HC Deb 24 July 1962 vol 663 cc1262-3
21 and 22. Mr. Hiley

asked the Postmaster-General (1) what is the annual cost of running the Forces Savings Branch; and what percentage of the Forces avail themselves of this service;

(2) what is the average annual amount of deposits in, and withdrawals from, the Forces Savings Branch; and what is the average balance on individual personal accounts, as distinct from club accounts.

Miss Pike

The cost of running the Forces Savings Branch was £691,000 in 1961. A total of 51 per cent. of the Forces use this service. The average annual total of deposits, in terms of the past three years, is £24.9 million, and of withdrawals £25.1 million. The average balance on individual accounts is £28 6s. 8d.

Mr. Hiley

I thank my hon. Friend for that information, but does she not consider that the cost of administering the scheme is very high in relation to the numbers using it and the amount of money involved? Further, would she ask her right hon. Friend whether he will look into the problem to see whether it is possible to find a cheaper system of securing this end without damaging the thrift of those concerned?

Miss Pike

It is, of course, a fairly expensive scheme to work, but I think that we all accept that on social grounds it is very valuable and that none of us would like to see it discontinued. I can assure my hon. Friend that we are all the time trying to find out more economical ways of running the service and will, therefore, keep in mind what he says. But it is a good thing to start the habit of saving among Service people.

Mr. W. R. Williams

While I agree with almost everything that the hon. Lady says, will she and her right hon. Friend keep in mind the advantages of the giro system in dealing with members of the Forces and of the civilian community?

Miss Pike

We will certainly keep that in mind.