The Sun.
London, England, 1860-01-28 00:00:00

NAVINGS BANXII.

Although several members last evening seemed
to want further explanations on the savings banks
motion, the general statements of the Chancellor

of the Exehequer were perfectly explicit. For a
long time complaints have been made of the power
held by the Government to tamper with the sav-
ings banks funds. This tampering has consisted in
the manner in which they have been habitually
moved from Stock to Exchequer-bills, or vice versa,
to further the financial projects of each Chancellor
of the Exchequer for the time being. When it is
desired to facilitate a re-issue of Exchequer-bills the
Chancellor can sustain the market price by investing
any available savings banks funds in that security,
which at any future period he can, under the old
Savings Banks Act, convert into stock without the
cognizance of Parliament. The Select Committee
on Savings Banks, in their report issued in 1858,
condemned the system and pointed out, among
other illustrations, that it was used to promote the
reduction of the New 31- and the New 31 per Cents.
in 1835 and 1844. No one will be disposed to be-
lieve that any of our Chancellors have ever exercised
the power except with a desire for the public good ;
but it may be contended that it is unfair to use the
funds held in trust for one portion of the commu-
nity as a means of jobbing against the interests of
another portion. Accordingly Mr. Gladstone
proposes to prevent any such possibility for the
future. A further object contemplated is to provide
for the deficiency between the amount due by the
Government to savings banks and the value of stock
held to represent it. That deficiency is estimated at
£2,000,000, and has originated from the savings
bank system having been so constituted as always
to place the Government at a disadvantage. De-
posits are made in times of prosperity, and with-
drawn at periods of pressure. Therefore the Govern-
ment purchases of stock are usually effected when
prices are high, and the sales when they are low.
Through a long series of years this has led to the
deficiency now requiring to be dealt with. It is
mainly these two points that form the scope of Mr.
Gladstone's measure, and they aro troublesome
matters on which he is entitled to every assistance.
On the general question as to the impropriety of
Government meddling in any way with the banking
affairs of the people there is no intention, appa-
rently, to enter. Whenever that point comes to be
philosophically discussed it will not be difficult to
show that it is no function of the Government of a
commercial nation to undertake the custody of the
savings of the mechanic any more than those of the
merchant; that the only school in which either can
learn prudence is that of voluntary experience; and
that if the State can offer special advantages either
in the way of interest or security on the capital of
the labourer which it refuses on the capital of the
wealthier classes, it must be at the public expense
on one side, and consequently involve what is tanta-
mount to the acceptance of a gratuity, and there-
fore virtual pauperism, on the other.—Times.

RAILWAY BILLS BEFORE PARLIA-

MEN , .

The examiners on standing orders of both Houses
of Parliament resumed their sittings on Thursday,
and disposed of the under-mentioned bills, the
standing orders being complied with :
Before Mr. Smith—Watford, Rickmansworth,
and Uxbridge Railway; London and South-Wes-
tern, and Bristol and Exeter Railway. The Mar-
gate Railway Bill was withdrawn.
Before Mr. Frere—Standing orders complied with
in the case of the Waveney Valley, Metropolitan, Up-
sall, Normanby, and Ormesby ; London, Brighton,
and South Coast—(Railway from Croydon to the
West-end of London and Crystal Palace Railway at
Balham-hill)—Andover and Redbridge, and Nor-
wich and Spalding Bills. The Central London
Railway and Dock Bill was withdrawn by the pro-
moters.

Yesterday the following bills were disposed of,
the Standing orders having been complied with :
Thames Tunnel Railway; Buckley and Connal's
Qnay Railway g London, Olio thaw, and Duver
Railway (Metropolitan Extensions) ; West Cork
Railway ; West of Fife Mineral Railway ; Cannock
Chase Railway ; Lower Kings Terry Road, and
Glasgow Town Clerks.