The French Elections and the Lausanne Conference.

Press, Volume LXVIII, Issue 20543, 11 May 1932, Page 10

The French Elections and the Lausanne Conference.

The result of the second ballot in the election for the French Chamber of Deputies, discussed in this morning's cable news, is surprising in view of competent forecasts, a month ago, that the election would strengthen the Laval-Tardieu groups. These forecasts were based mainly on the international situation. Dr. Bruening's announcement that" Germany could not continue paying reparations, the approach of the Lausanne Conference, and the success of the Nazis in the elections for the Prussian Landtag were expected, other things being equal, to swing the electorate further to the Right. The fact that the Left has -materially increased its strength despite these handicaps suggests that for once domestic troubles have overshadoAved foreign politics in the minds of the electors. It was clearly the intention of the Radical and Socialist leaders in the Chamber of Deputies that this should happen, for during the last year they have attacked the economic policy of'M. Laval and M. Tardieu relentlessly but with great care not to quarrel unnecessarily over foreign policy. Indeed, in the debate on Dr. Bruening's statement on reparations, the Left showed itself as eager as the Eight to insist that payments to France should continue. M. Herriot, in a speech which M. Laval afterwards called " magnificent," accused Dr. Bruening of misrepresenting the state of his country's finances, and even M. Leon Blum, who has always pleaded for a more liberal attitude towards Germany, declared that reparations were "not a tribute levied as a result of "victory, but an equitable obligation "of natural law." Such statements discount a little the view expressed in some English newspapers that the new French Government will be more generous at the Lausanne Conference than its predecessor would have been. It may even be less generous, for the sudden worsening of France's financial position in the last twelve months, although it may have disposed the country to look more favourably on the economic programme of the Left, has hardened the feeling against any reduction of reparations payments. The unfavourable balance of trade in 1931 amounted to £95,000,000; tax collections for the nine months since April, 1931, were £10,000,000 less than for the corresponding period in 1930; and according to most estimates the budget deficit for 1932 will be at least £32,000,000. The unconditional annuity due to France '■ under the

Young Plan amounts to £25,000,000, so that she is not likely to relinquish without a struggle a source of income which may mean the difference between a balanced and an unbalanced Budget.