§ MR. HOLT (Northumberland, Hexham)I beg to ask the First Lord of the Admiralty whether, in order to protect the national exchequer against having to pay extortionate sums for transports, as was the case during the late war in South Africa, he will consider the desirability of acquiring powers for the compulsory hiring of merchant ships during war time at a price to be fixed subsequently by arbitration.
§ MR. McKENNAThe present system of competition and negotiation is preferable from an executive point of view, and it is doubtful whether any economy would result from such a change as that suggested. In view of the large amount of tonnage required about the same time, and the urgency of the service, the Admiralty cannot agree that the sums paid were extortionate.