asked the Chancellor of the Exchequer what has been the increase in the money supply (M1) in each year since 1945.

Statistics of money supply M1 have been officially compiled only from 1963. Figures for the amounts outstanding at end of quarter from the first quarter of 1963 to the first quarter of 1975 are given in Bank of England Statistical Abstract number 2 1975 table 12/1, with quarterly changes in table 12/2. Figures for later quarters are given in Financial Statistics tables 7.1 and 7.2, the latest issue of which is for December 1979.

asked the Chancellor of the Exchequer within what degrees of accuracy the Treasury calculates the two measures of money supply, namely sterling M1 and sterling M3.

Statistics on money supply growth are collected and published by the Bank of England. The reliability of the various estimates for money stock outstanding is reasonably good. Monthly estimates—seasonally unadjusted—of Ml, sterling M3 and M3 are made on the basis of balance sheet returns by institutions in the United Kingdom banking sector, which comprises all listed banks, discount market institutions and the banking department of the Bank of England. Figures for the amount of notes and coin in circulation are available from the issue department of the Bank of England and the Royal Mint respectively. Returns are made by all the institutions involved but a number of adjustments, some of them rather arbitrary, have to be made, for example to take account of items in transit. The monthly changes are measured by the difference between the levels at the start and the end of the month