§ 40. Sir C. Osborneasked the Chancellor of the Exchequer if he is aware that the 7 per cent. Bank Rate or the 15 per cent. import charges will not permanently improve the import-export position if they are retained only for a short time; if he will give an undertaking they will not be removed until the trade balance is firmly in favour of the United Kingdom; and if he will make a statement.
§ Mr. CallaghanIt is our intention to reduce and remove the import charge as rapidly as the balance of payments position allows.
The increase to 7 per cent. in Bank Rate was a short-term measure to relieve the pressure on sterling. The timing of its reduction depends primarily on developments in the monetary field.