The Press TUESDAY, AUGUST 30, 1955. Decimal Coinage

Press, Volume XCII, Issue 27750, 30 August 1955, Page 10

The Press TUESDAY, AUGUST 30, 1955. Decimal Coinage

Mr H. G. R. Mason, the “ Father of ( “ the House ”, is performing a useful I public service in persevering with ‘his Decimal Coinage Bill in Parliai ment. Unfortunately the unco- | operative attitude of the Prime (Minister (Mr Holland) in 1953 (suggests that this is about as far as Mr Mason will be able to go. The (reform would be of immense value in simplifying the vast amount 'of book-keeping and calculating (required in modern civilisation. Mr Mason’s own suggestion for the introduction of a decimal system has the merit of simplicity, because the only real change would be to increase the value of the penny by one-fifth so that there would be 10 to the shilling. If, at the same time, a new, smaller penny was introduced the double convenience would make the new coinage attractive to the 'public. The 10s note, under a suitable name, would become the highest basic unit, although all higher denominations would work in with the system with unchanged relationship and value. A sixpence would be half a shilling and a threepenny bit a quarter of a shilling as at present. The only alterations in existing book entries would be to revalue the few pence involved and to double the pounds to bring them to the new 10s unit. Decimal coinage would have some obvious.

but minor, advantages in calculating change in busy shops and buses. But its real advantage would be in accountancy, where it would greatly reduce the number of calculations that have to be made and, even more greatly, the risk of irritating errors. Errors, at the best, are timeconsuming, and can be more serious. In fact, large businesses already do what part of their accountancy they can in decimals. Lyons and Company, of London, are reputed to save £5OOO a year on their costing calculations alone in this way. Both the New Zealand Society of Accountants and the Associated Chambers of Commerce have supported a decimal system. Almost all countries in the world (have now realised the advantages of decimal coinage. The only important exceptions are Great Britain, Australia, New Zealand, Eire, South Africa, and India, and South Africa and India appear to be moving towards a decimal system. The biggest objection to a change in New Zealand is that it might cost £5,000,000 to alter present accounting machines, from cash registers upwards, back to decimal reckoning, for which they were originally designed. This is a large amount. Against it must be set the lower cost of simpler machines when existing ones wear out, cheaper maintenance, and greater mechanical accuracy. Every year a change is delayed increases the number of machines , that have to be converted, thus ‘increasing the cost if ultimately a I change is made. Another objection (is that a new system would compliI cate school teaching at first. This . can hardly stand against the obvious I simplification in teaching arithmetic (with a decimal system. Perhaps the (most valid argument against a (decimal system is tradition, which would make many New Zealanders reluctant to adopt a system differing much from the British, with its money in multiples of 20 and 12. It is a tradition with no , intrinsic value, so that regret at a change would be short-lived. Mr Mason is not asking for an immediate decision. What he suggests, not unreasonably, is that expert consideration be given to the proposal. This is no more than the Parliamentary Monetary Committee recommended in 1934. Mr Holland would be wise to relax his opposition at least to this extent.