The Guardian (And Evening Star, with which is incorporated the West Coast Times.) THURSDAY, MARCH 10, 1938. FINANCIAL BUOYANCY.

Hokitika Guardian, 10 March 1938, Page 4

The Guardian (And Evening Star, with which is incorporated the West Coast Times.) THURSDAY, MARCH 10, 1938. FINANCIAL BUOYANCY.

There is a remarkable tale about the financial buoyancy of; Great Britain. Notwithstanding the huge outlay going ahead on rearmament,, and probably because of it tp,a great extent, the Chancellor of the Exchequer, it is predicted is to b.udget, for a taxation bill, of one thousand-million, pounds. It is hard to grasp, the immensity of the sum, but it is a huge amount, and its cpllection is assured. Due to trading and industry generally it is regarded as not as undue levy, nor beyond the resources of the Kingdom. Britain is certainly shouldering her financial burden cheerfully, for it appears to be the least difficult of tho tasks before the Government. However, it is well that it is so, and it is helpful to negotiating Ministers to have such wealth behind them for bargaining purposes. Compared with last year, the increase can be well understood, for tho rearmament programme, it may be expected, 13 in full swing. Last year the revenue budgeted for was under nine hundred millions, and it is evident there will be marked increases for all arms of defence. The mechanising of the army must be a very costly item judging by what is required to meet the preparations in that domain with other countries. The navy has to be reinforced very substantially and at heavy cost, while in regard to the air service, that must needs be added to as rapidly as the manufacturers can turn out the machines. It was reported some little time ago that there was not any difficulty about personnel, but these training operations must be on a very large scale. That there will be heavy outgoings is indicated by the report that an internal loan is to be raised also for defence. This of course will be assured, but it indicates the completeness of the preparations being made. In keeping with the financial buoyancy is the report that unemployment is decreasing in Britain. iVith the passing of the winter period, more avenues for employment are opening, and tho worker Is feeling the benefit of seasonal work. The Government. too, is improving the benefits under its health insurance scheme, which is of social advantage. The general outlook for Britain financially, is very encouraging. Now that there are trade talks with America, and Mr Henry Ford talks of a boom, rather than a slump in the United States, the position of Britain will be improving still further in regard to trading and intercourse. The betterment in America will lead to greater traffic between the two nations, and the patronage is of the class that can be most helpful for trade and business. Even the dark clouds of Europe do not dim the prosperity prevalent in Britain, and with matters shaping favourable for increased trade, tne position should continue bright, and the load of taxation foreshadowed become less burdensome.