MORE EXPENSES.

Auckland Star, Volume LXVI, Issue 234, 3 October 1935, Page 7

MORE EXPENSES.

BRITISH PROSPECTS. Chancellor Sums Up Position Before Bankers. ADDED COST OF DEFENCES. British Official Wireless. (Received 2 p.m.) RUGBY, October 2. The financial outlook and the prospects of world trade were discussed by the Chancellor of the Exchequer, Mr. Neville Chamberlain, in his speech ;it the annual dinner to City of London bankers and merchants. Referring to the trend in national finance, lie said that some new factors whose influence it was not possible to judge but which must certainly affect the output of the year, had arisen since the beginning of the year, hut, judging by the results in the first six months, revenue was buoyant. Against this surplus of revenue -there was set oil' an increase in expenditure, which had already exceeded by £10,000,000 the amount allowed for supplementaries in his Budget estimates. Even that did not take account of one of the new facts, namely, the further sums being expended on the improvement of defences. Although not anticipating any unfavourable position at the end of the financial year, he thought it clear that he would not find himself in possession of ally large surplus. Troubled Foreign Affairs. He was bound to take into account conditions in foreign affairs, which had introduced new sources of doubt and anxiety regarding the prospects of world recovery. He said they might take encouragement from the fact that the true cause of their troubles was beginning to obtain recognition in new and influential quarters. British policy was rather to increase consumption than to restrict production. If only in that respect Britain's example was to bo followed by other important countries of the world, very speedily international trade would bo relieved of some of the most burdensome of its shackles.

With regard to the gold standard, it did not seem to him that the time had yet come when Britain could venture to tie her hands.

INCREASED REVENUE

BUOYANT BRITISH FIGURES

RUGBY, October 2,

A general increase in revenue is shown by the national accounts for the first six months of the present financial year. The revenue for the half-year amounted to £280,800,950, and the expenditure to £340,347,070. As anticipated, death duties represent one of the principal increases in the revenue and this increase is stated at £0,420,000.

An increase of £1,811,000 is recorded in income tax. Customs receipts have risen £4,448,000, and e.xcise duties £1,000,000. The total expansion in ordinary revenue for the half year is £13,010,873. I

Owing to the larger amount required for the supply services, the expenditure also has risen sharply, the actual increase being £17,820,149. As a result the exccss of expenditure over revenue is £59,447,120, compared with £54,043,848 at the corresponding date last year.