§ Mr. Campbell-SavoursTo ask the Chancellor of the Exchequer what assessment he has made as to the extent to which the Governor of the Bank of England's assurances of July 1994 on the monitoring of derivative trading were in the public interest.
§ Mr. Nelson[holding answer 13 March 1995]: My right hon. and learned Friend has made no such assessment, but I am aware that the Bank of England has consistently made clear the risks involved in derivatives. The Governor's assurances of July 1994 related to the understanding of the most active players in the market and were balanced by a statement of the need to deter intermediaries who do not understand the risks involved. I recognise, as does the Governor, the need to ensure effective regulation of derivatives trading.