COUNTY SUBSIDIES

Hawera Star, Volume XLVI, 3 September 1926, Page 5

COUNTY SUBSIDIES

AN IMPERFECT METHOD

MINISTER PROMISES OVERHAUL.

(By Telegraph.:—Special to Star),

WELLINGTON, Sept. 2. .An amending clause in the Finance Act re-drafting the provisions which safeguard counties from loss of subsidy 071 rates, was adopted by the House of Representatives to-day. The system under which county subsidies are paid had been strongly criticised by .several South Island members, who demonstrated that large country areas, efficiently managed, were penalised through the operation of' a- maximum. The Southland County, as an example, was obtaining only 9d in the £1 subsidy on rates collected, though at least, two other counties get 10s in the £1 subsidy on their rates. The Minister of Finance, the Hon. WV Downie Stewart, was reminded: of the anomaly when the clause came before the House in Committee, and bo undertook to look into the wh-ole system of county subsidy during the recess to see if there are anomalies, because, he added, he could -see- there were inequities in the system. Mr Horn (Waka.tipu) expressed satisfaction at the amiouncemeint because certain southern counties bed been at a . disadvantage for , many years.