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Sums Receivable :- -1. Payment by Indian Government
2. Purchases of Discharge

44,000 86,000 27,500 35,000

£53,500 202,500

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3. TRANSPORT OF TROOPS AND CARRIAGE OF STORES: (a) Land Transport

(b) Sea Transport

Sums Receivable

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4. ADEN: IMPERIAL SHARE OF COST OF GARRISON

:

5. GRANTS IN AID OF INSTITUTIONS, &c. :

(a) Churches, Hospitals, Charitable Institutions, &c.
(b) Grants for Rents and Buildings

6. REPAYMENTS UNDER THE MILITARY WORKS ACTS

7. POSTAGE, TELEGRAMS, TELEPHONES, &c. :Services provided by the General Post Office Other expenditure.

Less charged to Units and Establishments

Stationery and Printing. (Now provided in Head V.A.18.)

213,000 647,500 1,459,400 3,265,000

1,672,400 3,912,500

611,000 610,000

£1,061,400 3,302,500

Maps supplied by the Ordnance Survey, less Sums Receivable for

sales. (Now provided in Head V.A.18.)

Carried forward

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..£2,248,560 4,992,400

CHARGES AND RECEIPTS-contd.

EXPLANATIONS.

1. The receipt from the Indian Government is the estimated payment in respect of the Indian service of soldiers' gratuities on discharge, &c.

Sums of 6,000l. in 1922-23 and 1,2507. for 1923-24 are included for the Middle East.

2. The Unemployment Insurance Act, 1920, provides for the payment out of Army Funds, for each soldier leaving the Colours, of a sum sufficient to provide him with full unemployment benefit, up to the maximum number of weeks for which benefit is admissible for a civilian, for the year following his discharge from the Army. The payments are made to the Ministry of Labour.

2,2501. is included for the Middle East (7,3007. in 1922-23).

(Health Insurance Contributions for soldiers, and Unemployment and Health Insurance contributions for civilians, are paid currently and included throughout the Estimates under the same subheads as their pay or wages.)

3. This provides for the whole of the current charges for sea transport of troops and stores in 1923-24. The land transport here consists of the movement of units on change of station, movement of drafts to and from stations abroad, and the conveyance of stores between depots and to units abroad; other land transport is brought to account under cost of units or establishments.

Part of the receipt item is the estimated annual payment by the Indian Government in respect of sea transport charges which would normally fall direct on Indian funds, but which, under a temporary arrangement, are borne in the first instance by Imperial revenues.

Sums of 3,0007. for land transport and 12,0007. for sea transport are included for the Middle East. (61,6007. for land transport and 1,005,5001. for sea transport in

1922-23.)

4. This represents the estimated payment to India for 1923-24 in respect of the Imperial share of the cost of the Aden garrison. This consists of two parts: (i) the fixed annual payment of 100,000l. towards the cost of the pre-war garrison (which was based on a recommendation of the Royal Commission of 1895 on Indian Expenditure); (ii) the Imperial moiety of the charge for troops in excess of the pre-war garrison.

6. Sums repayable to the National Debt Commissioners and the Treasury on account of advances made, under the Military Works Acts, 60 Vict. c. 7, 62 & 63 Vict. c. 41, 1 Edw. 7, c. 40, and 3 Edw. 7, c. 29, and the Capital Expenditure (Money) Act, 1904, 4 Edw. 7, c. 21.

7. The 145,5007. for "Other expenditure" represents cash payments for postage, telegrams, telephones and foreign cables. Rentals of Post Office telephones are provided under Head III.F.16. The 25,3807. left on this Subhead represents telephone and postal services rendered by the General Post Office which cannot be allocated in advance to the units and establishments concerned.

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Compensation to Soldiers prematurely discharged or transferred to the Reserve

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15. LIGHT HORSE BREEDING SCHEME

35,500

16. PAYMENT TO THE ORDNANCE FACTORIES FOR RESERVE PLANT, &C.

150,000

17. SUNDRY CHARGES, INCLUDING LOSS BY EXCHANGE, &C.

NET TOTAL, SUBHEAD B.

C. CONTRIBUTIONS IN AID AND REPAYMENTS BY OTHER
GOVERNMENTS:-

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115,800 82,000

£2,759,500 5,737,700

Hong Kong

2. Contribution from the Government of Egypt towards cost of maintenance of British troops in Egypt

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1,023,000 1,044,000

150,000 150,000

3. Payment by the Indian Government in respect of Home Effective Charges

1,750,000 1,738,000

4. Receipts in connection with the Army of Occupation, Rhine.. 1,250,000

2,421,000

TOTAL, SUBHEAD C.

£4,173,000

5,353,000

CHARGES AND RECEIPTS-contd.

EXPLANATIONS.

8. The expenses of Field Training for the Territorial Army are provided under Head II. 9. Such charges do not normally occur in peace time and the 1007. represents a token sum only.

10. Represents value of medals other than the medals for service in the Great War issued during the year (see Subhead A.3). (See also Head V.A.8).

11. These are sums placed at the disposal of the Secretary of State and General Officers Commanding-in-Chief to enable them to sanction small items of expenditure for military purposes not covered by regulation up to certain total limits. The object is to reduce correspondence, and only items which would otherwise require Treasury or War Office authority, as the case may be, are charged to these grants.

13. These are the legal expenses in Law Court cases, which are provided on Civil (Law) Votes (see p. 262), and expenses in connection with Courts of Inquiry. For expenses in Court Martial cases provision is made in Head IV.C.

14. For details of this staff, see Head IV., War Office, Appendix VI., p. 246.

15. This scheme provides for the payment of premiums, &c., to breeders, to encourage the production of a type of horse required by the Army. The cost was formerly borne by the Votes of the Ministry of Agriculture.

16. A payment to the Ordnance Factories in the nature of a subsidy for the maintenance of buildings and plant not required for present manufacturing needs.

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Mauritius.-Five and a half per cent. of the Colony's Assessable Revenue.

Ceylon. Three-fourths of the total cost of the garrison, or 94 per cent. of the Assessable Revenue whichever is less. For some years the former has been the less.

Straits Settlements.-The cost of the garrison, or 20 per cent. of the Assessable Revenue, whichever is less. The estimate for 1923-24 (as for 1922-23) is on the former basis.

Hong Kong.-The cost of the garrison, or 20 per cent. of the Assessable Revenue, whichever is less. The estimate for 1923-24 (as for 1922-23) is on the latter basis. 2. This annual payment by Egypt was fixed in 1907.

3. India makes a payment at an annual rate per head (117. 8s. before the War) of the establishment of the British Army in India, in respect of the cost of raising and training the men in this country. The sum taken here is based on an increase under discussion with the India Office.

4. In 1922-23 these receipts were estimated on the basis of repayment by Germany of the whole cost of the Army of Occupation on the Rhine. Under an Inter-Allied agreement signed at Paris on 11th March 1922, Germany's payment to Great Britain on this account was limited to 2,000,000l. a year (plus certain services in kind) as from 1st May, 1922.

HEAD VII.-HALF PAY, RETIRED PAY, PENSIONS AND CIVIL SUPERANNUATION.

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TOTAL, HEAD VII. £ 8,649,500 1,131,500 7,518,000 9,729,000 1,111,800 8,617,200

(a) Includes retired pay of re-employed officers (51,8007.) previously included in Head III. N and Head IV. B.

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In the estimate for 1922-23 under Subhead A. a sum of 1,200,000l. was provided for the special gratuities paid to officers retired on reduction of establishment. This provision will not be required in 1923-24. There is an increase in half-pay, due to the number of officers placed on the half-pay list, for medical unfitness, on reduction of establishment; and an increase in retired pay due to officers retired on reduction of establishment. There are also further increases in the provision for retired pay due to the increased rates now prevailing, and to the rearrangement noted at (a) above. The increased charge for commutation annuities is in respect of retired pay commuted in the calendar year 1922.

Under Subhead B. there are no substantial changes from the Estimate for 1922-23. Under Subhead C. increased provision is required for Superannuation Allowances owing to the fact that new grants are generally at higher rates than the grants of old date which are falling off. On the other hand, the sum required for injury grants is smaller owing to the reduction in the number of civilian employees and to the higher rates of wages on which such grants were based in 1922-23.

The Sums Receivable shown under Subheads A. and B. in respect of payments by India for non-effective charges are on a provisional basis only and subject to later adjustment.

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