§ SIR JOHN COLOMB (Great Yarmouth)I beg to ask the Secretary to the Admiralty whether he can state the terms of reference to the Committee appointed by the Admiralty to inquire into matters relating to the subvention of merchant steamers for purposes of; war; whether he can give the names, of members of the Committee; whether 28 the report and evidence submitted will be laid before Parliament; and whether arrangements can be made to postpone taking in Supply Vote 8, Section 3, which includes the charge for subsidies to merchant steamers, until the Report and evidence taken by the Committee are in the hands of Members.
§ THE SECRETARY TO THE ADMIRALTY (Mr. ARNOLD-FORSTER,) Belfast, W.The Committee has been appointed by the Admiralty with limited reference. It is charged to ascertain in what way, and at what cost steamers of greater speed than those now employed, and of greater efficiency for war purposes, may be obtained in return for subsidies paid, and also to ascertain and report as to what modification of the existing form of agreement, and what addition to the present rate of subsidy may be necessary in order to prevent the transfer to a foreign flag without permission of the Admiralty of any ship which receives or has received a subsidy. The names of the Committee as at present constituted are as follows:—The Earl of Camperdown, Vice-Admiral FitzGerald, Professor J. H. Biles, Mr. Robert Chalmers, C.B., representing the Treasury, Mr. Buxton Forman, representing the Post Office, and Captain Tupper, R.N., Secretary. I cannot at the present time say whether it will be possible to present the Report and evidence to the House. The question of whether it will be possible to postpone the discussion on Vote 8, Section 3, so as to allow of the discussion of the Report of the Committee must depend upon the date on which that report is received.
§ SIR JOHN COLOMBMay I ask whether, under those terms, the policy of paying subsidies is open to review?
§ MR. ARNOLD-FORSTERNo, Sir. The reference is a limited reference. Assuming the policy to be continued, the consideration of the circumstances under which that policy can be continued in the most effective way is complying with the terms of reference.
§ SIR JOHN COLOMBI bog to ask the Secretary to the Admiralty whether he is aware that the creation of a fleet of Royal Naval Reserve Cruisers, by the adoption of a policy of subventions to merchant steamers, was recommended in 1887, by the Admiralty to the Treasury, as having pecuniary advantage by serving to limit the necessity for the construction of fast war vessels to protect the commerce of the country; and, seeing that the total amount of subventions paid in pursuance of that policy since 1887 inclusive, exceeds half a million sterling, whether he can state approximately what has been the pecuniary advantage derived from that expenditure due to limitations put by the Admiralty on the construction of fast war vessels to protect commerce, as consequence of the adoption of the policy so recommended.
§ MR. ARNOLD-FORSTERWhatever may have been the original policy which led to the subvention of Merchant Cruisers, it is considered by the Admiralty that definite functions could be assigned to such steamers in a future naval war, and that they should therefore, if compatible with a reasonable expenditure, be retained independently of any such result as that which was anticipated by the Committee in 1887. In answer to the last part of the hon. and gallant Member's Question, I should imagine that the subsidising of these vessels has not had any serious effect in diminishing the expenditure upon fast cruisers, the armoured cruiser having become a specially important type of vessel capable of rendering services which could not be performed by any mercantile cruiser.