§ MR. THOMAS O'DONNELL (Kerry, W.)To ask Mr. Chancellor of the Exchequer what is the amount of the sinking fund paid on purchases under the Irish Land Purchase Acts of 1885, 1891, and 1896, up to the year ended March, 1908; at what rate of interest is this money invested; whether, at the end of each decadal period of revision regard is had to the interest received during the previous ten years before deciding on the rate of reduction to be given to the tenant purchasers under each of those Acts; and what is the Tate of reduction given in the last decadal revision under each of those Acts.
(Answered by Mr. Lloyd-George.) The sinking fund paid to 31st March, 1908, on purchases under the Purchase of Land (Ireland) Act, 1885, amounted to £1,791,075. This represents the balance of annuity instalments at 4 per cent. on the amount of the advance outstanding after deducting interest at 3⅛ per cent. The advances under this Act were made from the Local Loans Fund, and the rate of interest is not subject to variation. Advances under the Purchase of Land (Ireland) Acts, 1891 and 1896, were made in Two and Three-quarter per Cent. Guaranteed Land Stock, and are repayable by an annuity of 4 per cent., of which £2 15s. per cent. is required for interest on the stock, and the balance of £1 5s. per cent. is accumulated for the purpose of replacing the stock. The rate of accumulation is based upon the actual price at which the stock can be purchased; and under the Treasury rules the rate varies from time to time, so as to give the tenant-purchasers the full benefit of the market price of the stock being below par. The average rate of accumulation at the present time is approximately £2 19s. 5d. per cent., and is applied on the occasion of each decadal revision. Up to 31st March, 1908, the accumulated sinking fund amounted to £1,112,003, in addition to which Land Stock to the amount of £1,019,031 had been cancelled. As regards the rate of reduction given in the last decadal revision, this is a matter for the Land Commission; and I would suggest that the hon. Member should 652 address himself on the point to the Chief Secretary.