§ MR. REMNANT (Finsbury, Holborn)I beg to ask the Secretary of State for the Home Department whether he can state the approximate amount of the balance of the compensation fund in the hands of the compensation authority for the county of London at the commencement of the present year; the approximate amount of such balance after allowance for the discharge of all clams upon the fund in respect of licences refused in 1906; if sums forming the balance are invested, and, if so, in what manner; what was the purchase price of the investments; and what rate of interest they bear.
§ MR. GLADSTONEThe balance was £341,616 11s. 9d., the claims amounted to upwards of £250,000, and after they are satisfied there will remain some £89,890. Of the aforesaid balance 1349 £145,000 were invested in Consols at 2½ per cent., the purchase price being 89 29/32 for £120,000 and 90 7/16 for £25,000. The remainder of the balance has borne interest at deposit rate.
§ MR. REMNANTDoes the right hon. Gentleman think it wise to invest the money in a fund which fluctuates so much as Consols?
§ * MR. SPEAKEROrder, order ! That is a matter of opinion.
§ MR. REMNANTI beg to ask the Secretary of State for the Home Department whether his attention has been called to the fact that the compensation authority for the county of London have this year imposed charges under the Licensing Act, 1904, for the purposes of the compensation fund at the maximum rate; whether he is aware that this will produce, when added to the balance in hand, a sum considerably in excess of any probable requirements for compensation payments for licences refused under the Act in the present year; that the levy has been imposed at the maximum rate owing to a depreciation in the value of the securities in which balances in hand have been invested by the authority, and that the same cause has led to delays in the payment of compensation awards; and whether, having regards to the hardships thus suffered by contributories to the fund, and in cases where there has been delay in the payment of compensation awards, he will consider the advisability of some emendation of Rule 60 of the Licensing Rules, 1904, or will take any other action in the matter.
§ MR. GLADSTONEI am informed that, though the authority considered the fact of the depreciation of Consols—the only securities in which any part of the fund has been invested—it was not on this ground alone that it was deemed necessary to impose the maximum charge; and that there is no reason to anticipate that the proceeds will considerably exceed the requirements in respect of the year 1907. It does not appear from the information which I have received that any delay in paying the compensation monies is due to the depreciation in Consols, and I see no reason at present for any action on my part.