The intention of these remarks was to deal with the financial and actuarial basis of the 1918 Act with particular reference to the various funds set up under that Act.

The 1918 Act, however, did not create an entirely new financial basis to replace that of the original (1911) Act, but rather introduced important modifications in the financial structure of that Act, chiefly by the setting up of protective funds. In order, therefore, fully to understand the present position it was considered desirable to give a short sketch of the position under the 1911 Act and the circumstances which led to the passing of the 1918 Act and the creation of these protective funds.