TIDE TURNS.

Auckland Star, Volume LIX, Issue 22, 27 January 1928, Page 7

TIDE TURNS.

PROSPERITY AT HOME.

Bankers Hail Improved

Conditions.

SIGNS OP THE TIMES.

(British Official Wireless.)

(Received 1.30 p.m.)

RUGBY, January 26.

The chairman of two of the big London banks spoke to-day in optimistic terms of British trade prospects.

Mr. R. H. Tennant, presiding at the annual meeting of the Westminster Bank, said: "In the view of those best qualified to judge, the total volume of the country's economic activity is greater to-day than in any year since the postwar slump, and it is probably greater also than in the active pre-war year, 1013."

The recovery from the setback of 1926 had been sufficiently quick and sustained to bear testimony to the economic stamina of the country.

Mr. Tennant added: "There is a consensus of opinion among economists that as a nation, we are spending more than we did before the Great War. The masses of people are better clothed and better fed. The motor car a few years back was the luxury of the rich, while to-day garage accommodation is one of first pre-occupations of architects of even humble houses."

In so far as this freer spending represented the higher standard of living, better health, increased efficiency and happiness it was entirely welcome.

Moreover, in a period of rapid change such as the country had been passing through, a number of goods passed out of the category of undoubted luxuries into, or very nearly into, the class of commodities regarded as necessities. Tho two factors which faciliated this change were scientific invention and massed production. The former had brought silkwear within the reach of almost every purse, while by the latter method the motor car had become cheaper and cheaper, and therefore progressively available to wider and wider sections of the population.

Mr. Tennant added that the artificial silk industry, despite the great extensions of mills and machinery, still found that the demand ran far ahead of the supply.

Sir Harry Goschen, presiding at the annual meeting of the National Provincial Bank, said: "We see theatres, cinemas and other places of amusement crowded with every evidence of prosperity and retail establishments have never appeared to be more attractive, nor better supported by their customers.

"Indeed, it may be justly claimed that the general standard of living seeniß to bo higher and this implies increased expenditure. Consequently we may assume that on increased earnings during the year £317,000,000 of fresh capital has been subscribed by the public for industrial and other purposes, of which £55,000,000 has been on account of loans to foreign countries, which is some indication of the country's savings.

"There is, I believe, evidence that the tide has at last turned and is moving slowly towards better times."