SOCIALIST FINANCE

Evening Post, Volume CIX, Issue 144, 21 June 1930, Page 14

SOCIALIST FINANCE

EFFECT ON TRADE

THE SNOWDEN BUDGET

(From "The Post's" Representative.)

LONDON, 24th April.

Lord Ebury, speaking at the annual meeting, of shareholders of the Army and' Navy Co-operative Society,." commented in W uncertain terms on ' the effect of. Socialist finance' on the' trade ana industry of the country.

Ho showed that for two years before tbo Genera- Striko of 1026 there had been an upward turn in the curvo of prosperity, but the circumstances of 1920 and the financial legislation which followed, had vitally affected industry. Iv the case of hia company these conditions had effectually restrained an oufr lay of capital on extonsions which had been contemplated, and ho expressed the opinion that the samo restraint had been going on throughout tho country with disastrous results. _ ' Increased, taxation under the budget, he said, was a direct tax on industry and was complete and absolute humbug. "To-day," he continued, "approximately 29,000,000 persons have the franchise. The entire burden of this increased taxation has been imposed on 500,000 persons, or loss than. two in every hundred who vote. Tho'vast majority, therefore, contribute nothing in 'the form of'income tax to the Exchequer, but a very .small individual payment' from these would produce an appreciable sum and would establish the ■ contributory principle which not even the most rabid Socialist can deny should be sine qua non of control of expenditure. '.'ltis so palpably inequitable," he added, "that its motive, which, of course, is to attract votes, can be characterised only as corrupt. It is a bad Budget, because it. is framed on lines diametrically opposed' to ■-..■■sound" principle's.! ■• . -,\ : ■■■',■. ;,;"■■■■■ ,-.••- ---"It is-a striking, but only preliminary, example of what inav be expected from a Socialist regime."