HC Deb 22 May 1916 vol 82 cc1785-6
3. Mr. ANDERSON

asked the President of the Board of Trade whether he is aware that the White Star Line, after paying 50 per cent. Excess Profits Tax to the Exchequer, and meeting other charges and liabilities, shows a profit of £1,968,285, and has paid a dividend amounting to 65 per cent.; whether he is aware that such profits are a contributory factor in the 50 per cent. increase in the price of food of the working people; and whether, since the increase in freightage is a source of weakness to the country and a cause of dissatisfaction and unrest, he will now take steps to organise merchant shipping on a national basis, paying the shipowners a fair price for the use of the ships, and appointing a shipping executive of business men and labour representatives to arrange the transport services from the standpoint of efficiency and economy?

Mr. PRETYMAN

The answer to the first part of the question is in the affirmative. The owners of the White Star Line inform me that the surplus mentioned is before deduction of debenture interest and depreciation. The sum divided as dividend was £487,500, the same amount as in the year 1913, before the War. Any general increase in the cost of carriage has a direct effect on the price of the commodities carried, but I do not think that the suggestion of my hon. Friend would prove effective for securing either a general reduction of the cost of carriage to this country, or an abundance of supplies for our consumers. He appears to have overlooked the fact that the amount of British tonnage available is inadequate, and that great numbers of neutrals are engaged in carrying our imported food.

Mr. W. THORNE

Is the hon. Gentleman aware that every 10s. extra freightage per ton of wheat causes an increase of a ½d. on the 4-lb. loaf?

Mr. PRETYMAN

I am aware of that, and the answer to the question shows how increased freights directly increase the price of the commodity carried. But the answer also shows that we cannot control that, because a large proportion of our goods are carried in neutral ships.

Mr. THORNE

Would it not be very much better for the Government to take control of all the ships at once?

Mr. SPEAKER

That is a matter which requires reflection and notice.

32. Mr. ANDERSON

asked the Chancellor of the Exchequer whether his attention has been drawn to the fact that after half the excess profit has been appropriated by the Government and other liabilities provided for the White Star Line shows a surplus for last year of £1,968,285 and has already paid a dividend of 65 per cent.; whether he is aware that these profits are made possible by the special circumstances of the War and are prejudicial to the best interests of the nation; and what further action, if any, he proposes to take?

The CHANCELLOR of the EXCHEQUER (Mr. McKenna)

My hon. Friend the Secretary to the Board of Trade has already dealt with the first two parts of my hon. Friend's question. As regards the last part, I can add nothing to the reply I gave on the 10th May in answer to a similar question by the Member for West Ham.