BRITISH SURPLUS

Bay of Plenty Times, Volume LX, Issue 10832, 2 April 1932, Page 3

BRITISH SURPLUS

Balancing of Budget Achieved.

GREAT TAX REVENUE

Rugby, March 31

The financial year ended to-day and the complete Treasury returns for the year are published. The Treasury statement, accompanying the abstract of statistics, states; "The Budget has been balanced with a surplus of £364,000 after providing £32.508,000 for redemption of debt. This result has been achieved notwithstanding tho decision to limit the amount paid to miscellaneous revenue from the Exchange account to £12,750.000, including interest, instead of £33,000,000. including interest contemplated last September. The expenditure on the supply services was £12.500.000 leas than the September forecast, the reductions realised having been £34.500.000, as against £22.000.000 contemplated in September. It is to be observed that not merely were the estimates of the yield of income tax and surtax realised but they provided a surplus of £19,000,000 toward meeting the deficits on other heads of revenue. The national accounts show that the revenue in the year amounted to £770,963.000, and the expenditure £770,599.000. The revised Budget, presented last September, forecasted an Exchequer receipt from income tax of £272,000,000, and from surtax of £73,000,000. The amounts received in the year are respectively £287,400.000 and £76.700.000. On the other hand, the estate duties only yielded £65,000,000. which is £lB,000,000 less than the Budget estimate, and stamp duties, which were estimated to produce £20,000,000, fell short by £3,000,000. Customs and excise revenue was estimated to produce a total of £253,000,000. The actual receipts exceeded this sum by £3,000,000, of which, however, about £2,000,000 is on account of new impost duties under the Abnormal Importations Act, the Horticultural Products Act and the Import Duties Act. The Post Office net revenue was £700,000 less than was expected. There is a further shortage in receipts from Sundry Loans and Miccellaneaous. These two latter heads were estimated at £5,820,000 and realised £4,372,000. The difference was due mainly to a reduction in the amount paid to Miscellaneous Revenue from the Exchange Account. “On the, expenditure side the permanent debt charge, as revised by the September Budget, was fixed at £322,000,000, which Included £32,500.000 for debt redemption. The whole of this has been issued and applied in a manner provided on the supply services and substantial savings are shown. "The original Budget estimate of last April was £439,000,000. In the revised financial statement of last September this was increased to £473,800,000 owing mainly to the decision to stop bororwing for unemployment insurance and roads, but before taking into account the economies proposed in the second Budget. These economies were estimated to save £70,000,000 in a full year, and £22,000,000 in the remainder of the current year. In fact, the Exchequer issue has proved to be £4 3 9,200.000, showing a saving of £300,000 on the revised estimate. The saving in the past year, therefore, has been £31,500,000. The total expenditure of £770,500,000 was thus £12,500.000 less than was estimated in the revised Budget. “In regard to Treasury credits, it is learned that bills amounting to 30.000. dollars, which matured on March 29 in New York, have been repaid, and the balance amounting to 900.000. francs, of the credit given by the consolidated of French banks, has been paid off. In each case the Treasury retains the right to reborrow until twelve months after the grant of credits, in August and September last. A loan of 2,500,000,000 francs from the public have not been paid.”