THE BUDGET.
In Committee of Supply of the Home - of. Representatives, last evening, the Colonial Treasurer,, thee Hon. J; CF. Ward; delivered' the Budget Statement as follows Mr GmrTNEES; Itr gives me pleasure to be again-able to congratulate the House and the country upon the satisfactory results of the year’s' finance. When we bear in mind the great redaction in the spending power- of the people; owing to the low prices obtained for our staple products, it is cheering to fihd that financially the colony occupies a strong, position. I have thought it. prudent to make some, changes in the form of the public accounts. I may say. that the alterations ace made with the objeot of placing our position still, more clearly’before the public; and to assist in removing excuse for the causeless adverse criticism which has unfortunately been'so common in this country for many years, and which: has undoubtedly tended to injure-end discredit our colbny. I shall now proceed to place before you the position of the Treasury accounts.
CONSOLIDATED FUND. REVENUE ACCOUNT, 1894—95. It is extremely gratifying for me to be able to announce to honourable members that, notwithstanding the: restriction. „ of trade owing to the, abnormally low pries* ! already referred to, the actual receipts for the year just closed have exceeded the estimate I had the honour to place before the House in my last Budget. The estimate of revenue for the year I placed at £4,235,000, exclusive of £117,800 to be received to provide, for the accretions of sinking funds payable dazing the year. The actual receipts came to £4,281,995, or £46,995 in excess of the estimate. It is almost unnecessary to remind honourable members that I was careful to warn them that in preparing my ektimates we had to reckon with a falling revenue owing to causes which were not only affecting New Zealand, but' were being felt over the larger portion of the commercial world. For this reason I reduced my' estimate ' by £133,538 below the actual receipts of the preceding year, andf it is- ' therefore very pleasing to.be able to inform you that the revenue as a whole exceeded my forecast to the extent of £86,563. Honourable members will, I feel sure, not be offended at the estimate being, on: the safe side. I have, however, noticed with amazement that I am actually blamed in some quarters for the falling off of: revenue not being so large as I had estimated. As previously stated, the actual receipts were nearly £47,000 more than my estimate, seven beads of revenue yielding an excess of £94,561, while three items,..were lees than the estimate by £47,665. Two out of the three items of decrease are Customs duties £30,215, and railways £18,251. I allowed fora deficiency in the Customs receipts of over £65,000, This has, however, been exceeded by the amount I have just mentioned. It became apparent some few months before March last that importers wore narrowing their orders to the smallest possible margin,: and the caution and hesitation exhibited by them were quite natural in the face of an adjustment of the tariff in the near future, to say nothing of the very low and unx,emunerative prices tor produce whiiph regulate business transactions in most parts of the colony. Besides this, two- of our largest importing dry goods firms closed up their businesses and disposed of their duty paid goods at auction, thus supplying by forced sales large parcels of goods, the market for which it is not unreasonable to suppose would otherwise have been replenished by importations duty paid within the year. I find also considerable shrinkage in the duties derived from the consumption of spirits and wines. The reduction in receipts under this head, however, is not a matter for regret, for it goes to prove that bur people are progressively temperate in their habits. I also allowed for a falling off in the railway receipts, but my estimate was not large enough, as I have already stated. The incidents of trade which affected our Customs duties also operated in the direction, .of diminished railway revenue. It is no news for me to I tell yon that the grain traffic fell off enormously. The exports were two million bushels less than in the previous year, and this, coupled with the damage done to the lines by floods, made the more marked'falling off in the revenue which I am endeavouring to explain. It is much more pleasant to turn to the items of revenue which show an increase over the amounts I had estimated. The largest items are represented by the revenue derived from the sale of stamps, from the land and Income tax, and from territorial revenue. The increase of £39,225 over my estimate of the stamp revenue contains some large sums for succession duties; hence we must deplore the loss of some very worthy colonists from our midst. At . the same time the ordinary receipts derived from the usual business of the country show an increase, thus proving that the colony is not so commercially depressed as many pessimists would lead us to believe. The land and income tax combined show an increase of over £20,000. or £4OOO for the land tax and £16,000 for the income tax. Although the territorial receipts show an increase of £26,166 over the estimate, they, are only £3107 over the previous year’s actual revenue. As long as such low prices obtain for our staple products we must not hope for any increase of rsvenue under this head; indeed I shall be surprised if the receipts under this head are maintained during the current year. Other items of revenue re- . quire no special comment. I can now pass on to the results of the expenditure of last year, and I find that as compared with my estimates, the amount under-spent was £83,487. Of this sum £27,787 was cot requited for interest and sinking fund charges. On looking into this large sum I notice that of the £50,000 set down for interest on Treasury bills only £38,985 was required. The difference of nearly £II,OOO, I think, can be fairly claimed as a saving, arising out of the fact, that in consequence of the earlier collection of the land tax it became unnecessary to issue Treasury bills to the extent we had originally contemplated. Over £II,OOO of interest on the 3£ per cent consolidated stock * held by the Agent - General was repaid to the credit of the interest account of loan, and several other classes of security were not drawn upon to the extent originally contemplated, and therefore interest was not required to be paid. The satisfactory results of the interest account show that the hostile critics, who professed to know more than I did, committed an error of judgment. On examining the annual appropriations, the largest items which call for explanation are under the respective heads of Post-master-General and Department of Lands and Survey. Nearly £14,000 less than the estimate was spent under the former and £15,000 under the latter heading. On referring to particulars of the balance of the Consolidated Fund at the end of the year, it will ba seen that the sum of £11,428 remained iu the hands of the PostmasterGeaeral. This money was advanced by the Treasury in order that the department might make its usual payments for departmental services, but at the last moment it was found impossible to include a large sum for transit expenses of the San Francisco mail. The Lands and Survey Department was unable to carry out the/contemplated surveys of Native and other lands as rapidly as was originally contemplated. On the Treasury class there is a saving of oyer £9OOO. The item providing for revision of' assessments could not be used, anti a large saving was effected in the item providing for the payment of discount in* London on the drafts remitted to replenish the public account. There ate two items amongst the permanent appropriations which call for rematx. The first .is in connection with £4592 over-expended uader special Acts, owing to extra contributions to hospitals and charitable institutions. No fault can ba found with this expenditure, as it resulted from, the cm
tributions the Government finds a propertionate subsidy. ( The : estimate of the amount to be paid ow'to local bodies oat of territorial revenue was also exceeded, but honourable members will recognise that it is very difficult to form an accurate estimate of the amounts payable by way of “ thirds ” and " fourths,” which , are purely dependent upon the receipts. It will be seen on reference to the tables which will accompany my statement: of expenditure for services not provided for, that the annual votes have only been exceeded by £llls. A detailed statement of expenditure for services not provided for will be found: in,(the usual statement of the “unauthorised ? expenditure. This has been already placed before yon, and when compared with the expenditure under this head in former years leaves little to explain and nothing to defend, f BXSTTITS OF THK , YKXB ,18941-95;; 'V:
On March 31, 1894, we closed our. books with a net surplus of £290,238, to which we add the receipts for the past year amounting- to £4,406,515, making a.total of £4,696,753, and deducting therefrom the ordinary expenditure amounting to £4,866,729, there remains a balance of £430,024, out of which there is a surplus of £180,024, at the close of the past financial year, a result which must be as gratifying to members as it io to myself, and must add materially to the general stability of the country. With regard to the issue of Treasury bills in anticipation of revenue, lam glad to inform members that I was
PUBLIC WORKS FUND. Past 1. As the money for expenditure of this fund ia now contributed by the Consolidated Fund, and as the loan money which formed this fund has been exhausted, I have under consideration the question ■whether Part 1 of the Public Wprks .Fund,; shall be retained as a separate account or not. Outside the £250,000 transferred from' the Consolidated Fund during last year thereceipts amounted to £63,049. The expen-; ditura under the annual rotes amounted to .£307,182, and JJIOOO was charged to complete the purchase of the Kaihu Valley Bail way. Entries for .£47,000 of the company's debentures taken over by the Government have also been passed through both sides of the account. Adding the receipts .£360,049, to the balance £263,658, at the commencement of the year, and deducting .£355,182 of expenditure, there remained a balance of £268,525 on March 31 last, against which £229,076 of liabilities were outstanding. 1 Part 2. The loan money belonging to the North Island main trunk railway line is steadily disappearing. The balance to commence the year with was £79,197, to which was added a small recovery of £l2 belonging to the former year’s expenditure. On the other side there has been charged the sum of £52,604, leaving a cash balance at the close of the year of £26,604, against which £14,007 of liabilities have been incurred. THE CONVERSION ACCOUNT. The conversion operations of last year resulted in a further issue of £787,258 of v 3| per cent inscribed stock, which towards the close of the year began to sell at over; par. The inscription of stock enabled £398,900 of various debentures to be converted and £283,300 of loans to be redeemed, leaving, after paying expenses.
able before the close of the year to Say off those that had been issued; uring the year, and to reduce the amount; outstanding by £IOOO. Honourable members will find that the revenue account for the year, showing the receipts and expenditure, now appears in detail in the body of the Budget. On reference to the table, it will be observed that the transactions of the year relating to the ordinary revenue and expenditure are clearly shown, while the extraneous receipts and expenditure, which are simply entries On both sides of the account* are set out separately. These have been eliminated from the revenue - proper, and the result is that the reotfipts and payments -relating to the rWveaue alone can be seen at a glance and 'easily followed. Tho balance at the end of (the year, as shown,in the, account, represents the surplus, which I have already stated to, be £180,024. With a view to place the transactions of the year as clearly as possible before honourable members, I have transferred the column representing the previous year’s figures to the left hand side of ; the table, thus preventing con-fusion,-and at the same time affording facilities for comparison which honourable members may desire to make, and this will save them the trouble of referring to previous Blue Books. The receipts and expenditure of the revenue account for the yean ended, March 31, 1895, compared with the financial year ended March 31, 1894, •rai-
a balance of £40,193, which will be used to complete the operations. The redemption of the loan of 1856, on July 1, 1894, by the sale of inscribed stock issued for that purpose, resulted in the release of Sinking Fund amounting to £59,925, of which . amount £5514 was used to redeem (debentures, issued under the Consolielated Btock .Act, 1884,. .and £54,421 :was paid into the ‘ Public Works ; Fund, Part .1,, in’;,, conformity with the provisions of the same . Act. Two hundred thousand pounds of debentures, bearing 4} per bent interest, issued as part purchase money for the Cheviot Estate, were also paid for, and the amount is now carrying only a 3£ per cent rate. In accordance with our new method of dealing with the annual drawings of the consolidated loan of 1867, the sum of £33,300 of bonds drawn by the public was paid out of the proceeds of stock issued for the purpose. Offers for conversion of the high interest-bearing loans are still before the public, but there is a natural reluctance to part with gilt-edged securities, and, consequently the conversions are only slowly effected. The ordinary table, which I shall attach to my Statement, contains full particulars of the conversion operations of the year. THE LOANS TO LOCAL BODIES ACCOUNT.
Up to March 31 last the amount raised for granting loans to local bodies was £648,082, and for grants under the provisions ■ of Section 2 of the Government Loans to Local Bodies Amendment Act, ’lß9l, the amount was £116,918.. These two amounts, together with an amount of £89,800, which was created in respect of the debt of £89,878 8s 9d due to the Public Worts Fund for debentures issued under the Roads and Bridges Construction Act, 1883,‘and now inscribed an debts of the local bodies under Fart 2 of the Govern-
ment Loans to Local Bodies Act. 1886, amount to a total of £854,800 for debentures Created and issued, and the proceeds of which have been carried into the loans to local bodies account. The disbursements to the same date have bean £647,792 to Iccil bodies, £116.918 to Land and Survey Department, and £89,800 transferred to Public Works Fund, leaving a cash balance of £290 at the close of the year. Details of receipts and expenditure will he found attached to the usual annual statement of accounts. It shows the continued increase of tho aggregate amount of grants made to local bodies. The grants made during 1892-93 amounted to £74,445, in 1893-94 to £87,151, whilst during tho last year, 1894-95, the amount of such grants was £102,842. Experience has shown that owing to absentees, to the indifference of ratepayers. and to other causes the existing law exhibits defects and difficulties which should be removed, and during the present session an attempt will be made to consolidate and amend tho existing Acta. The principal feature of the proposal will be that the machinery to carry out all the stops required to obtain a loan will be found embodied in the Bill. In this way we shall do away with the different, and at times conflicting, processes which the various local authorities have to consider and carry out*
NEW ZEALAND CONSOLS ACCOUNT. There have been twenty deposits inscribed, amounting to the sum of £158,035, of which £158,000 has been invested in securities yielding a 4 per cant rate of interest. Of this sum £150,000 was inscribed by the Bank of New Zealand as a special investment of a portion of the second guaranteed million. By arrangement with the bank, in the event of the public desiring to make deposits in excess of the limit fixed by law, the arrangement provided that the £150,000 referred to, or any portion thereof, should be transferred to the investing public. At the time the investment was made tho Bank of New Zealand was desirous of finding suitable investment in New Zealand Government securities for the balance of the guaranteed million in order that they might ha held with coin as a reserve against liabilities, in accordance with law. I feel sure that it only requires to be more thoroughly understood that we are offering a secure investment for fourteen years, at what may be now called a full rate of interest, to secure a satisfactory flow of deposits properly representing the thriffcof our colonists/ In connection with the consols account, exception has been taken to our having deposited with the Colonial Bank the sum of £150,000 at 4 per cent. The deposit made was strictly in accordance with law, was businesslike and advantageous to the colony. At the time the transaction took place the colony owed tho bank £100,009, the payment of which did not fall due until June, 1895. On maturity this was renewed for eighteen months, at a rate of interest of 3£ per cent. The bank thus pays tho colony 4 per cant on £150,000, and the colony pays the bank 3 j per cent on £109,000.
THE PUBLIC DEBT, During; the year there was advanced £152,000 for loans to local bodies, ,£234,000 for land improvement and the purchase of Native lando, and .£25,100 for the purchase of land for settlement, making a total of £411,100. On March 31, 1894, the gross public debt stood at £39,826,415, and on March 31 last had been increased by £560,549, making a total of £40,386,864. Of the increase of £560,549 the large sum of £411,100 was, as I have before stated, advanced to local to land improvement, purchase of Native land and land for settlements. At first sight this increase appears a large sum, bub upon mature consideration it will be found reasonable enough if we are to carry on successfully the advancement of the country in the direction contemplated under the Acts providing for placing the people on the land and relating to settlement. The interest which the Treasury baa to pay upon these loans is considerably exceeded by the receipts derived from the transactions leading to the raising of the loans. In addition to this £158,025 has been added on account of the liability for deposits inscribed under the New Zealand Consols Act last session, and the investment of this money produces a profit over the amount of interest payable. Debentures amounting to £llBO were issued to satisfy old soldiers 1 claims, and £117,800 for the annual accretions of sinking funds, as provided by the Consolidated Stock Act, 1884. The Government having acquired the Eaihu Valley railway, has become responsible for the debentures, amounting to £47,000, which had been issued by the company. For the purposes of the conversion or redemption of existing bonds, our loan agents issued farther stock amounting to £787,258. The total issue of bonds and of inscribed stock was £152,246. and £1,522,363. On the other side there were redeemed or converted debentures amounting in all to £961,814, leaving, as I have stated, an increase to the gross public debt of £560,549. Of the debentures redeemed, the largest parcel belonged to those of the Consolidated Stock Act, 1884, amounting to £264,414, paid off upon an equivalent amount of sinking funds being set free of the loans of 1856 and 1863, and of the consols of 1867. From the same source £15,200 of debentures belonging to the Lyttelton and Christchurch Railway Loan' Ordinanco, 1860, were paid at maturity on July 1, 1894. Out of the proceeds of the sale of inscribed stock £200,000 Cheviot Estate purchase debentures, £50,000 bonds of the loan of 1856 (due on July 1, 1894) and £33,300 drawn bonds of the consols of 1867 ware paid off. Conversions were effected during the year in respect of the following debentures, namely, £78,70010an of 1863, £297,100 consols of 1867, £IOOO • Auckland loan of 1863, £9IOO Otago loan ordinance of 1862, £IOOO Canterbury loan ordinance of 1862, and £12,000 district railways purchasing loan-of 1885. The net public debt on March 31, 1894, was £38,874,491, while on March 31 last it became £39,635,032, showing an increase of £760,541. This is accounted for by the increase to the gross debt of £560,549, by £334,295 of released sinking fund appropriated according to law, less the natural accretions amounting to £134,303. To make our position iu this matter perfectly plain, and so that all may at a glance understand it, I subjoin a table showing the particulars ■of the increase of the public debt since March 31,' 1891. This increase amounts to £1,556,614, but of this sum no less than £1,335,591 earns a rate of interest considerably in excess of the rate which the Treasury has to pay; £1,177,566 is earning 5 per cant, and we are paying an average rate of £4 8s 2d for the use of the money; and £158,025 is earning 4; per cent, while the deposits only carry 3$ per cent interest; £47,000 for the Kaihu Valley Railway earns £2 9a 6d per cent. The £964,900 raised to meet the payments by which the Sinking Fund annually accumulates, represents in reality a saving in taxation which would otherwise have required to be provided. By means of the £27,226 of debentures at 4-J per cent interest we have avoided parting with land which is yielding us at least 5 per cent per annum. The final sum of) £623,273, being an increase arising out of our conversion, is the result of the ordinary operations under the Act of 1884, and speaks for itself. It is an item, the outcome of transactions which have very materially reduced ourinterestcharges and to which it is unnecessary for me to alluda in this place. With these few remarks and a little assistance the table will afford to honourable members, I feel sure that the accusations of "borrowing 51 using such a term in its ordinary sensemust fall to the ground. Apart from the strictly remunerative character of the financial operations, it must be conceded that the primary object—the advancement and settlement of bur colony—has been their sole object, and we should not be ' blamed for our endeavour to secure this result. Iu fact, I have no hesitation in asserting that were a policy of inaction adopted in this country, it would result in widespread damage, not merely to any one class, but to all.
Parbiculara of the public debt from March 31, 1891, to March 31, 1893: Gross public debt on March 31, 1891,
£38,830,350; increases of public debt by issue of debentures under the Government Loans to Local Bodies Act, 1886, at 5 per cent £90,000, at 4£ per cent £327,800, at 4 per cent £112,000, total £529.800; the Native Land Purchase Act, 1892, at 5 per cent £9700, at 4* per cent £140,000, total £149,700; the Land for Settlements Acts, 1892 and 1894, at 4£ per cent £53,966, at 4 per cent £IO,IOO, total £64,066; the Cheviot Estate Payment Act, 1893, at 4£ per cent, £250,000; the Lands Improvement and Native Lands Acquisition Act, 1894, 4 per cent, £18,400, gross £1,177,566; the New Zealand Consols Act, 1894, at 3£ per cent, £158,025; the District Railways Purchasing Acts, 1885 and 1886 (Kaihu Valley Railway), at 5 per cent, £47,000 ; the Consolidated Stock Act, 1884, for accretions of Sinking Fund, at 4£ per cent £847,100, at 4 per cent £117,800. total £964,900; the Naval and Military Settlers and Volunteers Land Act. 1892, at 4£ per cent, £27,226; by conversion operations—4 per cent .’inscribed stock £328,246, 3£ per cent do, £295,926 ; total £624,273; grand total £3,998,990. Leas by redemption of debentures £1,442,376. Net increase of public debt £1,556,614. Gross public debt on March 31, 1895, £40,386,964. While it is satisfactory to know that the increase in the public debt is compensated for by the large earning powers which are indicated in my previous remarks, it: will be of considerable interest to honourable members to have before them the indebtedness per head of our population during the last seven years. The following table gives the amounts of debentures and stock in circulation, the gross indebtedness per head, amount of sinking fund accrued, the net indebtedness per head of the European population and the annual charge for interest and sinking fund. These figures speak for themselves. In 1889 the annual charge for interest and sinking fund was £1,866,588, while in 1895 it was £1,656,970. The net indebtedness per head in 1889 was £6O 12a 2d, and in 1895 it was £57 9s 9d, a reduction of £3 2s 5d per head. Considering the enormous amount of public works that have been carried on throughout the colony during tho past year, and the fact that our population has not so largely increased as could have been wished, such a marked redaction of indebtedness per head must give general satisfaction.
INDUSTRIES AND COMMERCE. To assist the industries of the colony the Government has been making inquiries as to markets for our surplus products. Great Britain imports £18,000,000 worth of timber. Of this amount some nine millions are sent from Russia, Germany and Scandinavia. Germany spends annually four millions in its forests and employs 500,000 men in forests. An expert was sent to London to push the timber trade, and by the reports received from the Agent-General there is no doubt that a considerable trade can be opened up in our New Zealand woods for street-paving and for carriage-building, furniture making and other uses. Trial shipments have been sent from Auckland to London, and the west coast of the Soutn Island has forwarded some, A shipment is now being despatched to the Cape of Good Hope. It is confidently expected that these may prove the forerunners of large orders. By the courtesy of the Victorian Government, copies of the report of the commissioners sent by it to inquire into the prospects of trade with India, China, Japan, &c., were obtained, and there are, good grounds for believing that many of our products will find a market in those countries. The result of the visit of the Victorian Commissioners . has been that large orders have been received by the colony for various articles, including scouted wool, butter, cheese, lard, bacon and hams, jams and jellies, canned fruits and preserved meats. All these can be exported in large quantities from New Zealand, and it only remains for negotiations to be opened up and transit at a reasonable rate provided. When it is mentioned that the imports to New Zealand from India in 1893 amounted to over £210,500 the question of obtaining return cargoes from that country does not seem a very difficult one to solve. LAND AND INCOME TAX. The revenue collected during the year was £370,089, being £20,079 iu excess of the estimate. The amount of Land tax outstanding on March 31, 1895, was £472, all of which was made up of sums for various reasons not immediately recoverable. Considerable attention was given by the department during the year to the revision of the returns of income made since the tax came into force. Very many of these returns were found to be wrong, and their correction has resulted in the addition to the revenue of the entire surplus over the estimate. The work of reviewing the land values fixed in 1891 was undertaken soon after the Amendment Act of 1594 was passed. Some shrinkage in values was expected, but this has not been so great as was anticipated. The exact figures are not yet available, as somo of tba Boards havo only just concluded their sittings, but the reductions in values warrant me in estimating that the combined taxes will not produce more this year than £350,000. It has been the opinion of the Government for some time that the Native lands
occupied by European tenants should, in respect of the interest of the Maori owners be subject to some contribution by way of land tax, seeing that these lands have benefited equally with the other lands of the colony by the general progress of the country, and the expenditure of money both public and private within it. The Government therefore determined, as the lands were not exempted, to collect, of the large sum owing, the ordinary land tax for the last year only from the tenants, leaving them to recover from the owners. A considerable sum has been collected, but several tenants have been advised, erroneously, as I believe, that their power of recovery is not clear. I propose to remedy any possible defect by an amendment of the Act, which Ilshall shortly submit to the House. Former Colonial Treasurers in past years collected taxes at dates to suit the requirements of the colony, and this without tho adverse and extraordinary criticism to which my actions last year were subjected. However, as unexpected animadversions, calculated to seriously affect the financial position of the country were made against the alteration in the date of the collecting of tbe land tax last year, I deem it essential to taka steps to prevent tho possibility *of such adverse criticisms again being possible from similar causes. Under these circumstances, I have deemed it advisable, in the best interests of the country, to prepare a measure to permanently fix the date for collecting this tax. The regulations issued in January last with regard to foreign traders and to shipping owned outside New Zealand have, I am informed, worked well except in one particular. As to this, I will consider whether the system,of annual licenses adopted in many other colonies will not answer tho purpose better than the present plan. DEPARTMENT OF AGRICULTURE.
This department skill continues to do the good work commenced some three years ago. The past year has been most discouraging to those connected with agricultural and pastoral pursuits. The prices obtained for all products hare bean lower than anything experienced for many years. The dairy industry promised well at the beginning of the season, but towards the end prices fell. During last session a new Dairy Act was passed, and in addition to increased powers of inspection, authority was taken whereby the Governor by Order-in-Council could declare that all produce had to be put in a cool store and there graded and cooled prior to shipment. It was decided to deal with the butter only, and arrangements were made with the local freezing companies for the necessary storage. The grading has resulted in a vary marked improvement in the quality of the latter shipments, and the wisdom of the appointment of competent and impartial men to inspect the produce prior to shipment is admitted by all who have the general welfare of the industry at heart. To encourage the industry no charge was made for the first month’s storage, cooling or grading. A number of new factories and creameries have been started, and there are now at work 218, an increase of 40, The quantity of butter shipped was 60,656 cwt, valued at £342,387. This shows a decrease for the year of 1844 cwt in weight, and of £23,572 in value. Of cheese there was shipped 54,947 cwt, valued at £109,157, or an increase of 17,5840 wt, valued at £26,140. Acting on the recommendation of Professor Eobertson, of Canada, the services of Mr M’Ewan have been secured as dairy instructor, and ha has, along with the other instructors, given valuable assistance to those connected with the industry. Mr M’Ewen has now been appointed to the position of chief dairy inspector. It is proposed daring the oft season to start dairy schools, for the purpose of giving instruction in the management of milk and manufacture of butter and cheese. The fruit experts have been busily engaged, and their efforts to impart instruction have been highly appreciated. The other branches of agriculture have not been neglected, and numbers of leaflets on different subjects have bean issued from time to time. In addition to pur exports of meat in a frozen stats, the feasibility of shipping live stock and chilled meat has now been successfully demonstrated, and this will, to a great extent, remove the objections formerly urged against our frozen meat. The stock throughout the colony are generally in a healthy con'dition.
POST OFFICE SAVINGS BANKS. - The deposits during the year 1894 were £2,252,862 6s lid, and the withdrawals £2,268,624 8s 4d. The withdrawals exceeded the deposits by £15,762 Is sd. For the previous year the deposits were £2,386,089 10a 7d, and the withdrawals £146,102 11s 8d less than the amount withdrawn last year. During the first two quarters of 1894 the withdrawals were £88,935 17a lOd in excess of the deposits, but during the last two quarters of the year the deposits exceeded the withdrawals by £73,173 16s sd. There was an abnormal increase in the number of deposits during the first quarter of 1895, the total sum deposited amounting to £725,173 13s. The withdrawals were £568,448 3s 6d, so that there was sn excess of deposits of no less than £16,825 9s 6d for the quarter, a result believed to be largely due to the reduction of the rate of interest on fixed deposits by the banks and other financial institutions. THE GOVERMENT LIFE INSURANCE DEPARTMENT.
The condition of the Government Life Insurance Department continues to afford every satisfaction. The funds at the close of last year amounted to considerably over two and a quarter millions sterling, and at the present date exceed £2,300,000. The sums assured with bonus additions amounted at the end of the year to nearly nine and a quarter millions. The commercial depression of the past twelve months, due to low prices rnling in the Home markets for the colony's chief staples, did not appreciably affect the volume of new business secured, the policies for the year having amounted to £729,013 as compared with £740,428 for 1893. As might have been anticipated, some slight increase is shown in the discontinuances by surrender and lapse, but in this respect the department's experience contrasts favourably with its Australian compeers, whose published returns do not in any instance show such a large not gain as the department’s, whilst in most cases a decrease of business on the books is recorded. The Act which was passed last session extending the department’s powers as regards investment on mortgage, is proving an advantageous measure, and desirable securities at satisfactory rates are now being freely offered. PUBLIC TRUST OFFICE. The legislation by which the Public Trust Office was constituted and its administration regulated, was consolidated and amended by the Public Trust Office Consolidation Act of last session. By that Act the functions of this important office are so clearly defined, and the powers of the Public Trustee so enlarged, as to render the office capable of affording services of a wider scope, and of being more attractive for the purpose for which it is mainly desired—of affording to the estates of deceased persons that guarantee of tho colony for a faithful administration, and for the security of the invested funds. The business of the office continues to increase, and at the close of the financial year the total number of estates of all classes was 20.860, of the total estimated value of £1,562,268. The best index to tho public confidence in the office is in the increase in the number and value of tho estates placed in the office by wills or instruments of trust, and these properties at the close of tho financial year had increased in number from 371 to 392, and in value from £543,237 to £586,813. In this year’s estimates I propose to ask the committee for a sum of £1272 to meet the deficiency which has resulted during the year from the realisation of bad and doublful securities on which the capital funds of the offico had been invested. This deficiency will bring the total amount up to £33,800. All such deficiencies are proved by realisation and will be met, as formerly, out of the profits of the office. The administration
by the Public Trustee of the reserves subject to the West Coast Settlement Reserves Act, 1892, is regarded generally with increasing satisfaction by the Native owners, and is promoting settlement with satisfaction to both races. There has been some little difficulty in matters of detail in respect to insurances of the buildings; The tenants claim that the said insurances should be effected in their names and not in the name of the Public Trustee. This matter will be rectified without hindrance or disadvantage to the lessees. An area of 33,889 acres of these reserves formerly unoccupied has, since the passing of the Act, been leased in sections of an average area of 172 acres. The income of the Native owners has already risen to £15,470, and will continue to increase, for tenders are now invited for leases of an area of upwards of 16,000 acres more of the lands, which the Natives cannot themselves occupy, and could not more profitably employ than by letting them to our settlers. Of the Native reserves vested, subject to other Acts, in the Public Trustee the income from lessees amounts to £7788. ADVANCES TO SETTLERS. The Government Advances to Settlers Office was established by the Act of last session for the purpose of relieving the settlers to whom the high rates of interest for loans on the mortgage of laud, with the heavy incidental expenses, had become burdensome, and of thus removing an obstruction to the progress of the colony ; and such has been the fall by which the passage of the Act has beau followed in the rates of interest on private mortgages generally, that this result alone may be said to have more than justified the measure. A low rate of interest encourages improvements, fosters industries and increases avenues for employment. The total applications to June 30 dealt with by the Board were 1552 for £560,865, and. of these 965 were granted for loans amounting to £354,907. I attach to the Budget a detailed statement which will be of interest to honourable members. The advances have, it is believed, been authorised with prudence and a due regard for the public safety. At the same time, it must be epparent that amongst the many hundred applicants for loans there would be found some who consider themselves aggrieved when their applications are either declined or the amount offered by the Board is, in their opinion, not nearly commensurate with the value of the security offered. Such complaints as these are sure to arise in dealing with a large business of the character which the colony has now undertaken, but lam convinced that time will prove the wisdom of the course pursued by the Board in the early stages of the administration of this measure, the first of its kind in this country. Thera were delays inseparable from that period of necessarily careful consideration as to the stops which should be taken in an untrodden course; but the difficulties have been overcome, and now as soon as the applications are received, with the required valuation fees, and are found to be in order, every effort is made to have the valuations effected and the applications considered with the least possible delay. For the consideration of the applications for advances, the values of the* relative securities are estimated by trustworthy men, and these estimates are revised by chief valuers specially appointed for the purpose. MINING INDUSTRY. The outlook on the goldfields of the colony is very promising indeed. A very large amount of foreign capital has been invested in the mines on the northern fields, and this is extending to the quartz mines on the West Coast. The dredging operations in the rivers in Otago have proved very profitable. Generally, the progress of the mining industry demands that greater facilities than at present exist should be afforded towards prospecting localities, in some of which scarcely any mining work has yet been done, while others may .be considered to have sot been even explored. With the view, accordingly, of affording encouragement for the expenditure of capital on mining in outlying districts, it is proposed to introduce a Bill to provide for granting areas for a limited time to persons with sufficient capital to enable them to carry on prospecting operations on a large soale. It is also proposed to increase the subsidy payable to individual prospectors under the existing regulations, in order to encourage Mining Associations and local bodies to send out prospecting parties in their respective districts. Owing to the provision mads last session for prospecting deep levels, negotiations are now almost complete for testing the ground at the Thames to a depth of 1000 feet. The encouraging results which have been obtained at the deepest workings in the Reef ton and Coromandel districts tend to justify reasonable expectations that rich auriferous lodes will be found at greater depths than have hitherto bean worked in this colony. The comparatively recent new departure in gold-mining by means of dredging is also being rapidly developed, and affords employment to a large number of persons. While the returns of gold hitherto obtained show satisfactory results, they have every prospect of being largely increased. LAND SETTLEMENT.
Daring the twelve months ending March 31, last, land settlement moved steadily forward. The number of selectors and purchasers of Crown lands during that period was 2631, but as the conditions on which a portion of the lands were disposed of do not necessarily imply occupation, such as pastoral runs, town sections and miscellaneous leases, we may deduct these and still get 1984 selectors who may be said to have taken up lands for permanent settlement. The same figures for the previous year were 2281. This shows a decrease of 297 selectors. Taking into consideration the fact that lands suitable for settlement are becoming more and more difficult of access each year, the result of the year’s actions must be looked on as satisfactory. The above figures relate to all classes of lands, including the Cheviot and other purchased estates. In addition to these, ten associations have selected blocks, but as the ballots for individual sections had not taken place on March 31,. they are not included. They number 491 members. For the same reason 86 selectors under the improved farm system are not included, the preliminary arrangements having only been made. If all these figures are added we shall find that up to that date arrangements were practically complete for settling 2561 settlers on the land. The greater number of these settlers hold their lands under the lease in perpetuity, by the conditions of which improvement and residence are compulsory. The number of selectors for cash, has gradually been decreasing for soma years. In cases where lands are thrown open for optional selection, however, it is found that there is a slight preponderance in favour of the lease with a purchasing clause over that of the. lease in perpetuity. The total territorial revenue for the year on current and new transactions wa5£306,16611s 9d,an increase on that for the previous year of £31074s lOd. As against this there is an increase in the arrears due to the Crown of £3788 5s lid, which is due, no doubt, to the low prices for stock and produce which have prevailed during the past year. During the coming year the Government will offer for selection some very good lands in the Awarua Blook, and others in other parts of the colony, for which many people are waiting. It is expected that some of the recent acquisitions in what is known as the King Country will be sufficiently advanced as to survey and reading to be thrown open.
IMPROVED FARM SETTLEMENTS. A new system of settlement was authorised by the Lands Improvement and Native Lands Acquisition Act, 1894, which is intended to meet the difficulty of providing work for the unemployed, and, at the same time, make them useful and permanent settlers ou the land. The system is termed “Improved farm settlements,” and it is a modification of the village homestead system introduced by the late Hon J. Ballance in 1885. Under the provisions of this Act blocks are set aside iu suitable localities to be occupied by men selected by
the Commissioners of Crown Lands, in areas varying from 10 to 300 acres, and assistance in given by the State by way of advances to cover the cost of clearing, house-build-ing and grass-seed if required, the clearing, &0., being limited to 100 acres. The lauds are burdened with the amounts advanced by the Government, on which the settlers pay 4 per cent interest, in addition to the rental of the land. Up to the present date eighteen settlements have been formed, the area set aside being 21,202 acres, which will he allotted to 193 settlers, but up to March 31 the actual allotment of 9730 acres to 107 settlers only bad been completed. The area already felled is 4048 acres and the area grassed is 1469 acres. The amount advanced to settlers up to March 31 was -£5693 4s lid, and the value of the improvements on the land, including Government advances, was £6964 19s 3d. It is intended to introduce the halftime system into all these settlements so soon as it can be arranged. Several are already under it, and it is hoped by this means to find sufficient employment for the settlers to keep them going, whilst at the same time to allow them time to improve their farms. It is believed that the system just started will offer to those who are not in a position to secure lands otherwise a chance of obtaining a home, and at the same time relieve the labour market from congestion. LAND FOE SETTLEMENTS ACT.
Details under the operation of the above Act have already been furnished to Parliament, and the following summarises them: —Up to March 31, 1895, there had been actually purchased eight estates containing 12,104 acres 1 rood 15 perches at a cost for purchase, reading and other expenses of £65,257 2a 4d. Arrangements had also been completed at that date for tho purchase of five other estates, containing 28,819 acres, at an estimated cost of £102,515, but no payments had been made. Since March 31 to date arrangements have been completed for the purchase of five additional estates, containing 7778 acres st an estimated coat of £27,789. Summarising the figures to date, the estates purchased and arranged to bo purchased number eighteen, with a total area of 53,701 acres, at an estimated cost of £195,561 2s, 4d, plus whatever additional cost there may be for surveys and a little reading. The great bulk of the land comprising these estates is of exceptional quality, and will be readily taken up as soon as offered to the public. In the instance which had been offered to the public, prior to March 30, a largo amount of successful settlement had taken place, and since that date two other estates have been offered for selection, the whole area of which was taken up at once, and for which there were many more applicants than the land would satisfy. Thera are now 120 lessees holding these lands, of whom, at March 31, 61 were resident. The rents of the lands leased up to March 31 showed a return of, 4J- per cent on the capital invested. At tho present time there are several. desirable estates under offer with which the Land Purchase Boards will very soon proceed to deal. THE RAILWAYS. Pursuant to an Act of the General Assembly, passed last session, the management of the railways reverted to the Government on Jan. 1,1895. Considerable reductions have already been made in the rates and carriage for colonial products, and in some cases there are already indications of an increased volume of traffic. This makes it imperative that steps should immediately be taken to make provision for a corresponding increase of rolling stock. We have also endeavoured to further the cause of education, and at the same time to popularise the railways, by conveying school children and their parents at nominal rates to both town and country. In this way a more extended knowledge of the country and its resources has been made known to those who otherwise would have bad no such opportunity. Very general satisfaction has been expressed with the arrangements made for this purpose. Owing to the diminished yield of wheat the railway revenue has suffered to a considerable extent. The recent rise in the price of grain has been an incentive to farmers to sow much larger areas this year than hitherto. The opening of the Botorua line is an historic event, long looked forward to and likely to lead to a great development of our tourist business. Already much larger numbers than heretofore have visited the thermal springs and thermal wonders, and the resources of the - district have been taxed to the utmost. Large additions are being made for the accommodation of tourists and excursionists who are certain to take advantage of the through railway communication during the coming season. My colleague the Minister of Esilways will place more fully before the House the intention of the Government as to its policy for the future working of the New Zealand railways. OUB TELEGBAPH CABLES.
A new cable across Cook Strait from Oterangi Bay to White’s Bay, thirty-one knots in length, was laid on May 8 last by'the Terranora. This cable was ordered Inst year in anticipation of the breakdown of the old three-core originally laid in 1860. On April 29, a few days before laying the new cable, this old one parted in several places. With the new single conductor operated by the Wheatstone automatic instruments which have been introduced since my last Statement, it has been practicable to cope with the telegraph traffic between the North and South Islands, notwithstanding the loss of the three-core cable, which has been abandoned. Another single-core cable has been ordered from England, and is expected here in time’ to be laid in December. The Wanganui to Wakapuaka cable has been permanently duplexed, materially assisting in overtaking the telegraph work between the two islands, as well as that between the North Island and Australia. Ibis deserving of note that the cost of the cable steamer Terranora, including the expenses of purchase of new cables and repairing old cables, amounts at the present time to £8253j but had the Government adopted during the last year the former system of employing a steamer from outside the colony to do the work which the Terranora has done, the actual cost would have been £16,000, so that by utilising tho Terranora the Government has not only saved the cost of the new cables that have been laid but also the cost of the steamer itself. Then, in addition to this, there is £BOOO to the good over and above what the expenditure would have been. This is extremely satisfactory. It is not desirable, however, that the Terranora should be used longer than is absolutely necessary for the work connected with the maintenance of cables. Though the Terranora has during the last three years done excellent work, the time 1 has now arrived when she should be replaced by a new steamer.
POST AND. TELEGRAPH CONFERENCE. The Conference met in Hobart in February last, and was attended by Ministerial representatives from all the colonies. The meeting was to have taken place in Melbourne, but at my instance the other colonies agreed to meet at Hobart, on a date earlier than originally fixed, in order that I might, on my way to London, be able to attend, a consideration for my convenience of which I cannot sufficiently express my appreciation. Aa my arrangements necessitated my early departure from Hobart, I was unable to remain throughout the meeting, but the colony’s interests were looked after by the Postmaster - General of Tasmania, who was good enough to consent to act for me in my absence. The principal business transacted at the conference affecting New Zealand was that relating to the ocean mail and . telegraph cable services. The Conference on a motion submitted by me reaffirmed the desirableness of establishing a four-weekly mail service between Australia, New Zealand and Vancouver, alternating with the present San Francisco mail steamers so as to provide a fortnightly Pacific service.. This question is treated of at a greater length in another part of the Statement. The threatened withdrawal of Victoria,
now one of the guarantors of any deficiency in the working o£ the Eastern and New . Zealand-Sydney telegraph cables, brought the whole question of cable communication and cable guarantees very prominently, before the conference. ..'Besides reaffirming the desirableness 6f the copatrudUdn of the Pacific cable, it is gratifying to be able to state that the. Conference adopted. ' another motion of mine, under which the amounts hitherto guaranteed by the colonies in respect to the New Zealand-Sydney and Eastern cables were materially reduced, thereby effecting a considerable annual saving to this colony. Not only did the motion secure the continued adhesion, of Victoria to the cable guarantee ~ agreements, but, the reduction 0f.,,-; the colonies’ liabilities was, obtained without increasing ' the" 'Press ’’ ratei" ’ over the New. Zealand-Sydney cable, which at one time seemed inevitable- ' I feel sure there is a generaVconsensus of V opinion ( thab it is an incalculable advan-! ' taKO to New Zealand to have low cable ' rates, both for tho Press and public, and I look forward with confidence to the tima 7 when the development of commerce and ■ the growth of the colonies . will enable a ; farther reduction to be made so aa to ■. place the use of the cables at the command_of all classes. The later negotiationa in connection with the construction' , of the Pacific cable I propose to deal with . in another part of the Statement.; The interests of the mercantile community ' were further - considered in conbec-, ’ tion with the proposed obligatory use of the cable code; vocabulary* recentlyissued by the International Office at Berne. * Action was taken by the Conference . tor enable the matter to be watched and dealt " with at tho proper time. The question cl the renewal of the federal mail service was also debated, but the result—except'that the Conference strongly expressed its disapproval of coloured labour on subsidisedsteamers—is of little interest' tothis colony. Uniform ocean penny postage - was also discussed, but the time was regarded as inopportune for making any alteration in that rate. The report cl - . the proceedings has already been laid before Parliament, but I may mention ■ that a - large number of subjects, principally of a departmental and technical:. nature, came before the Conference, and were fully considered and dealt with to ‘ the common advantage - 'of the colonies. - COMMISSION ON ■ COST ~OE; MAN AGE-' - MENT OF INS 081 BED STOCK. - ! On assuming the position I have’now • the honour to hold my attention was called * to tho charges made by the Bank of Eng- - land in connection with the management > of our inscribed stcck. Those charges >' wero originally £6OO par million, but . after ten millions had been reached the - bank lowered the rate to £530 on- the , succeeding millions up to fifteen millions, and a farther concession was made of £SO per million on the remainder of, the. amount inscribed in the bank books. I am aware that this matter had not been lost sight of by my predecessors, and out present Agent-General had already made strong representations to the bank authorities to have the charge* reduced, but without success. Up on my arrival in London, I determined that, farther efforts should bs made to reduce the existing charges, then amounting to., over £IB,OOO per annum. Our Agent* General, in conjunction with the Agents- . General of New South Wales and Queens-' land, had a few weeks before waited bn the Governor of the Bank of England and strongly urged their claims for a redaction of the charges, and they discussed the matter -very fully with the bank authorities. No hopes were, however, held out to them by the Governor that their application would be favourably considered. Subsequently the Agent-General wrote a formal application to tho bank, ' asking for a reduction of the - charges. ' This application was declined. : I deter- ‘ minedto personally urge our claim upon the Governor, and, accompanied by the Agent-General, I was favoured with on - interview with the Governor and DeputyGovernor, who then promised to consider - the whole question. At a subsequent meeting the Governor informed me that :■ the bank had decided to make a r edfihtion ?'; of £IOO per million per annum. The rate will now stand at £SOO per million for the first ten millions, £450 per million for the succeeding five millions, and £4OO per million for the amount inscribed above fifteen - millions. This! reduction, dating from May 1, 1895, upon a total of upwards of thirty-six millions of inscribed stock represents a saving of £3600 per annum, a valuable concession you will admit, but I ' am strongly of opinion that the rate is still too high. It is right also to mention . that the bank has waived its special charge in connection with the conversion of outstanding Government debentures into inscribed stock, and is prepared to make any further inscriptions of a similar nature - free of charge, out-of-pocket expenses excepted. THE MILLION AND A HALF LOAN. As the Government Advances to Settlers Act, 1894, “ authorised the raising of £3,000,000 in sums not exceeding - £1,500,000 in each future year, subject to a limitation of two years from the date of the passing of the Act; the loan agents' ’ appointed under the Act proceeded to issue a prospectus calling for tenders for ' £1,600,000 of 3 per cent inscribed stock, to be lodged at the Bank of England on or - , before Friday, May 3, 1895. The price of issue was fixed at £9O per , cent. - Instalments were - made : payable' by 5 per cent deposit, 25 per ..cent - on • May 13, 35 per cent on July 1 and ' 85 per cent on August 1, 1895. Instalments paid in full on or after May 13; 1895, ware to 1 be subject to a discount at the rate of £1 per cent per annum. The stock will be inscribed in the books of the Bank of England on or after- August 1 next, but scrip paid up in full ■ was to be forthwith inscribed. - The nominal amount of stock was to. - carry six months’ interest, payable.; on Oct. 1, 1595.. On opening tho tenders at ; the Bank of England the result was.found to be eminently satisfactory,. In, respect . of the one million and. a half applications for £5,960,400 at prices varying from, £lO6to £9O were sent in, and of these about 3S : per cent of the tenders were.at £94 8s . 9d, and . , the amount payable was ; £1,416,601. 2s. The full accounts. con- ; nected with this operation have not yet . been received from, the loan agents, • so I am unable to stafe. the exact amount of expenses incurred. I may, however, ■ say that no portion of the loan was underwritten, or any expense incurred in this ; respect. An offer to underwrite was mi.de • and declined. Correspondence relating to - this loan operation will shortly be placed before you. Now, honourable gentlemen* • may. think that as the raising of this - loan was attended with so 1 much sue- ■ cess, the operation itself . .was of a simple character .but I- can assure you that such was by no means. tho..-^ : case. In the first place, the determination to fix a lower rate of interest for our new J loan caused, as you may imagine, great , anxiety, and was only decided upon after the most careful consideration, and I shall . not, I hope, be accused of divulging a . matter of a confidential nature when-I assure the House that some of the highest . financial authorities in London were of opinion that a 3 per cent loan would not he likely to prove successful. It is my pleasurable duty to state that our loan agents were indefatigable and untiring in ,[ their exertions to insure the success of the loan, after we had decided upon the ” rate of the minimum price'of issue ; and in connection with the splendid result I am not desirous of taking to. myself any credit which properly belongs to them. I have also to thank . the Governor of the Bank of England * for his valuable advice and assistance to the General Manager of the Bank of New Zealand, then in Louden, and to the local manager. I am also indebted for the , courtesy and information they so willingly extended to me. The Queensland and West Australian Governments came out with 3& per cent loans immediately before our own 3 per cent loan was announced, and I have had some calculations made comparing the results [of the average prices of ’. their loans with our own. I. may hare - " mention that the West Australian loan was issued with aaj| alternative currency, namely, twenty or forty years, while th*
Queensland and our own carry a fifty year*' xurrency; The average annual charge per £IOO of stock on each of these Joins (of course leaving out of consideration the. expenses of floating) is »9 follows: The Queensland loan, which averaged £lO2 12s 7d, gives an annual charge of £3 8s 7d p»r cant; the West Australian loan, which averaged JEIO3 la 4d, gives an annual charge of l£ 3 7s 2d per cent for a forty y.-atc,’ currency, £3 5s lOd for a twenty years’ currency, and £3 7s 4d for a fifty years’ currency; New Zealand 3 per tea's, which averaged £94, 8s 9J, give an annual charge of I £34s 6d per can t. Now, applying these figures to 'ho one mdlion -aud a. half loan I find that notwithstanding the prices over var attained hy'the per cent loan of Queer, iland and West Australia, the price cur own loan realised, Rlthongli under par, effects a savipg to,our taxpayers, as comparedwith Queensland, .of _£3OC« 193,; t pec annum, or £153,125 for the full period of fifty years, ana 'compared with-. West Australia, there is au annual saving of £2OOO on the fcrly years currency, or £BO,OOO for the fall term; or ' an annual saving of £IOOO ou a twenty years’ currency, or £20,000 for the -ull term. But supposing the West Australian loan had had a fifty years’ currency, then the comparison wcu v d f how aa annual saving of £2120 or £lOh,2eO for the full term. These figures spc«a ox themselves, but I will tike aae , illustration of the advantage dsnvo r -r u a 3 per cent loan over a 21- per cent, loan, both having** currency ot nicy i aar - Taking the S-J per cent loan »t the 3 per cent loan at £9i.Bj 91, the annual saving effected on n ki'.-uo:s aim a half loan would be Miv», ' ' v£llca represents a saving of for the full period of fifty years, Jiarthermore, I can assure you that in the annual charge I have taken into consideration the amount required to restore the full capital charge by the time the loan falls due. This saving of the taxpayers’ money, may be stated in another and even more forcible wsy. Take, for instance,;the £4125 just referred to. Now this amount, if invested at S per cent compound'’ interest, would, by the time, our loan .. .expiree, . reach in round figures/the large; sum of £466,000, or'-ifcompounded at a thiea-quarter par ee&t.'rate'ili!. ywrald. produce oyer £500,000 during; the same period. With these figures before you I am justified in feeling a profound sense of satisfaction with having been in my humble way the associate in carrying to a successful result what in iny opinion must be termed a Splendid operation, and which in to the enormous advantages gained fay bringing money down to a level that admits of itsboing profitably employed by those who require it to develop the industries and commerce of the country ,again enables New Zealand to load the van of new and beneficial undertakings amongst her continental neighbours. THE COMMERCIAL POSITION ‘ OF THE COUNTRY, One has become so accustomed to hear pessimists decrying the commercial position of the country that it would seem almost a hopeless task to attempt to convince these detractors of New Zealand of their tolly. This pessimism has, in truth, become with come an incurable disease. The great difficulty which has in recent years confronted all producing countries has been the steady decrease in the prices of the natural products of the soil. There are many causes assigned for the downward tendency which haa taken place in values. Some .attribute it to monometallism, others to over-production, and again are to be found those, who believe that the system of assured and rapid transit has so developed all over the world in our own times that
the former position of values, which had been maintained for a continued (period .at- a , high, level, has for ever disappeared. Whatever , may. be the causes, it is beyond question that a .marvellous transformationnas taken place, and that the duty is forced upon statesmen to assist in the eolation of what js recognised to be a great, and intricate problem. In- this matter New Zealand has not Jagged behind. The Government has fcndsavoared -to ‘apply-- common sense to • lengthen the reach of commercial activity, and I take it that it ,will not be disputed that one of. the first essentials for a producing country is nob only to create an increased output of its products, but to have new markets to '•■which to send those products. The mors outside markets to which we can get access the greater will be the competition for the purchase of our goods. The Government, believing that the true • policy for this country is to assist the settlers to find fresh markets have, subject 'to ratification by Parliament, entered into reciprocal tariffs with South Australia and Canada, by which interchange can be affected with them of some of our products. BANK ASSETS COMPANY.
I deem it my duty to state that in my opinion the present position of the Bank ’of New Zealand Estates Company is far Jtpm satisfactory. Honourable members are aware that this company owns large areas of land, which, whilst in many cases :suitable for settlement, are not now '■Worked to tho best advantage. Attached as the company is to tho Bank of New .Zealand, I am convinced that it would, be 'advisable at an early data to seriously : consider in what manner th ; s intiimate relation can he modified. At jthe same time I may say that !no hasty treatment of this important imatter should be entertained. In my 'opinion the subject ia sufficiently important to warrant the special consideration 'of a select committee of both Houses. RECIPROCITY WITH SOUTH AUSTRALIA.
I will first deal with the tariff treaty between South Australia and New Zealand. Since this tariff treaty has been published some of the highly protective colonies of Australia have taken exception to it, and have gone out of their way to endeavour to prevent New Zealand from sharing in the benefits of intercolonial trade. It does not require much thought to see that the very 'strength of the position is to insure that there should be special concessions 1 for New Zealand, because if tho treaty I have referred to had general application there would be no advantage in having a treaty at all j but it must be borne in mind that the treaty with South Australia does not prevent us entering into similar arrangements with other colonics upon iuch articles as may bo agreed upon. In Other words, we can send to any other colony every article wo are pgteeing under ■ this treaty to sand to South Australia, and South Australia can do likewise. Our concessions apply to the articles we each receive. If Victoria has anything outside the four articles wo have •greed to accept from South Australia, in exchange for goods from this colony, we ihould be delighted to consider a proposal from them, 'and I have no doubt that ‘South Australia would be equally pleased to treat with them. For South Australia or New Zealand to adopt the policy of standing by and letting the highly protective colonise exclude them from tho benefits of Australasian trade would, in my opinion, be suicidal. I shall .presently read the memorandum of agreement between the respective colonies, from which it will bo seen that South Australia agrees to accept free of duty barley, cate, honea and hops, and New Zealand likewise •grees to accept free of duty the wine, olive oil, dried and fresh fruits end salt of South Australia. There is an under star, ding .that the admission of wine to this country will cease should prohibition at any time become the law of the land. In considering the reciprocity treaty with South Australia, I would ask honourable members to recognise that this is but tbe thin end of tho wedge and what is now being proposed to be done may lead tho way to further desirable concessions between the other Australian colonies. It is to me difficult to underatand the argu-
ments that have been put forth by some Australians and New Zealanders that the treaty is adverse to tbeir desire for a federated Australia, a proposal which does not directly con earn New Zealand. Viewing the position from all points, it would appear to mo that one of the chief difficulties to be overcome in bringing about federation between the Australian colonies is their Customs tariffs. Tbeir revenue is now largely established through the independent Customs tariffs they have against each other, bo that reciprocal treaties between themselves, gradualy paving the way towards the eatabd-rluneut of one common tariff, should assist rather than retard the movement they are advocating. My opinion, however, is that a federated Australia is a far greater distance off than the ardent advocates of it believe. There tiro many aud serious difficulties in their way, and, in the . meantime, it is surely unwise to continue the policy of cutting each other’s throats by maintaining the restrictive and in some cases prohibitive tariffs against the natural products of the several countries. Instead of regarding South Australia and New Zealand as bars to their movement, I should have thought that wa should have beau hailed as countries who wore in a not unimportant degree assisting by our action in destroying a sysiopi that haa proved so injurious colonies which havebeenthegreatestßinnora in this respect. It is not easy to calculate what trade will be created under the reciprocal treaty with South Australia, A year or two’s experience will be nsesasary to enable a fair comparison to be made on both sides. The articles we now propose to make free have been to a extent made prohibitory by the duty imposed oa them, aud the development of trade which will follow the removal of the duty is not easy to estimate. There are those in this colony who will argue that the treaty i 3 in favour of South Australia, whilst on the other hand there are those in South Australia who argue that the treaty is in favour of New Zealand. I say "that those who are desirous of creating .a reciprocal treaty as we are, must be prepared to give_ and take, and that upon the broad principle of having a free market for our staple products on both, aides; We should hot be too fastidious in endeavouring to forecast whether the balance of gain will be for'or against either country. The question should be; Is it advisable to promote our trade with a great colony like South Australia ? To tnat the answer of a large majority of the people in this colony will be that it is to our advantage. Then if it is to our advantage, are wo prepared to make any temporary sacrifice that may boneeesaary in order to create a friendly interchange of trade with the neighbouring colony ? To that the answer would undeniably be we certainly should. I have had a careful estimate prepared of the probable loss of revenue to this colony during the first year’s operations of the treaty, and I think I am within the mark when I state that it will not exceed £60,000, an amount I have provided for in the estimate for the year, and have left a considerable margin to Afiare in case my judgment should be at fault. Before leaving this subject, I think it is right to. draw attention to the advantages which may be reasonably anticipated from establishing a trade with South Australia. It will be interesting to honourable members to know that during 1893 South Australia imported from Victoria 23,040 bushels of barley, valued at £5332, and also 44,991 bushels of oata, valued at £4949. South Australia imported from New Zealand last year 12,977 bushels of oats, valued at £1209. In 1886 New'Zealand exported to South Australia 33,641 bushels of barley, valued at £6914. 209,705 bushels of oats, valued at £20,663. The following year the South Australian Government raised the duty on barley from 9d to le 6d per bushel, and on oats from 3d per bushel to 2s per cental, and thereby practically shut out New Zealand from the South Australian market. There is also every possibility of a large timber trade being developed, for South Australia imports annually £174,000 worth of limber, a very large proportion of which could bo . supplied by New Zealand. I can only say thatT trust that honorable members will view impartially the proposed trade arrangements with South Australia. That anch arrangements are certain to, become the forerunner of other treaties, which, ,in the ordinary course, must add materially to the wealth of this colony I am firmly persuaded.
SECIPEOOITY WITH CANADA. I feel sure that it will bo gratifying to all in this colony to know that a tariff treaty has bean arranged (subject to the approval of the Legislatures of both countries) between Canada and New Zealand. The main features of the treaty are that some of our great staple products will ba admitted into Canada freo. Under the proposals a considerable expansion of trade may ba looked for in tha products brought forth by country settlers, as well as of trade generally in the colony. As soon as tha necessary preliminaries to confirm tha proposal have been completed, there will ba o free market between Canada and Now Zealand for wool, and woollen manufactures, blankets, flannels, tweeds, rugs, live stock, frozen and fresh meat, bacon and hams, fiab, hides, condensed or preserved milk, flax, barley, oats, wheat, flour, seeds, binder twino, coal, kerosene oil, safes, organs and pianofortes, tallow, lumbar and timber. In addition to the articles on tha free list namad above, concessions in favour of the following articles are made. Should a duty be placed in New Zealand upon agricultural implements they are to bo admitted free from Canada, and a concession of 2% per cent below the general tariff rates is also provided upon twine of all kinds, ropes and cordage. As Canada is a large manufacturer and exporter of binder twine, ropes and cordage, tho competition which will ensue in this country in that industry will remove any friction that may have existed, and insure at least a fair value upon this article. There will also be a deduction equal to 10 per cent off the Customs tariff upon leather, and 5 per cent upon boots and shoes, harness and saddlery, as between the two countries. This latter proposal will, I trust, meet with the approval of the people of this country, inasmuch as under ordinary conditions it should enable our own manufacturers to gam a portion of the trade in Canada, and to export a considerable quantity of these articles from New Zaaland. They will, at least, fully hold their own with the Canadian article. There will also be a concession of 5 per cent below the tariff rates allowed upon Canadian manufactured furniture, and a similar concession is to be made upon New Zealand furniture introduced into Canada. Particulars generally will be obtained from the memorandum of agreement which I shall presently read. Upon, careful scrutiny, it will ha seen that the possibilities of trade with Canada are, under this tariff treaty, very great. The Canadian Dominion is within twenty days* steam of New Zealand. In considering the proposal as submitted by me, I would ask honorable members to recognise that the country with which we propose to enter into tariff treaty has a population of some five millions, and as years go on the two countries must, as the result of this friendly interchange of trade, reap mutual and lasting benefits. I would ask honorable members to give to this important proposal thus briefly sketched above, tboir moat careful and impartial consideration, recognising that any expansion of markets for New Zealand products means increased national prosperity. With our land settlement and with our increased productive powers going on apace, it is absolutely essential, to enable our country to prosper, that fresh markets should be found in other countries for our products. We propose now to begin with two great British dependencies, and I sincerely hope the movement will bo supported with spirit and enterprise by our follow colonists in all parts of tho
country. I have had some statistics prepared which I attach for the information of honorable members, so as to show the possibilities of trade with Canada. As I have said in (speaking of the South Australian proposals, it is very difficult to estimate the degree to which the possibilities of trade will extend under a treaty such as I have sketched to you. Unlike South Australia, which is closer to New Zealand, and the people of which are more familiar with our commercial conditions aud requirements, I am of opinion that at first the growth of trade between Canada and Now Zealand will be slow, from the fact.that new connections will have to be opened up by commercial houses in both countries, which would probably entail visits to the respective countries by representatives of those houses, and necessarily there would be some delay at the inception of the proposed interchange of trade. I should not, however, expect to have to provide more than £SOOO during the first year as the result of concessions upon the articles named. I may in this respect be mistaken, and in order to insure that sufficient is provided, I have, in estimating the finances, allowed for the amount being doubled if necessary. FINANCES OF 1895-9 G.
Having now recounted the past, I will turn to our proposals for the current year, and I may at once inform honourable members that I do not share in the gloomy forebodings of the prophets of evil who afflict our public services. The following table exhibits our financial position as estimated for the current year;— Estimated Expenditure. £ Civil list 25,700 Interest and Sinking Fund ... 1,694,603 Under special Acts ... ... 331,590 Legislative Department ... 17,385 Colonial Secretary’s Department 70,110 Colonial Treasurer’s Department ... ... ... ... 20,550 Justice Department ... ... 124,188 Posial and Telegraph Department ... .>. ••• 335,017 Customs and Marine Department ... ... 04,180 Stamps and Deeds Department 20,560 Education Department... ... 416,814 Lunacy and Charitable Aid Department ... 52,022. Department of Labour ... ... 6,260 Mines Department ... 18,289 Department of Agriculture ... 44,733 Working Railway Department 738,940 Public Buildings, Domains aud -Machinery Department ... 503,000 Defence Department ... ... 64,419 Police Department 100,441 Lands and Survey Department 129,634 Rates on Crown lands 900 Total ... ... ... £4,331,843 Estimated Revenue. Customs ... ... ... 1,560,000 Stamps (including postal cash receipts) ... ... ... 044,300 Land and income tax 350,000 Beer duty 60,000 Railways ... 1,155,000 Registration and other fees ... 50,000 Marine ... ... ... ... 21,500 Miscellaneous 65,000 Territorial revenue 290.000 Total £4,195,800 Debentures for Sinking Fund increases ... ... ... 145,400 Total ... £4,341,200 PROPOSED EXPENDITURE.
It must be remembered that there are several services the expenditure on which, as the colony advances in settlement and increases in population, requires to be augmented from year to year, notably the post and telsgrapn services and the expenditure on free education. These services show an increase of £36,251 and £20,580 severally. Then, again, as extra mileage on our railways is thrown open, the expsnditure on that service must necessarily increase, and this accounts for the extra £13,684 shown under thia head. The other - departmental increases are small, and do not call for any special comment. T have been able to make a , material reduction over the amount paid last year for our interest charges, amounting in all to £22,284. The largest item of reduced interest charges arises from tho final disappearance of the original system of ■ providing interest on the drawn bonds of tho consolidated loan of 1867. The interest on bonds issued to provide for the requirements of loans to local authorities, and for the purchase of European and Native lands and for settlement purposes generally has necessarily increased, but the interest we pay upon the moneys raised for these purposes is more than covered by the earnings which come back to us. The total estimated expenditure is set down at £4,331,843, which is £65,131 in excess of last year’s actual payments, but £18,337 less than my last year’s estimate. THE ESTIMATED REVENUE. The consideration of our revenue for the year wa have now entered upon has given me much concern. On the one hand I desire to exercise proper caution; on otha other hand I do not wish to discount our resources. Excluding the aid to revenue from, the proceeds of dedentures issued ao a set-off against the Sinking Fund accretions, I have estimated the revenue at £4,195,800, which is £86,196 less than the actual receipts of last year. Tho Customs revenue ia set down at £9,784 lass, and the revenue from stamps at £32,925 leas. The lattor item is large, but the receipts from death duties are an element, the amount of which cannot be foreseen, and last year increased our revenue by upwards of £35,000, With regard to the land and income taxes, I shall have a word or two of explanation to offer, but I may say here that I have not considered it safe to estimate our receipts from this source at more than £350,000, the same sum which I placed on my last Budget. The railway revenue has fallen owing to causes which I have already mentioned, and although I desire my estimate to be on tho safe side, I shall be disappointed if the actual results do not exceed my present figures. The receipts under the head of “ territorial revenue ” are retained at the same figures Isubmittedlast year, and you will recognise that the extremely low prices of our staple products, and the losses sustained by our flockowners in the South Island by the unprecedented fall of snow, do not warrant an increase of this item. Tho item of £145,400 in aid of revenue from debentures issued against Sinking Fuad accretions is larger than last year by the amount of £27,600. A large proportion of this excess has arisen inconsequence of the inclusion of an amount previously omitted in respect of the accretions connected with the Sinking Fund created under the Government Loans to Public Bodies Act -Amendment Act, 1892.
RESULTS AT MARCH 31, 1896. I am not able on this occasion to prognosticate such a favourable balance at the close of the year as I have been able to predict on former occasions. Still, I am able to show that our revenue will be more than sufficient to meet our expenditure requirements for the year, thus— Estimated revenue <£4,341,200, estimated expenditure J 84,331,843, excess of revenue over expenditure £9357, balance to begin the year with £180,024, total gross surplus at end of year £189,381. Prom this amount we intend to deduct £150,000 as a contribution to the Public Works Fund in aid of the settlement of the country by road-making and other public works, leaving a balance of £39,381, out of which the usual supplementary estimates will be provided for. THE CUSTOMS TARIFF. The present tariff is influenced by several considerations —protection, remissions in favour of manufactures, remissions in favour of the working classes, revenue and extra taxation of luxuries. It will bo seen that there are here the
elements of a complicated tariff in which ■anomalies cannot be avoided, and I see no prospect of constructing a simple or comprehendvo tariff so long as it is deemed expedient to allow the question to be influenced by these consideration?. To Rive an instance of tho tax | on; goods in _ connection with which I many of our difficulties occur :-—For protection we impose 25' per cent on apparel; for remissions in favour of manufactures ! wo remit the duty on tailors’ trimmings and other articles for making up apparel, also on the materials for shirt-making; for remissions in favour of the working classes we make cotton goods subject to half the rate for more expensive materials; for revenue purposes we maintain tho high rate of 20 per cent on unemimeratod drapery which cannot be made in the colony; and for the purpose of extra taxation of luxuries we pick out sealetfces and furs for higher duty. Now it would bo a very easy matter to strike r. medium rate over all the items, embraced under “soft goods,” but the requirements of revenue only would be served, and local industries and the interests of tho working classes would he sacrificed. As to “ anomalies,” these must arise when some materials are made free for aiding manufacture. Importers are unable to see why one "lining” should he free and another not, but, from a departmental point of view, it is necessary to make free merely such textiles as are suited only for manufacture and to exclude from the free list those which may be used now for manufacture, but which, if made free, would be speedily altered sufficiently to make them suitable for general purposes. Manufactures may be aided in two ways—by imposing a heavy duty on the complete imported article, and by imposing a moderate duty on the complete article, but remitting the duty bn the materials used in the" local manufacture. The latter is the course followed in the proposed tariff, and it is the one most beneficial to’the consumer, but it io the course in pursuance of which it is vain to expect a simple and comprehensive tariff. In support of these remarks I would invito your attention to the tariffs of th,e United States, Canada, Victoria and France as examples of the extreme complications which arise from protection, and from the attempt to adjust the relations between the manufacturer of the complete article and those of the producer of the raw material. The New Zealand tariff, however complicated it may appear, is much more simple than those named. It is principally tho importers and traders who make so much of these complications. It is vexatious to them to be puzzled with so many distinctions of rates and so many exemptions in which they are not interested. No doubt the manufacturer, however, will value _ tho attempt to discriminate. Other fruitful sources of anomalies are the following : The exemption of articles used for some particular purpose, as machinery for dairy-, ing, mining and agriculture, but not for paper-making, boot-making, woollen mills and rope-making, &c. This anomaly is intensified by the fact that the very classes of machinery which can be made in the colony are those which are admitted free. The exemption of certain descriptions of goods from a general heading; for instance, “artificers’ tools.” The exemption was worded in this way because some definite meaning could he attached to it, but the consequence is that sheepshoare, butchers’ saws, &c., are excluded. A great many tools of trade are dutiable because those who use them are not “artificers.” A hand fretsaw is free, but a fret saw driven by a treadle is dutiable. This forms another of the anomalies complained of. It would bo an easy matter to get rid of ail those difficulties by making all machines and machinery either free or dutiable, or else removing the exemption in favour of artificers’ tools ; but it is not an easy matter to resume a duty which has been in abeyance for several years. These are examples of the difficulties to be mat with in any attempt to reconstruct the tariff on broad and simple lines. In submitting proposals for a readjustment of the Customs tariff, I desire, to acknowledge the valuable assistance which has been rendered by tho Tariff Commission, the members of which went exhaustively into this difficult and intricate subject duripg..the recess. No alteration has been made in the tariff since 1888, and an adjustment is now necessary. Thera are many anomalies to be removed. While I have not been able to see my way to adopt the whole of the recommendations of the Tariff Commission, yet their investigations have been of very considerable help to me in dealing with this important question. I need hardly say that it wns my duty to very carefully read and weigh the important recommendations made by the Commission. I need, however, scarcely point put that there are connected with it many important considerations outside the particular duties of the Commission, which I have had to keep in view in the readjustment of the Tariff. My object has been to give reasonable assistance to local industries, without increasing the burden of tho industrial classes of tho country. It cannot be expected that my proposals should meet with the approval of all, but I would ask those who may be inclined to view them with dissatisfaction to take into consideration the many difficulties which beset a Treasurer in undertaking such a task as readjusting the Customs duties. It is of the utmost importance that the revenue should be maintained, and were too high, a duty to be placed upon a particular article it would, in some cases, have the effect ,xf greatly diminishing the revenue. At any rate, a sense of responsibility renders it imperative that undue liberties should not be taken. Take, for instance, two articles on which, the Tariff Commission have recommended increases, viz., jewellery and cards. They recommend that the duty on ■jewellery should bj increased to 30 per cent, and on cards from 6d to 1s per pack. While 1 am willing to go areasonable length in the taxation of luxuries, I cannot help thinking that in respect to the two articles I have named, the adoption of the recommendation of the Commission would have led to more active evasions of the Customs duties by those who are dishonestly inclined. Experience at present shows the great difficulty with such articles of preventing smuggling, though the greatest vigilance is exercised throughout the colony, and an increase of duty must tend to aggravate the trouble. There are many other articles which could be mentioned in respaet to which evasions of the duty might be expected were too high a rate to be imposed. To those who are in favour of a reduction of the duty on the necessaries of life, the fact will be welcomed that I have been able to see my way to reduce the duty on bulk tea Id per pound. I should have been glad to have gone further, and adopted the recommendation of the Commission to reduce the duty by 2d per pound, but was prevented from doing bo by consideration for the condition of the revenue. A reduction has also been made of one half the duty on fencing wire and rice and one sixth of the duty on kerosene. The boot and shoe industry has received very careful consideration, and it is proposed to make the duty upon imported boots and shoos 25 per cent. In connection with soft goods, changes have been effected which it is hoped will result in the preventing of the friction between importers and Customs officers, which has been the cause of much complaint. It will be observed that with few exceptions the 15 per cent ad valorem rate has been increased to 20 per cent. This has baen done with the view of obviating difficulties of classification and simplifying the working of the tariff. The increase of duty thus obtained has been available for tho remission of duties in other directions. Alterations have been effected in the duty upon many other articles which are too numerous to he mentioned in the Budget, but particulars of which honorable members will find in a schedule attached to my Statement. The exemptions have been added to, with the view of the further aid of local industry and production, and
the removal of anomalies. Among other remissions it will be found that the duty has been remove I from woolpaeks, butter paper, tubular wcven cloth used . for meat wraps, certain drugs used in manufactures,papers used for making stationery and wooden handles for tools. I have now given honourable members an indication of the direction in which our new tariff proposals tend, and I shall presently move a resolution to give effect to the proposed alterations. In the meantime I may mention that by remissions and concessions we shall lose about £45,000 of revenue, while on the other hand increased rates and now impositions will bring us in some £35,000, leaving a neb increase to tho revenue of £IO,OOO. At present the law allows licenses to be issued to persons authorising them to act ns agents for the transaction of business at the Customhouse, and such - agents are required to give bond for the faithful discharge of their duties both in respect to persons employing them aud of the interest of the revenue. It has been considered expedient to require the payment of an annual fee for these licenses, and provision will be made for this during the present session. CONCLUSION.
I have endeavoured to place before members such matters as are of interest to the country, and I trust that the proposals of the Government, should they be adopted, will prove to be of advantage to New Zealand. There are, I am glad to say, evident signs of better prices for our chief products, and the future in this respect looks more hopeful for our settlers. While this is so, it is a matter for most sincere regret that in a portion of the South Island the unprecedented fall of snow has wrought such havoc with the flocks of some of our farmers and ruaholdera. In expressing my sympathy with them, I feel sure It finds a responsive chord of general regret throughout the country, and, I can bub express the hope that the results may prove less severe than was at first feared. Surveying tho - general condition of other countries, I am of opinion that New Zealand comas well out of tho comparison, It is not to be expected, in the difficult task of fig-hting the battle of life, that all can be satisfied, but the evidences of thrift, enterprise and energy which are observable in all parts of this country augur well for its future ; and though I foresee a somewhat difficult period ahead, I look forward with confidence and hope, relying on the grit and pluck of our fellowcolonists to overcome any temporary difficulties that may arise. I thank the committee for the patience with which it has been so good as to listen to me.
RECEIPTS. 1893-94 1894-95. ■ £ B d. £ B. d. Balance at beginning of year ... 283,779 11 0 290,238 6 5 Ordinary Revenue— Cuatome ... ••• Stamps, including Post and Telegraph cash 1,655,502 17 1 1,569,784 7 10 receipts ... 674,647 8 8 677,225 7 6 Land tax ... ... 285,326 10 5 280,188 4 11 Income tax ... ... ... 75,237. 16 2 89,891 6 4 Property tax... ... ... ... 1.412 1 8 19 2 1 Beer duty ... 61,807 18 4 59,911 9 1 Railways 1,175,547 17 5 1,152,748 5 6 Registration and other fees ... 49.290 6 6 51,381 4 8 Marine ... ... ... 20,183 4 8 21,513 18 10 Miscellaneous ... ■ ... ... 56,522.8 ,;,9 . 63,175 16 7 Totals ... ... ' 4,055,478 9 8 3,965,829 4 2 Territorial Revenue— 75,362 14 Cash laud sales ... ... 70,341 10 10 8 Deferred payment land sales ... ' •58,328. 7 9 56,104 14 10 Pastoral runs, rents and miscellaneous ... / 184,389 8 4 ; 184,699 2 3 Totals ••• •> 313,059 6 11 316,166 11 9 Grand totals ... ... ... £4,368,537 16 7 £4,281,905 15 1 Receipts in Aid— Debentures issued under the Consolidated Stock Act, 1884, for increases of Sinking Fund ... ... ••• Recovered from Cheviot Estate Account in par t 284,500 0 0 117,800 0 0 repayment 250,000 0 0 ... ... 2,220 0 0 Interest paid on debentures charged in previousyear ... ... 4,500 0 6,720 0 0 0 Total ... ... £4,696,754 2 4 Sinking Funds Set Free— The Lyttelton and Christchurch Railway Loan Ordinance, 1860 . ... ... .... Applicable to redemption of debentures under 28.500 0 0 15,200 0 O the Consolidated Stock Aot, 1884, in respect of the New Zealand Loan Act,.1656 — 5,514 O O The New Zealand Loan Act, 1863 ... .... 06,371 0 0 27,000 0 0 The Consolidated Loan Act, 1867 ... ...... 169,700 0 0 231,900 0 0 Totals... ... ... . The Naval and Militabt Sbttlibs and Volunteers Land Act, 1892— . Debentures issued in exchange for remission 294,571 0 0 279,614 0 0 - certificates ... 16.300 10 0 1,180 0 0 Total — 280,795 0 0 Grand totals ... ... ... Treasury Bills— £5,497,688 17 7 £4,977,548 2 4 Treasury bills outstanding at beginning of year 694,000 0 0 ■ — In anticipation of revenue — 335,000 0 0 In redemption of guaranteed debentures ... 476.000 0 811.000 0 0 0 Treasury bills issued during the year , 1,397.000 0 0 1,060,100 0 0 Totals ... ... 2,091,000 0 0 1,871.100 0 0 EXPENDITURE. 1893-94. 1894-95, Permanent Appropriations— £ H. d. £ a. d. Civil list ... ... ... 24,307 3 9 i ; 24,411 16 3 Interest and Sinking Fond ... . 1,885,696 19 7 1,716.889 6 4 Under special Acts of the Legislature ...- 182,484 8 3 189,890 17 6 Subsidies paid to local bodies 63,371 2 9 ! 67,342 13 3 Payments under the Land Acts ... Endowments— 45,515 19 1 ; 44,959 0 2 Ellesmere Lake Lands Act, 1893 ... ... 3,28.1 19 ‘6 Ml. New Plymouth Harbour Board ... 6,367 11 3 6,993 1 10 Grey mouth Harbour Board ... 11,210 8 3 10,577 9 0 Westport Harbour Board ; ... ... 16,334 19 0 15,937 14 10 Total ... ... ... Annual Appropriations— £2,238,760 11 4 £2,077,001 19 2 Class 1, Legislative ... ... 15,860 8 3 17.398 8'10 Class 2, Colonial Secretary 83,852 0 11 66,022 13 4 Class 3, Colonial Treasurer ... , i .24,868 16, 1 24,511 17 6 Class 4, Minister of Justice 115,923 14 1 124,204 6 0 Glass 5, Postmaster-General ... 292,433 83 298,765 15 7 Class 6, Commissioner of Trade and Customs... ’ 62,456 10 6 65.674 10 8 Class 7, Commissioner of Stamps ... . ... 20,535 1 2 20,168 8 7 Glass 8, Minister of Education’s Department... 381,652 6 8 396,234 8 0 Lunacy and Charitable Aid Department 48,714 17 6 54,413 18 8 Department of Labour ... ... ... . 2,757 19 4 3,437 3 3 Class 9, Minister of Mines ... 14.430 7 5 15,602 9 8 Class 10, Minister of Agriculture ... ' 29,789 9 8 42,529 11 1 Class 11, working railways ... : 728.623 15 5 1 7 Class 12, Minister of Public Works 51,858 3 10 50,155 14 6 Class 13, Defence Department ... ... 56,590 4 10 62,156 7 6 Class 14, Police Department ... ... 9,3,904 0 10 94,310 5 1 Class 15, Minister of Lands ... 119,995 6 5 119.763 14 10 Class 16, rates on Crown lands ... ’ ... 921 11 8 i 319 18 0 Services not provided for 2,350 7 0 . 8,884 13 1 Total Amount transferred to Public Works Fund. Part 2,147,598 9 10 2,189,710 5 9 11, in terms of Section 16 of Appropriation Act, 1894 Released sinking funds not applied to. redemption , 250,000 0 0 250,000 0 0 of debentures transferred to Public Works Fund Nil. 17 11 8 Purchase of Cheviot Estate under Land and Income Assessment Act Amendment Act, 1892 260,220 0 0 250,017 11 8 Totals ... ... . - 510,220 0 0 250,017 11 8 Balance at end of year 180,024 5 9 Totals Debentures Redeemed— • £4,290,238 6 5 £4,696,754 2 4 Consolidated Stock Act, 1884 (colonial issue)... Lyttelton and Christchurch Railway Loan 268,071 0 1 264,414 0 0 Ordinance, 1860, matured July 1, 1894 ... -128,500 0 0 15,200 O 0 Totals ... : ... The Naval and Militabt Settlers And Volunteers Land Act, 1892— £294,571 0 0 £279,614 0 0 Remission certificates exchanged for debentures per contra ... ... . 16,300 10, 0 1,180 0 0 Totals ... ■ £5.497.688 17 7 £4,977.548 2 4 Amount Treasury bills paid off during the year ... 1,280,000 0 0 1,061,100 0 0 Treasury bills outstanding at end of year ... 811,000 0 0 810,000 0 0 Totals £2,091.000 0 0 £1,871,100 0 0
1889. 1890. , 1891. 1892. 1893. 1894. 1895. - £ e. d. £ B. d. £ s. £ s* d. £ B. d. £ B. d. i B* d. Amount of debentures and stock in circulation ... 38*376,050 0 0 38,667,950 0 0 38,830,350 0 0 38,713,068 0 0 39,257,840 0 0 39,826,415 0 0 40,386,964 0 0 Gross indebtedness per head of European population ... 62 17 10 62 10 1 61 19 4i 60 14 8 69 16 7 58 17 0 58 11 6 Amount of Sinking Fund accrued ... 1,395.389 0 0 1,383,432 0 0 1,485,427 0 0 1,037,862 0 0 1,113,770 0 0 951,924 0 0 751,932 0 0 Net indebtedness 36,979,661 0 0 37,284,318 0 0 37,343,923 0 0 37,675,206 0 0 38,144,070 0 0 38,874,491 0 0 39,635,032 0 0 Net indebtedness per head of European population ... ... 60 12 2 60 5 4 50 11 11 59 2 0 58 2 7 57 9 10 57 9 0 Annual charges (interest and Sinking Fund) 1,86'6,588 0 0 1,831,421 0 0 1,864,576 0 0 1,843,686 0 0 1,837,169 0 0 1,873,682 0 0 1,656,970 0 0
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https://paperspast.natlib.govt.nz/newspapers/LT18950731.2.42
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Lyttelton Times, Volume XCIV, Issue 10718, 31 July 1895, Page 5
Word Count
17,074THE BUDGET. Lyttelton Times, Volume XCIV, Issue 10718, 31 July 1895, Page 5
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