XN000022-1972-05-24 — Page 19

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Wednesday, May 24, 1972

MODIFICATIONS TO POLICY ON RENEWAL OF CROWN RENT

Announced Today In Legislative Council

The Colonial Secretary, the Hon. Sir Hugh Norman-Walker, announced

today in the Legislative Council a number of modifications to the policy

on renewal of Crown rent.

The modifications would be of benefit to the holders of renewable

Crown leases, he added.

He said that in proposing the modifications he had had in mind three

objectives:

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To reduce the overall burden of renewal;

To cushion the impact of the increases which even

after reduction will be necessary; and

To minimize or eliminate cases of hardship.

The Colonial Secretary explained that the first of those modifications

was that the general level of all renewal rents assessed in accordance with

the provisions of the Crown Lease would in effect be reduced by 20 per cent

from the first half-yearly payment after today.

That reduction would also be applied in the case of leases yet to

be renewed and would result in the reduction of the rate of interest used in

the calculation from five per cent to four per cent, he said.

In addition to that reduction in the level of renewal rents it had

been decided, so as to reduce even further the impact of that modified rent,

to introduce the renewal rents by gradual stages over a period of five years

from 1973, he added.

/That would