HC Deb 21 May 1998 vol 312 cc494-5W
29. Mr. Gray

To ask the Chancellor of the Exchequer what steps he has taken to encourage individuals to save. [41703]

Mr. Darling

It is this Government's policy to encourage individuals to save. We have given the Bank of England responsibility for setting interest rates to achieve the Government's inflation target. This, together with the Code For Fiscal Stability, will ensure economic stability and the right conditions in which individuals will be encouraged to save with confidence.

In addition, we have introduced plans for the Individual Savings Account specifically to develop and extend the savings habit. We re also consulting on the introduction of voluntary CAT standards for ISAs to help ordinary people save with confidence. CAT standards will focus on reasonable cost, easy access and fair terms.

36. Mr. Prior

To ask the Chancellor of the Exchequer if he will make a statement on his forecast for the savings ratio over the next two years. [41710]

Mrs. Liddell

A modest cyclical fall in the saving ratio is expected over the next two years. Over the longer term, the introduction of ISAs and our policies to promote economic growth and stability will increase the incentive to save for investment.