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I have read through the despatch and the
draft Bill, and the Attorney General's report; but
I do not pretend to have made any close study of it
and think it would be a waste of time for me to do so.
I would, however, point out that in addition
to dealing with savings banks the draft Bill provides
for the appointment of a Banking Advisory Committee
which is to advise the Government "upon any matter
relating to banking or to the affairs or management
of any banking company". This involves possible
criticism of such institutions as the Hong Kong
and Shanghai Banking Corporation, the Chartered
Bank of India Australia and China, the Mercantile
Bank of India and many foreign banks of some
standing.
I think therefore, that we shall have to take
advice in a rather wider field. I agree that this
should go to the Board of Trade; but i think it
should also go officially to the Treasury (who will
undoubtedly bring in the Bank of England) and the
Post Office who are the experts on savings bank.
management. I should also send a copy to Sir
Percy Ezechiel telling him what we are doing, as he
is a member of the Currency Committee and has been
intimately