House of that ratepayers generally would gain relief from high poor's rates, "since many of the poor who must otherwise, in their old age, come to be a burthen upon the parish, would now be maintained, in part at least, by annuities paid to them out of a fund of their own raising." The House of Commons, in 1772-3, Reception in favoured this plan, and at once permitted Mr. Dowdeswell Commons, to bring in a Bill "for the better support of poor persons in 1772-3. certain circumstances, by enabling parishes to grant them annuities for life upon purchase, and under certain restrictions." Besides Mr. Dowdeswell, Mr. Burke, Sir George Savill, Lord John Cavendish, and Mr. Dunning were among the members ordered to prepare and bring in this measure.2 introducing Bill. Mr. Dowdeswell was sanguine enough to expect that Speech in labouring men, both in town and country, would gladly take advantage of the Bill. Their payments, he said, would be regulated according to tables annexed to the Act, and accumulate at compound interest in the Three per Cents. Annuities would begin after contributories had reached their fiftieth year. Women as well as men might purchase annuities. Churchwardens and overseers would be authorized to receive legacies and charitable contributions in aid of the annuity fund. And Mr. Dowdeswell insisted that not only would labouring poor be enabled to provide for old age, but that the prospect of future comfort would render them more sober, industrious, and thrifty. The Bill passed its second reading without opposition, and, after much consideration and amendment in Committee of the whole House, clauses were added extending its provisions to the numerous corporations 1 The Rt. Hon. W. Dowdeswell, who figures prominently in the debates at this period. He was Chancellor of the Exchequer, 1765–6, when he resigned. 2 34 Com. Journ. 33; December 11, 1772. 3 "It is common for people who have been successful in trade to leave money for relief of the poor of their parish. And how can they leave it with a greater prospect of serving mankind than to such a fund?" Dowdeswell, 17 Parl. Hist. 642. Debate on then constituted by private legislation in towns and country districts for the care and management of the poor.1 Upon its third reading it was sharply debated. Opponents third reading objected that its effect, if any, would be a bad one. It would encourage idleness, be serviceable only to drones, and bring country people acquainted with the funds, with Exchange Alley, and brokers (the worst people they could possibly know); it would place great temptation in the way of parish officers, their attorneys and agents; and, as labouring men might sell their expectant annuities, they might still come upon the rates, which would have to make good these annuities, and so be doubly charged. Notwithstanding these arguments, and others less forcible, the Bill was carried by sixty-two to thirty-four votes.3 Bill rejected in Lords. State annuities, 1808. In the Upper House it was ordered to be printed, and its second reading postponed for ten days, so that the Lords. might be summoned.1 On the appointed day, after an unrecorded debate, the measure was rejected, chiefly, it is said, upon the opposition of Lord Camden, who represented that land would fall in value if charged with any deficiency in poor's rates to make good annuities. A similar measure was drafted in 1789, with tables computed by Dr. Price, but does not seem to have come before either House of Parliament." A brief record may follow of a system of annuities adopted by the Government in 1808,7 in order to extinguish 1 34 Com. Journ. 152; February 24, 1773. 217 Parl. Hist. 791-3. 3 34 Com. Journ. 171; March 5, 1773. The tellers for the Bill were Sir Charles Bunbury and Mr. Whitworth; against, Mr. John Calvert and Mr. Nicholson Calvert. 4 33 Lords' Journ. 552. 5 Ib., 577; March 25, 1773. A copy of this Bill, together with the tables computed for it, will be found in Masères' Doctrine of Life Annui. ties. 6 Baily on Life Annuities (London, 1810), p. 473. Dr. Price's Tables to this Bill are inserted in his Obs. on Reversionary Payments, II. 473. 7 48 Geo. III. c. 142, which contains elaborate tables of rates; it was amended by 49 & 50 Geo. III. c. 64; 52 Geo. III. c. 129; 56 Geo. III. debt, and, at the same time, afford to thrifty members of the middle classes a safe means of providing for old age. Mr. Perceval was the minister responsible for this legislation. But the Treasury and their advisers fell into the same errors which had ruined so many private societies, and the result was a series of financial misadventures. An initial blunder was their adoption, as a basis for sales of annuities on nominated lives, Dr. Price's tables of mortality, on which various life assurance companies founded their premiums. Speculators soon discovered that money might be made by buying Government annuities on selected lives. In vain were successive Chancellors of the Exchequer informed that the State was suffering a loss which varied from fifteen to nearly twenty-five per cent. At length a Finance Committee appointed by the House of Commons, on Mr. Peel's motion in 1828, put an end to any more bad bargains of this nature. It was, indeed, time to abandon this business. Mr. Finlaison, who was employed by the Government to compile new tables for their guidance, reported, after much delay, that the State was losing about 8,0007. a week by continuing it, and that, taking a period of sixty years, the amount of debt which would be redeemed by grants of annuities was 32,000,0007. less than would be redeemed by means of the ordinary sinking fund. of 1828. An Act was soon passed2 repealing all Acts authorizing the National Debt Commissioners to grant life annuities. Repealing Act Parliament, however, still favoured this method of reducing debt and encouraging providence. Mr. Goulburn was therefore allowed to pass a new measure, based on new tables, New annuity enabling the Commissioners to sell annuities for life, and for terms of years.3 Another flaw was then found in the rates c. 53; 57 Geo. III. c. 26; 3 Geo. IV. cc. 9, 61; 5 Geo. IV. c. 11; 7 Geo. IV. c. 39. 1 Mr. Finlaison and other actuaries called the attention of the Government to the unsoundness of their system in 1819. Annual Register for 2 9 Geo. IV. c. 16. 3 10 Geo. IV. c. 24; amended by 2 & 3 Will. IV. c. 59. tables. Fresh losses incurred by State. Post Office annuities and insurance. on which these annuities were granted. By the practice of assurance offices at this period, a man's expectation of life when ninety years old was computed at a year and a quarter. But this average was much below the duration of life in nonagenarians specially chosen. Speculators accordingly employed agents who searched all over the kingdom for hale old men of ninety, whose lives were insured for large sums at the Government rate, and who afterwards, if poor, received medical aid and creature comforts with a view to prolong life. For each 1007. paid, a nonagenarian was entitled to an annuity of 627., the first payment commencing three months after purchase; so that if he lived a year and a quarter, the whole purchase-money was recovered. Upon the lives thus nominated, the State again, for a short time, sustained heavy losses. These continued until 1830, when Mr. Goulburn availed himself of a provision which allowed the Commissioners to refuse grants of annuities found to be unfavourable to the State.1 A system of State insurance on a small scale was revived in 1864,2 when the Post Office was authorized to grant annuities and insure lives under certain restrictions as to amount. This system has proved less popular than was expected; the contracts existing on December 31, 1885, were only for 9,496 immediate annuities, 810 deferred annuities, and 5,155 life insurances.3 1 10 Geo. IV. c. 24. Francis's Annals, &c. of Life Assurance, pp. 199-212. 2 27 & 28 Vict. c. 43. 3 Postmaster-General's Report, 1886, p. 8. CHAPTER XVII. DOCKS IN THE THAMES:STATUTES AGAINST EVASION OF CUS- sion of For more than three centuries the loading and unloading of vessels at all our chief ports have depended upon regulations imposed by the Crown for collecting revenue. To prevent evasions of duties an Act in 1558-91 declared Act of 1558-9, that all goods, except fish, should be laden and dis- against evacharged in the daytime, and at open wharfs, where cus- customs. toms' officers were in attendance. Customs and subsidies on merchandise (this statute recited) were an ancient revenue annexed to the imperial crown, and in and since the reign of Edward III." amounted to great and notable sums of money, till of late years many greedy and covetous persons, respecting more their private gain and commodity than their duty and allegiance, or the common profit of the realm," had Frauds upon succeeded in conveying their goods into and out of England 1 1 Eliz. c. 11. 2 In old Acts these officers are called "customers." revenue. |