Struggle for Survival

After its financial reconstruction in 1923 together with significant changes to its Board, the British Trade Corporation would face a struggle for survival. Although there had been some small improvements to its financial position, it faced significant underlying problems against a background of continuing domestic industrial problems. Its own difficulties were compounded by those of the Levant Company. In June 1923, having sustained huge losses that wiped out its share capital, the Levant Company had applied to the Courts for a capital reduction. Its main creditor was the British Trade Corporation. Against this background, Montagu Norman, the Governor of the Bank of England, began to seek a suitable solution to the corporation’s difficulties.