HC Deb 14 August 1876 vol 231 cc1203-4
SIR CHARLES W. DILKE

asked Mr. Chancellor of the Exchequer, What is the present position of negotiations in reference to the payment of interest on the Turkish Loan of 1855, and what the consequent position of the Loan of 1854?

THE CHANCELLOR OF THE EXCHEQUER,

in reply, said, he had nothing material to add to what he had already stated to the House, but he would briefly recapitulate his former statement. On the 1st August, when the dividends were due upon the Guaranteed Loan of 1855, the Government were informed by the Bank of England that no funds had been placed in their hands by the Turkish Government which were applicable to the loan upon which the dividend had then to be paid. The Treasury accordingly authorized the Bank to make an advance in order that there might be no delay in the payment of the coupons, and he communicated with the Foreign Office upon the subject. He stated to that office that it would be the duty of the British Government, in the event of no funds being provided, by the Turkish Government, to make good out of the Exchequer the amount which had been so advanced by the Bank of England, and to call upon the Government of France to make good one moiety of the advance. Steps were about to be taken for that purpose, after granting a sufficient interval for the purpose of allowing the Porte to put the Bank in funds; but while those communications which were necessary were going on with the Porte and the French Government, a Question was put to him (the Chancellor of the Exchequer) in that House by the hon. Member for Longford (Mr. Errington), and in consequence of that Question, on his (the Chancellor of the Exchequer) asking for information from the Bank on the subject, an intimation was received that there were in the Bank of England some £60,000 on account of the Tribute Loan of 1854, and also an amount of £116,000 on account of the Tribute Loan of 1871. Under these circumstances the Government were now taking advice, and were in communication with the French Government on the question as to whether they should make any advance from the Treasury to meet the money which had been so advanced by the Bank. That was the state of the facts, and to them he had nothing to add.