§ Mr. Tinkerasked the Chancellor of the Exchequer whether he will consider asking Parliament for powers to take over the Bank of England and all joint stock banks for the period of the war so that deposits made to them by the public could be utilised immediately by the Government without having to spend time negotiating with the governors and directors of the banks?
§ Sir K. WoodNo, Sir. No delay occurs, for there are no negotiations of the kind suggested by my hon. Friend. The amount of loans on Treasury deposit receipts from the banks is settled by the Treasury in consultation with the Bank of England. The amount of Treasury bills is similarly settled. The procedure is well established. Bank of England ways and means advances are required only to iron out day-to-day fluctuations in the Exchequer balances. In present conditions they are, in substance, automatic.