DEBATE ENDS

Evening Post, Volume CVI, Issue 11, 14 July 1928, Page 17

DEBATE ENDS

LABOUR AMENDMENT REJECTED BY HOUSE THE FINAL SPEECHES The Address-in-Jtcply Debate concluded in tlio llouso of Representatives yesterday. There was only ono speech' before the division on the Labour Party's no-confidence amendment Yras reached, that of Mr. J. K. Hamilton (Awarua). The amendment which had been moved by the* Leader of the Opposition ask,ed the House to express no-confidence in the Government on the ground that it- . lad. failed to provide adequate financial assistance for farmers and homc-build-frs, and that it had permitted its policy relating to the Post Office Savings Bank and the State Advances Department to be influenced by privately-own-ed financial institutions to the '■■ detriment of the whole Dominion. - The division was taken at 3.46 p.m., and resulted in the amendment being defeated by 48 votes to 14. Mr. H. Atmore (Nelson) voted with the Labour Party. The National Party voted with the Government. "SAME OLD STRING." Speaking after the division, Mr. T. Fprsyth (Wellington East) remarked that the Opposition had not found much in the Governor-General's Speech to criticise. The cry of unemployment would be increasingly hard unless greater provision was made for boys to -learn trades, and bo absorbed therein. The no-confidence amendment of the Labour Party had been on tho same lines as in former sessions. The Leader of the Opposition had been harping on the same old string, and it was nearly worn out; he Should change his tune. Mr. Forsyth referred to 'the value of advances to settlers and workers, and asked the Leader of the Opposition how he would have raised money for those purposes without increasing the Public Debt, for. which they criticised the Government. When the Opposition, members were slating the Government concerning the enormous size of the Public Debt it was fair that they should explain in what respects they considered money should not haye been raised. Mr. J. M'Combs (Lyttelton) had criticised the 'Minister of Finance in conJicction'with the flotation charges of tho.recent New Zealand loan, and had said .that by delaying a sum of £25,000 could have been saved. The speaker suggested to the Prime Minister that he should take Mr. M'Combs out to Trenthan) to-day; he would be able to help MivCoates in a little flutter. ' ■ Mr.'-Coates: "Oh, I think it would toe too expensive." Mr. Forsyth said that, while belittling. tho mortgage-hold, the Leader of the .Opposition had failed to suggest . anything practicable in its place. He asked the Labour Party why they were opening their doors and striving to admit tho.farmers and other useful people." He recalled"the strike of 1913, and said :ho 'did'not think the Labour Party would catch the dairy farmers. Mr. D. G. Sullivan (Avon): "Yes, but'look at what happened in 1728." 'Mr. H. G. Armstrong (Christchurch East)": "Ithought you were going back to the dark ages," The speaker went on to refer to" changes" in the platform^ of the Labour Party,1 and'remarked that it. seemed to him' Labour was in a state of transition. ' The party was indulging in win-dow-dressing because of the approach of the General Election. * "WHERE ABB THE NATIONALISTS?" Mr. B. M'Keen (Wellington South) asid that Mr. Forsyth had attempted to talk'about- the' Labour Party's policy, but had' spoken the "most awful drivel-imaginable." Speaking of the division, Mr. M'Keen said that Mr. Atmore had taken up a consistent attitude/whereas members of the National Party, who had been denouncing the Government up and down the country, had marched behind the Prime Minis- ' tor into the lobbies. ,Tho Primo- Minister (noticing the . empty, National benches): "Where are' they!" Mr. M'Keen: "They have run away; they have scuttled." Mr. E. J. Howard (Christchurch South): "They have gone t,o form that new' party.", Mr. M'Keen suggested that they were still'out in'the lobbies so that in the event of another division they could be with.'the 'Prinie Minister. The speaker criticised the Government's action •in increasing the rate of interest on State advances. - ■ The Minister of Finance (the Hon. W. Downie Stewart): "The money cost us more, and we had to chargo more for it?' Mr.'.M'Keen stated that some of the money.was raised at £4 2s per cent. The Government was charging 5i per cent. ,for advances, whereas the working expenses of tiie Department cost something less than 2s per cent. Was tho Government g6ing to raise more money in order that the Department might bo able to catch up the arrears? Mr. Stewart: "Wo arc putting in a certain amount." 'Mr.-M'Keen: "You intend to raise a special loan?" ■'Mi. Stewart: "Not a special loan." - In regard to unemployment, Mr. M'Keen said that it could only bo abolished' by first of all solving the land problem. .Aggregation was going on. Beforni Voices: "Where?" . LAND SPECULATION. ' All1, over ' the country, replied Mr. M'Keen. Speculation in land was also going on,-and it paid batter to sell land than to use it. , Mr. E. P. Lee (Oamaru): "How can you stop it?" "I can assure you," replied Mr. M'Keen, "that once the Labour Party Sets the opportunity—and that won't bo very long—we shall make a strenuous endeavour to stop it. The Government is encouraging it." The Prime Minister: "Would the hon. gentleman prevent'the sale of land?" Mr; M'Keen replied that land transactions could' be conducted in such a way that speculation could bo prevented.. The speculator could be eliminated. The speaker asserted that the Gov- I errimeiit was not promoting land settlement. , i Tho Minister of Lands: "You can have 80,000 acres now at £50 a year." "Never mind about the 80,000 acres," replied Mr. M'Keen, "there are farms of from 11 to 20 acres which are ' being abandoned." The Hon. W. Kosworthy: "Will you take on the 80,000 acres if wo back you?" (Laughter.) Mr. M'Keen contended that the only •way to relieve the local bodies of their burdens in respect to unemployment was to deal with the question on a national basis. If the large areas of land were broken up and settled the railways could bo mado to pay. The Minister of Education (the Hon. ft. A. Wright) said it was quite true that the interest on State Advances loans had increased, but it was not done,in "the interests of the Associated ■Banks. Mr. H. T. Armstrong (Christchurch East):, "Didn't it assist the banks?" Mr. Wright: "No, not necessarily." It was quite plain why tho Government Jiad raised the interest rate: the Gov-

ernment could not afford to let out tho money at a lesser rate- than it cost it. ' •Mr., AY. K. Parry (Auckland Ccn-' tral): "You havo subsidised industries .before.". Mr. Wright: "That's different altogether." 'At this stage Mr. Speaker rebuked members for their frequent, interjections, and asked that the Minister should be allowed to proceed. The Minister said tUd Government was not anxious to injure any section ,of tho people,- but it had to act in a j businesslike manner. It-had been absolutely essential to raise tlie interest charges. Referring to Mr. M'Keen's charge that tho Government had done nothing to stop land speculation, the ' Minister asked how this was going to ,be avoided. It was going on all the time, and it was only natural that landowners anxious to sell should seek a ' favourable market. Tlio bigger tho profit the better pleased would the vendor be; it was only human nature. The purchaser had his remedy. If lie i thought tho price was too high he need not buy. The Minister defended the Minister of Lands, who had done his very best to keep men on the land. Passing to railway questions, Mr. Wright admitted that there was a huge deficit on the'running of the railways in New Zcalaiyl, but deficits were not peculiar to Now Zealand. They were common all. over the world. The. Minister made particular reference to Australian States which were under Labourl Governments, and said that in each case there was a deficit. Queensland was regarded as the "white-headed boy" of tho Australian States, but , there the deficit fast year approached tho £2,000,000 mark. Mr. M'Keen was on the horns of a dilemma. The Leader'of the Opposition (Mr. 11. lE. Holland): "The trouble in New Zca- , land is that the Department covers up i its- losses by a system of book-keep-ing." Tho Prime Minister (the Eight Hon. J. G. Coates): "That's just imagination." "THIS WICKED GOVERNMENT." Mr. Wright said it was a good electioneering cry to say the Government had been borrowing excessively, but there was not a member of the Opposition who would say where borrowed money should not have been borrowed. Members asked for expenditure in their own districts, and they said, "Look at this wicked Government borrowing again." The member for Wanganui had advocated the payment of an unemployment relief rate not as high as the award rate, but higher than the Government's relief rate. Ho asked Mr. Veitch what he would suggest as between the 14s 8d per day minimum and the 12s per day relief rate. Replying to a point by Mr. J. M'Combs, he declared that unemployment was universal. He also gavo a strong denial to the statement that the Government was attempting, by paying reduced relief rates, to force down wages. The Government was not interfering with , the Arbitration Court at all. ■ Mr. M'Combs: "You are paying less than the Court minimum." The Minister said that if award rates were paid there would be no in- , ducement to the unemployed to obtain ' work elsewhere. Very little had been heard during the debate about the Labour land policy, but he gathered that no fundamental alteration had been made since ■1923. It was simply disguised as witli> the voice of Jacob, but with the hand'of Esau. Mr. Wright replied seriatim to a number of other statements made by Opposition members, and, in conclusion, voiced his conviction that the present Government would be again returned to office at the election. „ Mr. J. A. Nash (Palmerston) maintained that the Government had handled tho finances well, and so New Zealand did not want to be in the position Australia was in. In regard to Mr. M'Keen's references to speculation, the speaker said it was well known that in the last three years very little land had changed hands. It had been said that the Labour Party's ; land policy was manufactured in a watchmaker's shop in Paljnerston North. "Oh, that's'nonsense," protested Mr. P. Fraser (Wellington Central). '. Thereihad been a second policy—the usehold, continued Mr. Nash, but no one knew where that came from. As an opponent of dairy control, tho speaker, said that since absolute control'had gone-better prices for dairy produce wero being received. He wanted to know why they should have twelve members on the Dairy- Board, as six would be-ample to do all that was necessary/ ■ The Meat Board should be congratulated for having, carried on a sane policy. , Had the Dairy Board done the same, the country would have been saved,-much loss. The surplus funds held by the Dairy Board should bo given back pro rata to the dairy companies of the Dominion. Tho appointment of, Mr. lorus as chairman of the board would give . satisfaction. Tho speaker appealed for higher salaries for headmasters,''the right of appeal for teachers, abolition. o£ education boards, more dental nurses in country districts, and further assistance for the W.E.A. After Mr. F. Waite (Clutha) hail briefly replied, the formal Address-in- , Reply motion was agreed to, and the House adjourned at 9.30 p.m. until 2.30 , p.m. on Tuesday. .