§ 2.48 p.m.
§ VISCOUNT SAMUELMy Lords, I beg to ask the first question which stands in my name.
§ [The question was as follows:
§ To ask His Majesty's Government whether any Premium Bonds have been issued, or other forms of State lotteries established, in any British Crown Colonies or Mandated Territories, during the last twenty years; and if so, where and at what dates.]
§ THE LORD CHANCELLOR (VISCOUNT SIMON)My Lords, my noble friend the Duke of Devonshire is not able to be in the House this afternoon, and the answer which I am giving is given on his behalf. No State lotteries have been established in the Colonies during the last twenty years, although the noble Viscount is no doubt aware that such a lottery has existed for many years in Malta. Premium Bonds have been on issue in Cyprus since June 1, 1943.
§ VISCOUNT SAMUELMy Lords, I beg to ask the second question sanding in my name.
§ [The question was as follows:
§ To ask His Majesty's Government whether any declarations have been made by preceding Governments during the last twenty years on the principle of Premium Bond issues; and if so, to what effect.]
§ THE LORD CHANCELLORMy Lords, the question of Premium Bonds was considered by a Select Committee of the House of Commons in 1918, and they reported that they doubted whether the amount of new money to be obtained would justify any change of a contentious character in our financial methods. They said:
We are satisfied that such strong views are held with regard to Premium Bonds that legislation to sanction them would be difficult to obtain, and that such a proposal might. cause a controversy in the country which would be most undesirable. We do not, therefore, advise that an issue of Premium Bonds be made at the present time or until further efforts have been made to render present issues more attractive to the investor.That was in 1918.On the 1st December, 1919, the House of Commons debated a proposal for Premium Bonds and rejected it by 276 votes to 84 on a "free" vote. The mover of the Resolution was the late Mr. Horatio Bottomley. The question was one of those considered by the Royal Commission on Lotteries and Betting in 1932 610 (Cmd. 4341). The Commission came to the conclusion that large scale lotteries, whether initiated by the State for the direct benefit of the Exchequer or by a Statutory Board for charitable objects, or by individual charities, were socially undesirable and should not be allowed. The Government accepted this recommendation. Successive Chancellors of the Exchequer have consistently refused to consider the issue of Premium Bonds in this country, and this decision has been conveyed to Members of Parliament by question and answer and in correspondence on many occasions. I will with the permission of the noble Lord append to this answer, as it will appear in the Official Report, some recent replies which have been given to questions on the subject in the House of Commons.
§ [These questions and answers were as follows:
§ 7th December, 1939:
§ SIR RALPH GLYN: To ask Mr. Chancellor of the Exchequer whether he will consider, for issue in the New Year, National Premium Bonds as an addition to the National Savings Certificates and Defence Bonds, the bonds being of a character which will ensure that none of the capital will be lost and interest drawn in the form of cash prizes at half-yearly or yearly intervals, and whether he will withdraw the objections to the issue of Premium Bonds for reasons given to the honourable and gallant Member for Abingdon three years ago by the then Chancellor of the Exchequer, seeing that the Government have permitted the continuation of football pools.
§ SIR KINGSLEY WOOD: No, Sir. The Government do not propose to make any issue of Premium Bonds.
§ 18th June, 1940:
§ MR. OSWALD LEWIS: To ask Mr. Chancellor of the Exchequer if he will consider the desirability of suppressing for the duration of the war all forms of betting, whether through bookmakers on credit or for cash or through totalisators, and of substituting therefor the issue of Premium Bonds hearing no interest, but subject to periodical drawings at a high premium, those Bonds which remained undrawn after a period of years to he repaid at par, in order that the large sums which would otherwise be used for betting may he lent to the State instead.
SIR KINGSLEY WOODNo, Sir. It is not proposed to make an issue of the kind referred to which I consider would cause controversy and weaken the force of the National Savings Campaign.
§ 20th June, 1940:
§ MR. CRAIK HENDERSON: To ask Mr. Chancellor of the Exchequer whether, in connexion with any new loans to be issued, he will consider the issue of a loan carrying a low rate of interest and the right to participate in prize drawings.
611§ SIR KINGSLEY WOOD: No, Sir. It is not proposed to make an issue of this kind, which I consider would cause controversy and weaken the force of the National Savings Campaign.
§ 9th December, 1941:
§ MR. NAYLOR: To ask Mr. Chancellor of the Exchequer if he will consider the practicability of arranging for an issue of non-interest bearing Bonds at 5s. or 10s. each, numbered for the purposes of a lottery for substantial prizes, thus gaining for the national effort part of the sums now spent upon racing and football pools, as well as saving a considerable sum otherwise payable in interest and reducing the administrative cost involved in the calculations and transmissions of interest.
§ SIR KINGSLEY WOOD: No Sir.]