Land Values in England.

Evening Star, Issue 7420, 16 January 1888, Page 3

Land Values in England.

The Auckland ' Herald ' has been shown a letter, part of which is of considerable interest in the present stite of colonial affairs. It was sent to Captain Colbeck by a gentleman in England who has always taken a deep interest in colonial matters, and who wrote asking for advico as to New Zealand securities in the following terms : "The present immediate object of my writing to you is to take the liberty of nsking your opinion regarding one or two New Zealand securities. After my father's death eight years ago it became part of my duty, as one of his executors, to seek for my sisters suitable investments for their money. My interest in New Zealand drew my attention to the Government and municipal bonds of that Colony, and as a consequence a large proportion of my father's family money is invested in them. Of course I have read Froude's book, though there was not much to me fresh in it about New Zealand except fresh exaggeration, as it seemed to me. But of course the total indebtedness of New Zealand is heavy per head, and I am quite sure there is danger to the future of the Colony in one feature Froude alludes to—viz., the free municipal and State borrowing for public works, caused in some cases largely by a ' popular demand for labor employment' rather than because there is in the Colony itself the money to spare, and the absolute need for the public works in question. ... I take it Auckland and Dunedin debentures are the best, and next, perhaps, Christchurch, but that Wellington might be shaken up by an earthquake any day. ... To tell the truth, we have avoided the smaller towns, such as Napier, Nelson, Invercargill, and the Harbor Board debentures of small places like Wanganui, New Plymouth, and Napier. Your adopted country has certainly a great future before it, and ycu certainly have the advantage over those of us left behind here of a more cheerful and salubrious climate." Captain Colbeck states that this letter gave him great anxiety, as in his reply he did not want to mislead his friend, or, on the other hand, to injure any part of the Colony. He replied fully, however, and said that in his opinion the securities of Auckland, Wellington, Christchurch, and Dunedin were as sound as the Bank of England. The reporter was also shown an article in the ' Yorkshire Post' commenting on colonial finance, especially in reference to the heavy losses from depreciation in the value of land. In reply to the article, Captain Colbeck siys that there has been even greater depreciation of land in Great Britain. At a recent meeting of the directors of the Scottish Widows' Life Insurance Company, L 40.000 wat. written off in anticipation of losses arising from their lendings on Irish property. While at Home lately he met Mr Foster, of the firm of Grant and Foster. This gentleman said he was interested in an estate thirty miles from London, and asked Captain Colbeck how much he thought the land would be worth. "Thirty miles from London?" was the reply. " Oh, I suppose about L3OO an acre." "LS an acre," said Mr Foster. In very many districts at Home, Captain Cclbeck says that agricultural land has fallen 50 per cent, from the prices ruling ten years ago. It is a comfort to know we are no worse off than our neighbors.