BRITISH EMPIRE'S SINEWS OF WAR

Dominion, Volume 8, Issue 2312, 20 November 1914, Page 5

BRITISH EMPIRE'S SINEWS OF WAR

FLOATING THE GREAT LOAN TAXING THE PRESENT TO MEET THE FUTURE London, KcveatW 18* In his speech in the House of. Commons, the Chancellor of the Exchequer, Mr. Lloyd George, said that during the war industries would be enormously occupied. The country would then face the most serious industrial situation it nad ever confronted. It would have exhausted an enormouß amount of the world's capital. "Our purchasers at home and abroad will bo crippled. It is, therefore, desirable to raise as much taxation aB- possible during trade inflation. The Government will not levy taxation which will interfere with any productive industry. We are fighting an enemy which, unless "it i'b subjected to a smasliing defeat, will not submit to the terms which we would prudently accept." He hoped the chief result of the war would: be an all-round reduction of armaments. Loans to Belgium and Servla Free of Interest, Mr. Asqmtli stated that it was not proposed to charge Belgium and Serria interest on their loans. The Governmont would see how to deal with the matter at the end of the war. Besides twenty million drachmae (£792,760) raised in Paris, England had advanced the Greek Government forty million drachmae (£1,585,503) to pay for warships to be constructed in Great Britain. GREAT PUBLIC DEMAND FOR LOAN PROSPECTUSES BANKS ASSISTING WITH THEIR RESOURCES. LemSan, Norcmfier 18There ib a great public demand for proßpeofcuses for the war loan, but no rush, as prospectuses are obtainable at every bank and money-order office. _ . The principal banks have subscribed £100,000,000, irrespective of their customers. v • The Bank of England haß agreed—till March, 1918 —to lend on the war loan at issue price, without margin, at 1 per cent, under the Bank rate. This means that 'the stock will not fall below £95. London, November 18. A conference of bankers decided the terms of the war loan. > The Treasury expects the loan to be taken up at from 3} per cent.,, but the issue price and the time, of redemption have been so fixed as to yield 4 per cent, to investors.