WAR EXPENDITURE

Ashburton Guardian, Volume 60, Issue 223, 28 June 1940, Page 3

WAR EXPENDITURE

ESTIMATE FOR OJRRENT YEAR. TOTAL NOW SET AT £37*500,000 ('Special to the “Guardian.”) WELLINGTON, June 27. Dealing with expenditure on the war the Minister said: It is quite impossible to make firm estimates of war expenditure up to the close of the financial year, for we cannot foresee what our forces will be called upon to do during that period. Three months ago the best estimate that could be made was a total of £33,000,009. The figure is now £37,500,000 made up as follows:

Arrangements have been made for the cost of New 7 Zealand’s forces overseas to be financed by the United Kingdom Government on a loan basis, New Zealand being charged the same rate of interest on such, loans as the United Kingdom herself is paying in respect of her war loans. Including £1,750,000 on account of the Empire Training Scheme, the total overseas costs of our forces have been tentatively estimated at £19,750,000, and expenditure in New Zealand at £17,750,000. AVe must find the latter as and when required, and then organise a Dominion-wide sustained economy drive with a view to meeting out of our overseas funds as much as possible of the amount which' otherwise would come as a loan from the United Kingdom.

Army— N.Z. Expeditionary lorce- - £ Overseas 18,000,000 In New Zealand ... 7,000,000 Home Defence 5,000,000 Navy 1.500,000 Air Force— Overseas 1,750,000 In New Zealand ... 4,250,000 37,500,000