The 3 per cent. confols

from November last.

from Michaelmas last.

The 5 per cents.

The 4 per cents.

The chancellor of the exchequer then ftated, that, in addition to the outstanding navy bills, there were alfo exchequer bills unfunded to the amount of two millions and a half. Thefe exchequer bills did not become due till the 5th of July, but he thought it advifable to put them on the fame footing as the navy bills. He therefore propofed to fund them at the rate of one and a half per cent. intereft, which corresponded nearly with the terms allowed for the different claffes of navy bills.

He concluded with moving for provision to be made for fatisfying all the bills payable at the navy office which had been made out, on or before the 27th of October, 1796, amounting to the fum of 11,993,167. 19s. 9d.

Mr. Huffey strongly contended that the terms offered to the billholders were extravagant in the extreme, as the man who took government bills at 14 per cent. difcount, purchased into the 3 per cents. at 49. He thought that the conduct of minifters was highly reprehenfible in incurring debts which they had not the means of paying off.

Mr. Fox rofe, and obferved, that in the first budget of the preceding feffion the house had heard of a million and a half of navy bills; in

5 per cents.

the next they heard of four millions, and now they were told of a fum exceeding ten millions. He contended, that the house had a right to know in the firft place what intereft those who received government bills in the month of September at 14 per cent, discount would receive if they chofe to fund them in the 5 per cents. He took 14 as the medium of the discount. Thofe who about fixty days before had advanced 861. had now a clai.n of 100l. In the first inftance then, they gained the whole 14 per cent. difcount; in the next place they received 5 per cent. for they were to be allowed 2 per cent. upon the then market price, which was 88, befides the 4 per cent. interett, which they had during the fixty days. With the discount and intereft, therefore, they actually had at the rate of 1031 per cent. per annum intereft for their money!

Before he agreed to a measure fo extraordinary and expenfive, he wifhed to have fome ftronger reafons than thofe he had heard; by the plan then before the house an addition of 11. 18s. per cent, was to be paid upon the fecurities of government. Taking this extraordinary allowance as applying to the whole fum to be funded, it would make an additional charge to the public of 240,000l.

Mr.

Mr. Pitt, in his reply, defended the measure as the best which could be adopted under the exifting circumftances. He then produced feveral criterions of the general profperity of the country, notwithftanding the preffure of temporary embarrassment; first, that while the funds were fenfibly affected from the fcarcity of money, the revenue ftill continued high, and, during a period of war, approached very nearly to what it had been in the moft flourishing æra of peace. Secondly, the credit of British mer chants remained on the most refpectable footing, and this reputation was fupported not by confining themfelves to a contracted fcale of trade, but by launching into the most extenfive operations of commerce. But it was evident, that in proportion to the extenfion of trade, and the increase of capital, the expenditure became greater..

When the first question had been put and carried, the fecond queftion was propofed, that provifion be made for. fatisfying all the exchequer bills made out by virtue of an act of the preceding feffion of parliament for- enabling his majefty to raise the fum of 2,500,000l. for the ufes therein mentioned. This was alfo carried, and bills were foon afterwards introduced into the house of commons conform able to these resolutions.

Mr. Huffey, on the 21ft of December, while the house was in a committee on the bill for the more speedy payment of navy, tranfport, and victualling bills, objected to the regulations therein mentioned, which, in his opinion, would not enable the public to go to the market with advantage, but would, on the contrary, have the effect of encouraging injurious fpeculation.

The chancellor of the exchequer

faid, that all the bill enacted was,, that a navy bill fhould not run more than three months. The intereft was calculated as nearly as poflible at the rate, of 5 per cent. He contended, that the mode of payment propofed by the bill would be perfectly agreeable to the parties concerned. The bill was then read a first and second time, and agreed. to.

The first India budget was introduced in o the house of commons by Mr. fecretary Dundas, on the 20th of December. He faid the accounts which he had to state would not take up a confiderable portion of time, because they were comprised in a narrower compafs than upon former occafions, in confequence of fome regulations which he had introduced into the accounts of eftimates from the prefidencies abroad. The papers were upon the table for the information of the committee; and for the fake of elucidation he brought forward the refults of the accounts applicable to each fettlement, feparately; and then he introduced the accounts of all the fettlements combined; afterwards the feparate accounts of the Eaft India company at home were brought forward; and, laftly, an enumeration of them all, the fo reign and domeftic being combined in order to deduce the general refult. He proceeded to enter into the neceffary details, obferving that he had divided his ftatements into three claffes. The first clafs, according to his ufual practice, confifted of the average statements of the three last years, with a view of enabling the committee to judge of the paft. The other account was to lay before the committee a comparifon of the estimates, and actual amounts of the charges and revenues of the last year; and the third

clafs

clafs contained the account of what ever expences or difbursements might arife in a future year.

He wished the members to recollect that the accounts he then laid before them came over in the course of the preceding fpring, and observed that if they defired to have an accurate account of the whole revenues to the latest period of the

year to which these accounts belonged, he fhould produce another statement in the course of the enfuing fpring, by which time he hoped to have them tranfmitted.

The statements of the India budgets being in general exceedingly prolix, we have confined ourselves to a review of the general results in the feveral presidencies,

sof} 562,177

And