§ Mr. Wigleyasked the Chancellor of the Exchequer what representations he has received, and what response he has given, concerning the status of the Commercial Bank of Wales.
§ Mr. LawsonMy right hon. and learned Friend the Chancellor of the Exchequer has received many representations expressing concern that the present status of the Commercial Bank of Wales is threatened by the Bank of England's decision to grant it a deposit-taking licence rather than recognition as a bank under the Banking Act 1979. In reply the relevant provisions of the Banking Act have been explained together with the fact that the Bank of England's decision does not prevent the Commercial Bank of Wales from providing banking services or carrying on its existing business. In addition, the replies have explained that the Commercial Bank of Wales has appealed to the Chancellor under section 11 of the Banking Act against the Bank of England's decision, that the Chancellor has appointed the persons to hear this appeal on his behalf and that in these circumstances it would obviously not be right for him to comment on the Bank's decision until he has received the appointed persons' report. However, the representations received will be referred to the appointed persons so that the appointed persons can take them into account, as appropriate, in their report to the Chancellor.