§ 69. Mr. J. Fosterasked the Attorney-General whether he will direct that damages under the Fatal Accidents Acts and the like which are remitted to the county courts to be invested for the benefit of widows and minors should be invested in Government trustee securities, which yield up to £3 17s. 6d. instead of being treated as funds in court, earning only 2½ per cent. interest.
The Attorney-GeneralThe system in the county court of treating damages under the Fatal Accidents and other Acts as funds in court was introduced in 1935 in the place of the former system under which funds were invested on behalf of the beneficiaries in trustee securities. I understand that under the old system there were frequent complaints by beneficiaries of loss through depreciation in the value of the securities. Such loss does not now fall on the beneficiary. Furthermore, the beneficiary is saved brokerage and Stamp Duties. The preservation of the capital sum is, I think, a matter of greater importance than the slightly higher rate of interest and I am satisfied that the new system is generally to the advantage of the beneficiaries.