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debt redeemed in that year. This ar- fect of such an arrangement would be to rangement would not interfere with the consolidate the remainder of the war taxes commissioners for the Redemption of the with the general Debt, avd to incorporate Debt, because they would still have a large the Sinking Fund upon it with the old Sinksum to bring into the market, which woulding Fund. There would be then no fund keep up the price of stocks. It was one by which they should be enabled to equal.. thing to divert the fund in the hands of the lize the Peace Establishment with the Excommissioners to this purpose, and another penditure. The Surplus of the Consolidato apply the interest of the sums redeemed led Fund would be 3,500,0001. the Land in the year to the same end. The effect and Malt Tax, 2,750,0001. and the Lotof such a system would be, that the debt tery 450,0001. so that taking the Peace would remain stationary during a war, but Expenditure at fifteen millions, at the loiythat the Sinking Fund would again be pro-est, or at twenty millions, the sum to be progressive towards the final redeniprion of vided would in the first case be 8,300,0001. the debt on the conclusion of peace, whilst and iu the lo'ter 13,300,0001. The system the system of the noble lord would proof raising nioney by double Loans, resenduce a declining Sinking Fund after it had bled the usurious terms upon wbich a disarrived at its niaximum. By tlie tables of tressed man raised money to defray the the noble lord it appeared that the Sinking interest of sums borrowed antecedently. Fund was in the present year 8,515,0421. When the noble lord erected his superstrucand that it would be in the year 1911, ture of two stories on such a basis, be 11,140,2741. or 140,0001. more than the might as well have reared his castle to as Joan of that year. If this principle, there many more, like the Indian Pagoda, and fore, of which he was not the parent, though by borrowing the interest of the interest of he felt it his duty to mention it as one his Supplemental Loans have carried liis mode of proceeding, were to be acted up- principle to its ultimate point. It was ceron, and the government would go on for tainly a most satisfactory consideration, that four years, it would exhibit the comniry to the noble ford and those who acted with the enemy in that proud situation in which him, now admitted that war might be mainit might carry on the war for any number tained for twenty years, without adding of years without increasing its debt, and greatly to the existing burthens of the counat the end of such war might revert try. What he had already stated, would 21 inillions of War Taxes to the country, save him the necessity of examining the which would be available to any future tifth bead of coinparison, upon which be war. According to the tables of the no- bad proposed to state his sentiments, nameble lord it appeared, that taking credit ly, the comparative state in which the counfor the annuities that would fall in of try would be placed by the noble lord's and 496,0061. and including the taxes proposed the present system. He had made out a by the poble lord, amounting to 2,051,0001. good case, that the system by single Loan, there would be wanted but the sum of with the ordinary Sinking Fund of one per 496,8101. to provide for the loans of 18 cent. on the capital borrowed, would anmillions in each of these four years, and as swer every object proposed by the noble the noble lord bad stated, that it was not lord in the course of 20 years, and that from any inability to discover new sources the system of double loans was in the last of taxation, that he brought forward his degree usurious. The nohle lord had system, there could be no difficulty in mak- dwelt much on the necessity of preserving ing a provision to that amount. These faith with the Stockholder, and he agreed two plans were not of his production ; but with him that, though the Stockholder had as that of the noble lord seemed to bim to no right that considerations for him should be fraught with ruin to the country, he had fetter the decisions of parliament, he yet thought it bis duty to point out how he had a considerable claim on the attention could escape from the difficulties of his of that house. But the plan of the noble systein in pledging the war taxes. The no- lord was unsecured both with respect to ble lord's tables stated, that the excesses the Stockholder and the public, because, of the Sinking Fund at the close of the war, by his own statement, there would be 3 which would amount to 9,900,0001. might defalcation in his Sinking fand in the last be applied to setting free so much of the ten years. The relief would be given to war taxes. This he admitted; but the ef- the Stockholder in the first ten years, rather than in the last, as, after the year / which were rather below than over the truth. 1820, bis Sinking Fund would be declin-If he had then stated what the noble lord ing; and in the year 1826, the amount of did now, that the war might be carried on the debt would exceed the aggregale of his by the system of double loans without any Sinking Fund by 6 millions. The Stock- great increase of the public burthens, he holder would prefer a Sinking Fund of 11 might have been open to animadversion, millions, and a loan of 12 millions, to a but certainly his nerves were not equal to Sinking Fund of 26 millions, and a loan that statement. He had then only to subof 32 millions, which would creaie a capi- mit lis Resolutions to the house, which he tal of from 50 to 60 millions. However hoped they would receive with the same the noble lord might mask liis principles indulgence with which they had heard him. under the machinery of this biil, the ma- | He offered them rather as his objections to chinery was calculated to take the money the system of the noble lord, than as out of the pockets of the country, and to principles upon which he should be disposed dilapidate its resources—He bad thought to found any system. If they were incorrect, it his duty to submit his views on this sub- the noble lord would be able to expose the ject to the house, not with any intention of fallacy of them.—The noble lord then conderogating from the merit of the noble cluded with moving his first Resolution, lord's plan, for he telt a sincere respect for proposing that the debate should be adthat noble lord, and he felt the reverse of journed to Monday next.—The following any wish to detract from the value of his is a copy of the said Resolutions. proposition. But though he had explained
No. I. at some length his objections to the plan of “ That it is proposed by the New Plan of the noble lord, he was still anxious to sub- Finance, that the annual excesses of the premit them in a more precise form to the sent Sinking Fund, above the interest of house, in the shape of Resolutions. He had the debt charged upon it in every given as high an opinion of the resources of the year, should be declared to be at the dispocountry as the noble lord ; and he was sal of parliament, and applicable to the pubhappy to receive from the noble lord on a lic service. And it appears that the aggre« former night, his liberal testimony, not gate produce of the said excesses, between only to the extent of the resources of the the years 1816 and 1826, will amount in the country, but to the trauscendent merits of whole to 11,121,9381. That annuities to the great statesinan who had laid the foun- the amount of 685,5151. will fall in between dation of the system which had been so the years 1807 and 1826. That it is propostrongly fortified by the vigorous financial sed by the New Plan of Finance to charges inéasures adopted by the noble lord last on the aggregate produce of the said excesses session, as well as by the ethicient operation of the Sinking Fund, and upon the said anof the measures instituted by a poble men- nuities the interest and Sinking Fund of ber of another house (lord Sidmout) at 201,200,0001. Supplementary Loans, and to the conclusion of the jaie war, and at the impose in aid of the said aggregate produce, commencement of the present. With this
between the years 1810 and 1816, new system the brightest hopes, and best future
Taxes to the amount of 2,051,000l. That in prospects of the country were intimately be provided for, it is proposed by the New
addition to the Supplementary Loans so to connected. He had said in a former ses. sion, that, as far as a powerful navy, a pow
Plan to raise War Loans to the amount of der better and wiser regulations it might War and Supplementary Loans of each year erful army, though not so powerful as un- 210,000,0001. on the credit of the War
Taxes, amounting 10 21,000,0001. That the have been ; and as far as legitimate, stea- added to so much of the War Taxes as inay dy, and unbounded resources were con remain unmortgaged, will produce in each cerned, no country had ever been handed over by any ministers to their successors in lions. That in order to raise the said Sum of
year respectively the sum of thirty two mila more triumphant situation than this coun- 32 Millions in each year, without mortgag. try at the late change. Whatever mighting the War Taxes, there would be requir be the want of authenticity in the state- ed, in addition to the 21 Millions of War ment, as coming from him, he had met Taxes, an annual Loan of 11 Millions only. with a considerable personal rebuke. But That without any mortgage upon the War he bad to express his gratitude to the no- Taxes, an annual Loan of 11 millions might ble lord for bearing out all his statements, be provided for, for nearly 19 years, by the VOL. VILI.
application of the same funds, viz. the War Loan..... 10,500,000
Annual Amount of Loans bythe pre-
11,000,000 11,1 10,27 41. and the New Taxes intended Average Annual Excess of Loans by to be imposed by the New Plan, amounting new Plan......
9,700,000 to 2,051,0001. on which the Supplementary
No. IV. Loans are to be charged."
“ That the comparative Increase of the No. II.
Public Debt which will be produced by the “ That the proposed System of Finance two Plans, and the effect this will have proceeds gradually to mortgage for 14 years on the proportionate amount of the Sinking the whole of the War Taxes for the Interest Fund, by their operation in 23 years, is as of Loans in War. That these Taxes are follows: not generally of a nature which can with EFFECT OF THE PRESENT SYSTEM. propriety be so pledged, as several of them The Amouue of the Money Capital of such as the Tax on Exports, the Duties on
the Public Debris, in the ycar 1807.365,793,728 Tea and on Spirits must probably either be the amount of ditto will be in the
year 1820, suppos ng Eleven Millie modified or reduced on a peace, whilst it is ons raised in each year.. ...270,443,305 proposed by the said Plan that the Property Tax, amounting to 11,500,0001. stould in Decrease of Debe in 20 years, raising that event be entirely remitted ; in which
Eleven Millions in each year.......93,350,417 case (exclusively of any mortgage at the
EFFECT OF THE NEW PLAN. time affecting the residue of the War Taxes) Amount of the Money Capital of the
Public Debt under the New Plan is, the portion of them which might be continu
364,993,720 ed without material prejudice to the Public The amount of dit:o will be in 1826. 455,537,932 Revenue beyond the war, must be wholly insufficient to equalize the Revenue with the increase by New Plan in twenty years 90,544,910 Peace Expenditure.
Decrease of Debt by the present SysSuppose a Peace Establishment at
tem, as above.....
Increase of Jitto by the New Plan... 90,544,910 15,000,0001. If the War Taxes were mortgagod, then Total Increase of Debt by New Systhere would remain
189,894,667 Land and Mall.... .2,750,000
EFFECT OF PRESENT PLAN ON THE Surplus of Consold. Fund...3,500,000
SINKING FUND. Lottery...
Amount of Sinking Fund under the 6,700,000
present System on the Public Debtis Annual Deficiency to be provided for by new in 1807..
Amount of Ditto will be in 1826.... 27,115,891 Taxes....
8,500,000 Surposing the Peace Establishment to
Increase of s'nking Fund in twenty 20,000,000 years.......
18,610,859 The Deficiency to be provided for in
FECT OF NEW PLAN ON THE SINK. like manncr would be..
Amount of Sinking Fund under the “That the new plan will require Loans to New System is stated tu be, in 1807, 8,935,042 a greater amount to be raised in each year
Amount of ditto under New System than would be required if the usual system
will be, in 1826.......
26,901,566 of borrowing were persevered in.
Increase in twenty years..
17,966,316 By the present system, in order to
Differerce in javour of present Sys. cover a War Expenditure of....... 32,000,000
644,421 There would be wanted in each year in aid of the 21 Millions War Taxes, a
So that the New Plan gives only..... 26,901,310 LO:n of......
Sinking Fund on a Debt of 455,557,932, mounting in 20 years to ...........
. 220,000,000 whilst the present System would give the larger NEW PLAN.
Sinking Fund of 27,115,881. on the smaller Debt Amount of the War Loans for 20 years 210,000,000 of 270,443,305. Ditto of Supplementary Loans for ditto 204,200,000 The proportion of the Sinking Fund to the
whole Debt will be under the present plan is
Total 416,200,000 1826 above one-tenth. Total Excess by the New Plan, exclu
The proportion of the Sinking Fund to the sive of 82,000,0001. borrowed on
whole Debt under the New Plan will be in 1926 the War Taxes, and redeemed within
about one-seventeenth. the period.
190,200,000 The Sinking Fund under the present plan The Average Capitals to be annually
above stated, at 27,1 15,8811. continues to increase raised by the New Plan are
at compound interest after the year 1826 till the Annual amount of Loans by the new plan on a whole Debt is redecmed. !' Years Average
UNDER THE PRESENT PLAN.
The Sinking Fund under the New Plan having Fund, the expiring annuities pot de: obtained its maximum of 28,155,3581. in the year
14,656,660 1820, descends to 26,901,3601 in the year 1826, | As a Fund to supply tbis charge, the and must continue to decline after that period, so Ways and Means as above for railong as the excesses shall be deducted.
sing the interest and Sinking Fund
of the Supplementary Loans may
13,856,801 “ That an Increase of Charges for the Interest and Sinking Fund of Loans for the Remains to be provided for in order to twenty years must take place under the cover the charge..
... 809,799 New Plan, compared with the like charge, That it therefore appears, that the means which would take place, were the present to be applied under the New System to deSystem persevered in.
fray the charge for interest and Sinking EFFECTS OF THE PRESENT SYSTEM. Fund of the Supplementary Loans alone, Annual Loan 11,000,000L charge for
would (exclusive of any mortgage on the interest and Sinking Fund.... Amount of Loans for twenty years
733,333 War Loans), with the addition of Taxes to 220,0001. a charge for ditto.... 14,666,680
the amount of 369,4111. defray the total EFFECT OF THE NEW PIAN.
charges of the Loans required to complete Charge of Suppl. Loans amounting
the Fund of 32,000,0001. annually for War in twenty years to 204,200,0001.
Expenditure, without the necessity of any expiring annuities deducted......., 14,266,388 incumbrance whatever upon the War War Taxes mortgaged at the end of
Taxes. twenty years, which are to be liberated successively in the next four
No. VII. teen years, after the year 1826.... 21,000,000 “That the comparative effects which
will be produced on the public income by Charge as above under the present System...
the two systems, on return of peace, and Charge under the New Plan for the
on the formation of a peace establishment Supplementary Loans only....... 14,299,388 are as follows: Difference....
370,272 War Taxes mortgaged as above for War Loans, according to the New Plan. 21,000,000
There would be no charge whatever upDitto according to the present system.... Nil
on any part of the War Taxes. The whole No. VI.
twenty-one millions would remain free. " That the Ways and Means proposed The Property Tax, or whatever portion of by the New Plan to prevent the necessity the other War Taxes were not required of imposing new Taxes to any considerable towards making an adequate provision for Amount, viz. the expiring Annuities, toge the peace establishment might be immediate. ther with the excesses of the Sinking Fund, ly remitted, leaving that resource unpledged above the interest of the unredeemed Debt,
and available on the recurrence of war. are equally applicable pro tanto, to mitigate their increase under any other mode of rai
When peace takes place, a considerable sing Loans which may be decided on. The
if not the whole of the War Taxes, means proposed by the New Plan of defray will have been mortgaged. In the latter ing the Interest and Sinking Fund of the case there will only remain a clear revenue Supplementary Loans are as follows:
of 6,700,0001. immediately applicable to Produce of the Excess of the Sinking Fund between 1816 and 1826, above
support the charges of a peace establishthe interest of the unredeemed
11,122,809 It appears that in 1806 the excess of the Applicable by the falling in of An
War Sinking Fund will be 9,967,2831. If this nuities....
d... 683,092 New permanent Taxes, proposed by
sum shall be then preferably applied to libethe New Plan to be raised betwcen
rate a part of the Property Tax mortgaged 1810 and 1817, to the Amount of.. 2,051,000 for the War Debt, the remainder of the
Property Tax, and all the War Taxes, will Total........ 13,856,861 | become Permanent Taxes, and Part of the Charge of Supplementary Loans, An..
Consolidated Fund, and be mortgaged like nuities not deducted,
14,296,388 Ways and Means as above..... 13,856,000
the other parts of that Fund, for the re
demption of the War Debt, and the preRemains to be provided for..... 440,388 sent Debt thus consolidated into a Common Charge for the total amount of Loans, at the rate of 11,000,0001. a year,
Debt, and the deficiency on the Peace under
Establishment must be provided for either present system, 733,333). for interest and Sinking
by fresh Taxes, or fresh Loans.
UNDER THE NEW SYSTEM.
In four years, therefore, from the present “ That the sum of 11 Millions a year, re- data remaining the same), however long the
time, no new Taxes will be required (the quired in aid of the 21 Millions War Taxes, War may continue ; and the War Taxes to complete the War Expenditure of 32 Millions may be raised (should the principle
will remain free at the close of the War, of applving the excesses of the Sinking Fund when the Sinking Fund will resume its proto the Public Service be decided on) accord-gressive operation ; the purchase of Stock ing to the following mode, without mort- by the Commissioners being continued in gaging the War Taxes, or rendering new
the mean time to the full amount of the Taxes of any materially greater amount ne- Siaking Fund.—That the Charge for four cessary than it is proposed to lay on by the years Loans as above, for 11 Millions in new System, and without making so consi- each year, taking credit for 385,5154. Anderable an addition to the Debt, as will be nuities, amounts to 2,547,8101.---Taxes remade should the new System be carried into quired in each year, for the next four years execution.
625,970.--The Taxes so to be imposed
exceed only by 496,8101. the total amount The Sum required as above to pro. vide for a Loan of Eleven Millions
of New Taxes, proposed by the New Plan, per annum, for 20 years, is........ 14,656,660 to be imposed between 1810 and 1817, by The Resources available amount to.. 13,956,861 which Plan the War Taxes are at the same
time progressively absorbed and pledged, Deficiency........ 809,799 for the Redemption of the Loans raised upon This deficiency of 809,7991. exceeding only by them. According to this Plan, the Debt
362,4311. the charges for Supplementary Loans would continue stationary at 369,390,8871. would remain au additional Charge to be pro- throughout the war. vided for.
Amount of Debt in 1826, by New As the Charges upon a Loan of Eleven Plan, taken at.....
455,517,439 Millions would in each year amount to Ditto, in 1826, by this Plan..... 369,520,837 733,3331. if it should be thought fit, in aid
Difference of Debt in favour of of the Annuities, to raise only the precise this Plan.....
86,147,045 amount of Taxes proposed by the New And no War taxes are mortgaged. Plan to be imposed in the first ten years, un.
No. X. til the excesses of the Sinking Fund shall “ That the expence of raising any given arise in 1816, the difference between the amount of Loan on the present system, viz. above Funds and the Annual Charge of by a single Loan with a Sinking Fund of 733,333l. (amounting on an average to one per cent. as compared with the princi489,682l, a year), must be added, as it ple of the New Plan of raising the same arises, to the Loan of the Year, the Interest | amount by double and concurrent Loans : and Sinking Fund thereon, amounting to the one raised upon a Fund of ten per Cent. about 33,0001. a year, to be defrayed, in for Interest and Sinking Fund; ihe other the first instance, out of the Consolidated raised upon a Fund of six per cent. for InFund; and to be afterwards replaced out of terest and Sinking Fund, calculating the the Excesses of the Sinking Fund as they payments on account thereof from the comaccrue.
mencement to the final liquidation of the No. IX.
said Loan, is as follows, the Sinking Fund, “That nearly the same results may be pro- in both cases, being taken on the money induced by determining, that, when the Loan stead of the nominal capital. of the Year in war does not exceed the Suppose 12,000,0001 to be raised, amount of the Sinking Fund in the said
NEW PLAN, year, instead of making provision for the 10 per cent. Interest and Sinking interest of the said Loan by new Taxes, the
12,000,0001. same shall be provided for by and out of
1,200,000 the interest receivable on the amount of Alike Charge for 13 years more, at
which time the Principal is reStock in that year redeemed by the com
15,600,000 missioners of the National Debt; in which 'case the amount of Debt unredeemed will
Total Payments........ 10,000,000 continue stationary during war.
To cover the Interest and Sinking
Fund of 1,200,0001. at six per Cent, The Sinking Fund is at present 8,515,012 a Fund of 74,0001. must be provi. It will be in 1811
ded in each of the fourteen years,
the amount thereof is 1,008,0001. The latter sum being raised on a One