THE MAORI WAR.

Hauraki Plains Gazette, Volume XXXVII, Issue 5026, 13 September 1926, Page 3

THE MAORI WAR.

COST TO THE DOMINION. A piece of ancient history in connection with the Maori war is -Unearthed in a document dealing with the allocation of the Public Debt which was presented to Parliament week. All told, the war appeared to havei cost the country about £2,750,000. “The Maori'War,” states the Secretary of the Treasury (Mr R. E. Hayes) in a covering memorandum, “started in 1860, and in 1861 £150,000 was raised at 6 per cent., through the Union Bank of Australia for war purposes, part of it being absorbed in payment of compensation to settlers in Taianaki. A further loan of £500,000 wa,s authorised in 1862, but was later incorporated in a loan of £3,000,000 authorised in 1863. The first issue of £1,000,000' at 5 per cent, was offered on the London market at a time of financial stringency, and proved a failure. The bonds 'were eventually disposed of, but discount and charge,? amounted to £196,343: A further £500,000 with an Imperial guarantee was issued at 4 per cent, at par, and the proceeds went to the Imperial Government in payment for the services of troops sent to New Zealand. To save forcing the balance of the loan on the London market, authority was obtained in 1864 to issue £1,000,000 of shortdated debentures in Australia at 8 per cent., these to be redeemed out of the permanent loan when raised. The balance of the £8,000,000 loan was eventually issued in instalments at 6 per cent., mostly in an issue price of about 92. The original idea behind the/loan was to drive back the. Maoris, put immigrants on the lands, undertake the necessary public works, and arm the whole colony. Charges and expenses absorbed £275,000, and- including £150,000 for the. reinstatement of Taranaki, about three-fourths of the remainder was expended on th© war, and the balance on public works. This immigration and public wtorks scheme was a new departure, in that previously the provinces! had been responsible for these. Practically the whole revenue of the. colony at this time was derived from Customs and sales of land. The land revenue and part of the Customs receipts! went to the provinces, who were, expected to provide for public works out of such revenues. By .1866 the Government was in financial difficulties, and two loans raised by the Taranaki Province, totalling £70,760, were diverted a.hd taken over by the General Government. A 'further source of revenue, stamp duties, was, also instituted at this time, while the- colonising .and public works scheme of 1863 was definitely wound up. All told, the Maori War appears to have cost) the country about £2,750,000, and in nine' years ending in 1867 the permanent charges had risen from £20,265 to £305,365.”