§ Sir F. DIXON-HARTLANDI beg to ask Mr. Chancellor of the Exchequer if he will state the exact amount paid by the Government to the Bank of England for the last financial year in respect to the debt of eleven millions owing to the issue department of the bank and also in respect to other charges; and if he will further state what allowance was made by the Bank of England to the Government in respect to the note circulation or otherwise.
§ Me. ASQUITHThe amount paid to the Bank of England as interest at 2½ per cent, on the Government Debt of £11,015,000 was £275,377 10s. I should perhaps explain that the sum of £11,015,000 is a debt owing by Government to the Governor and Company of the Bank of England, not to the issue department. The remuneration paid to the bank for its services amounted to £213,988 13s. 2d., which was made up of £189,654 8s. paid from the Exchequer for management of the Funded and Unfunded Debt, and £24,334 5s. 2d. defrayed from other funds in respect of local loans stock, guaranteed 2¾ per cent, stock, and the dividends on unclaimed stock. The payments received by Government from the bank amounted to £247,018 3s., which included £186,593 paid to the Exchequer in respect of the profits of note issue, and £60,000 paid to the Commissioners of Inland Revenue in lieu of stamp duty on the note issue. These figures, of course, take no account of the gain which the Bank derives from having the custody of the Government balances.