PARLIAMENT

Greymouth Evening Star, 28 August 1929, Page 8

PARLIAMENT

FINANCIAL STATEMENT DEBATE.

(Special to “Star.”) WELLINGTON, August 27. The Financial Statement debate was resumed in the House to-day, the first -peaker being Mr. Black, who concluded the remarks, commenced on Mr. Carr paid a tribute to the clarity of th'© Budget, which he said was understandable and plain. New Zealand’s policy of the- big stick m Western Samoa was the darkest blot on our national escutcheon. He also deprecated compulsory military training as a perpetuation of Prussianism., In regard to unemployment, he suggested a re-distribution of wealth by a re-distri-bution of work. He supported the Government’s railway policy, and complimented the Government on its State Advances accomplishments. In regard to the taxation proposals, he thought the mqrtgage exemption reduction would hit small farmers, and make the Government unpopular. Mr. Linklater said it was useless to argue that the primage increase would not be passed on. The land taxation proposals would strike a hard blow at the fat lamb and mutton industry, and New Zealand would be thrown back almost entirely on the dairying industry. Before anything was done, there should be a classification of lands. A tax on income would be more reasonable'than a supertax on land. He feared that the effect of the proposals would be. to increase unemployment. Mr. de la Perrelle said it was ludicrous to expect the Government to be able to carry out the whole of its promises in view of the deficit, unemployment difficulty and the strain imposed by the earthquake. Unemployment was largely the responsibility of the Reform administration, which had brought men to New Zealand under false pretences, promising them work When there was none to be had. It was ridiculous then to expect- the Government to reduce taxation immediately. He denied the suggestion that the Cabinet was not a happy family. Reform had failed in sixteen years to carry out one of its pledges, but the United Party in seven months had carried but what they had promised. He believed the small farmers would be glad that the large wool-kings were being made to pay their fair share of taxation.

BOROUGH “FARM” LANDS. Two bills giving effect to the recommendations of the commissions which sat, last year, to, inquire into the question of rating on farm laifds, particularly Otaki Borough, were introduced into the House to-day. The Otaki Borough Adjustment and Farm Lands Rating Bill proposes that the Borough be brought back to its usual size and re-classification of lands for rating purposes be effected. The Urban Farm Lands Rating Bill is the result of the commission which inquired into the general question of rating on farm lands, after the Otaki Commission had mffde its special inquiry. It provides for the classification of lands in boroughs for rating purposes in the following degrees: —(1) Farm lands proper; (2) farm lands with potential building values, but no immediate building value; and (3) all other rateable value, such as building ( lands, etc. Provision is made for a commission to bo appointed to inquire into cases of hardship, and to fix a provisional scale of the differential scale of rates. WIRELESS AND CABLES. The opinion that a mistake had been inade in allowing the merger to take over the cable and wireless systems of th© Empire, was expressed in the House by Sir J. Ward, when speaking on the bill authorising the sale of the Pacific Cable to the Imperial Communications Company. Sir J. Ward said that personally he was not in favour of th© merger’ proposal, but. whep it was to the Hous© in 1928, it was too late for any practical protest to be made. Mr. H. E. Holland: 1 think the Rt. Hon. gentleman spoke against it. Sir Joseph concurred, but said that the British Government and other Governments having agreed to the sale, New Zealand had no say in the matter .at all. He was firmly of the opinion that the British Government ought to have retained the beam system. Had. it done so, it would have compelled Marconi to join in, and then it would have been able to exercise control over tho cables as well. New Zealand had lost its identity in the Pacific Cable by what th© British Government had done. Ho did not think another chance would occur of New Zealand being a partner with Australia and the Motherland in a cable system. Mr. Fraser said that apparently all New Zealand could do was to give formal agreement and assent to what had been done. The remarks of the Primo Minister were exceedingly gratifying to those who doubted the wisdom of tho transaction. Mr Coates said there had been a danger that the Eastern Telegraph Company and wireless interests might have combined.. It was necessary that action should be taken to safeguard the interests of the British and Dominion Governments by reason of wireless competition. It was necessary that something - should be done to protect New Zealand against losses on the Pacific cable. An arrangement had to be made to safeguard the Empire’s interests in communications in the event of war.

Mr. Holland agreed it was an utterly wrong transaction. The people would re-echo tho sentiments of the Prime Minister that something detrimental to their interests had taken place. The Postmaster General said that up to the present nothing definite had been settled regarding the employees affected by th© merger. The matter was under consideration.