Pen Rose, Berkhamsted. - Calls Bessie a 'jolly wicked old thing' and says her letter made her laugh aloud. She was indeed 'movin' in the very 'ighest circles on Wednesday, velvet 'at and all' [at an event for the Evening Play Centres Fund]; says her attempt to curtsey to H.R.H. [Mary, Princess Royal] was a 'lamentable failure', as was her attempt to keep calling her 'Y.R.H'. The 'children's part of the show was really jolly', and as Bessie says these things have to be done 'to keep one's nose in front''; the 'City paid up like anything' after last year's show, when Janet 'only had a President of the B[oard] of E[ducation: Edward Wood]' but have not been so eager to contribute this time; they claim they fear 'the watchful eye of Mr Snowden [Chancellor of the Exchequer]' though 'all the knowing ones know' there is nothing to fear yet. Has had a 'Marconigram' from George; he is staying with President [Abbott Lawrence] Lovell at Harvard instead of at a club; '[j]olly for him to arrive in the middle of the oil [Teapot Dome] scandals!'; he is giving seven lectures and will earn 'quite a handsome sum', which will be useful with Mary at Somerville. She is 'radiantly happy there' and discovering 'all kinds of things, not [emphasised] all connected with Political Economy; she is working harder this term for her 'Pass Mods'; her first term was a 'mere whirl of delight'; they will then take a fortnight's holidays near Woody Bay in Devon. Humphry has a motor-bike, and sometimes takes 'rapturous rides on it on Sundays', but he does not ride it to school. Glad Julian is 'really happy at Bedale's'; hopes he will stop growing soon. Would love to lunch with Bessie in London at some point.
King’s College, Cambridge.—Has written to Snowden proposing an amendment (to the Gold Standard Bill) repealing Section IV of the Bank Act, 1844. He overlooked the importance of this point in his article in this week's Nation.
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Transcript
King’s College, Cambridge
3 May 1925
Dear Pethick-Lawrence,
In my article in this week’s Nation, which you may have seen, I made a bad mistake and gave the Treasury more credit than they deserve. I forgot Section IV of the Bank Act, 1844, which they are not proposing to repeal. This Section obliges the Bank of England to buy gold bullion in unlimited amounts at £3-17-9.
Thus all the dangers, which in my article I thought they were avoiding, they are in fact inviting.
If an amendment could be carried on Monday, repealing Section IV of the Bank Act 1844, it would be an enormous improvement.
I have written a letter to Snowden on the same lines as the above. If you agree with me, I wish you would go round to see him on Monday morning.
Yours sincerely,
J M Keynes
King’s College, Cambridge.—Will send him his capital levy evidence when it is printed. Thanks him for his efforts ‘about gold’ (i.e. in opposing a return to the gold standard), and deplores Snowden’s behaviour (see Fate Has Been Kind, p. 141).
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Transcript
King’s College, Cambridge
10. 5. 25
Dear Lawrence,
I will send you my Capital Levy evidence when it is printed,—it is in no way confidential so far as I am concerned. I am against an annual tax on capital, because I think one can get almost all the same results by differentiating further against unearned or investment income, without the difficulties of valuation. From the point of view of relaxing {1} saving, I am more afraid of a tax on profits than of a tax on capital.
Thanks for doing your best about gold. In my opinion Snowden disgraced himself with his insincere speech of mock opposition. Why is half your party hard boiled and the other half addled? (Just like mine—except that my left wing is h.b. and right wing a., whereas your right wing is h.b. and left wing a.)
Yours sincerely
J M Keynes
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{1} This word is indistinct.
House of Commons.—Is grateful for what Pethick-Lawrence and the Chancellor (Snowden) have agreed to do for free libraries.
Urges him to abandon his plan to reduce civil service salaries, and ex-plains his reasons for doing so.
(With an envelope labelled ‘Letter written in 1931 to Snowden’ and ‘Ch of X re Civil Service salaries’.)
The economy scheme is inadequate. Explains why he thinks the Government should mobilise foreign securites owned by British subjects.
82 West Cromwell Road, S.W.5.—Suggests a suitable time for a meeting of the sub-committee appointed to consider his memorandum on currency. Commends Pell’s book (see 2/79).