§ 121. Mr. Errollasked the Chancellor of the Exchequer why, under the terms of Statutory Instrument, 1954, No. 1088, a lower rate of interest is to be paid in respect of the balance standing to the 146W credit of any company's account in the hands of the Board of Trade; and what organisations were consulted before making the reduction.
§ Mr. MaudlingThe rate of interest on the balance standing to the credit of any company's account in the hands of the Board of Trade was reduced by S.I. 1088 of 1954, from 2 per cent. to 1¼ per cent. in order to bring it into line with current market rates for short-term advances. It would not be appropriate to consult outside organisations in advance about changes in interest rates.