SCRAMBLING FINANCE.

Dominion, Volume 2, Issue 534, 15 June 1909, Page 6

SCRAMBLING FINANCE.

So many departures from precedent'aro being made by tho Government just now that it was probably without any surprise that the House last night ', received a formidable-looking "baby" Budget from the Pbime Minister by way of footnote' tothe Loan Bill. This document is unique in its way. It says both too little and too muob. Thirty-one and a quarter of tha thirty-two pages consist of figures already "published. Tho remaining threequarters of a page, which is the essence of the thing, says enough to justify several dobatcs. It says far too much to justify the Government in expecting members to consider tho question of finance in such hasto as is proposed. At the same timo it contains practically nothing in the way of the information which the House had; a right to expect. Tlio outstanding feature of the memorandum is the manner 'in which it emphasises the impropriety of the Government's disturbance of tho sessional arrangements. A radical alteration is to ba made in the Public Rcvonuos Act, which provides for carrying on until Juno 30 ' without x fresh appropriation being granted, by extending the period until October l<l. If the' , 'Act can thus bo varied as occasion arises, there is at once established tjjo intolerable principle that the Govorrwcut cr.a spend money for any

period that may euit without detailed authority. Until October-14 the scale of expenditure will bs on the scale of last year, and this although the Government is professing to be pursuing a policy of economy. If the Government wishes to bo thought sincere \i will agree that the scale of the oxfcended appropriations -will bgar such a ratio to the scale of 1908-9 as the House may consider consonant with real retrenchment. The point is an important one, and we trust that it will not be overlooked. Nor .does tho Government propoee only to obtain authority for expenditure at the old rate. It ie actually asking that a further increase shall be made in the amount allowed for "unauthorised expenditure," and it proposes to issuo over £300,000 worth of Treasury Bills, which jf course will involve the payment of'interest during their currency. In effect; the Government is forced, by the Prime Minister's insistence on the interruption of business, to scramblo wildly for cash with which to carry on. 'We do not know 'whether the Prime Minister wants us to regard the issue of Treasury Bills as an addition to the Public Debt or not. But the public will not fail to be amused to find, him issuing over £300,000 worth of Treasury Bills so soon after hie proud boasts that he had been paying off too oxisting Bills. The proposed loan of £1,250,000 for public' works is what was expected. It is rondered necessary by the depletion of the Public Works Fund, and by the fact that the balance of the Consolidated Fund is so small that, in view of the state of revenue and expenditure, there will be little, prospect of any sum worth mentioning being available for transfer from the Consolidated Fund. The Pbime Minister hopes that "reductions in the public expenditure to the amount of about £250,000 per annum" will "assiet to ensure an equilibrium between the expenditure and revenue. "Parliament cannot be expected.to swallow a vague'statement of that sort. Those members who are alive to the importance of the financial position should ask the Prime Minister for an estimate of the results of the current year. There is no reason' why he should ,not give it, and probably its omission from his memorandum may. bo due to an oversight. As the Finance Bill will afford the only opportunity - of discussing the country's finances, owing to the process of an Imprest Supply Bill having been ingeniously avoided, the House must take full advantage ofits opportunities. Members must not vote the huge sums involved entirely in the dark. It is their plain duty also to enter a further and most emphatic protest against tho scandalous rushing through of financial proposals of such vital concern to the country—proposals which should only receive the sanction of the House after full and careful consideration. . ' . , ■ l .