§ Mr. Marlowasked the Chancellor of the Exchequer in what way the level of United Kingdom Government borrowing affects interest rates differently from borrowing by the EEC.
§ Mr. Lawson[pursuant to his reply, 16 December 1980]: The effect on interest rates of borrowing by the European Community as well as by central Government will depend on the nature and scale of the borrowing and the Government's monetary policy. In 1980 European Community institutions made two small issues in sterling, both in the sterling Eurobond market, totalling £40 million. Borrowing on such a scale should not have a noticeable effect on United Kingdom interest rates.