TOPICS OF THE DAY

Evening Post, Volume CXIII, Issue 141, 18 June 1927, Page 8

TOPICS OF THE DAY

.. According to Mr. E. W. Gibbs, Act-ing-manager of the Bank of New Zealand, the only alternative to a "demand lor repayment of a considerable volume of advances" was for the banks to raise the price of money. This they did, by * per cent, on 9th' May last. Obviously if the banks are receiving less by way of^deposits they have less to lend by way of advances; therefore,, to conserve what money they had chey made it dearer. The public expected the chairman of the Bank of New Zealand io make gome reference to this matter, and ho' took the opportunity of doing so yesterday. What has been said, and ; sometimes freely and forcibly, is that the Bank of New Zealand having done so well, as the report and balance-sheet showed, it might have refrained from raising its rates. Although the bank is the biggest in New Zealand, it is but one of six banks engaged in business in the Dominion. Good management and large turnover account for its successful year. But it is a moot point whether, in the present circumstances of the Dominion, the right timo was chosen .by-the banks as a whole to raise the rates. However, it is reasonable to hope that these rates are but temporary, for .with better returns from exports and conservative importing, advances will-contract ana deposits should expand and money become correspondingly easier. The Dominion has wonderful recuperative powers, - for it produces what all the world wants. With a stable wool market, probably improved'prices for meat, 1 ana freer and keener competition for dairy produce, the prospects for the 1927-28 export season can be safely regarded as fair. No bank worthy of tho/namo can for long conduct its business on the principle of Tom Tiddler's ground, and choap money has often proved » curse in disguise: At the same time, if the improvement in trade returns which is now apparent in the figures recently furnished by the Customs and published in "Th-e Post" is maintained, the monetary situation of the Dominion should become easior in the near future with lower rates ruling for overdrafts and similar accommodation. •

Though the Government must accept some part of tho blame for failure to.legislate on the licensing is SUO last session, the greater responsibility must Ho at tho door of tho extremists on cither side. Tho Licensing Bill did not appear until late in tho session. It should have been brought down earlier; but when it did come the reception given to it provided an excuse for further postponing a task which most Government? are only top willing to escape. Wo do not suggest that the pill as introduced should have been passed; but it provided a framework within which Members could fit what they preferred. Licensing is a nonparty matter, and, while it is always preferable that the Government should give the Bouse a lead,. Members aro frod to accept, amend, or. reject as thay please. What is essential is that the opportunity to legislate should'bo provided. When that opportunity is given it is for the Members of the House to decide the, issue. It ja an issue, above all others, in which tho House should ondeayour to interpret and give effect to public opinion. In announcing the abandonment of the Bill last year the Minister of Finance referred to the great difficulty of legislating "in the absence of any agreement between the organised bodies of public opinion,'' and hoped that negotiation "between the parties mainly interested" might be successfully resorted to during the recess. We protested at the time that "thp parties mainly interested" whom the Minister had in mind had been too long considered, and the party which should be most considered (the public) had been Ignored. -Extremists (either for abolition or no change) have effecsuajly blocked by their quarrels the sensible reform of the licensed liquor'traffic,.: This suits the contending parties very well. The stand-pat opponents of all reform are satisfied, and the Prohibition leaders say:: "Beform is impossible,"'though they will •not attempt it. But it iB not fair to the great body of public opinion. Parliament, will again be asked to deal with the licensing law in the coming session. It is to bo hoped that then those of moderate views will insist that extreme opinion, however much it may stonewall or block tho business, shail not be allowed to carry, tho day.

A. new proposal ia made for preserving some part of the fabric of the old Boltpn Street Chapel. Sufficient funds for complete restoration and maintenance have not been obtained, and it is now suggested that the building should bo takon down and part of tho timber used in the erection of a lych-gate, This could be dedicated to the pioneer clergy who officiated and tho settlers who -worshipped in pld St. Paul's, This proposal has much to spmnjend it. It

is argued by some that much of the chapel has no Teal claim to veneration on account of age—that the old is overlaid and hidden by tho new. Moreover, it is contended that not being on tho original site, nor in its original form, the chapel itself is not truly an historic building. Neither can its claim to preservation be supported on the ground oi- boauty or architectural merit. Whatever it may possess in this respect it owc3 to its surroundings. A lych-gate would be a beautiful and appropriate memorial, and a fitting entranco to the ground where so many old pioneers rest.

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If the sessional promise of the Labour Party is to be judged on the Opposition Leader's pre-sessional speech, it is plain that little constructive aia is to bo expected from that quarter. Mr. Holland opens with the assertion that last session was a blank insofar as fulfilment of the Governments election promises was concerned. Tho slightest acquaintance with the session's record should disprove such a sweeping assertion. While it may.be contended that the-Government did not do air that, was hoped, credit should be given for the progress that was made. But it is when Mr. Holland outlines Labour's policy for the session that his weakness is revealed. It is a policy of negation—criticism of the Prime Minister's attitude affecting cooperative marketing and unemployment, with no.hint of the practical measures necessary to deal with either problem; .and uncompromising opposition to the Singapore Base contribution. Uncompromising opposition, however, will not keep the"trade routes clear if Britain is attacked, and what would Labour do then? Behind . the sure shield of the British Navy Labour may indulge^in peace resolutions and "uncompromising opposition",to every form of defence; but that is a cheap typo of idealism. If labour refuses to contribute to the cost of Naval Defence the iParty should show that it has other plans for assuring security apart from peace resolutions which an enemy would disregard and the protection of ships and bases which other people pay for.