Remittances of savings by employees of the Company, since most employees
preferred to invest at home.
Remittances for purchase of British goods for the consumption of British
employees as well as purchases by them of British goods in India.
Government purchase of stores manufactured in Britain.
Interest charges on public debt held in Britain (excluding interest payments
on railway loans and debts incurred for productive works).
In addition, the government of India had to make huge payments to people in
England on account of political, administrative and commercial connections
established between India and England. These commitments were called
‘Home Charges’. They included:
Interest on public debt raised in England at comparatively higher rates;
Annuities on account of railway and irrigation works;
Payments in connection with civil departments where Englishmen were
employed;
India Office expenses including pensions to retired officials who had worked
in India or who had worked for India in England and retired there, pensions
to army and naval personnel, and their furlough allowances.
Estimate of the Drain
It is impossible to accurately measure the amount of drain which in the form
of resources and gold bullion flowed from India into Great Britain during the
British rule. Some idea of the extent of the drain can be got by figures quoted
by some authors.
     Verelst estimated that within a period of just five years after the Battle of
Plassey, goods and bullion worth 4.94 million pounds sterling went out of the
country. I. C. Sinha stated that during 1757 and 1730 the amount of drain on
Bengal’s resources atone was something like 38 million pounds.
     With the available information, it was calculated that one-fourth of all the
revenues in India came to be annually remitted to England as Home Charges
alone.
     Different nationalist leaders made attempts to estimate the amount of the
drain annually flowing out of India into England. There is considerable