HC Deb 24 November 1919 vol 121 c1452W
Mr. A. SHAW

asked the Chancellor of the Exchequer (1) whether the rise to 5½ per cent, in the rate of Treasury Bills has had the result desired; and whether the increase in the sale of the bills has been sufficient to justify the increased cost to the country;

(2) whether he can state the reason for the advance in the rate of Treasury Bills; whether he is aware that the lack of clear information on this subject and in the new rise in the bank rate, and the resulting uncertainty, have driven up the price of private discount to 6 per cent.; and what steps he proposes to take to avert the resulting loss to the trade of this country?

Mr. CHAMBERLAIN

In answer to these questions, I would refer my hon. Friend to the answers I gave on Monday, 10th November, to the lion. Member for South Hackney. I would only add that I do not think that the trade of the country ultimately benefits from a false monetary position, and that, so far as I am able to judge at present, the increase in the bank rate is having salutary effects.

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