Local liquidity
From Lt. Col. R. H. Rohde
Sir: The matter of the liquidity of the Local Authorities and the necessity for them to borrow from overseas lenders has become one of concern. It has been said that some of these borrowings at up to 13 per cent result from the slow paying of local taxes by ratepayers.
It might be as well if councils and nationalised industries allowed, say, a 5 per cent discount for payments within a week (or as posts are slow, ten days).
In Devon before the last war the Devon and Cornwall Electricity Company allowed 21/2 per cent discount but for some reason under the nationalisation acts this was disallowed.
A small discount would be a real encouragement to those who pay promptly and help the liquidity of the public sector, R. H. Rohde 43 Leopold Road, Wimbledon, SW19
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