Oral Answers to Questions
Debate between Lord Hammond of Runnymede and Philip Boswell(7 years, 6 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Mr Hammond
I am grateful to my hon. Friend, as he has asked me a very important question. He knows that the operation of monetary policy in the UK is independent of Government. Monetary policy, including measures such as quantitative easing, has been highly effective in supporting the economy. Because of the fiscal implications of an indemnity for the Bank, packages have to be formally agreed by the Chancellor. Although I cannot prejudge any hypothetical request, no request for quantitative easing has ever been refused, and I see no reason why circumstances would be different in future.
Philip Boswell (Coatbridge, Chryston and Bellshill) (SNP)
The latest reports on the dash for cash in RBS’s Global Restructuring Group show even more misconduct by this bank. Given that we own a majority of RBS shares, does the Chancellor not believe that the UK Government have an obligation to the people of this country to conduct a robust investigation into the allegations of misconduct?
Oral Answers to Questions
Debate between Lord Hammond of Runnymede and Philip Boswell(7 years, 9 months ago)
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The Chancellor of the Exchequer (Mr Philip Hammond)
While it is clear that the referendum decision represents a shock to the UK economy, thanks to the actions taken over the past six years by my predecessor, the economy is well placed to respond. I will work closely with the Bank of England to provide immediate stability and to maintain confidence in the fundamental health of the UK economy as we prepare for the autumn statement. As further post-referendum economic data are published, the economy’s short-term response to the Brexit decision will become clearer. If further measures are required, they will be announced in the autumn statement.
Philip Boswell
Given colleagues’ anecdotal evidence of capital flight, the recent vote to leave the EU has plunged the economy into volatility and uncertainty. The Conservative Government have been slow to act and have yet to provide an economic strategy, so will the Chancellor tell the people of the UK when they will get an insight into the scale of capital flight following the Brexit vote?
Mr Hammond
The hon. Gentleman is right to say that the shock of the exit vote at the referendum has created short-term turbulence in the UK economy, but we are well placed to manage it. In answer to his question about data, a series of data publications during the late summer and autumn will inform a proper response at the autumn statement.