§ [SECOND READING.]
§ Order of the Day for the Second Reading read.
§ LORD ALLENDALEMy Lords, I have another innocent little Bill here to which I 584 trust your Lordships will give the same support as you extended to the other Bill. The object of this measure is to remove a difficulty which county councils have experienced in raising loans under the Local Government Act, 1888. Section 69 of that Act enables a county council to borrow by means (1) of stock issued under the Act; (2) of debentures or annuity certificates under the Local Loans Act, 1875; and (3) if special reasons are shown, of mortgage in accordance with the Public Health Act, 1875. Subsection (9) provides that where a county council have borrowed by means of stock they shall not borrow by way of mortgage except for a period not exceeding five years. The result of the subsection is that where county councils have stock and borrow by way of mortgage, they must issue fresh stock at the end of the period of five years for which the mortgage is granted, although the loan may have many years to run. This is sometimes very inconvenient. This inconvenience has been pressed on the Board, particularly in connection with loans under the Small Holdings and Allotments Act, on behalf of several county councils, and especially of Somerset. It has been urged that these loans might be excluded from the operation of the subsection. No advantage has been derived from the restriction, and the Bill proposes to repeal it altogether. The Bill passed the other House unopposed, and it is hoped it will become law this session.
§ Moved, That the Bill be now read 2a.—(Lord Allendale.)
§ LORD CLIFFORD OF CHUDLEIGHMy Lords I hope the House will agree to the Second Reading of this Bill. The present arrangement is manifestly inconvenient, and the Bill will be of great assistance to county councils, especially in transactions under the Small Holdings Act.
§ On Question, Bill read 2a, and committed to a Committee of the Whole House on Tuesday next.