CHANCELLOR SPEAKS FOR 4 1/2 HOURS.

Marlborough Express, Volume XLIII, Issue 105, 1 May 1909, Page 5

CHANCELLOR SPEAKS FOR 4 1/2 HOURS.

HOW MONEY IS TO BE RAISED

TAXING THE WELL-TO-DO

ADDITIONAL IMPOSTS ON TOBACCO AND SPIRITS.

THE NAVAL PROGRAMME

[PRESS ASSOCIATION.] (Received April 30, 9.45 p.m.) LONDON, April 30. Mr Lloyd-George, Chancellor of the Exchequer, delivered his Budget speech last night. The House of Commons was crowded, except the strangers' gallery. The Chancellor spoke for four and a-half hours. He claimed that the increased expenditure was substantially incurred with the unanimous assent of all parties. The growth of temperance added considerably to the financial difficulties. He had to find £16,000,000, which would leave a surplus of £488.000. He proposed to meet the deficiency by reducing the contribution to the sinking, fund by £3,000,000. Income tax on earned incomes would be as follows:—Below £2000, ninepence, as heretofore; £3000,' one shilling; above £3000, fourteen pence. There would be a further supertax of sixpence on incomes over £5000. The income tax changes would yield £3,500,000. He expected that the supertax the following year would alone yield £2,300,000, _ based on the amount by which the income exceeds £3000. # The sum of £2,850,----000 would be raised by the revision of the estate duties, and £650,000 by the increase of stamp duties on share transactions. Motors would be taxed from 40s to 40 guineas, according to the horsepower, doctors' cars paying half taxes. Motor cycles would be taxed £l, and petrol threepence per gallon, with a rebate of three-half-pence to commercial cars. The motor taxes would yield £600,000, which would be spent in the improvement of roads.

The Budget proposes that the State shall take 20 per cent, of the unearned increment of land payable at death, and when land is sold a further halfpenny in the pound on the capital value of undeveloped land and ungotten minerals; also one halfpenny in the pound on mining royalties; also a ten per cent, reversion duty on the benefit accruing at the termination of a lease. The land taxes are expected to produce £500,000. The increase-of eightpence in the pound on manufactured tobacco is estimated to yield £1,900,000; the increase of 3s 9d per gallon on spirits will yield £1,600,000. The revision of liquor licenses and uniform percentage of the. annual value will produce £2,600,000. Mr Lloyd-George suggested _ that the whsiky duties would justify an increase in the retail price of one-halfpenny per glass. The Government, the Chancellor said, were considering the question of industrial insurance—compulsory, self-contributory and State-aided, while preserving existing benefit societies. They proposed next year to give pensions to workhouse septuagenarians. In conclusion, Mr Lloyd-George said that the greater ■ part -of the cost of "Dreadnoughts" would fall next year. If contingent "Dreadnoughts" were built the naval bill would' be gigantic; nevertheless the Government did not intend to avoid their obligations— failure to do so would not be Liberalism, but lunacy. But it would be an act of the greatest unwisdom to throw away eight millions; they could not build a Navy against nightmares. The increased yield from his new taxes would make necessary provision for the Navy next year possible without resort to the vicious expedient of a loan.

Incomes under £500 will be granted an abatement of £10 per child for children under 16.