WAR FINANCE

Gisborne Herald, Volume LXX, Issue 21142, 9 July 1943, Page 4

WAR FINANCE

<► BRITISH FRONT FIRM HEAVY TAXATION DRAIN CHANCELLOR’S SURVEY (By Telegraph—Press Assn.—Copyright.) (British Official Wireless.) (9 a.m.) RUGBY July 7. While it could not be pretended that any financial fortifications were impregnable, Britain could fairly claim that, after four years of unprecedented struggle, the financial front line stood firm and strong, said the Chancellor of the 'Exchequer, Sir Kingsley Wood, in winding up the Budget debate in the House of Commons to-day. “We have not spared ourselves, he said. “Our object has been to pay for the war as much as we can arid this , year the Budget expenditure will be over eight times what it was. 10 years ago, and the total expenditure since the war began is already double what it was for the whole oi the last war. The amount raised in taxation this year is half as large again as the total amount paid in taxes during the last war. We have borrowed a sum more than the whole of the national debt before the war began." Last year taxes of all kinds took just under 40 per cent of all private incomes and the average citizen paid about one-third of his entire income. Of the 12,500,000 taxpayers, some 10,0.00,000 belonged to the ' smaller income group and wage earners. Sir Kingsley Wood said that out oi eyery £1 spent this year, Britain would borrow 10s. Through voluntary savings, capital of £2,000,000,000 was now in the possession of small men and women that would have a profound effect on the policy and plans' after the war. One of the great duties of the Government would be to maintain economic stability if only in the ihterests of the small men and women who now had such a large stake in national affairs. The Chancellor said there was a desire by some, particularly workers, to pay taxes week Jay week and he would never endeavour to contravert such a system if it'could be worked. The matter was under consideration and he had not given' up hope of some reasonable scheme being devised.