13 APRIL 1929, Page 44


It must further be remembered that the Chancellor of the Exchequer's encroachment on the Sinking Fund has not been confined to the subtraction of the amount already mentioned from the operation of the Fund during the year. In addition:lie has definitely seized two successive , realized surpluses .which have always been held sacred to debt redemption and applied them to his , special Suspensory, yund in connexion with the Derating_Scheme. There may; of course, be excellent "reasons for haVirig pursued this course and it may be that the Derating Scheme will in itself so stimulate trade as -fully to justify the course pursued. Never- theless, the fact remains that pending such stimulus to trade, we have in the interval the very definite fact of the subtraction of some 122,000,000 which might have been applied to debt redemption.