plication of the excesses of the combined sinking funds. With respect therefore to the property tax we may observe, first, that it will not be pledged at all until after seven years; (See Table No. 1.) even supposing so long a continuance of the present war. And, second ly, that although after those seven years the property tax will, so long as the war shall continue, be applied in part to the purposes of this plan, yet, on the return of peace, the excesses of the combined sinking fund, will, even on the most unfavourable suppositions, always enable Parliament to repeal the whole of the property tax within a very short time after that event shall have taken place. We take for granted, that the property tax will be the last pledged; and if not pledged at all, would cease, as originally intended. We also entertain no doubt, but that the government would proceed with all possible speed to relieve commerce and navigation from their burdens; even though part of those burdens were to be laid on the country at large, in another shape. But there is yet to be considered the probable expence of our national establishment when peace is arrived, a contingency to which we must look forward, as of magnitude, but which, for every reason, we should be happy to enjoy the perplexity of, as soon as is consistent with the dispensations of Providence. In speaking here and in other parts of this statement, of the repeal of Taxes on the return of Peace, no opinion is meant to be expressed as to the possible amount of our future peace establishments. That these may require some new provision, by the impositi on or continuance of Taxes, is not to be denied; but the extent to which this necessity may exist is a point so uncertain, that no calculations can at this time be formed upon it. The statement contained in the foregoing pages is intended only to exhibit the means of carrying on for a long period, if unhappily it should be necessary, a War Expenditure to a given amount. Whenever the war shall have ceased, it is not improbable that our peace establishments must be large; but our means of defraying those establishments will also be very considerable. In the early periods of the plan now proposed, few of the present resources of the couutry will have been exhausted; and if peace were longer deferred, the same means which would have enabled us to meet the expenditure of war, will also, at its close, be equally applicable to any exigencies of our new situation. It would be superfluous to attempt to provide before hand for this case. If we can maintain the expenditure of war, no doubt can remain that we shall be equal to that of peace; and the subject is adverted to here solely for the purpose of obviating any objection that could be taken against a supposed over-sight in this respect. If the state of the country in a time of future peace should be such as to partake in some degree of the necessities of war, that situation must of course be met by continuing, as far as shall really be necessary, those exertions which belong rather to war than to peace. But no one can examine the tables annexed to this statement, without perceiving how many resources the principles of this plan would afford for meeting the difficulties of such a situation, without deferring that relief (particularly from the Property Tax) to which the country will naturally look on the return of Peace. We must now close our discussion; but would previously suggest the propriety of raising a more considerable portion of taxes on the extras-(for such will occur, from various causes) of the three ensuing years, than the plan proposes. How honourably should we have thought of our ancestors if they had taken measures for redeeming in fifty years the debt they contracted, instead of letting part sink in a hundred years, and part remain perpetual? On the same principle, if five per cent, were raised on so small a sum as will be wanted, instead of one per cent. the redemption would keep pace with that of the other parts of the scheme; and the money necessary might easily be procured rather from regulation, than from direct taxation. It is natural to enquire, what will be the effect of this plan on the nations of Europe?-will not our friends hear with pleasure that we think of providing against the continuance of the contest, let it last as long as it may? that the efforts of Britain will not slacken, but that her determination is perseverance?-And what will our enemy think?-that he is as far off as ever from subduing the resisting spirit of our country; that his exertions hitherto to destroy us have availed him nothing; and that He can shew no such Exposé to his Gallic senate, no-not till he has acquired, by British permission as we hope, Ships, Colonies and Commerce! The annexed tables are extracted from among those which have been calculated by authority. In their combined state they shew the progress of calculation on various data: but, as they occupy about sixty leaves, we can only insert a selection. No. I. AMOUNT of the LOANS which would be charged in Year No. II. each successive year upon the WAR TAXES, and MEANS by which an Annual EXTRAORDINARY amount of the War Taxes pledged in each successive year, to provide for the Interest and Sinking Funds of such Loans. commeneg 5th Jan. 1807 Loan War Taxes on Credit of pledged to propresent vide Interest & War Taxes.Sinking Fund. |£12,000,000 Year EXPENDITURE, to the Amount of £32,000,000, may be defrayed in each year. commencg. 5th Jan. Loan on Credit of War Taxes. Supplementary of the Year. War Taxes not pledged, but applicable to the Service of the Year.* 2,600,000 1794 4,500,000 1,630,615 2,869,385 2,000,000 1795 12,907,452 ,872,200 11,035,252 14,400,000 1,600,000 1796 19,490,647 2,143,595 17,347,052 12,800,000 3,200,000 1797 29,726,797 2,639,724 27,087,073 4,800,000 1798 44,029,399 6,400,000 8,000,000 8,000,000 1800 6,400,000 9,600,000 4,800,000 11,200,000 3,200,000 12,800,000 14,400,000 3,352,579 40,676,820 1799 15,000,000 3,937,923 11,062,077 15,500,000 4,257,547 11,242,453 16,000,000 Nil. 16,000,000 1821 12,000,000 Nil. 20,000,000 1806 21,000,000 1822 12,000,000 Nil. 20,000,000 1807 1801 18,500,000 34,410,450 1802 1803 23,000,000 1804 1805 10,000,000 21,526,699 18,000,000 10,000,000 No. IV. AMOUNT of SUPPLEMENTARY LOANS required in each year of two successive series of ten years cach,, commencing with 1807.-Also the Amount of the Interest and Sinking Fund of 1-60th (or one per cent. upon the nominal capital created) to be provided for on account of those Loans.-Also the effect of the application of the expiring Annuities to that purpose during the first series, on an average of seven years, and the effect of the application to the same purpose, both of the expiring annuities, and of the excesses of the present Sinking Fund, (according to the plan now proposed) during the second series, supposing the three per cents, at 60. Supplemen- Interest and tary Loans required. 1807 1808 No. VI. AMOUNT of the Three following DEBTS combined, as they will stand at the commencement and close of any given year, viz. the Debt charged upon the War Taxes, the Debt created by the Supplementary Loans, and the Present Debt; and also the Total Amount in any given year of all the respective Sinking Funds of the said Debts. The Price of Stocks is supposed to vary in the manner stated. Debt remain Sinking Fund at same Periods. Debt at close of each Year. Year. ing unredeemed at commence ment of each Year. £352,793,722 £8,331,709 £344,462,013 344,462,013) Price of 3 per Cent. Price of 4 per Cent. Rate of Interest. 1807 60. 80. =5 1808 66.66-88.88-41 1809 1810 75. Par =4 1811 1812 85.71 1813. 8,748,294 335,713,719 1809 335,713,719 9,185,708 326,528,011 1810 326,528,011 9,644,993 316,883,018 1811 316,883,018 10,127,242 306,755,776 1812 306,755,776 10,633,604 296,122,172 1813 296,122,172 11,165,284 284,956,888 1814 284,956,888 11,723,548 273,233,340 1815 273,233,340 12,309,725 260,923,615 1816 250,923,615 12,925,211 247,998,404 1817 247,998,404 12,824,805 235,173,599 1815 1818 235,173.599 12,612,712 222,560,887 1819 222,560,887 12,283,347 210,277,540 1820 210,277,540 11,830,848 198,446,692 1821 198,446,692 11,089,057 187,357,635 1822 187,357,635 10,310,176 177,047,459 9,492,351 167,555,108 1823 177,047,459 11,314,623 396,904,121 456,510,519 12,690,446 461,420,073 516,780,685 521,756,780 443,820,073 594,921,274 14,179,396 447,240,677 15,823,905 500,956,780 17,472,742 504,284,038 19,268,286 575,652,988 599,652,988 21,046,334 578,606,654 604,206,654 22,893,723 581,312,931 24,812,533 583,700,398 608,512,931 612,500,398 26,292,908 586,207,490 616,607,490 27,769,694 588,837,796 620,837,796 29,242,784 591,595,012 623,595,012 29,160,066 594,434,946 1824 167,555,108 8,766,968 158,788,140 1822 626,434,946 29,074,866 597,360,080 8,138,650 150,649,490 7,532,474 1823 629,360,080 29,128,504 600,231,576 143,117,016 1824 632,231,576 29,142,690 603,088,886 1825 637,992,996 635,088,886 29,095,890 605,992,996 29,065,719 608,927,277 The annuities taken into these calculations 1825 158,788,140 1826 150,649,490 The respective Sinking Funds for the reduction of the respective debts, are supposed to operate by compound interest at 5 per cent.; but the respective Sinking Funds are Issued to the Commissioners quarterly. For this reason, the capitals of debt redeemed, and the progressive amounts of the Sinking Funds will be greater than the computations in this Table represents them, though not in such proportion as into consideratir n the several different rates of interest corto make it necessary to en barrass the accounts, by taking respondent to the periodical issues of the Sinking Funds for the reduction of debt by quarterly payments. 1826 [In the year 1810, the Sinking Fund will, on this calculation, be able this year, make 733,3991. This sum, with 15,5151. annuities falling in This sum, with 370,000l. annuities falling in this year, make 733,3331. This sum, with 290,000l. Imperial Annuities falling in this year, and Life Annuities granted in William and Mary, and George 11. supposed to have all fallen in by this time, amounting to 07,5471, make 733,5991. reduction of the 5 to a 4 per cent. fund, and afterwards of the 4 to a 3 per cent. fund. No. VIII. The effect which the SINKING FUND of £1,000,000 per annum, established 2d.-Amount of nominal capital of Amount to which these consolidated 1906 2,534,187 20,738,431 2,462,103 5,706,017 48,374,566 7,050,418 4th.-Amounts of respective debts created by the loans made since 1803, inclusive, which have been redeemed by their respective sinking funds of one per cent. on 1st Nov. 1906, and the several amounts of said respective sinking funds at the same period, are as follows, viz. Amounts of on 1 Nov. 1806. Add sink- on acct. of this additional capital 107,350 created 2,360,165 189,988 365,738 1,055,522 54,652 1,110,174 FINA NCE. The new Plan of Finance has, for its obobject, to provide the means of maintaining the honour and independence of the British Empire, during the necessary continuance of the War, without perceptibly increasing the Burthens of the Country, and with manifest benefit to the interests of the Public Creditor." The proposed Measure is grounded on the flourishing state of the Permanent Revenue; on the great produce of the War Taxes; on the high and accumulating amount of the Sinking Fund; and on some inferior aids to be derived from Revenues set free by Annuities originally granted for a term of years, and now expiring. These circumstances, so favourable to the introduction and maintenance of a New System, are justly to be attributed to the wise, provident, and spirited exertions, which have had the concurrent support of Parliament and of the People, during the whole eventful period of the last twenty years. The Plan is adapted to meet a scale of Expenditure nearly equal to that of the year 1806; and it assumes, that during the War, the annual produce of the Permanent and Temporary Revenues will continue equal to the produce of the same year 1806. It is understood, that any further or unforeseen charge or any deficiency of Revenue, shall be separately and specially provided for. Keeping these premises in view, it is proposed, that the War Loans for the years 1807, 1808, and 1809, shall be Twelve Millions annually; for the year 1810, Fourteen Millions; and for each of the ten following years, Sixteen Millions, Those several Loans, amounting for the fourteen years to 210 Millions, are to be made a charge on the War Taxes, which are estimated to producee 21 Millions annually. The charge thus thrown on the War Taxes is meant to be at the rate of Ten per Cent. on each Loan. Every such Loan will therefore pledge so much of the War Taxes as will be equal to meet this charge:—that is, a Loan of 12 Millions will pledge £1,200,000 of the War Taxes. And in each year, if the War should be continued, a further portion of the War Taxes will, in the same manner, be pledged And consequently, at the end of fourteen years, if the War should last so long, 21 Millions, the whole produce of the War Taxes, would be pledged for the Total of the Loans, which would at that time have amounted to 210 Millions. The Ten per Cent. charge thus accompa nying each Loan will be applied to pay the Interest of the Loan, and to form a Sinking Fund, which Sinking Fund will evidently be more than Five per Cent. on such of the several Loans as shall be obtained at a less rate of Interest than Five per Cent. |