HC Deb 20 June 1938 vol 337 cc722-3W
Mr. David Adams

asked the Chancellor of the Exchequer whether, in view of the increased savings habit in this country, which resulted in deposits with national savings banks of £1,433,629,000 during the past year, mainly the savings of the workpeople of this country, he will consider the advisability of paying a higher interest than the rate of 2½ per cent. now paid, with a view to encouraging further working-class savings?

Captain Wallace

The ordinary deposits in the Post Office and Trustee Savings Banks represent about £620 millions in the aggregate; the figure quoted by the hon. Member includes Savings Certificates, Government Stock on the Post Office Register and the Special Investment Department of Trustee Savings Banks to which the Savings Bank rate of interest does not apply. My right hon. Friend does not think the circumstances justify an increase in the Savings Bank rate of interest, which has remained at 2½ per cent. for a very long period and has, as the figures of deposits in the banks indicate, proved sufficient to encourage a very great volume of saving.