§ Mr. Skeetasked the Chancellor of the Exchequer to what extent it is Her Majesty's Government's policy to establish a European capital market; and what has been the response of France, Italy and the Federal Republic of Germany.
§ Mr. Ian StewartThe United Kingdom is in favour of the free movement of capital throughout Europe. Since the abolition of exchange controls in 1979, capital flows both into and out of the United Kingdom have been unrestricted. Overseas companies are thus free to raise capital in the United Kingdom capital market on the same basis as British companies. By contrast both France and228W Italy retain substantial exchange controls. The Federal Republic of Germany does not maintain exchange controls and is a supporter of the free movement of capital.