§ Mr. Lamont
The public works loan commissioners have issued a circular today notifying local authorities of a change in the formula for calculating the quotas for 1993–94. The change reflects the Government's continued concern about the level of investments held by some authorities. The revised formula will reduce the quota available to local authorities which hold substantial investments, some of which could be used in place of fresh borrowing. It will have little or no effect on authorities where investments are small. Interest rates will continue to be set near but just below market rates.
A copy of the circular has been placed in the House Library.