HC Deb 19 January 1965 vol 705 c12W
63. Dame Joan Vickers

asked the Chancellor of the Exchequer whether he is aware that local authorities are having to borrow large sums of money on short-term loans, much in excess of previous practice; and what steps he will take to set a limit to such borrowings.

Mr. Callaghan

Local authorities are already on notice that limits on their temporary borrowing will come into force in April 1968 and I see no reason to introduce additional requirements at the present time. I hope that excess temporary debt will be reduced over the next three years.

64. Dame Joan Vickers

asked the Chancellor of the Exchequer if he is aware that local authorities are having to borrow at rates sometimes up to 8 per cent.; and what effect he estimates this will have on housing programmes.

Mr. Callaghan

I am glad to say that the rate of 8 per cent. did not persist for long and I would not in any case expect temporary borrowing rates to affect housing programmes materially.

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