HC Deb 25 July 1950 vol 478 cc51-2W
Mr. Hirst

asked the Postmaster-General what are the terms as regards interest and date of repayment on which the sum of £152,861,338 accrued depreciation shown on page 19 of the Post Office Commercial Accounts, 1948–49, has been deposited with the Exchequer.

Mr. Ness Edwards

All revenue collected by the Post Office is paid into the Exchequer, which in turn meets the cost of renewal of plant out of annual Votes. The Post Office Commercial Accounts include constructive entries for certain transactions, such as Depreciation. The amount of £152,861,338 does not constitute an actual fund of money invested with the Exchequer but represents the unexpended balance of the provision for depreciation charged in the Commercial Accounts. The charge for interest on capital in the Commercial Account is a net sum which makes appropriate allowance for the interest constructively earned on the accrued depreciation.