under the Currency and Bank Notes Act 1954, the Bank of England has responsibility for the issue of bank notes of such denominations as the Treasury may approve. The decision on the size of the notes in the new series was taken by the Bank of England in 1967, and not by Treasury Ministers. The new issue was announced in a Press notice issued by the Bank in March 1968. I have asked the Bank to write to the hon. Member with an explanation of the factors behind the new issue and enclosing a copy of the Press notice.