§ Mr. Austin Mitchellasked the Chancellor of the Exchequer whether he was consulted by the Bank of England on its decision to resist the cut in base rates.
§ Mr. Bruce-Gardyne[pursuant to his reply, 15 April 1983, c. 471]: There is the regular consultation at all levels between the Bank and the Treasury and the Governor and my right hon. and learned Friend about the general assessment of the range of factors relevant to interest rates. This assessment is the framework for the Bank's day-to-day money market operations; but it is not the practice for Ministers to comment on individual actions. As the hon. Member will know, the clearing banks announced a ½ per cent. reduction in base rates last Thursday.