asked the Chancellor of the Exchequer whether, in view of the stalemate in the gilt-edged market, he will ask the Governor of the Bank of England to discuss with the financial institutions the question of the future funding of the public sector borrowing requirement.

I frequently discuss with the Governor the future financing of the public sector borrowing requirement. I am confident, however, that gilts will attract the funds needed to finance the PSBR in line with my right hon. Friend's monetary objectives.