HC Deb 21 June 1979 vol 968 cc678-80W
Mr. Rost

asked the Chancellor of the Exchequer how many authorisations issued to operators of bureaux de change have been withdrawn by the Bank of England for non-compliance with conditions stipulated when permission was granted.

Mr. Lawson

None.

Mr. Rost

asked the Chancellor of the Exchequer how many authorisations to run bureaux de change have been issued to operators other than authorised banks in each of the past four years.

Mr. Lawson

76 in 1976; 133 in 1977; 152 in 1978; and 111 so far this year—including 43 to the National Girobank.

Mr. Rost

asked the Chancellor of the Exchequer what spot checks have been undertaken by the Bank of England on bureaux de change; and how many such checks have revealed that not all operators display clearly and permanently the rates of exchange offered and the commission charged.

Mr. Lawson

The Bank of England makes regular spot checks on bureaux de change. On the few occasions that the rates of exchange offered and commission charged were not properly displayed, the Bank has required the bureaux concerned to put matters right.

Mr. Rost

asked the Chancellor of the Exchequer if he will publish in the Official Report the conditions set out by the Bank of England under the Exchange Control Act 1947, which are expected to be observed by bureaux de change before they are authorised.

Mr. Lawson

The Bank of England gives bureaux de change permission under the Exchange Control Act 1947 to:

  1. 1. Maintain a foreign currency till in mixed currencies subject to funds in excess of the equivalent of £500 and which are not held to meet immediate known requirements being sold to an authorised bank not less frequently than at weekly intervals.
  2. 2. Purchase foreign currency notes and coin and travellers' cheques expressed in foreign currency from residents and non-residents of the scheduled territories against payment in other foreign currency notes and coin or sterling.
  3. 3. Sell foreign currency notes and coin to non-residents of the scheduled territories against payment in sterling up to the equivadent of £100 per person.

These permissions are subject to the conditions that:

  1. (i) all purchases and sales will be effected at rates in line with those quoted daily by authorised banks for foreign currency and coin;
  2. (ii) the rates of exchange offered and the commission charged on each transaction will be permanently displayed in such a way that they can be readily seen by members of the public during business hours;
  3. (iii) foreign currency notes and coin and travellers' cheques expressed in foreign currency 680 will be held at the company's own exchange risk;
  4. (iv) returns are submitted to the Bank of England at the end of each three-monthly period showing totals, expressed in sterling terms, of foreign currency notes, coin and travellers' cheques which the company has:
    1. (a) purchased from authorised banks;
    2. (b) purchased from customers;
    3. (c) sold to authorised banks;
    4. (d) sold to customers;
    5. (e) remaining in their till.