Post Office savings and certificates
Withdrawals exceeded deposits in the Savings Bank in early 1980, while certificate receipts exceeded repayments by less than in 1979. Bruton questioned what the outflow said about confidence and savers’ returns; Fitzgerald cited plans for higher-interest certificates and said existing rates could not be changed retrospectively. The Chair then moved to the next question.
asked the Minister for Finance the net change in the amount of Post Office Savings Bank and savings certificates in the first four months of 1980 and in the first four months of 1979.
Comment on this
In the first four months of 1980 withdrawals from the Post Office Savings Bank exceeded deposits by £5.51 million as compared to an increase of £1.83 million in deposits over withdrawals in 1979.
Receipts from the issue of savings certificates exceeded repayments by £1.45 million in the first four months of 1980 as compared with £2.16 million in the corresponding period in 1979.
Comment on this
Is the Minister concerned with the excess of withdrawals over lodgments in the saving funds referred to? Does he think that this indicates confidence in the Government's policy on the part of savers?
Comment on this
In the course of my budget speech I stated that the rate of interest may not be sufficiently attractive and proposals for a new issue of certificates offering a higher return were being prepared. That is the position.
Comment on this
What does the Deputy expect? That is a retrospective situation which cannot be taken into consideration.
