TOLL OF INTEREST

Evening Post, Volume CXVI, Issue 84, 6 October 1933, Page 8

TOLL OF INTEREST

NEW ZEALAND'S BILL

HIGH RATE ALLEGED

An assertion that New Zealand was receiving less consideration from the English bondholders than other countries was made by Mr. J. O'Brien (Labour, Westland) in the House of Representatives last night in the course of his speech in the Address-m-Reply debate. ( : 'Mr. O'Brien said that New Zealand had enjoyed bountiful harvests and increased- production for a number of years, but instead of obtaining the benefit' from their efforts the people were worse off than ever they had been. The national wealth had increased and so had the national income. The deposits in the banks had increased and the income tax assessments had shown tremendous advances, but now owing, to< the policy of deflation the people were being deprived of the fruits of their labours. Expressed in terms of goods, it now required four times the amount of goods to pay tho interest on the national debt than it did when the money was borrowed. New Zealand was paying a higher rate of interest than Australia or Great Britain, and yet the Government was intent on maintaining the Dominion's credit in the United' Kingdom. Over £110,----000,000 of the national debt was being charged 5 per ceut. or more, and yet Austria was given a loan, by England at 3J per cent. England had cancelled £481,000,000 out of the £560,000,000 which she advanced Italy for war purposes, but was much less generous when it came to New Zealand's debt. The Government's ' unemployment policy had been responsible for the spread of unemployment. Wage cuts had decreased the consuming power of tho community with disastrous effects. Mr. O'Brien said that the gold miners who had received assistance from the Unemployment Board had been called upon to pay up to 50 per cent., of the gold- won by them in repayment of their loans, but the farmers and builders were being .assisted, by the board and were not required to make any repayment. This was grossly unfair. .