§ MR. STEWART MACLIVERasked the Secretary of State for the Home Department, Whether, in consequence of the recent failures of Building Societies, he has considered the desirability of a revision of the Act of 1874, by which the Registrar General may have extended powers, including an official audit, and reliable tables for safety to investors; and, whether Government is prepared to amend the said Act?
§ MR. HIBBERT (for Sir WILLIAM HARCOURT),in reply, said, the Secretary of State had consulted the Registrar of Friendly Societies upon this question; and he had pointed out that what determined the safety of Building Societies was mainly the value of their securities. More importance was attached to that than the tables determining the rates at which instalments and interest were repaid. There were about 2,000 Building Societies, and if a compulsory official audit were established there would be greatly increased expenditure. He was of opinion that amendment might be made in the law to give extended powers to members of Building Societies; but the Home Secretary was not prepared to bring in a Bill for that purpose. If the hon. Member would communicate with the Registrar of Friendly Societies, and himself bring in a Bill, it would probably receive the support of the Home Office.