FARMERS’ INCOMES.

Kaikoura Star, Volume LXIV, Issue 63, 14 August 1944, Page 2

FARMERS’ INCOMES.

WIPING OUT THEIR DEBTS. WELLINGTON, August 10. Mr C. Morgan Williams, member for Kaiapoi, was in good form to-night, in his speech on the Budget, and said that many farmers were doing better now than ever, and were wiping off their mortgages. He denied that production had fallen to any great extent, notwithstanding an unfavourable season. He said that farmers were not in the desperate position people mdght think from statements of the Opposition. Mr Williams said his family was on the land he had farmed. They were getting a better deal than he had ever had. They were working hard for long hours, but they were getting a better return for their labour. He said he also had his experience as a director of a dairy company, with 3000 suppliers, which did a bit of financing to help its suppliers. Before the Labour Government the directors had been given anxiety by their advances, but they no longer had that. They were looking for men to lend money to, because advances were being paid back in a few years. He said he realised the tremendous difficulties of farmers, but believed they were getting a fair share of the national income. FAMILY BENEFIT. Family allowances for all, regardless of income, instead of allowances for some and income tax exemption for others, was also advocated by Mr Williams. He said he believed the Govern ment would be forced to adopt that course because the at pre-

sent were too great. Mr Williams welcomed the increase in the family allowance provided for in the Budget, but said it created another anomaly, in that some people would get both the allowance and income tax exemption. He did not think that was quite right, not because he grudged them the extra m|>ney, but because it might prejudice the argument in favour of* universal family allowances and the abolition of taxation exemption. The present system, said Mr Williams, discouraged effort. If a man had four children and was earning £5 10/ he would receive £7 10/, and if he increased his earnings he lost some family allowance. Some men refused, oil' that account, to take higher-paid work when the work they were doing was easier and they would get no greater income. He knew some farmers who were doing the same thing. Raising children was a national duty, but their maintenance and education were a national responsibility. He approved of the increase in the benefit, but he hoped the would be removed next year, and allowances paid to all.