NOTES OF THE DAY

Dominion, Volume 23, Issue 139, 8 March 1930, Page 10

NOTES OF THE DAY

Some idea of what unemployment is costing the Dominion at the present time can be gathered from some figures quoted by the Minister of Labour. On February 22 a total of 5853 men were employed by four Departments on relief works and if account were taken of what is being done by other Departments and by local bodies, the figure would certainly be over 6000. In addition there are numbers of men still unabsorbed, probably not less than 2000 or 3000. Why this state of affairs' should obtain in the busiest season of the year is difficult to explain. But at least it does demonstrate the urgency of attacking the problem in a comprehensive and constructive way rather than muddling along with piecemeal methods from week to week.

So much attention is concentrated on the national Budget that the heavy burden on the community represented by local taxation escapes with comparatively little notice. The subject is raised by a remit passed by the Municipal Conference urging the Government to set up a commission to investigate its incidence. Local taxation in 1928 amounted to £6,123,375 against £17,832,033 collected by the Government, the amounts per head being £4/4/10 and £ll/17/7 respectively. From these figures it will be seen how serious a charge local bodies make on the income of the community. Twenty years ago local government cost only 30/- per head against 84/10 in 1928. An overhaul of the whole system would certainly appear to be due to see if some check cannot be kept on the mounting expenditure of boroughs and counties and to discover where savings could be made. There can be little doubt that there is scope for economy in local as well as in national expenditure.

Hospital maintenance is one cause of heavier local taxation. The Minister of Health states that gross expenditure has grown in 18 years from £200,000 to £1,206,000 or from 3/11 to 16/6 per head. Not all of this falls on local rates and there is the recovery in fees as a set-off. Nevertheless the burden on local and general taxation exceeds £1,000,000 a year. There is no doubt that New Zealand gets service for its money in this connection but it may well be doubted whether the increase in service has been commensurate with the increase in cost. The average of occupied beds per 1000 of population, for instance, has not quite doubled in 18 years while the cost per head has grown fourfold. Less is heard nowadays about the incidence of hospital rates but it is probable that counties still consider they have to support the heavy end of the load. The fact that hospital boards do not collect their own revenue and the effect this may unconsciously have on their spending proclivities are other factors worth noting if, as the. Municipal Conference urges, an inquiry is undertaken into the incidence of local taxation.

It is difficult to understand why the Government delays publication of the report of the Commission of Inquiry set up to investigate the question of the rehabilitation of ex-servicemen. As the Napier branch of the Returned Soldiers’ Association remarks, the report was delivered to the Government in January so that there has been ample time for official consideration. Both ex-service-men’s organisations and those administering war funds are naturally anxious to have an early opportunity of studying the report priot to defining their attitude on any recommendations the Commission may have made. It is quite possible also that those administering war funds might be influenced in their investment policy by the trend of the report. Those performing voluntary service on behalf of ex-soldiers are certainly entitled to this consideration, especially as they are animated by the disinterested desire to see that the very best is done for those economically handicapped by war service.