Generous Offer To Stand Aside.

Horowhenua Chronicle, 29 April 1931, Page 2

Generous Offer To Stand Aside.

Dignified Appeal For Unity to Meet Crisis.

Per Press Association. WELLINGTON, Laet Night

The session which has just ended was called for the purpose of dealing with measures designed to meet the change in the economic conditions brought about by the phenomenal drop in the price of all primary products. As a result of this drop the public finance suffered along with private incomes. A serious deficit in the year’s accounts was disclosed and a future estimated shortage of revenue to meet the expenditure for the current year of £5,500,000 had to be provided for. This necessitated measures providing for drastic economy being placed before Parliament. A reduction in salaries and increased charges for the public services were required to be effected and subsidies and grants from the Consolidated Fund had to be substantially reduced. As a means of preventing the increase of railway losses which had become a heavy drain on the finances of the Dominion a board of directors has been set up whose duty it will be to direct the future policy of the railways so that they will be run more closely on commercial lines, and in that way make them more self-supporting and relieve the general taxpayer from having to find huge sums annually to make up the deficiency. It is to be regretted that drastic economies have been required, but with the imperative necessity of maintaining the Dominion’s financial stability th-e Government had no alternative. WjKlEsl"sacrifices have been entailed on many of the Government’s employees they will no doubt feel more satisfied in their minds to know that those sacrifices will enable the Public Service to be based on sound finance. If the issue had not been faced and dealt with the postponement could have only been for a short period when the economies would have had to be far more drastic.

I wish to express my appreciation of the action of the Leader of the Opposition and his party in giving the Government their support in putting through the legislation to allow the necessary economies to be made. There are difficult times ahead. This is said in no spirit of pessimism, but sensible men and women will recognise that the effects of a world-wide depression cannot pass away quickly, and it is a wise policy to shape a course accordingly. The steps that have been taken in this session to adjust the finances of the country are an instalment, considerable indeed, but only an instalment of what is necessary. The taxation portion has been left for next session when the effects of the economies will be known and the shortage of revenue to be made up can be more closely estimated. With such a programme ahead, and after the experience of the session just closed, I am convinced that a Government in a minority in the House as ours is cannot deal satisfactorily with the legislation necessary to meet the urgent and vital needs of the country, not the least of which is the squaring of the national accounts.

Li view of this, the necessity of having a strong Government to control affairs whilst the Dominion is passing through the present serious economic crisis must be apparent to every thoughful man and woman in the community, and I know from that have reached me that that belief is held by large numbers of men and women in leading positions in the Dominion.'

I feel that the time has arrived when there should be a coming together of the citizens of New Zealand for the formation of a National Party. To give a lead in this direcion, lon behalf of the members of my party—whose unanimous agreement I have—invite Mr. Coates and his party and all others who liave the best interests of the Dominion at heart to co r operate with us in the formation of such, a party. And so as to allow nothing to stand in the way of the freest and fullest dealing with the situation the slate should be wiped clean, and to effect this my colleagues have intimated to v willingness to place their resignations in of the new party when in any way in his choice of a Cabinet, To provide that the question of leadership shall not be an obstacle in the way, I am prepared to abide by any decision of the new party in regard to this matter*.

The issues at the present time are too serious to allow of personal or party considerations standing in the way of securing the strongest possible Government to control the affairs of the Dominion.

I feel confident that the formation of a National Party will go a long way towards the restoration of confidence both in the Dominion and the Old Land. It will be another evidence of New Zealand’s determination to face the facts and to put her house in order, and with confidence restored prosperity will not be long in returning.