The Dominion. THURSDAY, FEBRUARY 7, 1935. MORTGAGE FINANCE PROPOSALS

Dominion, Volume 28, Issue 114, 7 February 1935, Page 8

The Dominion. THURSDAY, FEBRUARY 7, 1935. MORTGAGE FINANCE PROPOSALS

The more closely the report and recommendations of the Special Conference of commercial and financial interests on the Government’s proposal to establish a National Mortgage Finance Corporation are examined, the greater the necessity appears for reconsideration by the Government of their Mortgage Finance plan. It is common ground that there is need for action to place the Mortgage Finance of the country on a sounder footing. On this major point all parties are in agreement, but the weaknesses and dangers in the Government’s scheme as originally outlined are so clearly and explicitly stated in the conference report that the postponement of a decision as to the lines to be followed to secure the desired reforms has become imperatively necessary. • - _' It is only right to point out that the Minister of Finance has indicated that he still .has ah open minc| regarding certain objections raised to the Government’s scheme. In his letter of recent date to the Associated Chambers of Commerce he states that as a result of his conferences and discussions with various committees and interests: “Many conflicting opinions and helpful suggestions have been made, and until these have been fully considered a decision cannot be a'rrived at on a number of points.in the scheme.” That is satisfactory enough so far as it goes, but it may not mean more than a willingness to reconsider details of lesser importance. What is really desirable is that the alternative proposals of the conference set up by the Associated Chambers of Commerce should be weighed against the scheme put forward by the Government, ■ not in any spirit of hostility, but with an earnest desire on the part of all .to meet, what all recognise to be an urgent and unparalleled situation, in a manner most likely to produce satisfactory reforms and benefits of a permanent nature, not merely to one section of the community, but to all classes. The magnitude and difficulties of this task—to say nothing of its possible dangers—have been made so apparent in the discussions which already have taken place that there is every reason why the Government should take advantage of the experience and judgment of those outside its own ranks specially qualified to assist it in arriving at a sound decision. The Minister of Finance, in a measure, has recognised this, and his cohsultations with various interests no doubt has been helpful. But the position now reached suggests that he should go a step further and in collaboration with representatives of the Special Conference, and possibly others who could render valuable assistance, endeavour to recast his scheme. This would not involve any reflection on the Government. It would mean. nothing more than a common-sense recognition that the issues raised are so far-reaching in their possible effects, arid any scheme of reform so fraught with possibilities of risks and dangers at present perhaps only dimly perceived, that no means of securing the wisest possible counsel and assistance should be overlooked. On past occasions Mr. Coates has shown himself to be big enough and courageous enough to take a bold and unusual course in seeking to reach a sound decision on an important issue of policy, and he never had stronger reason to act in this way and call in outside assistance than in the present instance. It must be recognised that with Parliament summoned to meet next week and the National Mortgage Corporation proposals the chief matter coming forward for discussion, delay at this stage in recasting .those proposals might leave members with little or nothing to do in the way of business. If such is the case—and probably it is—then the natural course would Ife to postpone the meeting of Parliament. This would be a minor embarrassment completely outweighed by the advantages which would follow on a close and friendly collaboration between the Minister and representatives of business and financial interests qualified to advise and assist in the Mortgage. Finance relief and reforms under consideration.