asked the Chancellor of the Exchequer what has been the increase in interest rates since 1 April; what has been the resulting increase in the cost of servicing the public sector borrowing requirement to date; and what would be the annual cost if present levels of interest rates are maintained.

From 1 April to 12 November three-month money market rates increased by about 3½ per cent. The yield on long-term Government securities rose by about 3 per cent. in the same period. No estimates of the effect of these interest rate increases on the cost of servicing the PSBR are available.