“EXPRESS” TELEGRAMS.

Marlborough Express, Volume VII, Issue 423, 21 August 1872, Page 2

“EXPRESS” TELEGRAMS.

Last Wight’s Parliament. The Financial Statement. Reduction of Duties. The Colonial Treasurer, Mr Vogel, delivered the following financial Statement last evening. He cc; menced by remarking that lie had a mo;agreeable task than that which devolved upon him last year, for he had not now to speak of deficiencies, or of impaired revenue. When last session he reviewed the results of the.year 187071, he led the committee to understand that, on the close of the accounts for that year, there would be a deficiency of .£70,912, together with £70,000 of overdraft —a total of anticipated deficieny of £136,000. He was glad to say that the deficiency proved to be only £12,200 or £130,000 less than was anticipated, that reduction being mainly owing to saving in connection with the Reserve Fund. The House authorised the Treasury Bills for £45,000 at one year’s date, and a like amount at two year’s date, partly to cover the deficiency ; the balance to come off current revenue. ,It would be found that the current revenue of the past year had performed its part of the bargain, and provision would be made this year out of the revenue to meet the £45,000 increasing bills due this year with respect to loans. £66,000 under the Wellington Debts Act had been negociated at Sydney at a clear nett premium of 2 per cent. ; he believed that that was the highest’ amount ever obtained by public negociations for any of the Colony’s debentures unguaranteed by the Imperial Government. Of the Immigration and Public Works Loan, £850,000 had been negociated, and of the Defence and other purposes Loan, £150,000, making together one million. That amount had been negociated at home at a premium of four shillings and twopence, after deducting accrued interest, which must be considered a very favorable negociation. Inclusive of the £150,000 recently negociated, there had been raised under the Defence and other purposes Loan £635,000 of which there was charged under the second schedule of the Act—To Auckland, £50,000 ; to Taranaki, £6,000; to Wellington, £17,000 ; and to Otago, £90,000. By turning to the second schedule of the Act, hon. members would at once see theamount of the various payments under it; the total under this schedule was £163,436. Under schedule one there has been expended £295,588, together with £18,327 for discount and chaiges, making together a total of £471,352, and leaving a balance of £158,000 available for expenditure. Of this £158,000, £1.50,000 was in cash in London ; £309 in cash in the Colony; and £7,000 under advance in the Colony. Of the Immigration and Public Works Loan there had been altogether £1,600,000 raised, in addition to that sum £27,294, being a moiety of the stamp duties. The total was £1,637,294 ; of that sum £711,611 was expended up to the 30th June last, leaving a balance of £925,684, of which £850,000 was in London on the 30th June ; L 40,666 was in the Colony in cash; and L 35,017 was under advance. The items of expenditure under the Immigration and Public Works Loan were— Interest and Sinking Fund, L 19,000 ; Departmental expenses, L 24,000 ; Roads in. North Island, LI20,000; Railway, L 24,000; Water supply, L 20,000 ; Purchase of land in North Island, L 29,000 ; Immigration, L 42,000; Telegraph, L 58,000; Coal mines, LSOO ; Payments to Road Boards and Provinces, L 100,000; Greymouth Protective Works, L 3,000; Discount and charges, L 39,000. Before concluding his remarks concerning the loans, h wished hon. members to understand that provision was made for payment during the year of L 66,000 Sinking Fund on Colonial Loans, andL4o,ooo on Provincial Loans; those payments represented the sum which the Colony and the Provinces provided for reducing the public debt. On the :30th June last there was L 440,000 in the Trust Fund, of which L 387,000 was invested, and L 50,000 cash. On the 30tb June, 1871, the amount in the Trust Fund was L 343,000, so that it had increased during the year by L 96,000. The Post Office Savings Bank Fund had increased from L 294,000 |in 1871 to L 365,000 in 1872 ; those amounts, it should be clearly understood were kept entirely distinct from ordinary revenue and ordinary payments, and he had taken the strictest precaution to secure that the interest, leaving amounts, were sufficiently covered for all accrued interest. He would next speak of the Revenue pf the year 1871*72. The actual Revenue

of the year was £1,007,000 against £990,000 estimated, and £936,000, the actual receipts of the previous year ; there was therefore an increase of £71,000 over the actual receipts of 1870-71, and of £17,000 over the estimate. The Customs revenue showed an increase of £25,000 on the estimates, and of £42,000 over the amount actually received during the previous year. The Exports during the year has exceeded those of the previous year by £1,181,000, and the Imports showed an increase of £427,000. Amongst the exports Gold had increased £135,000 over the previous year, Wool showed a considerable increase in quantity and in value, the Stamp Duty had yielded £SOOO less than was estimated, but on the Postal revenue there was an increase of £2,000 over the estimate, and the receipts of the Telegraph department showed a small increase, the receipts of the year being £1,007,000. There was to be added on account of credits |of Yotes £2OOO, Treasury Bills £90,000, Deferred Bills £IOO,OOO, making the total Receipts of the year £1,199,000 ; still in addition there were assets amounting to £62,000, so that with receipts and assets the total for the year amounted to £1,261,000. The year’s increase, as remarked in revenue, and the events of the year as a whole, showed a revival of prosperity with the Colony ; gold mining was improving ; wool increasing in value ; the Land Revenue had been largely increased; building was going on all over the Colony, not only as regarded dwelling-houses, but as regards erections for business and manufacturing purposes, and generally much more attention was being given to manufactures of various kinds. With respect to Agriculture, he was under the impression that he had stated that he did not know as much of wbat was really being done, or given to it the assistance that ought to be given. During the five yeai’S ending 1871, there had been a continuous increase in the value as per head of the population of the agricultural produce exported from the Colony. The expenditure during the past year for Colonial charges was, according to the Appropriation, £565,000, Supplementary Expenditure upon Colonial account amounted to £55,000, Capitation Allowance to Provinces £200,000, Excess of Payments to Provinces £31,000, Deficiency, but paid off £60,000, Liabilities from 1870-71 £62,000, Payments over Special Fund on account of a liability of the previous year £20,000, half amount of Stamp Duties paid to Immigration and Public Works Account- L 37,000. Those sums made a total of £1,014,000. There were still due liabilities on account of interest due in Sydney on the Ist July, and interest on a sinking fund payable in London up to 14th July, amounting to £109,000, Reserve Fund £14,000, Miscellaneous £123,000, Deficiency Bills £IOO,OOO ; adding all these items together there was a total of £1,250,000 expenditure, which deducted from the total amount of the revenue left a balance of £IO,OOO with which to commence 1872-3. Stating the matter in another way, the figures stood thus Assets, £247,000 against liabilities to the amount of £236,000, thus leaving the same balance of rather more than £IO,OOO, with which to commence the year. It was to be observed that the full amount authorised to be issued as deficiency bills, namely £IOO,OOO had been issued, but the greater portion of this amount did not bear interest, being merely a nominal overdraft at the Bank, £40,000 of the amount had been taken by the Trust Fund. Some objection was stated last year to allowing the Government to reissue £IOO,OOO of deficiency bills, but in reality it was of no assistance to the revenue, as the greater portion of it was represented by advances of outstanding from the consolidated, for the full amount was more than represented in the assets. Hon. members would understand that after paying the deficiency bills, and after providing for the unauthorised expenditure of last year, after providing for the expenditure of the year, after providing for the Reserve Fund, and for all the liabilities and engagements known to the Treasury, after having in fact provided for interest and Sinking Fund due in London up to the 15th of July, or fifteen days beyond the close of the financial year, there still remained a balance of £10,500 with which to commence the year 1872-3. The Treasurer next described the proposed changes in the system of keeping the Public Accounts. According to the plan which would be submitted, the ControllerGeneral and the Auditor-General would be associated together as Commissioner of audit, and the Paymaster-General’s account would be abolished. The new system had already been initiated to some extent, al-

though it would impose upon the Tre an amount of check to which it Ifii hitherto been subjected, the depart would learn to accustom itself to check ; the new system would answet double end of securing the full autli of Parliament over the expenditure of enabling accounts to be made up promptly than hitherto. He had had prepared some intere statistics comparing New Zealand other countries, taking the year ] which was the latest for which rei could be found. It appeared that revenue of the United Kingdom L 65,000,000 sterling, of which less L24 ; ,000,000 were obtained under Customs, and L 20,000,000, the ainou the excess represented the duties onspi During the same year the total aim collected in New Zealand, including taxes collected by the Provinces L 912,000 ; if there was the same taxa in New Zealand as existed in Great tain, although the English Customs T would nor of itself yield so much as thi the Colony, the total revenue wonl made larger than it was at present. St Duties in the United Kingdom represei 6s per head of the population or 'ns fifty per cent more than in New Zeal A comparison of the quantities of 1 dutied goods consumed in New Zeal and in the United Kingdom showed i clusively the wealthier comparative < dition of the Colony. Of Spirits there consumed in the United Kingdom, head of the population per year, under gallon, but in New Zealand the avei was two and one-tenth gallons. Tort one and three-tenths pounds per he® the United Kingdom ; in New Zeal two and six-tenths pounds per head. “W five-tenths of a gallon per head in Gi Britain against six-tenths in New Zeal Tea, three and four-tenths pounds in United Kingdom, against seven and# tenths pounds in New Zealand. Coffi little under one pound per head in United Kingdom against a little over t pounds per head in New Zealand. Siij forty-six pounds per head in the Tint Kingdom against sixty-seven pounds New Zealand. The English Tariff wo have yielded in Now Zealand L 643,0 as against L 823,000 actually obtained } for Customs duties; but if other taxaf bore the same proportion to Gusto duties here as in the United Kingdom,i total revenue of New Zealand would in been L 1,200,000 in 1869, assagai L 894,000 actually returned during tl year; but besides that the local taxati in the United Kingdom amounted to m fifty per cent of the general taxation, wt iu New Zealand the local taxation wasij much less. The secret of the appait heavy taxation of the Colony was to found in the facts that the rate per ti of the value of imports and exports! considerably higher than it was ini United Kingdom. During 1869 I value of Imports in the United B dom Avas 1/9 14s 4d per head the population, and the Exports Ll-5 per head. Honorable members woi recollect that our imports represented! merely consumable or perishable goo but articles of lasting value and means increasing wealth. During the five)'® ending 1871, the total value of our i ports Avas tAventy four millions, of win L 5,600,000 was the value of non-con mable articles, so that to that aipw articles of permanent value, means on creasing Avealth Avere a (filed to the Cold By another return it appeared that W year ending April first 1872, the vain® imports into Great Britain Avas less C the value of exports, and repress L 8 3s per head of the population, avlu® New Zealand during the same under the same conditions, the imp® represented LIS 6s per head. The produce and manufactures exported ‘ the United Kingdom represented value equal to L 6 6s per head,ha value of Noav Zealand produce exp from the Colony represented Ll 7 rt 5 | head. During the same year the PosW revenue in the United Kingdom equal to 2j,‘d per head of the popular against fd per head in Ncav Zealand. . Telegraph Kevenne amounted to per head in the former case, Is 9d in the latter. The popular England and Wales in 1861 showed proportion of males betAveen the ag , 16 and 65 equal to 28 per cent, wm-j Nbav Zealand 1871, the tween those ages Avas 37 per centto the neighboring Colonies, that the percentage of persons bet" ages of 21 and 40 Avas 38 per cent, 29 per cent in Ncav South Wales j a in Victoria, The increase of P°|f. „ during the ten years ending I 8 ' !

n . New Zealand equal to 165 per cent as against 46 per cent in New South Wales, and 36 per cent in Victoria. During the same ten years the increase in the .population between the ages of 21 and 40 was 162 per cent in New Zealand 3 18 per cent in New South Wales, whilst in Victoria there was a decrease of ten per cent. A comparison of the exports and imports showed most favorably for New Zealand. Leaving on one side imports and exports and the value of the exports, the result was Victoria Ll 4 ,4s per head, New South Wales £l2 9s, Now Zealand L2l 16s per head, or if the native population were included LIS 4s per head. Taking the exports, the figures were Victoria Ll 4 10s per head, New South Wales LI 2 16 per head, New Zealand LI 9 2s per head or including the native population LI 6 8s per head.

If the principal productions of the colonies were considered, theresults were more strikingly favorable in New Zealand. Thus upon the averages of the five years ending 1871, New Zealand exported gold to the amount of LlO 8s per head per annum of the population against L 7 19s in the case of Victoria, and 10s in that of New South Wales. For the same period the New Zealand average exports of wool was equivalent to 1-6 9s per head as against L 5 7s for Victoria, and Smth Wales. The exports of agricultural oduce and timber from New Zealand for e same period was equal to 13s per head of the population per year, from Victoria those exports averaged only 3s 4d per head and from New South Wales 10s 6d per head, A further sum must be added in the case of this colony for flax, the exports of which, including native population, was equal to 4s Id per head. Much had been said and written respecting the New Zealand oppressive Customs Tariff, but if the Victoria rate, which included ad valorem duties had existed here, and if the values were the same as at present, wo should have raised as Customs revenue during 1871, L 781,000, against L 731,000, which we actually received ; that disposed of the allegation as to the higher rates of taxation in New Zealand as compared with Victoria. It was to be borne in mind that, the Native question had cost New Zealand five millions sterling in the shape of expenditure more than would be required in a Colony situated like Victoria, and that fact showed how great the resources of this Colony really were. It was alleged that the cost, of Government here was heavy ; of course the rate per head of that cost was large because the population was small. It was especially to be remembered that here the smallest aggregation of population asked for and expected to x’cceive all the conveniences which in older Colonies were only expected by large communities; but still the comparison of the departmental cost of Government was favorable to New Zealand. Taking the financial year 1871-2, the Colonial expenditure in New Zealand, exclusive of Interest and Sinking Fund, amounted to 1/594,000 ; the expenditure m?, the several Provincial Governments for vdvil Service purposes, including education, police, gaols, harbors, and miscellaneous, but excluding public works, was L 201,000 ; together those sums made a total of L 8 1-6.000 against an expenditure in Victoria far like purposes of L 1,415,000. .Turning to the proposed expenditure for 1572-3, the total amount on the Estimates was L 933,830, showing an increase of L 20,000 on the appropriation for 1871-2; that increase was principally represented by increases in permanent charges, such as LSOOO for interest on L9n,000 of Treasury Bills and LI 1,000 interest for Defence and other purposes Loan. Other items going towards the increase were the additional amount for Members’ expenses, cost of buildings, now become a Colonial charge, and the expenditure on account of the Manakau Light House. There was also an increase in the expenditure of some of the debts such as Telegraph and the Land Registry. Honorable Members in looking through the Estimates must decide for themselves what they would consider as reductions in expenditure fairly coming under the head of retrenchment, or under that of reductions, rising from there not being a necessity to continue certain services or offices. To the expenditure set down in the Estimates there must be added L 208,000 for Provincial Capitation Allowance as against 200,000 last year, mostly of Stamp Duty Receipts to be, paid to Immigration and Public Works Fund, L 40,000 Treasury Bills ' falling due during the year L 45,000, being the second instalment of the deficiency . statedlastyear and leaving only L 45,000 to be cleared off next year. There must also be added a sum of L 21,000, which it was pro-

posed to pay to the Immigration and Public Works fund, in addition to one-halt of the Stamp Duties, which had been paid over to that account; the L 21,000 being calculated to represent fully the amount of interest and sinking fund, the payments made for works completed and on final payments ; this would make a total expenditure of L 1,060,000. It should be remembered that the capitation allowance to Provinces represented LBOOO more than was paid last year. It was proposed also to relieve the Provinces from payment of LI9OO a year for salaries of Provincial Auditors, and L 23,000 a-yeai', the cost of Inland Mail carriage. These sums together would represent a payment of L 32,000 out of the Consolidated Revenue, to and on account of the Provinces more than was paid last year’. It was not proposed to continue the extraordinary aid of L 50,000 which was last year granted to the Provinces, in consideration of its being alleged that their engagements to meet which required that amount, but L 30,000, being again the same as last year, would again be paid to Road Boards. The estimated loial of the year was L 1,076,000. Tie principal items were, Customs L820,00P, Stamps LBO,OOO, Postal L 50,000, Telegraph L 331,000, Judicial Fees and Fines L 32,000. It was estimated -that the Stamps this year would yield LBO,OOO, although several remissions would be proposed, namely, the annual license fee on Companies for the Promotion of Industries and Colonisation, such as Meat Preserving Companies, Saw Mills Companies, Steamboat Companies, Tramway Companies, Immigration Companies, Public Hall Companies, and Fishery Companies. It would also be proposed to remit the stamp duty upon cheques of Friendly Societies, and upon receipts given to them for monies disbursed by them, and to remit the duty on all Conveyances of Land in trust for Religious, Charitable, and Education purposes. It would also be propossd that the stamp on receipts should be reduced to one penny, and the Postal revenue was estimated at L3OOO more than last year, notwithstanding .the contemplated reduction of the postage on newspapers to one half-penny. So many newspapers were now sent by coach which would, no doubt, be sent through the post under reduced rates, that it was not considered the reduction would diminish the revenue of the department; the total estimated revenue, then, was L 1,076,000, or an increase of L 86,000 on the Estimates, of L 68,000 on the actual receipts of last year. Adding L 10,500, the amount of the surplus with which the year was commenced, there was a total of L 1,086,000, and deducting the total proposed expenditure, L 1,000,000, there would remain L 25,000 surplus upon the year. A portion of that surplus would be required to meet Supplementary Estimates and unauthorised expenditure. It must also be remembered that when the Estimates were commenced the report of the Select Committee on public buildings had not been received, which report contained a recommendation that a considerable sum should be expended on the repair of the buildings. Provision for that ependiture was of course not included in the Estimates. On the other hand, there would certainly be during the year a saving on votes, and he was inclined to

think that if the House should desire that a further payment should be made in aid of the Immigration and Public "Works account, such payments could be made out of the surplus, t In conclusion he thought he need not apologise for the paucity of novel features and new proposals in the Budget. After the changes during’the last three years, it was gratifying to be able now to dispense with further large alterations. This was? a fourth consecutive session in which he had made the Financial Statement; when he considered the period covered by those statements, he could not but congratulate the Committee upon the present improved condition of the affairs of the Colony. He hoped he had avoided creating in the minds of the Committee anything like an impression that the Government took credit not belonging to them. The great revival of prosperity in the Colony was due to a power higher than that of Kings or People. All that the Government claimed was that when there was a disposition to despondency they set themselves to do that which seemed best calculated to restore confidence, and they called upon the people not to be discouraged but to arm themselves to contend with their difficulties, and to hope for a bright future ; that that future had shown itself in such bright colors was due to a power beyond all Governments. .

The Treasurer concluded by moving a resolution that it was expedient to reduce

the Stamp Duty on receipts to one penny. The resolution was agreed to by the Committee, was reported to the House and adopted. The House than adjourned. The delivery of the statement occupied two hours and a quarter.