All this time underwriters and insurance companies had been transacting a very large business at rates which were as a rule below the Government quotation. The Government scheme only applied to cargoes in British vessels, and then only to British vessels which were insured against war risks with associations approved by the Government. The State Office also would not insure vessels which had already left port. A large field was therefore left open to private enterprise, apart from the business which naturally flows to the cheapest market. For several months an enormous business was written on cargo across the Atlantic at only 5_s._ per cent., which compared with the Government quotation of 1 per cent. Coasting and other short voyages were also written at rates substantially below the Government quotation. It is understood that for the first six months, at any rate, underwriters had no reason to regret their operations in war insurance. Marine casualties were comparatively light and the year for marine underwriters may be regarded as an exceptionally good one. The magnitude of oversea commerce may in the circumstances be regarded as highly satisfactory. For the twelve months imports showed a decline of 9.2 per cent.; exports of the produce and manufactures of the United Kingdom a fall of 18 per cent.; and re-exports of foreign and colonial merchandise a drop of 12.8 per cent. If the figures of the last five months alone be taken into account the imports declined by 20 per cent., the exports by 41 per cent., and the re-exports by 32.7 per cent. It should be remembered that the export trade was diminished by the embargo placed on many products, and also that the figures do not show the merchandise exported for the use of the Army and Navy. Taking the import and export trade the total values amounted to 1,223,000,000_l._, a decrease for the year of 180,000,000_l._ All the railways of the country were taken over by the Government on the outbreak of war under powers conferred by the Regulation of Forces Act of 1871, the administration being placed in the hands of an executive committee of railway managers with the President of the Board of Trade as chairman. In return for the immensely important services rendered by the companies in conveying troops and stores throughout the country the Government agreed, if the receipts for 1914 were less than those for 1913, to pay such sums as, together with the net receipts, should bring them up to the level of 1913. On the other hand, if the receipts for the first half of 1914 were below those for the corresponding period, the amount to be paid by the Government was to be reduced accordingly.