REAL ECONOMY

Hawke's Bay Tribune, Volume XXI, Issue 214, 24 August 1931, Page 8

REAL ECONOMY

THE DEMAND IN ENGLAND A CRITICAL SITUATION. THE KING RETURNS TO LONDON Telegraph—Press Assn.—Copyright. London, Aug. 22. In view of the political crisis His Majesty is returning to London from Balmoral, arriving at Euston on Sunday morning and motoring to Buckingham Palace. Cabinet met at 9.30 and adjourned for luncheon at 12.10. Immediately afterwards Mr MacDonald requested the Opposition leaders to visit Downing Street. Mr Neville Chamberlain, Sir Samuel Hoare, Sir Donald Maclean and Sir Herbert Samuel arrived within a few minutes to interview Mr MacDonald and Mr Snowdon. An official statement issued later stated: “Cabinet has been, putting the finishing touches on a scheme which it is believed will meet the situation. They will meet to hear the results to-morrow.”

The “Daily flail” says the Government has ordered the suspension of all War Office works and services at home and abroad, resulting in a saving of £2,000,000 to £4,000,000. It is understood similar instructions are being issued to the Admiralty, Air Force and Office of Works.

The whole press agrees that the situation is most critical. The Government’s position last night was precarious. According to the “Daily Herald,” the Conservatives are demanding that 75 per cent, of the Budget deficit be met by economies and only 25 per cent, by taxation. “The Times” says thirty members of the London Coupgy Council have petitioned the Lord Mayor to convene the corporation to appeal to Mr MacDonald to relieve the distressed state of the people and restore international confidence. The National Chamber of Trade, including 100,000 traders, have addressed Mr MacDonald, Mr Snowden and the Opposition leaders, demanding real economy. HIS MAJESTY VISITED BY THE PREMIER. London, Aug. 23. Crowds cheered His Majesty on arrival at Euston and again when he drove through the palace gates. Another message states that Mr MacDonald arrived at the palace. A large crowd broke loose and surged round Mr MacDonald as he left the palace after an hour’s audience, apparently cheerful. Mr Baldwin and the principal Conservatives met this morning. The Liberal "shadow” Cabinet meets this afternoon.