1

ham's training bill, and would not exceed 47. a man for the year. A regimental force of 400,000 men would thus be kept up, ready at all times to act with the regular army and the militia-a force which he submitted was amply sufficient for any emergency, amounting as it would do in time of war to650,000, and even in time of peace to 600,000 men, besides the trained population of the country.

Mr. Yorke approved of the proposition.

Mr. Windham begged of gentlemen on the other side to put two questions to themselves-1st, What necessity there was for the proposed measure?--2d, Whether it might not be traced to the motive of wishing to bring back the old sy stem of having soldiers for life? Leave was given to bring in the bill, which caused many and long debates, but, with some alterations suggested chiefly by lord Castlereagh, was passed into a law.

The next subject that claims our notice is a new plan of finance proposed on the 12th of May by Mr. Perceval, the chancellor of the exchequer; the object of which was to enable the holders of stock in the three per cents. to purchase annuities by transfer of their stock. In introducing this subject to par. liamentary notice, the chancellor of the exchequer declared that he had no idea, either directly or in directly, to divert the sinking fund from its natural and proper object, the redemption of the national debt; and having premised this observation, he proceeded, first, to explain the nature of the propositions which he meant to submit to the committee; after which he should state the reasons why it appeared to him desirable that they

should be adopted and acted upon. The purport of these propositions would be to enable persons possessed of three per cent. "consolidated or reduced stock, to transfer such stock to the commissioners intrust. ed with the management of the fund applicable to the redemption of the national debt, in consideration of receiving, on such transfer, annuities proportioned in value to the quantity of the stock transferred, and the age of the persons to whom the annuities were given. He did not mean that this permission should be extended to persons under the age of thirty-five, or to persons transferring less than 100% capital. The former limitation was adopted with a view to prevent impositions, the latter to save trouble, which was as great upon a small as upon a large sum. He stated that the effect of this proceeding would be not only to take out of the market the stock which was made the subject of commutation, but to secure the redemption of this stock, at the price of the day on which the transfer was made. It was well known that the oper tion of the sinking fund had contributed very much to increase the price of stock; and he had no doubt that its influence would continue to be felt in raising still higher the price of the funds. If the com mitice agreed with him in this opinion, it would not be denied, that could a measure be devised, consistently with the maintenance of the national faith towards the public creditor, to redeem whole of the debt at the present price of the funds, it would be extremely desirable to carry such a measure into effect, because such a proceeding would prevent any fu ture rise in the funds from retarding the operation of the sinking

fund.

fund. The sinking fund had two different objects, the one of which was the redemption of the public debt, the other keeping up the price of stock. These two objects were manifestly, in some degree, inconsistent with each other. When the funds were high, the public borrowed on advantageous terms; hut the progress in the reduction of the debt was proportionably retarded; and, vice versa, when stocks were low, the operation of the sinking fund was accelerated, while loans were made on terms less advantageous. The present measure combined the two advantages of tending to increase the price of stock, and of securing the redemption of the stock antecedent to its rise. The proposition was so obvious, that he did not conceive it reeded explanation; but to render it, if possible, more plain, he put the case of a person making a transter of stock, in consideration for which transfer he was to receive an annuity equal to double the present interest. The value of this annuity was calculated at compound interest, and with a view to the probable age of the person to whom it was granted; so that the additional interest should redeem the criginal sum. For instance: supposing a man possessed of 10007. three per cent. stock made a transfer of this stock to the public, and that instead of 307. he should be paid 60%. in consideration for this transfer, the additional 30% would not only, on the principles of fair calculation, redeem the 10001. at the present price of the funds, but the rise which may in future take place in the funds above their present price. He admitted that the whole merit of the plan rested upon the probability of a rise in the price of the funds; for, if the funds

should fall, it would not only not be a disadvantageous proceeding for the public, but the public would absolutely be a loser by it. The point, therefore, which particularly called for the consideration of the committee, in order that they might pass a wise decision upon the plan, was, whether it was probable that the funds would continue progressively to rise. If they could form any inference respecting what was to take place, from what had already happened, there could be little doubt this would be the case. Since the last loan was contracted for, the funds had risen about six per cent. on every hundred pounds stock, which was equal to a rise of from nine to ten per cent. upon every hundred pounds of real capital. After a variety of other observations, Mr. Perceval concluded with moving the following resolutions:

1. "That it would tend to a more speedy and efficient reduction of the national debt, and would at the same time be of material accominodation and convenience to the public, if every proprietor of three per cent. consolidated or reduced bank annuities were at liberty to exchange, with the commissioners for the reduction of the national debt, such bank annuities for a life annuity during the continuance of a single life, to be named by such proprietor; or for a life annuity during the continuance of the lives of two persons, to be named by such proprietor, and of the life of the longer liver of such two nominees.

2. "That, in order to give effect to the afo.egoing resolution, every proprietor of three per cent. consolidated or reduced bank annuities, who shall be desirous of exchanging any such bank annuities for a life

annuity

annuity on the continuance of a single life, shall, on transferring to the commissioners for the reduction of the national debt any such bank annuities, be entitled, during the continuance of his or her life, or of the life of some other person to be named by him or her, to receive (under such regulations as parliament may deem it expedient to adopt) for every 100%. of such bank annuities, and so in proportion for any greater sum than 1001. of such annuities, transferred to the said commissioners, a life annuity of such annual amount, according to the age of the nominee, and the average price of such bank annuities on the nearest open day preceding the day of the transfer thereof, as is specified in the following table.

3. "That, in order to give further effect to the aforegoing resolution, every proprietor of 8. per cent. consolidated or reduced bank annuities, who shall be desirous of exchanging any such bank annuities for a life annuity in the continuance of the lives of two persons, to be named by such proprietor (of whom such proprietor may be one), and the life of the longer liver of them, shall, on transferring to the commissioners for the reduction of the national debt any such bank annuities, be entitled, during the continuance of such two lives, and of the life of the longer liver of them, to receive (under such regulations as parliament may deem it expedient to adopt) for every 1001. of such bank annuities, and so in proportion for any greater sum than 100% of such annuities, transferred to the said commissioners, a life annuity of such annual amount, according to the respective ages of such two nominees and the average price of such bank annuities on the

nearest open day preceding the day of the transfer thereof, as is specified in the following tables.

4. "That no person shall be admitted to be a nominee, either for the grant of an annuity for the continuance of a single life, or for the grant of an annuity for the continuance of two lives and of the longer liver of them, who shall be under the age of thirty-five years.

5. That the dividends payable in respect of the bank annuities, which shall be transferred to the commissioners for the reduction of the national debt, in exchange for life annuities, shall be received by the said commissioners, and shall constitute a part of the funds applicable to the reduction of the national debt; and that out of the said funds applicable to the reduction of the national debt, the said commissioners shall pay the respective life annuities granted in exchange for such bank annuities, during the continuance of the respective lives for which the same shall be payable; and that the said respective life annuities shall be payable half-yearly at the bank of England, on the same days on which the dividends on the stock transferred for the purchase thereof may be payable in every year; that the first payment of every annuity shall commence on the same day on which the first dividend on the bank annuities so transferred shall be payable to the said commissioners; and that upon the death of any single nominee, or of the survivor of any two joint nominees, a sum equal to one-fourth part of the annuity dependent upon his or her life shall be paid to the person entitled to such annuity, or his or her executors or administrators, as the case may be, provided the same shall be claimed within two

years

years after the death of such single or surviving nominee; and that the annual sum payable for every such life annuity so ceasing as aforesaid, shall thenceforth revert to and constitute part of the funds, applicable to the reduction of the national debt.

6. "That for the purpose of ascertaining the effect of the measure proposed in the aforegoing resolutions, with reference to the redemption of the public debt, a separate account shall be kept half-yearly, by the commissioners for the reduction of the national debt, of all bank annuities which shall have been transferred to them for thre purchase of any life annuities, and of the dividends receivable by them in respect thereof, up to the period of such account; distinguishing therein so much of the said bank annuities as shall have been transferred in the course of the next immediately preceding half-year.

“Also, a hat-yearly account of the amount of all the life annuities granted by them up to the periof of such account, distinguishing therein the amount of the life annuities which shall have been granted in the course of the next immediately preceding half-year; and also of the amount of all the annual sums which, up to the period of the said account, shall by reason of the deaths of nominees have reverted to the funds applicable to the Feduction of the national debt, distinguishing therein the amount of such annual sum as shall have so reverted in the course of the next immediately preceding half-year, together with an account of the amount of life annuities then payable; and that in every such account shall be specified the excess in the whole amount of all the life annuities then before granted, above the

amount of the dividends receivable in respect of all the bank annuities then before transferred for the purchase of life annuities; and also the excess (if any) in the amount of the life annuities then payable above the amount of such dividends.

"And that a separate account shall also be kept half-yearly of the capital stock, which, up to the period of such account, shall have been redeemed by the application of the annual sums which shall, from time to time, have so reverted to the said funds, by reason of the deaths of nominees, and by the application of the accumulated dividends of the capital stock redeemed thereby,

"Also, an account of the whole amount of 3. per cent. capital stock, which, up to the period of such account, would have been redeemed by the excesses in the amount of the life annuities from time to time payable by the said commissioners, above the amount of the dividends from time to time receivable by them, in respect of the bank annuities transferred for the purchase of such life annuities, in case such excesses had been intermediately applied in the redemption of 31. per cent. stock, in the manner prescribed by the laws now in force for the reduction of the na tional debt."

Mr. Windham, was afraid that too many parents would be found, that would be very willing to sacrifice the future interests of their children to their own immediate gratification. The system of annuities was too generally attendant with such consequences, and he saw nothing in the plan of the right hon. gentleman calculated to obviate such effects in the present in

stance.

Mr. Brand observed, that by as much

much as the price of stock exceed ed seventy, by so much would the public be injured, as far as related to the operation of the sinking fund. Mr. Tierney thought, that the objection of his right hon. friend was well worthy of the most serious consideration. The mischiefs resulting from persons in the lower orders of life having a market opened to them for the sale and disposal of the future interests of their families, were of a nature such as to contain in themselves no inconsiderable objection. This, however, was an objection of a specific kind; and perhaps he felt it the less, because he did not believe that the system, of which it was to be one of the consequences, would ever be carried into effect. The system was founded on a principle contradictory to the uniform habits of the country. The habits of the people of this country were almost universally influenced by a wish to save their capital to the decrease of the interest, rather than sink that

capital for a greater interest, which must be the principle of any sy stem of life annuities; nor would they in this point of view be content with the assurance of the chancellor of the exchequer, that his plan would not ultimately tend to the decrease of their capital; nor was it probable that, contrary to their constant habit, they would, in this instance, be suddenly brought to be more anxious for the increase of interest at the expense of their capi tal. Many of the right hon. gertleman's positions rested upon the presumption of the apparent prosperity of the funds; but he was inclined to think that this prosperity was but apparent, and owing to the general stagnation of trade, which had for some time back prevaited.

A bill was afterwards brought into the house on this plan, and passed into a law: tables of the different rates were published, and an office opened to transact the business connected with it.

LTHOUGH we must,

A from the limits prescribed to

this part of the volume, abridge, more than we could wish, many important discussions which came bfore parliament, yet we shall endeavour to give the leading argu

ments used by the different parties, on the subject of amending the criminal law of suspending for a limited time the use of corn in our distilleries: of the debates in both houses on extending the tolera tion act to Roman catholics. Nor

shall