FINANCIAL DEBATE.

Auckland Star, Volume XX, Issue 194, 16 August 1889, Page 2

FINANCIAL DEBATE.

MINISTER OF LANDS' DEFENCE.

CAPTAIN RUSSELL SPEAKS,

(EY TELEGRAPH. —SPECIAL REPORTER.)

Wellington, this day. The financial debatewas resumed yesterday afternoon, and proved rather interesting, the Minister of Lands and Captain Russell both making fair speeches, the latter being particularly good. -Mr Hutchison as usual went deep into figures. Mr Humphreys was quiet, but Mr Harkriess sprang a mine in the House with his amendment.-. Mr Fish confined his attention to Otago matters, and showed clearly where his vote was going, while- Mr Fisher, in a long speech dealing with the property tax, finished the debate for the evening. , THE MINISTER OF LANDS. The Hon. Mr Richardson did not think ib was necessary to defend his land administration, the figures would do that; nevertheless, he did defend his administration from the attack made by Mr Ballance's speech. He, to a very great extent, went over the ground already traversed by the Crown Lands report, and the return about the village settlements. Hβ admitted that Mr Ballance's abstract statement that there was more settlement in the year ending- March, 1887, than last year; was quite true ; for there were 514 persons more placed on'the land, but at the same time no less than 896 persons were aided by the Government in going on the land. Last year 345 more persons took up land under the ordinary system than in 1887. The Minister challenged the accuracy of Mr Ballance's statement that 289 persons who had been settled for several years' were included in last year's return ; and Oβ Mr Ballance maintaining the accuracy of his statement, he promised to get further information on the subject.

The condition of the colony with respect to the unemployed difficulty was improving daily, partly because less encouragement was being given to the unemployed, partly because work was only provided for married men, and also doubtless on account of the improved state of affairs generally. Last October there were no less than 8.00 men of this class in ' the colony, but as. the work provided did not suit the convenience of the applicants, the'number was reduced month by month till it fell in April to 113, and now it was only 223 for the whole colony. He showed the incorrectness of Mr Ballance's statement about village settlers paying 5 per. cent, interest upon the money spent upon them, for though that amount was payable by them they had not nearly done so. He showed that the fact that the settlers now had the choice of tenure materially affected their settlement, and had worked beyond expectation, and that a large portion of the land had been sold for cash.

Mr J. McKenzie, replying to the last speaker, said the most liberal portion of the hon. gentleman's conduct had been, forced upon him by the House, notably the ballot system. He strongly condemned the policy of allowing Crown tenants to surrender their lease?, and declared Mr Richardson had used his position to punish his enemies and reward his friends, giving an instance taken from Otago. In conclu--sion he announced his intention of supports ing the amendment, declaring that if the question was referred to the country a Parliament would be returned pledged to the abolition of the property tax, and he would nob be surprised if the Premier came back to do it himself.

CAPTAIN RUSSELL'S SPEECH."

Captain Russell deprecated the tone the; debate was taking as savouring too much, of villification of Ministers and their instead of giving them credit for doing their best. The displacing , at the present} time of the Ministry who had done so much to restore our credit would have a bad effect upon the affairs of New Zealand at Home and in the other colonies. He saw no good in turning the Ministry out, and did nob like to think of a dissolution and general election, for there was no definite question to fight the election upon. Instead of settling matters, it would probably leave them worse than before. What they would get, however, would be. a renewal of the direction to live within our means by ob« serving due economy. Beyond that, electors cared not whether it was Sir H. Atkinson or Mr Ballance who occupied the Government Benches. Change was invariably bad, and at this time would do great harm to New Zealand. What was wanted was a really strong Government (a statement that was greeted with ironical cheers by the Opposition). He objected to the proposed exemption of machinery as narrowing the basis which taxation rested on, and he feared that in this respect the Premier had- sacrificed his principles to expediency. The object should be to collect the revenue from as many people as possible so as to distribute the burden. He advocated the reduction of the exemption from £500 to £250, with a corresponding remission- pi the taxation upon the necessaries of life. He objected to a land tax as tending to prevent people from settling on the land, and he argued that instead of punishing those who sank their capital in land, and exempting those who invested it in business or kept it in the cash form, all people who owned any class of property should be treated alike. The M inistry was about the best we could £je& at the present time, and, as such, they would receive his support. The speech was an excellent one, and on resuming his seal) the hon. gentleman was heartily cheered. OTHER SPEAKERS. Mr Hutchison denied that the Opposition wanted a land and income tax, and said they would accept the property tax if the Premier would only extend the exemptions to all unexhausted improvements effected within say seven years, and alter the bearing of the tax upon joint stock. The difficulty of the small farmer under the property tax was that his capital was often borrowed, and he was obliged to pay the taxation of his own creditor. The dinner adjournment until half past seven here interrupted the hon, gentleman, but at the evening sitting he resumed, In his speech he reviewed at some length the Financial Statement, and was heavily sUtietical. : Mr Humphreys followed him, and strongly supported the Government. Hβ expressed surprise at the action of themembers who evidently sympathised with the Government voting against them. % Mr Harkness assailed Mr Moss for really wishing to obtaiu a return to 91 members.. There was no policy at issue, and Mr Moss s amendment was brought forward to catch the votes of those who opposed the property tax, and to lead them into a trapNothing wa3 placed before them as a substitute for the property tax. Hβ would place a fair issue before thew. and gave notice of motion to move whentheHousewentintoCommittee, "Tbao the Committee be instructed to repeal the property tax and amendments thereof an<* that the Government be instructed to in; traduce a land and income tax instead. This he declared was a fair issue, and he challenged Mr Mos3 and other opponents of the property tax to follow him into the lobby upon it. '~ Mr Fish followed Mr Harknesa andwhiie. condemning the property tax said he would not vote for the amendment, as n °N?|"B definite was offered instead, and that if the Government was turned out, it would Dβ placing a Government on the benches tW would be the uncompromising opponents oi the Otago Central. A defence of tie Government's action on this line occupiea the greater part of the hon. gentleman s speech. ... Mr Fisher was the last) speaker for *« 8

evening. He made a vigorous onslaught on t }j o property tax, and advocated ita reduction to a halfpenny in the £, preparatory to abolishing ifc altogether. He also spoke for' an income tax on all professional incomes. Mr R' Thompson moved the adjournment of Che House, so he will air hi 3 views this afternoon. Messrs Withy and Monk also wish to irivo expression to their opinions. b MR HARKNESS.

Ifc will be romenibored thab in tho forecast of the division I sent up yesterday, Mr Harknesswas marked as uncertain. By his 'speuch last night tho member for Nelson showed that, while a strong bpponentof the property tax, he was not prepared to turn the Government oat on the issue laid before the House ; declaring that the amendment was simply a trap to obtain a return to the 91 members.

WHAT WILL THE DIVISION BE?

This question is still unsettled, though it seems to be pretty generally accepted now that the Government have secured a majority. This was not certain on Wednesday night, and so doubtful were the Government of tho result that soveral members were sent for by the Premier and had long interviews with him. Now they feel confident, and as soon as the members who dosiro to Hansardise their opinions have spoken we may reckon on a division being taken. The Government now count on 48 votes, against the Opposition's 43. This is obtained by Mr Harkness having joined the Government, and Mr Downio Stewart, who was formerly an Oppositionist, being considered a doubtful. Ie is expected the latter will be drawn to the Government ranks. PROBABLE DISSOLUTION. Speaking of tho threat of a dissolution, the " Post " says : — " Our own conviction is that the presont will be tho last session of the existing Parliament, and that Ministers have already fully dotermined that it shall be so if only they can pull through the present session without sustaining a defeat, which would oblige them to ask for an immediate dissolution. It.would bo verybad policy on their part to face another session of tho present Parliament. The experience of the current session shows that they have no command of the House, do not possess its confidence, and have no party behind them. They are absolutely powerless to give oifect to any policy they may propose, and all they do is to cling like limpets to their seats, while tho ship of State drifts as the wind blows. The preeon t session promises to be an absolutely barren one, and another session with an inevitable dissolution drawing nearer every day could not bo expected to ; prove more fruitful. A final session of a moribund Parliament would probably be a scene of wild disorder, 90 far a3 the transaction of any public business was concerned. The defeat of tho Ministry would be a f orogone conclusion and then Ministers would have to face the ballot box, suffering seriously from loss of prestige, und therefore at considerable disadvantage Qscom pared with their opponents. We (ianuotbelieve Sir HarryAtkinson to be so bad a tactician as to risk such a result. His best chance of retaining office, possibly under a new lease, will bs to bring the present Parliament co a sudden end, say, about April ■jr May next, just about the time, indeed, when in ordinary course it would be called together for the transaction of business."

THE VACANT PORTFOLIO.

Mr Taylor yesterday srave notice to ask the Premier whether it i& true that the vacany created by the resignation of the l.ate Minister of Education in the Cabinet is about to be filled up for Government caasons ? This,- no doubt, rofers to a rumour that was current; yesterday, that Mr Downie Stewart was to receive the portfolio in return for bis' vote. Of course an emphatic {denial has been given to the rumour.