SEVERE LOSSES

Gisborne Herald, Volume LXXIV, Issue 22289, 26 March 1947, Page 7

SEVERE LOSSES

factory^ output effect of fuel cuts tax RELIEF UNLIKELY (Special Correspondent.) nnam ) LONDON. March 25. Government experts are now trying to estimate the effects of fuel cuts and industrial stoppages upon production and national revenue. Although no definite figures are yet available it is conceded that the Government's target of 300,000 new houses *hi s year is unlikely to be realised and that a drop in the production of building materials, which was lagging behind the supply before the crisis, is likely to continue. The loss of woollen textile production is estimated at 11.000.000 yards and is still continuing, with the possibility that clothes rationing may have to be tightened instead of being relaxed. Production of boots and shoes is already down by 8,000,000 pairs and there is little immediate prospect of overhauling the deficiency owing to fuel cuts and shortage of leather. It is generally agreed that the crisis must 'cause the Chancellor of the Exchequer Dr. Hugh Dalton, drastically to overhaul the Budget and that any prospects there may have been of taxation relief are dwindling.