HC Deb 15 March 1951 vol 485 c1765
61. Mr. Dodds

asked the Chancellor of the Exchequer how many permits have been issued by the Capital Issues Committee for bonus issues over £50,000 since restrictions were lifted; and what is the total nominal value of shares so issued.

Mr. Jay

Since the ban was partially lifted in December, 1949, the number of bonus applications which has been approved by the Treasury to date is 141, involving a total nominal value of £53,549,000. It is not possible to give the nominal value of the shares actually issued.

Mr. Dodds

Is the Minister not aware of the widespread concern at the great activity in making bonus issues?

Mr. C. S. Taylor

Is it not quite wrong to class the majority of these issues as bonus issues, when they are, in fact, not bonus issues at all?

Mr. Jay

I am aware that there is concern about some of these issues, and that is why we have to maintain control.

Mr. Albu

Is it not a fact that following the issue of bonus shares there is an appreciation in the value of the shares on the Stock Exchange, and, therefore, there is a capital gain to the owners?

Mr. Jay

Very often that is true, but not always.