HC Deb 23 March 1979 vol 964 cc152-3W
Mr. Wm. Ross

asked the Chancellor of die Exchequer (1) what is his estimate of the total amount of money now in circulation in Northern Ireland; how much is in the form of banknotes and how much in coin: and how much of the coin and notes, respectively, is estimated to be the currency of the Irish Republic;

(2) what is his estimate of the total amount of money now in circulation in Great Britain; how much of it is in banknotes and in coin, respectively, and how much of the coin and notes, respectively, is estimated to be the currency of the Irish Republic;

(3) if, in deciding his policy in respect to the growth of money supply, he takes into account the sums in the currency of the Irish Republic which are circulating in Northern Ireland.

Mr. Denzil Davies

, pursuant to his reply [Official Report, 12 March 1979], gave the following information:

The total face value of currency in circulation on 7 March 1979 in the United Kingdom, i.e. including Northern Ireland, was £9,509 million, of which £8,921 million represents the value of banknotes and £588 million the value of coin. A separate estimate of the total face value of banknotes in circulation in Northern Ireland is not available, nor have we estimates of the total value of notes issued by the Republic of Ireland which are in circulation in either Great Britain or Northern Ireland. The total face value of coins in circulation in Northern Ireland is estimated to be £19 million of which £7 million are estimated to be coins of the Republic of Ireland.

For monetary policy purposes, the Government's target aggregate, sterling M3, includes the sterling bank deposits of United Kingdom residents together with notes and coin in circulation outside the banking sector. Such notes and coin are a small part—about 17 per cent. at the end of banking January—of £3 million. No account is taken of, nor are figures available for, the currency of the Republic of Ireland circulating in either Northern Ireland or Great Britain or the currency of the United Kingdom circulating in the Republic of Ireland but any adjustment on this account would be negligible by comparison to total money stock.