HC Deb 12 February 1957 vol 564 cc1071-2
41. Mr. H. Hynd

asked the Chancellor of the Exchequer the estimated cost for the first year of administration, including advertising, of the Premium Bonds Scheme.

The Financial Secretary to the Treasury (Mr. J. Enoch Powell)

I would refer the hon. Member to the reply given to the right hon. Member for Huyton (Mr. H. Wilson) on 5th February.

Mr. Hynd

As that answer revealed that the cost of administering this scheme is now about £1½ million a year, is the Minister satisfied that the number of Premium Bonds being sold justifies this very great expense? If the Government are looking for administrative economy, should not the Minister try to persuade the new Prime Minister to over-rule the scheme of the former Chancellor of the Exchequer?

Mr. Powell

It was inevitable and obvious that the administrative expenses would be higher at the inception of a new scheme of this sort. The fact remains that the savings being obtained by these means are of great value to the nation.