HC Deb 29 April 1913 vol 52 cc1007-8W

asked the Secretary to the Treasury whether he will state the various Government securities in which deposits in the Irish Post Office and deposits in the fund for the bank for savings and the amounts, respectively, from each Department in each security are invested; the rate of interest per cent. which the Government pay the depositors; the amount per cent. which the investments produce, and the total annual excess of the produce over the amount of interest paid; and to what purpose is the profit applied?


As stated in reply to the hon. Member's question of 22nd April, the investments of the Savings Banks funds in Ireland are not separated from the investments of the rest of the United Kingdom. Statements of the nature and amount of securities held for the whole of the respective funds are given in Parliamentary Papers 191 and 535 of last Session. The rate of interest paid by the Government to depositors in the Post Office Savings Bank is 2½ per cent., and to the Trustees of Savings Banks 2¾ per cent., the latter rate having to provide for interest to depositors and management expenses of the Trustees. The rates of interest paid by the Trustees to depositors in Irish Trustee Savings Banks in the year ended 20th November, 1911, and the expenses of management are given in Parliamentary Paper 316 of last Session. Accounts of the interest earned on the respective funds for the years ending in 1911, and the disposal thereof, are given in Parliamentary Paper 270 of last Session. Reckoned on the mean amount due to depositors in the case of the Post Office and on the mean amount due to Trustees in the case of the Savings Banks, the rate earned is approximately £2 15s. 6d. per cent. in each case, which rate has to provide both for interest to depositors and management expenses. Under Sections 14 and 15 of 40 Vict., cap. 13, a surplus of interest earned in the year is paid to the Exchequer after reserving a part of same to provide against depreciation in the securities, and a deficiency of interest is made good by a Vote of Parliament.