SYSTEM OF RATING

Evening Post, Volume CVIII, Issue 82, 3 October 1929, Page 7

SYSTEM OF RATING

[WELLINGTON'S LEAD.

REFLECTED IN BUILDING

"The progress of Wellington City, affords the strongest possible illustration of the benefit of rating upon unimproved value," remarked Mr. P. J. O'Began this morning to a "Post" representative. He had recently written, he said, to the Town Clerk of each of the four centres in order to ascertain the proportion of ratepayers on the municipal rolls. The following figures were obtained:—

Municipal Electors. Ratepayer*. Wellington 46,328 2910S Christchurcli », 50,757 22 608 Auckland ..>■... 47,199 20,736 Dunedln c , , 29,515 12,597

: .This, in Wellington, gave a proportion of ratepayers to electors of 63 per cent. .In Christchurch'the proportion was 44.5 per cent.; in Auckland, 44 per cent.; and 43 per cent, in Dun«din.

The leason why Wellington has so large a. proportion, of ratepayers to municipal electors, remarked Mr. O 'Began, was because people found it more advantageous to build on their sections than to hold them idle. The ideal, of course, was. that every citizen should have a home of liis own, but this was impossible without cheap land, just as impossible as the making of bricks withont straw. The 23 square miles of Wellington City was paying £500,000 this year in rates without one penny of taxation, upon improvements The inevitable effect wa3 the encouragement of building, the only effective way to encourage it being the untaxing

The question could be tested in another way. There was no better indication of prosperity in a community than, building figures. Tried by this test Wellington occupied premier position in the country, and was the first city in the history of New Zealand to react the two million, mark in one year. It was a matter for comment that W-el-hngtoaoceupied such a proud position, firstly in the proportion of its ratepayers to the number of electors, and secondly in its building figures. Pro-' gress would, of course, be made under any system of taxation, but the fact that half a million in rates was being collected in the city of Wellington was a striking commentary on the prevailing misapprehension that the taxing of land values affected country lands only. "X have no sympathy at all with the 'burden of rates' cry," said Mr. O'Eegan, "for the unimpro/ed value of land should be looked upon as a common fund belonging fo all people."

It might be said that rating in. Christchurch, was upon unimproved value added Mr. O'Began, but this was not the case. The position there was the same as that in Wellington before the last poll, a mised system. General rates were on the unimproved value, others on. the annual value. "Labour has been in power so long thera that it is remarkable no steps have been taken to remove this anomaly No doubt,'were a poll taken of ratepayers, the lead of Wellington would be fol lowed."