THREE PER CENT. CONSOLIDATED ANNUITIES. This Stock, commonly known as the Three per Cent. Consols, originated in 1751, when several descriptions that had been previously kept separate were consolidated into one, bearing a uniform rate of interest at 3 per cent. per annum. This Stock constitutes the most important portion of the Public Debt. At the period of its consolidation, it amounted only to £9,137,812 58. 1d.; but on the 5th January, 1853, it stood at £370,655,463 18. 3d.

REDUCED THREE PER CENT. ANNUITIES.

This Stock was formed at the same period as the one just described, when it amounted only to £17,701,323. On the 5th of January, 1853, the amount stood at £116,589,419 198. 2d.

BANK ANNUITIES.

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This Stock was created in 1726, by lottery, and originally amounted to £1,000,000. This sum raised to pay off Exchequer Bills, which had been issued to defray certain charges, which had accumulated on the Civil List.

DEBT DUE TO THE BANK OF ENGLAND.

This Debt consists of various sums which have been borrowed by the Government from the Bank, at different periods since its first establishment in 1694, when it amounted to £1,200,000. On the 5th January, 1853, it amounted to £11,015,100. The details of this Debt. will be found under the history of the Bank of England.

The sum of the above Stocks comprehends the amount of capital chargeable with the uniform rate of 3 per cent. per annum interest, exclusive of Irish Stock, and on the 5th January, 1853, stood at £507,860,623 6s. 9d.

THREE AND A QUARTER PER Cent. Annuities. This Stock originated in 1830, by the conversion of the New 4 per Cents., which had been formed in 1822

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from the Navy 5 per Cents. The holders had the option of receiving £100 of this Stock, or £70 of 5 per Cents., or of being paid off at par. The Stock created in 3+ per Cents. in 1830, amounted to £150,119,609, and. £469,398 of the 5 per Cent. Annuities. In 1844 the rate of interest was reduced to 3 per cent., and the Stock consolidated with several others, amounting to £248,860,663. The amount of Stock paid to dissentients was £103,352, leaving the capital Stock at £248,757,311, effecting thereby a saving of interest to the amount of £621,893 per annum. The present

rate of interest on this Stock is to continue until the 10th of October, 1854, and then to be reduced to 3 per cent. per annum, without being liable to any further reduction until after the 10th of October, 1874. The amount of Stock on the 5th January, 1853, was £217,274,390 16s. 7d.

NEW FIVE PER CENT. ANNUITIES.

This Stock originated from the conversion of 1830, referred to above, the holders of which were guaranteed against any further reduction in the rate of interest for 45 years, or until after the 5th of January, 1875. The amount of this Stock on the 5th of January, 1853, stood at £431,076 38. 2d.

THE IRISH FUNDS.

The total amount of the Irish Funded Debt is about £39,000,000, and is made up of the following Stocks :1. The Consolidated Three per Cent. Annuities, whtch amounted to £5,565,457 14s. 5d. on the 5th January, 1853.

2. The Reduced Three per Cent. Annuities, amounting to £118,681 is. 5d.

3. The Three and a Quarter per Cent. Annuities, amounting to £30,657,624 178. 2d.

4. Debt due to the Bank of Ireland, amounting to £2,630,769 48. 8d., at 3 per cent. interest.

5. The New Five per Cent. Annuities, amounting

to £2,673 118. 2d. The total of the above Stocks on the 5th January, 1853, was £38,975,205 8s. 10d.

That portion of the National Debt which consists of terminable Annuities of various descriptions, is not included in the statements of the principal Stocks, but is given in the annual charge. Amongst these are the following:

LONG ANNUITIES.

These Annuities originated in 1780, and have since received several additions, but all terminating in January, 1860. These Annuities have been principally granted as premiums or bonuses to the subscribers to loans. On the 5th of January, 1853, the amount was £1,172,555 16s. 6d. for Great Britain, and £120,170 158. 6d. for Ireland.

ANNUITIES FOR TERMS OF YEARS.

These Annuities have been granted at various dates, and expire at different periods: they are created under the 59 Geo. III., cap. 34, the 10 Geo. IV., cap. 24, and the 3 Will. IV., cap. 14, in exchange for Stock or Money transferred to the Commissioners for the Reduction of the National Debt. The amount on the 5th of January, 1853, was £836,668 5s. 10d.

LIFE ANNUITIES.

These Annuities are created under the Acts 48 Geo. III., cap. 142, the 10 Geo. IV., cap. 24, and 3 Will. IV., cap. 14, and are payable at the National Debt Office, Old Jewry. The Commissioners grant Annuities in exchange for Stock or Money, on single or joint lives, according to the age of the respective parties, at rates set forth in the last-mentioned Act.

In 1829, Mr. Finlaison, the Government Actuary, found that the Tables, which had been used in calculating these Annuities, occasioned an annual loss to the public of about £100,000, owing to the improved value of human life; the consequence was, the introduction of

the tables now in use. The amount of these Annuities chargeable upon the public revenue, on the 5th of January, 1853, was £1,058,511 2s. 6d.

THE DEAD WEIGHT ANNUITY.

This is an Annuity of £585,740, paid by the public to the Bank of England, and arose out of the pensions due to the Army and Navy, at the termination of the war in 1815, which then amounted to nearly £5,000,000 per annum. It was estimated that the whole of these pensions would terminate in forty-five years, by a gradual decrease annually. By the Act 4 Geo. IV., cap. 22, an annuity was authorized to be contracted for to the amount of £2,800,000. The Bank of England agreed to take a part of this Annuity, to the amount of £585,740 per annum, for which they paid between 1823 and 1828, inclusive, £13,089,419. The Annuity expires in 1867.

The remainder of the Government Annuities consist of tontines and life annuities granted under various Acts of Parliament.

In addition to the several Stocks which are here briefly described, are two others, which, though they do not come under the denomination of the Government Securities, are ranked amongst the principal Stocks in which investments are made; of these, the first is

BANK STOCK.

Which is the capital of the Corporation of the Bank of England, as a Banking Company, the origin of which is given elsewhere, and amounts to the sum of £14,553,000. The dividends payable on this Stock, during the last seven years, have ranged between 7 and 9 per cent. per annum.

Another Stock, which holds a prominent position amongst the Securities in the Money Market, is that of the East India Company, known as—

EAST INDIA STOCK.

The Capital Stock of this Corporation amounts to £6,000,000 sterling. The Company obtained their original Charter in the same manner as the Bank of England, viz., by a loan to the extent of £2,000,000 to the Government, which has been increased at different times to its present amount. The Corporation ceased to be a commercial company under the 3 and 4 Will. IV., c. 85, and only act as a political body in connexion with Government. The dividend is fixed at 10 per cent. on the Capital Stock, or £630,000 per annum, which is paid out of the revenues of India.

EAST INDIA BONDS.

These securities are issued by the East India Company, as security for debt due to the public, in sums of £100, £200, £300, £500, and £1,000 each, and are payable to the Company at par, when 6 months' interest has accrued upon them, which is computed up to the day they are negociated, and is payable on the 31st March and the 30th September.

THE UNFUNded Debt.

Exchequer Bills.

That part of the Public Debt which comes under the above denomination, consisted at one time entirely of Exchequer Bills, and now constitutes the greater portion. This description of public securities was first introduced to supply the wants of a circulating medium, occasioned by the scarcity of metallic money during the great recoinage of 1695. Montague, the Chancellor of the Exchequer, has the credit of the invention of these securities. And they were of great public convenience, being issued for sumns as low as £5, and carried an interest of 7 per cent. But like most other securities of that day, through the abuse of public credit, by the interest not being regularly paid, they fell to a heavy discount; and the Bank of England