GOLD STANDARD

Hawera Star, Volume XLV, 29 April 1925, Page 5

GOLD STANDARD

BRITAIN TO RESUME. IMPORTANT PROPOSALS, REDUCTION OF TAXATION. Britain’s sound, financial position is emphasised by important announcements made by the Chancellor of the Exchequer, Mr Winston Churchill, in his Budget. Besides recording a substantial surplus, he announced a reduction in income tax and other tax reductions, and what was more important, the immediate return to the gold standard. Included in the Budget also were announcements of an old age pension scheme, and a pension for widows, -with allowances for children.

BY GABLE—PRESS ASSOCIATION—COPYRIGHT Received April 29, 8.45 a.m. LONDON, April 28. The Chaneel'or of the Exchequer, Mr Winston Churchill, in his Budget, announced that the Act prohibiting the export of gold w’ould lapse 011 December 31st of this year. The gold standard would be resumed from to-day. This means a special license to. the Bank, of England to export gold and bullion, ■pending the formal lapsing of the 1920 Act. Mr Churchill also announced the application of the 1923 Imperial preference proposals •as regards duties on heavy sparkling wines, dried fruits and sugar would come into force os from July 1. ! OLD ACE PENSIONS. HELP FOR WIDOWS. MORE ABOUT COLD STANDARD. Received April 29, 9.5 a.m. LONDON, April 28. The chief points in the Budget include a surplus of twenty-six millions on the present basis of taxation; the death duties on big estates are to be increased; the McKenna duties on luxuries are to be restored on Ist .July , new duties are to.be paid on imported hops and natural and artificial silk. A new contributory social insurance scheme is to commence in 1926, providing old age pensions ,at the age of 65. There will also lie pensions for widows, plus allowances for children. The income tax is to be reduced by sixpence, and small income taxpayers wPI be allowed one-sixth of one-tenth from earned incomes. There will also lie reductions in super-tax. ’The Bank of England is to-day empowered to export bullion, and a Bill making notes eonvertab'e to coin at the bank’s option is being introduced. The Dominions are returning to the gold standard simultaneously, Australia acting to-day.—A. and N.Z. Cable Assn.

! . POSITION IN AUSTRALIA. FREE EXPORT OF GOLD. NO ALTERATION TO INTERNAL CURRENCY. x Received April 29, 10.10 a.m. MELBOURNE, April 29. The Prime Minister, Mr. C. SBruce, has announced that arrangements have been completed by the Commonwealth Government for Australia to return to the free export; of gold concurrently with Great Britain. He explained that it was not intended to! isuhstituite gold for notes in the internal currency, as the use of gold by individuallis would tend to deplete the gold reserves held by tjie banks. It would be necessary to economise in the use of gold, for internal purposes, in all countries.

VALUE OF STERLING. RAPED INCREASE IN U.S.A. Piece lived April 29, 9.5 a.m. NEW YORK, April 28. The demand for sterling advanced to 4.85 dollars, the highest for ten years, within fifteen minutes after the news of Britain’s return to the gold standard.—Renter. “CUT” ON INCOME TAX. LONDON, April 27. There is tremendous interest, in Mr. Winston Churchill’s Budget, which will be delivered to-morrow. , Anticipations are that the income tax “cut” will range between sixpence and one shilling. The Central News says that growers are confident that the Budget will impose a reasonable duty on imported hops, with the usual preference to. the Dominions.