National Debt Act 1881
| Jurisdiction | UK Non-devolved |
| Citation | 1881 c. 55 |
National Debt Act, 1881
(44 & 45 Vict.) CHAPTER 55.
An Act to make further provision respecting the National Debt and the Investment of Moneys in the hands of the National Debt Commissioners on account of Savings Banks and otherwise.
[22nd August 1881]
Whereas it is expedient to make further provision respecting the securities held by the National Debt Commissioners:
Be it therefore enacted by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:
1 Short title.
1. This Act may be cited as theNational Debt Act, 1881.
2 Conversion of Exchequer bonds into permanent annuities with sinking fund.
(1)2. (1.) The Treasury may pay off any Exchequer bonds held at the passing of this Act by the National Debt Commissioners on account of Trustee and Post Office Savings Banks, not exceeding in the whole seven million seven hundred and fifty thousand pounds by the creation as from the day on which each such bond falls due, of perpetual annuities of equivalent capital value, and the day on which each such bond falls due shall be for the purposes of this Act the date of the creation of such annuities.
(2) (2.) During twenty-five years from the date of the creation of any perpetual annuities in pursuance of this section there shall be charged on and paid out of the Consolidated Fund as a sinking fund for such perpetual annuities an annual sum for the first four years of one pound, and afterwards of three pounds four shillings and fourpence for every hundred pounds of the nominal capital amount of perpetual annuities created, and such sum shall be paid to the National Debt Commissioners and shall be applied by them as if it were part of the new sinking fund under the Sinking Fund Act, 1875 .
(3) (3.) The perpetual annuities created under this section shall be charged on the Consolidated Fund, but the said annuities during the twenty-five years above-mentioned, and the sinking fund under this section shall not be paid out of the permanent annual charge of the national debt.
(4) (4.) This section shall apply to Exchequer bonds falling due in the mouth of August one thousand eight hundred and eighty-one, either before or after the passing of this Act.
3 Supplemental...
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