TORY CRITICS.

Auckland Star, Volume LXI, Issue 103, 3 May 1930, Page 9

TORY CRITICS.

BRITISH BUDGET. Snowden Charged With Class Warfare. AMENDMENT REJECTED. (United P.A.-Electric Telegraph—Copyright) LONDON, May 2. The debate on the Budget was resumed by Sir Clervais Rentoul (Con., Lowestoft), who moved to reject the proposed increase in the standard rate of income tax. Mr. I. J. Albery, (Con., Gravesend), in seconding the motion, said the increased taxation was driving capital abroad. Mr. R. J. Boothby (Con., East Aberdeenshire) said the gilt-edged market had practically collapsed since the Budget. The Chancellor of the Exchequer, Mr. Philip Snowden, said he had received many expressions of approval of the Budget, even from payers of super-tax. The previous Government was responsible for most of the items of increased expenditure. The Conservative policy was what was called "broadening the basis of taxation," in other words, relieving the rich and overburdening the poor. The revenue from customs and excise amounted to £250,000,000 a year, four-fifths of which came from other than income-tax payers. Although America and Germany were reducing taxation, they had 6,000,000 and 3,000,000 persons unemployed respectively. The ancient argument about capital being driven abroad was fallacious, nor had the high income tax or super-tax had this effect. In spite of the alleged disastrous effects of the Budget on national credit the bank rate to-day had been further reduced, which every financier would admit was partly due to his method of dealing with the debt. The former Chancellor, Mr. Winston Churchill, said Mr. Snowden had revealed the spirit of class warfare, aiming not at an immediate, but a steady transference of wealth, until capitalists were entirely eliminated. There was no wonder that trade recovery was slower and more painful in Britain than in any other country since the war. More than half of the increased income tax was due to increased dol-s to the unemployed, who were not even asked to say whether they were genuinely seeking work. The amendment was rejected by 255 votes to 139.