PUBLIC CREDIT FOR PUBLIC PURPOSES

That this House notes with concern the contrast between the enormous expansion of private credit and the growing debt burden that this imposes on society; further notes that public credit, as measured by the proportion of publicly created money in circulation, has fallen from 20 per cent. of the money supply in 1964 to three per cent. today; believes that using public credit and increasing the proportion of publicly created money should be used to cut the costs of, and to boost the quantity of, public investment and to allow the Chancellor to fulfil his golden rule without further borrowing; further believes that this can be done without any impact on inflation; and, therefore, urges the Treasury to commission an independent review of the benefits of using the public credit and increasing the proportion of publicly created money.