PARLIAMENT

Evening Star, Issue 22780, 15 October 1937, Page 12

PARLIAMENT

BUDGET DEBATE CONCLUDING [Per United Press Association.] WELLINGTON. October 15. The House met at 10,30 a.m., when the third reading of the Nelson Diocesan Trust Board Empowering Bill (Mr Atmore) passed. Replying to an urgent question by Mr Morgan Williams as to whether the Government had power to decide the price paid its butterfat suppliers during the season when a proprietary dairy company had disposed of its business, the Minister of Agriculture, Mr Lee Martin said that as the law provided adequate machinery for the settlement of such claims, the Government could not make an arbitrary decision in matters of this nature.

Two days’ leave of absence was granted Mr M'Combs, one day to Mr T. P. Burnett, and one day to Mr Holyoake on account of urgent public business. The Budget debate was continued by Mr Chapman. He suggested to the Minister of Finance that arrangements should be made through the Reserve Bank to liquidate the whole of the overseas indebtedness of local bodies in New Zealand. The result would Jbe a saving of not less than one million pounds, and that would enable local bodies to reduce the rate burden which was bearing so heavily on citizens. Mr Dickie said Mr Chapman’s suggestion, if carried out, would mean an overdraft at the Reserve Bank of £68,000,000, and that was fantastic. He agreed that the 40-hour week should be adopted where possible, but if it was going to force costs up, it should not be undertaken. The Government was rushing its fences too hastily. He urged the Minister of Lands to start a land settlement scheme to relieve unemployment. Even if it cost some millions to do, it would be better than wasting money on sustenance payments, because some of the men at least would make good settlers. He was confident that in times like this we should budget for a greater surplus, because a slump was sure to come, and we should have adequate reserves to meet it. Mr Coleman said he wished to place on record his whole-hearted support of the Budget, which was a humanitarian one, despite the fact that the Opposition could see no good in it. The Government, he said, admitted the increase in the cost of living, but wages and salaries had also increased, and people had more spending power to-day than in the past. Speaking of broken promises, the Opposition should be the last to do this. They had been the first to reduce wages and pensions, and they had passed the exchange rate 20 days after they had promised not to do so.

Labour denied, said Mr Coleman, that it had broken its promisee, and the fact that it had not done so was amply demonstrated by the prosperous condi-

tion of the country to-day. Th* Government had not increased taxaton. The increased Government revenue wan due to general prosperity. The debate was adjourned at 1 P-SU