A CABINET RESIGNATION

Hawera Star, Volume L, 22 May 1930, Page 9

A CABINET RESIGNATION

UNEMPLOYMENT DIFF EREN CE

(United Press Association—By Electric Telegraph Copyright.) LONDON, May 20. Sir Oswald Mosley’s resignation, following -so- closely on the drop in the Government’s majority, is regarded by the newspapers as a political sensation. The opinion is. generally cxpresed that the Ministry is getting into serious difficulties over unemployment, particularly with its own supporters, who are most disappointed because there is no check in the mounting figures.

The “Daily Herald,” in an editorial, states that- there is a large division ol opinion in the Cabinet on unemployment. The resignation is an open sign of the known fact that the Cabinet rejected Sir Oswald Mosley’s memorandum because it was antithetic to the Treasury doctrine that a great Stats loan would not create new work, hut would merely divert capital from one set of industries to another. “Cabinet has not neglected any avenue of hope.” continues the paper, but we are. dubious whether the Treasury dosma is really the last word in economic wisdom.” Tlie “Herald’s” lobbyist says the rejected memorandum is believed to be the joint work of Messrs Laws bury and Johnston and Sir Oswald Mosley. It aimed at pensioning aged workers and raising loans of £250,000,000 to finance work schemes. The Cabinet committee

that rejected the memoranaum consist- \ ed of Mr. Philip Snowden, Miss AlarJfr~ caret Bond field, Mr. Greenwood and Mr. T. Shaw, and their decision was on the ground that pensions were an over-great harden a't present on State finances. An attempt to raise a £25!>.000.000 loan on the money market would fail. Road schemes could not absorb large numbers of rot-ton operatives.