STRONGER RA LA NCE-SHEETS.
The most favourable feature affecting balance-sheets . has been the recent rise in security values: At the end of ; last year it became necessary to provide rather substan- tial sums for investment depreciation, four of the " Big Five " banks drawing upon their published reserves to the extent of £8,500,000 in all. The exception' Was Barclays Bank, which met the depreciation from an inner invest- ment reserve. Despite these large appropriations the published reserves are still very strong, Barclays having £10,250,000 against. paid-up capital of £15,858,217, Lloyds £7,500,000 against £15,810,252 of capital, the Midland £11,500,000 against £14,248,012 of capital, the National Provincial £8,000,000 against £9,479,416 of capital, and the Westminster £7,500,000 against £9,320,157 of capital. By far the greater part of the investments arc in British Government securities, and the striking rise that has occurred in. market values has more than offset the amount of last year's depreciation. In effect it has resulted in the strengthening of inner reserves, a circtimstanee which, no doubt, has had an important bearing upon the dividend decisions.
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