QUIET RECEPTION

Hawera Star, Volume L, 14 February 1931, Page 7

QUIET RECEPTION

CONCERN CAUSED BY MR SNOWDEN’S SPEECH. LABOURITES GLOOMY. (United Press Association—By Electrio Telegraph Copy right.. 1 LONDON, Feb. 12. Beyond causing gilt-edgeds to drop and the value of the sterling in New York to weaken, the warning of Mr Philip Snowden is without visible effects in. the city, which welcomes the declaration that extensive schemes of social reform must wait, though it considers that Air Snowden’s pessimism may have a serious effect in foreign countries. The “Daily Telegraph’s” city editor says: “It might even make them Insist on a gold clause in contracts with Britain.”

Labour politicians, however, are very gloomy, and dread the effect of the speech in constituencies and particularly on pending by-elections. ” Mr Snowden’s phra.se, “The economic crisis will involve a temporary sacrifice for all.’’ is the key to Labour's disquiet. A consultative committee of the Labourites has summoned a meeting of the Parliamentary party for Tuesday afternoon, when Mr Ramsay MacDonald and Mr Snowden will attend. The Independent Labour Party group also has decided to refer ihe speech to its council with a view to a campaign if wage cuts fi.iiA reduced doles are attempted. Sir Oswald Mosley has described the speech a.s “putting the nation on a starvation diet, which is the policy of an old woman in a fright.” Mr Snowden’s speech is being widely circulated on the Continent, and is much discussed on the Paris and Berlin Bourses. A summary broadcast throughout Germany to-day aroused immense concern.

The newspapers anticipate that Mr MacDonald will follow in. the Steps of the German Chancellor, Dr. Bruoning, in reducing the salaries of Civil servant's and stimulating exports by lowering prices by means of a corresponding cut in wages.