§ Mr. Skinnerasked the Chancellor of the Exchequer whether he was fully informed of the £70 million and £40 million loans to Slater Walker Securities from the Bank of England in November 1975; and whether he gave approval to the loans.
§ Mr. HealeyI was aware of the general approach adopted by the Bank of England to the problems of the Slater Walker Group and accepted the Governor's assessment that the Bank's actions offered the best prospect of securing the interests of outside depositers in Slater Walker Limited, an authorised bank, with the least potential call on public funds. The Bank made available a standby loan facility of up to £70 million and a guarantee of up to £40 million in respect of certain potential 143W losses arising from Slater Walker Ltd's loan portfolio. The two arc not cumulative, and to the extent that the guarantee is called upon the loans under the facility would be repaid. My specific approval of the standby loan facility and guarantee was neither sought nor required.