SESSION OVER

Evening Star, Issue 23753, 7 December 1940, Page 9

SESSION OVER

REVIEW OF PROTRACTED PROCEEDINGS

MOST OF LEGISLATION IMPINGES OH WAR EFFORT

[From Due Parliamentary Reporter.]

WELLINGTON, December 6. With the organisation and control or the war effort the supreme consideration of Parliament, the past year in the field of national and international politics has been the most momentous in the history of New Zealand. While there have been the usual number of matters of purely domestic interest there was very little of the legislation passed during the session ended yesterday thali did not at some point or other impinge on the war effort. Dominating everything, of course, was the need for financing the Dominion s share in the war. The basis of Government policv from the start was the pay as ■you "go ” principle, and in order to carry that principle as far as possible into practical effect, it naturally found it necessary to readjust direct taxation. This policy has been found generally acceptable, and the people on the whole have met the increased demand on their finances cheerfully and willingly, realising, of course, that it is one or the sacrifices they are expected to make in times of war. Though the period over which Parliament was in session was exceptionally long the effective duration, measured in terms of actual sitting days, was more or less normal. Parliament was opened on May 30, and was not prorogued until December 6. Ihe Prime Minister, Mr Fraser, adopted the practice of keeping Parliament alive instead of closing it down completely, his idea heinc to have it ready to resume at any time. This was thought desirable in view of the urgency of the situation arising out of war. Actually the house was adjourned five times from June 13, Juno 19, and June 20 to June 27, July 31 to August 21, August 30 to October 1 and October 11 to November 26. The total number of sitting days was 49 but the total number occupied in the session was 191. The previous year there were 58 sitting days. They occupied a period of 103 days. This year, however; the Blouse sat longer on an average each day. The number of Bills passeS totalled 38, consisting of 31 public Bills, six local Bills, and one private measure. Four Bills lapsed, among them the Shops and Offices Amendment Bill, which promised to provoke considerable argument, and which was the subject of many peti- " tions of protest. Important financial legislation was ■ placed on the Statute Book to implement the proposals made in the Budget. Four Finance Acts were passed, the first one (passed early in the session) being the outstanding measure, as it not only authorised borrowing £7,000,000 for housing purposes, £5,500,000 for Public Works, and £5,500,000 for other purposes, but gave effect to the Government’s policy of imposing a national security tax of Is in the pound. This Act also increased the sales tax and death duties. The ‘ Finance Act, No. 2, authorised the Government to develop the linen flax industry; it also dealt with company taxation, and the assessment for income tax of gold mining companies. The third Finance Act provided temporary relief . from income tax for proprietary companies establishing new industries, and amended the basic rates of income tax for companies and public authorities. Finance Act, No. 4, - which was the last piece of legislation before the session closed, contained an important amendment to the Social Security Act. This has brought into operation a voluntary scheme as between doctor and patienit in respect to the medical benefits mentioned in the original Act. Of particular importance to companies and individuals is the Excess Profits Tax Act. The State is entitled to take 60 per cent, of excess profits, x the amount being ascertained by a comparison made between normal profits and those earned during the war period. . Although not the subject of a legislative enactment, a compulsory war loan was instituted under the provisions of the War'" Emergency Regulations to secure further finance from smaller investors. The National Savings Act was passed, the Minister of Finance having power to fix the investment period and rate of interest. ■ An Act that occupied more time in its passage through the House than any other measure was the Small Farms Amendment Bill, providing for the acquisition of land for returned soldiers. Events directly connected with Parliament, but not happening in the House of Representatives, constitute • an important phase of the session’s history. Mr Fraser first assumed the . duties of Leader of the House when the session opened on May 30, two months later than the death of Mr Savage. The ideal of a National Government to unitedly carry on New Zealand’s war. effort had been much discussed in the country, but the response of praliamentarians was somewhat tardy. There were lengthy negotiations, opened by Mr Hamilton, then Leader of the Opposition. The Government’s plan of a representative War Council of an advisory character and a War Cabinet, including representatives of the Opposition, was not at first favoured, hut it was ultimately accepted, Messrs Hamilton and Coates being nominated as Opposition Ministers in the War Cabinet, which commenced to function on July 16. _ Some important Ministerial revisions and one appointment have also to bo recorded. Dr M‘Millan (Dunedin West) was selected on June 12 on a caucus vote as Minister to fill the

Cabinet vacancy, his portfolios being Marine and Prisons and Minister in

Charge of Scientific and Industrial Research. On the same date Mr Semple became Minister of Man Power, with

the responsibility for organising the many phases of the civilian war effort, including the Home Guard. He is assisted by the Hon. D. VVilson, Leader of the Legisaltive Council. During the final sittings of the session there was a change in the Leadership of the Opposition, Mr S. G. Holland (Christchurch North), one of the voungest members of the National Party, being appointed to succeeed Mr Hamilton, who was requested by his party to retain his War Cabinet position, though this has raised with the Government a question to be decided.