The Sun.
London, England, 1822-03-13 00:00:00

NAVY FIVE PER CENTS.

The Earl of LivEneooL in moving the second
reading of the Navy Five per Cents. Bill should
shortly explain the grounds on which he thought
the measure should be entertained, being con-
vinced that a concise statement was more intel-

ligible than an attempt to enter into compli-
cated details. He should therefore not trouble
their Lordships with a single word respecting
the expediency of the measure, as all must con-
cur in the opinion that it was the duty of Go-
vernment to adopt such a course whenever it be-
came fairly in its power to do so. When the
Five per Cents. Stock had been created, it had
been on the condition that it should not be paid
off until twenty-five millions of the National
Debt had been discharged. All knew that in
1792 the Four per Cents. had reached such a
price, that it would have been in the power of
the Government to redeem them. This opera-
tion, however, had been postponed for a year,
on the firm conviction of the continuance of
peace, but had been prevented by the break-
ing out of the war. ' The Four per Cents.
had therefore been once in the situation of being
redeemed, but the Five per Cents. never had.
The question to be now considered was, whether
the required reduction of 25 millions of the Na-
tional Debt had taken place. This, he contended,
could be proved to have occurred in two different
ways. The intention of the Act was that 25
millions of the National Debt should be redeemed
from the period at which the Five per Cent.
Stock had been created. Now between that
period and 1793, ten millions of the National
Debt had been paid fr
o_, and cao
other millions had been redeemed, making
to-
gether a larger sum than, that required to justify
the present measure. Besides this, another opera-
tion had ocourrcd wring the war, which might
be taken as a positive reduction of the National
Debt. He meant the Redemption of the Land
Tax. No doubt could, therefore, be entertained
of twenty-five millions of the National Debt hav-
ing been redeemed either way, since the crea-
tion of the Five per Cents. But this condition
having been fulfilled,other objections were started.
It was said that the 16th and 25th of Geo. 11.
provided that the Three per Cent. Annuities
should not be paid off, except one year's notice
had previously been given to their holders ; and
it was attempted to be inferred that the holders
of Five per Gent. Stock were entitled to the same
notice. But this he denied. The regulation
affected the Three per Cents. alone, and had not
been extended to the Five per Cents.: the only
condition connected with the latter was, that

they should be irredeemable, until twenty-five I
millions of the National Debt had been paid off.
What better proof could there be of this con-
dition having been fulfilled than the universal
opinion of mankind, and of the holders of Five
per Cent. Stock themselves, shewn, as it had
been throughout, by the price which that stock
had borne ? For when the 3 per Cents. had risen
in time of peace beyond 90, the live per Cents.
instead of mounting in proportion to 127 or 130,
had scarcely ever exceeded 108. Why had they
never been so high in proportion as the Three
or Four per Cents.? Only because it was known
that they had become redeemable. There was
not a banker, not a broker in this town, who, if
consulted on the subject, would not say that he
gave less in proportion for the Five per Cents.
because they were liable to be redeemed. lle
considered therefore that the question was set at
rest, as far as the equitable legality of adopting
the measure was concerned. He should now
come to the mode of carrying it into effect. In-
dividuals were allowed to express their dissent,
and it was implied that those who signified no
dissent, assented. This, he maintained, was
perfectly fair, and warranted by precedents esta-
blished by several Acts of Parliament. It was
the principle adopted in the Consolidation Act.—
Before that measure had been passed, particular

funds were applicable to the discharge of the in-
terest of particular parts of the national debt.—
This Act was to consolidate the whole. It was

not in violation of previous arrangements ; but as
it occasioned a considerable change in the situa-
tion of those funds, it was necessary that their
holders should be consulted. It was then enact-
ed that those who should not signify their dis-
sent of the mode proposed, should be considered
as having given their assent. When the Long
Annuities had been established, the same prin-
ciple had been followed. He contended that the
present case was one in which no individual
could find any difficulty in forming an opinion in
a short time, even a shorter time than that proposed
by the Bill now before the House. It was the opi-