HC Deb 12 November 1959 vol 613 cc585-7

The LORDS COMMISSIONERS of HIS MAJESTY'S TREASURY having given notice in the London Gazette of the 30th June, 1932, of their intention to redeem the £5 per cent. War Loan, 1929–1947, at par on the 1st December, 1932, and having declared that Part III of the Finance (No. 2) Act, 1931, shall come into operation, authorise THE GOVERNOR AND COMPANY of the BANK OF KNGLAND and THE GOVERNOR AND COMPANY of the BANK OF IRELAND to make the following Announcement.

Holders who so desire may have their holdings in the Loan continued after the 1st December, 1932, subject to all the existing terms, conditions and incidents of the Loan with the following modifications, as specified in the Notice in the London Gazette, which will take effect as from the 1st December, 1932:—

  1. (a) The rate of interest will be reduced to £3 10s. per cent. per annum.
  2. (b) The Lords Commissioners of His Majesty's Treasury reserve to themselves the right, on giving three calendar months' notice of each operation in the London Gazette, to redeem the Loan, at par, either by a single operation or by successive operations, on the 1st December, 1952, or at any time or times thereafter.
  3. (c) The right to tender Stock and Bonds of the Loan to the Commissioners of Inland Revenue in satisfaction of amounts due on account of Death Duties will lapse.
  4. (d) The undertaking to set aside a sum monthly to form a fund for the purchase of Stock or Bonds of the Loan for the purpose of providing against depreciation will cease to have effect and the balance of the fund will cease to be applicable for the said purpose.
  5. (e) The name of the Loan will be changed to £3 10s. per cent. War Loan.

Dividends on inscribed and registered Stock of the Loan will continue to be paid without deduction of Income Tax, but the income derived from such dividends will be assessable to Income Tax in the hands of the recipients.

The exemptions from United Kingdom taxation which now attach to holdings of the Loan by persons neither domiciled nor ordinarily resident (or in the case of Income Tax, not ordinarily resident) in the United Kingdom will continue in force.

The principal and interest of the Loan are and will remain a charge on the Consolidated Fund of the United Kingdom.

At any time up to and including the 30th September, 1932, holders may notify the Bank of England or the Bank of Ireland, respectively, in the prescribed manner of their desire to continue their holdings in the Loan. Those who give due notification on or before the 31st July, 1932*, will receive a Cash Bonus at the rate of £1 per £100 nominal of the amount of their holdings. Those who give notification after the 31st July* will not receive this Cash Bonus.

Holders who wish to have their holdings redeemed in cash on the 1st December, 1932, must notify the Bank of England or the Bank of Ireland respectively, in the prescribed manner, not later than the 30th September, 1932.

Holders who have not notified in the prescribed manner, on or before the 30th September, 1932, their desire to have their holdings either continued in the Loan or redeemed in cash, will, in accordance with the provisions of the Finance (No. 2) Act. 1931, be deemed to have accepted the offer to continue their holdings in the Loan, subject to the conditions set out above. No Cash Bonus will be payable in respect of such holdings.

In the case of inscribed and registered holdings of the £5 per cent. War Loan, 1929–1947, which are to be redeemed, the Books of the Loan will be closed on the evening of the 30th September, 1932, and such holdings will cease to be transferable at the close of business on that date.

Commission at the under-mentioned rates will be paid to Bankers, Stockbrokers and Solicitors or Scottish Law Agents on continued holdings if the Forms of Request for Continuance lodged with the Bank of England or the Bank of Ireland bear their stamp:—

If notified not later than the 3Ist July, 1932–5s. per £100 nominal;

If notified after the 31st July, 1932, but not later than the 30th September, 1932–2squote 6d. per £100 nominal.

INSCRIBED AND REGISTERED STOCK.—An Explanatory Note containing directions and the

*Reasonable extension of time will be allowed in any case where it is shown to the satisfaction of the Bank that the delay in giving due notification was due solely to the permanent or temporary absence from the United Kingdom for the Irish Free State as the case may be) of the holder or, in the case of a joint account, of one or more of the necessary signatories. relevant forms are being sent to all Stockholders whose holdings are inscribed or registered in the Books of the Bank of England or the Bank of Ireland at the date of this Announcement. (In the case of Joint Accounts the forms are being sent only to the holder whose name stands first in the account).

BEARER BONDS.—No notice can be sent by post to holders of Bearer Bonds. If they desire to continue their holdings in the Loan and to obtain the Cash Bonus, or to apply for redemption, their bonds, together with all un-matured coupons, must be lodged at the Bank of England Loans Office, 5 and 6, Lombard Street, London, E.C.3, before the appropriate dates. The relevant form will then be supplied for completion, or it may be obtained on application at any Bank in the United Kingdom or in the Irish Free State.

Copies of this Announcement; of the Explanatory Note issued to Stockholders by the Bank of England; and of the relevant forms, may be obtained from the Bank of England. Head Office and Branches; from the Government Brokers; and from any Banking Office and Stock Exchange in Great Britain. Copies of this Announcement and of the documents relating to holdings in the books of the Pank of Ireland, in Dublin or Belfast respectively, may be obtained from the Head Office and Branches of the Bank of Ireland, and from any Banking Office and Stock Exchange in the Irish Free State or Northern Ireland as the case may be.

N.B.—Stock registered in the Books of the General Post Office will be continued or redeemed at the Post Office under the arrangements set forth in the separate Announcement issued by H.M. Postmaster-General, and not at the Bank of England or the Bank of Ireland. Copies of the Announcement and the forms for use in connection with such stock can be obtained at any Post Office in the United Kingdom.


30th June, 1932.

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