§ Sir F. WISEasked the Chancellor of the Exchequer the total saving in interest 72W by the conversion of Government loans from higher interest to lower interest rates since the Armistice?
Mr. GUINNESSThe total saving in interest due to conversion of Government stock or bonds from higher to lower rates of interest since the Armistice amounts to £2,083,000 a year. This figure relates to actual conversions only and does not include the saving in interest on loans paid off and replaced by new stock or bonds issued for cash, which is estimated at approximately £1,500,000 a year. As the hon. Member is aware, the object of the conversions was not merely to save interest, but to avoid payment of the premiums which would have become due on the maturity of the National War Bond issues. The saving on premiums is estimated at £18,062,000.