asked the Chancellor of the Exchequer what steps he is taking to ensure that progress in the European Community towards the completion of the internal market should include the development of a fully integrated market for capital.

The Government welcome the proposals in the Commission's White Paper on the internal market for removing barriers to the freedom to provide financial services throughout the Community. In the Government's view, the single most important step which could be taken to bring about an integrated market in financial services would be the abolition of exchange controls. The United Kingdom takes all appropriate opportunities to emphasise in the Council of Ministers the importance of free capital markets.