22 GREAT BRITAIN AND IRELAND - CO-OPERATION AND ASSOCIATION 



society has as much as it could usefully employ and in many progress is 

 retarded because the management is hampered by want of money... The 

 real necessity for it has not hitherto been fully realized. It is in truth 

 extraordinary on what small capital some societies have built up large turn- 

 overs.... The S3'stem of v^orking through central and branch depots is gain- 

 ing more and more favour in the case both of trading and of produce so- 

 cieties. For this and other reasons m.ore capital is desirable ". As a sup- 

 plement to the issue of loans many societies find it convenient to invite 

 loans from members, repayable at a certain notice and carrying regular 

 interest. 



The societies do not aim at making large profits in order to pay divi- 

 dends to their members, but generally prefer to return the benefits which 

 accrue from co-operative purchase immediately, in the form of lower pri- 

 ces, merely retaining a sufficient margin to secure against loss. However 

 an increasing number of societies find themselves in a position at each 

 year's end to grant members, as a bonus, a small sum in the pound on the 

 goods sold. The system tends to increase both membership and the 

 amount of business done. 



By a clause in the Finance Act (No. 2) 1915 excess profits are com- 

 puted in the case of co-operative societies not on the basis of the total profit 

 of a socictA^ but on that of the individual profit accruing to each member. 

 This provision is most important, for the increased profits made by many 

 societies since the war are entirely due to an increased membership. 



h) Small Holdings and Allotment Societies. 



As regards societies of this tj^pe progress is shown in the number that 

 were formed during the year, but the total acreage they held and the num- 

 ber of their tenants diminished. The reduction in acreage is probably 

 due to the expiry- of leases and to the increased demand for small allot- 

 ments, to be made into gardens by town workers. A considerable num- 

 ber of new societies were formed for the purpose of acquiring land for such 

 garden allotments, and most of these were registered in the latter part of 

 • the year and had not yet acquired land when the report was made. 



The following comparative data should not therefore be taken as 

 indicating anj- real retrogression. The figures for 1914, which are taken 

 from the Board of Trade Labour Gazette are incomplete, since they con- 

 cern only 147 societies whereas 172 were registered in that year by the 

 Agricultural Organization Society. 



1915-16 



Number of Societies. 

 )^ ') Members 

 » » Tenants 



Acreage held. . . . 



