§ Mr. Austin MitchellTo ask the Chancellor of the Exchequer what part the deputy governor of the Bank of England plays in the formulation of interest rate policy; and whether the views he has recently expressed on the prospects for inflation represent those of the Government.
§ Mr. NelsonDecisions on interest rates are a matter for Ministers, advised by Treasury officials and the Bank of England. In his speech to the Institute of Credit Management on 9 March, the deputy governor warned of the dangers of relaxing the fight against inflation. The Government will continue to set interest rates to meet their objectives for low inflation.