ACTIVE POLICY.

Auckland Star, Volume LX, Issue 164, 13 July 1929, Page 10

ACTIVE POLICY.

MANY STATE ADVANCES.

GOVERNMENT'S GOOD RECORD

GREAT BOON TO SETTLERS.

(By Telegraph.—Parliamentary Reporter.)

WELLINGTON, Friday.

Stressing the value of the State Advances Department, the Minister of Internal Affairs (Hon. P. A. de la Perrelle) stated in the House of Representatives that it might be an old thing to say, but it was true, nevertheless, that State Advances were one of the greatest boons ever conferred upon the people of tiiis conntrty. It should never be forgotten that State Advances were instituted by the present Prime Minister when the former Liberal Government was in office.

It had been suggested by a Reform member that there was danger and risk in lending money, said Mr. Perrelie. Such was not the ease. The superintendent would advance up to 75 per cent of the value, on a conservative valuation. Mr. A. M. Samuel (Thames): Most conservative! The Minister: The point is that many settlers would have been compelled to walk out had it not been for the State Advances scheme. What Has Been Done. Showing how the United Government had accelerated the rate at winch advances were made, the Minister quoted figures relating to the periods January 1 to June 30, 1928, and January 1 to June 30, 192!). In advances to workers, the Reform Government paid over £496,828 during the former period, when 018 applications, were dealt with. The United Government, in its first six months of office, paid out £1,158,417, applications dealt with numbering 1303. There was a total increase in the amount advanced of £651,581.

in the Advances to Settlers Department there were 498 applications dealt with by the Reform Administration, as against 909 by tlie new Government. Last year £679,455 was advanced in the period of six months, but this year the total was £1,149,335. That represented an increase of £469,880 advanced to fanners in need of money.

"At what rate of interest?" came a chorus of queries from the Reform side of the House.

I claim that these figures reveal a great deal of useful activity on. the part of the Government," continued the Minister, "and 110 matter what the rate of interest may be, the point is that the men who get these advances are getting tlieni from the Government more cheaply than they could get the money outside. In addition to that, they are saved the trouble of having to renew mortgages, and they have security of tenure which they would not have if the land agent or lending institution was chasing them out." The Minister of Defence (Hon. T. M. Wilford)-: That's exactly why the Opposition members are interjecting. Mr. -T. S. Fletcher (Grey Lvnn): .They are blank cartridges that they are firing.