The Auckland Star: WITH WHICH ARE INCORPORATED The Evening News, Morning News and The Echo. WEDNESDAY, APRIL 17, 1929. THE BRITISH BUDGET.

Auckland Star, Volume LX, Issue 90, 17 April 1929, Page 6

The Auckland Star: WITH WHICH ARE INCORPORATED The Evening News, Morning News and The Echo.

WEDNESDAY, APRIL 17, 1929. THE BRITISH BUDGET.

For the cause that lacks assistance, For the wrong that needs resistance For the future in the distance, And the good that toe can do.

It was not to be expected that tho Chancellor of the Exchequer would be able to submit to Parliament this year any sweeping proposals for the modification or reconstruction of the domestic fiscal policy. Mr. Churchill's great derating scheme is regarded by him and his colleagues as an experiment which should have permanent and lar-reaching results; and while it is still in the development stage, all that the Minister in charge of internal finance can do is to balance his Budget, and, it he can secure a surplus, vary the incidence of taxation in the best interests of the people. This is all that Mr. Churchill has attempted to do, and on the whole he has made out a good case for himself.

This Budget, like hist year's, shows signs (if earetul adaptation and readjustment, with the object of ensuring a surplus. For 1927-8 a surplus of over AIIS,UUO,UOU was recorded. But for the current year some, important sources of revenue show a decline. There has been a falling-oil: of over £7,000,000 in beer duties alone, and other decreases reduce the gross estimated surplus to about £12,000,000. But Mr. Churchill proposes to make a number of concessions that will reduce this favourable balance still lurther. He will abolish the tea duty completely, cut down liquor licences and harbour dues by per cent, and repeal the bookmakers' tax —the net result being an estimated surplus of about £4,000,000. It i.s hardly necessary to add that the proposed reductions in taxation have been vehemently assailed by Mr. Churchill's political opponents as "bribes" offered to the electors on the eve of polling day. But this is a controversial weapon that has been used against every Chancellor of the Exchequer in succession for the last century, and Mr. Churchill is not likely to be much perturbed by this form of attack.

It scorns that this Budget speech was regarded bv the critics as dull, and no doubt Mr. Churchill, having no theme of any great public moment to enlarge upon, was less inspiring than usual. But he endeavoured to make up for any lack of interest in the tisc;>l details of his statement by submitting to tho House a general survey of the country's financial position, and here he was certainly more successful. In spite of the industrial upheaval of 1026, the savings of the wageearning classes have materially increased since the Conservatives took office, the cost of living has declined, more capital has become available for investment both at home and abroad, the favourable balance of trade has steadily grown in volume, and in spite of the Gold Standard and Deflation, Britain's financial prestige has been restored, and London is ome more the financial centre of the world. On the whole, Mr. Churchill's contention that Britain to-day is more powerful, more wealthy, and more secure than it was five years ago call be supported by indisputable evidence, and he is fully justified in attributing some credit for all this to the Conservative Government.