H—4s

was £147,023, as compared with £152,198 in 1947-48, a decrease of £5,175. Expenditure for 1948-49 at £134,590 represents an increase of £20,063, or 17-52 per cent., on 1947-48. While some increases are shown on most items of expenditure, it will be found that there are three classes of expenses principally affected : (a) Salaries and fees, £14,746. (b) Buildings and cafeterias (including cleaning, depreciation, and insurances},. £6,040. (c) Legal costs, £2,210. On the other hand, substantial reductions of expenditure are recorded for " Overtime,"' £2,534, and " Printing and stationery," £1,052. (v) Summary. —The total income of the National Administration Fund for the year ended 31st March, 1949, was £426,548, as compared with £455,641 for 1947-48, a reduction of £29,093. Total expenditure was £363,961, compared with £360,435 for the previous year, an increase of £3,526. Out of the net balance of £62,587, £lO,OOO has been appropriated to Buildings Reserve, £15,000 to Cafeteria Plant Purchase Reserve T and £25,000 to Guaranteed Wage Reserve, leaving a balance of £12,587 carried to Accumulated Funds Account to bring the balance of that account to £62,117. The reduction in the National Administration Fund levy from Bd. per paid hour to 6d. per paid hour which operated from 4th October, 1948, resulted in a reduction of levy income of approximately £32,000. Assuming that the volume of work during 1949-50 remains substantially the same as in 1948-49, the reduction for the full year will be in the vicinity of £65;000. While, on the basis of present levels of expenditure, it will be possible to allow for this drop in income, any material reduction in the volume of work during the current year will necessitate bringing under review the present rate of levy of 6d. per paid hour. (/) STORE FUND (See Appendix, page 88) A notable feature of the accounts for the Store Fund for the year is that, although income at £13,887 is only £lB4 in excess of the income for 1947-48, expenditure at £10,257 is £1,070 less than 1947-48. The principal reduction in expenditure is in the cost of casual storemen's wages and overtime ; increased efficiency in the handling of cargo in the store has resulted in these items being reduced from £3,802, or 33-56 per cent, of total expenses in 1947-48, to £2,896, or 28*23 per cent, of total expenses in 1948-49, despite the fact that wages were increased during the year, in accordance with a new award. The net balance carried down to Appropriation Account is £3,630, or 26-14 per cent, of total income, as compared with £2,376, or 17-34 per cent, of total income for 1947-48, an increase of £1,254. Out of this net balance £1,500 has been appropriated to Plant Purchase Reserve, leaving a balance of £2,130 carried forward to Accumulated Funds Account, which now stands at £2,852. (g) SUPERVISION FUND (See Appendix, page 91) The benefit of the increased rates of levy which came into effect on Ist December, 1947, is reflected in the increased income for 1948-49, the first complete year at the increased rates. Income at £4,927 is £1,468 greater than for 1947-48, an increase of 42-44 per cent. Expenditure shows a slight decrease from £3,625 in 1947-48 to £3,622 for 1948-49. This converts the net deficit of £166 shown in the 1947-48 account to a profit of £1,305 for the year ended 31st March, 1949.

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