FEDERAL FINANCES.

Dominion, Volume 2, Issue 593, 23 August 1909, Page 7

FEDERAL FINANCES.

FROM THREE STANDPOINTS. 1 BIG STATES LOSE. COMMONWEALTH AND SMALL STATES ' SATISFIED. (By Teltttraph.-I'rcss Aneoclallon.-OoiiyrlEht.l Mcl&oumo, Aiißust-21. With regftid to the now arrangement of Federal and State finances'agreed on by the Preniiors , • Confoieiico—under winch -the Federal Government's payments to the States arc to bo on a basis of 255. per head of population annually; with a conceseion of £600,000 this jear to the Federal Government to help to moot old age pensions, and with a special annual pajment to Western Australia commencing at £250,000 and diminishing after 1911 at tho rate of £10,000 annually—the Fedcial Ministers and Ministers of the smaller States express themselves well satisfied. > Sacrifice of Larger static. Mr. Murray (Premier of Victoria), and Mr. Kidston (Queensland), though glad that a settlement of the financial question has been rcrched and prepared to lecommend its acceptance, coiisidei that it means a saonCco on the part of the larger States. The Victorian Treasurer declares it it ill mean that tho land tax will ha\o to be heavier than intended; , Under the per capita payment tho amounts paid to tho various States this jear are estimated as follow:— ' New South Wales £2,021,000 Victoria 1,617,000 Queensland i 709,000 1 South Australia ....:.... 621,000 Western Australia 340,000 Tasmania 235,000 Compared with the returns under the Braddon Clause, New South Wales loses £1,250,000, Victoria £441,000, Queensland £325,000, and Western Australia £288,0005 while Tasmania will receive a small gain. i , i .' Mr. Dealiln has Scored. ' The "Sydney Morning Herald," oomment- | ing on tho financial settlement between the States and the Commonwealth, says:—"Tho result of the Premiers' Conference, will be received ivith. mingled fcolings. -Tho Commonwealth may congratulate itself that it I has come out on the safe side, but it' is pretty clear that Commonwealth financo is going to,be a big thing for many years to come, and the present arrangement is only ono step towards its solution."

Tho "Daily Telegraph" declares that if j the States agrco to tli'e proposed per capita I contribution Mr. 'Deakin will have scored re- j markably, and tho State Treasuries will be j placed in' a worse position than under any ' scheme yet put forward. Mr. G. H. R-eid, ""ex-Federal Premier, considers that the main effect will ( be to compel the Commonwealth and' State Govfcrnmerits t<) observe tho principles of care-' ful finance. • ' TRANSFERENCE OF STATE DEBTS. FINANCIAL COMMISSION. ' Melbourne, August 21. Tho investigation with a view to consolidating tho State debts and transferring them to the Commonwealth, in terms of resolution No. 1 of tho Premiers' Conference, will bo' made by a Rojal Commission consisting of'financial experts. A