§ 85. Mr. Osborneasked the Chancellor of the Exchequer if he will now relax his predecessor's previous requests and allow the banks to ease the credit squeeze and to grant increased credit accommodation to small businesses, especially those requiring seasonal trade overdrafts when heavy stocks have to be carried on which Purchase Tax must be paid; and if he will make a statement on Her Majesty's Government's policy towards these small traders who fear bankruptcy unless the credit squeeze is eased.
§ Mr. BirchThe Answer to the first part of the Question is "No"; the banks have shown that they are aware of the seasonal needs of their customers. As for the second part of the Question, my right hon. Friend recognises the great importance of small businesses to our economy, but he feels he would not be justified in asking that they should be specially relieved of restrictions that affect all who seek credit.