SMALL SAVINGS IN BRITAIN

Hokitika Guardian, 12 August 1929, Page 7

SMALL SAVINGS IN BRITAIN

( A STAGGERING TOTAL. Reviewing tue British Labour Party’s financial proposals, in the “Nineteenth* Century,” Sir John Marriott says: “I remember that Mr Snowden himself, wnen Chancellor of the Exchequer, confessed that he was ‘staggered by the magnitude of the contributions which are made by the working-people of o-day, in one form or another, to pro/ide for wliat we colloquially call a rainy day.’ He subsequently furnished me with the figures to which he re.erred. For the year ended March 31, 1924—by no means a prosperous year—they amounted to no less than £216,480,000.” Details are given of this compilation, which comprised deposits in the various classes of savings banks, and savings through co-operative, building, friendly and collecting societies, national .certificates, trade unions’ benefit funds and industrial assurance. Sir John Mariott adds: “These figures are in truth ‘staggering,’ but they tell ony half the story; only indeed, a fragment of it. They take no account of small investments in railway companies, banks, industrial companies," chief rents (a very popular form of security for small investors in Lancashire)', and, above all, in small house property. The last item alone would still account for at least £3000,000,000 .f savings on the part of persons not .iable to income tax, and before the war accounted for much more. The -mareholders in tlie four great railway groups number about B^O,COO, a large proportion of whom hold very small amounts. The ‘big five’ banks have between them over 275,000 shareholders, with average holdings (nominal)' of a little over £2OO. It is difficult to arrive, at any exact estimate of the aggregate savings of the small investor, but two or three years ago I hazarded an estimate of £2,500,000.000, contributed by some 15,000,000 investors, only to be assured by an eminent banker. that I had greatly understated it, and that the amount was nearer £4,000,000,000.” ' •