NO CONFIDENCE MOTION.

Auckland Star, Volume XXXIX, Issue 252, 21 October 1908, Page 5

NO CONFIDENCE MOTION.

COMMONWEALTH FINANCE. A DESPERATE SYSTEM. MELBOURNE, October 20. In the Federal House of Representatives this afternoon, Mr. G. H. Reid moved his motion of censure in connection with the Government's Budget proposals. I in a slashing speech, he charged the I Government with reckle3s finance. The j Government proposed to absorb the whole jof the revenue remaining, after paying back the three-fourths tc the States" as required by law. This would leave noI thing to meet the vicissitudes of Federal i finance. It was a desperate system of jinacee, with no margin of safety. The Federal services, especially the Post Office and Defence Department, were being starved, while the Government proposed a largely increased outlay in connection with old age pensions, the naval defence scheme, immigration, and in other directions. The debate was adjourned. MB. DEAKISS KZPLY. LABOUR PARTY'S SUPPORT. (Received 10.30 a.m.) MELBOURNE, this day. Mr. Deakin, replying to Mr. Reid's attack, said that so far from being extravagant the Government had been rigorocsly economical. The sums returned to the States had gone up in a gratifying fashion, but the States were far from satisfied. On the question of Common-wealth borrowing, it was essential that some understanding should be arrived at between the Commonwealth and the States. It would be with the utmost reluctance that he would see the Commonwealth embark on a borrowing policy. Th* Government J was carrying out the policy which the people of Australia were more and more coming to appreciate, and were carrying it with the assistance of the Labour party, with whom its relations were entirely in accord. The Labour party neld a caucus last evening and decided to support the Government. About 200 unemployed invaded the vestibule and attempted to enter the galleries of the House. The police were reinforced, and ultimately ejected the men from the building.