News Release
Additional Issues of Government Stock

16 September 1997

The Bank of England announces that Her Majesty's Treasury has created on 16 September 1997 additional amounts of the following stocks:

	£100 million	2½% Index-Linked Treasury Stock 2016
	£100 million	2½% Index-Linked Treasury Stock 2024

The issue price was in each case the middle market price of the relevant existing stock at 10.15 am on 16 September 1997 as certified by the Government Broker.

In each case, the stock now issued represents a further amount of the relevant existing stock, carrying the same rights as that stock and subject to the terms and conditions applicable to that stock.

The further issues of stock will rank for the full six months' interest on the next interest payment date applicable to the stock.

Notes to Editors

The further amounts of stock will be available for dealing from 10.45 am today.

As announced in the Budget, with effect from 6 April 1998, all gilt interest will be payable without deduction of withholding tax, although investors who wish to continue to receive net dividends will be able to do so. The quarterly accounting arrangements for gross gilt interest received by UK taxable companies will remain in place for interest on those gilts to which quarterly accounting at present applies; but quarterly accounting will not apply to interest on future new gilt issues unless HM Treasury directs at the time a new gilt is issued that it is to apply to interest on that gilt.

Other information and terms relating to the further amounts of stock are contained in an Information Memorandum for Issues of British Government Stock (dated March 1997) which is available from the Bank of England, Registrar's Department, New Issues, Southgate House, Southgate Street, Gloucester, GL1 1UW (telephone 01452 398123; fax 01452 398449).

Following these issues, the amount outstanding of each stock is as follows: