BUILDING SOCIETIES (PROFITS).

HC Deb 20 June 1939 vol 348 cc2047-8W

Mr. E. Smith

asked the Financial Secretary to the Treasury whether he can state the total profits of building societies in Great Britain for the years 1930, 1934 and 1938; and whether he can now take steps to reduce the 4½per cent. that is charged by building societies?

Captain Crookshank

The estimated profits of building societies in Great Britain (in the sense of the interest paid on shares plus the additions to profit and reserve) were as follow:

—	1930.	1934	1938.
	£	£	£
Interest on shares.	12,852,000	15,592,000	17,981,000
Additions to profit and reserve.	1,914,000	3,164,000	3,537,000
£	14,766,000	18,756,000	21,518,000

As regards the latter part of the question, it will be appreciated that the rate of interest charged by building societies is a matter for determination by the societies themselves.