HC Deb 21 April 1989 vol 151 c329W
Mr. Allen

To ask the Chancellor of the Exchequer when the practice of reverse auctioning of Government debt began; and how it is regulated.

Mr. Lilley

The first reverse auction was held in January 1989, and was carried out by the Bank of England.

Mr. Allen

To ask the Chancellor of the Exchequer which financial institutions or sectors have participated in buying Government debt through reverse auctioning.

Mr. Lilley

Only the Bank of England buys Government debt through reverse auctions. Figures are not available for the institutions or sectors selling stock, because many of the offers will be channelled through gilt edged market makers.

Figures showing transactions in Government stock by various sectors in 1989 Q I (the quarter in which the first reverse auction took place) will be published in the May Bank of England Quarterly Bulletin.

Mr. Allen

To ask the Chancellor of the Exchequer how much Government debt has been reverse auctioned over each of the last 30 years for which records are available.

Mr. Lilley

Only one reverse auction has been held so far and this took place in January 1989. This reverse auction was for £500 million nominal of stock.