THE BUILDING SUBSIDY

Press, Volume LXIX, Issue 21020, 23 November 1933, Page 7

THE BUILDING SUBSIDY

SCHEME CRITICISED IN AUCKLAND REACTION IN NORMAL TIMES [THE PEESS Special Service.] AUCKLAND, November 22. Reference to the building subsidy schemes was made by the chairman, Mr J. Park, at the annual meeting of the Auckland branch of the New Zealand Institute of Architects. "I am not speaking in my official capacity as chairman, but am giving my personal views when I say that not one of the building subsidy schemes of the Government has had the desired result," said Mr Park. "The people most deserving of help have not been able to take advantage of the scheme owing to lack of finance. Personally I do not think the subsidy has been worth the cost of administration."

Mr Park said that if a record were compiled showing first the number of houses built under the scheme by private owners to use as their own homes; second, the total cost of these homes; and third, the amount ac anced to trading concerns as the subsidy given for large buildings, which he ventured to say would have been built in any case a a necessity for their business, he felt that bitter disappointment would be expressed. The number of unemployed, as far as the registers had shown, was hardly affected, because the ir.iri who had battled on without re. 'stering as unemployed had to register in order to get work under the scheme.

The No. 10 Scheme. The No. 10 Scheme, Mr Park continued, was perhaps worse than the previous one, because a subsidy given as it was opened an avenue for the speculator to prepare for the future in no uncertain manner. It was common knowledge that numbers of houses were being built by certain companies which had land lying idle and with no prospect of a sale, taking advantage of the building subsidy and erecting houses by the dozen and either selling at a profit to-day or holding them until more normal times arrived. These houses, built in a slump period, must nec arily be able to be sold at a cheaper rate than houses could be built when times became even semi-normal. A reaction in normal times must come, and men still be kept out of work until houses were absorbed.