A POLICY SPEECH.

Marlborough Express, Volume XLIII, Issue 106, 3 May 1909, Page 5

A POLICY SPEECH.

THE PRIME MINISTER AT INVERCARGILL.

FINANCES OF THE DOMINION

BETTER TIMES AHEAD

SUBJECTS FOR LEGISLATION

[press association.]

INVERCARGILL, May 3. .The Prime Minister had a crowded audience in the theatre on Saturday night, when he delivered his policy speech. . Sir Joseph began by saying that notwithstanding the depression our finances were

EXCEEDINGLY SATISFACTORY. He had estimated the surplus at £74,503, and it actually was £184,----321; and after paying over'£Boo,ooo to the Public Works Fund the revenue was £9,001,185, an increase of £16,185 over the estimate, but a decrease on the previous year of £54,761.

THE REVENUE

for the year exceeded the expenditure by '£215,672. Railways contributed £2,918,507, stamps £1,591,368, land and income tax £920,000. Customs fell off by £148,752, the reason for this being the decrease in imports and excessive importation in 1908^ in anticipation of the new tariff. Notwithstanding the slight falling-off and the lieavy remissions in Customs and railway dues, the revenue was £600,000 more than three years ago.

THE EXPENDITURE was £176,340 less than the estimate, the tvfcmost economy having been observed. In addition another £150,----000 had been" paid off the floating debt of £700,000, which now stood at £250,000. Loans of £2,613,899 falling due this year had been arranged for. The Prime Minister gave particulars of moneys arranged for during the year for the purchase of the Manawatu Railway, renewals, advances to settlers and local bodies, etc. The total was £7,797,000, of which £1,792,000 was to settlers and workers. This

GAVE THE LIE

to the statement that the Government were short of money, and refuted the constant pin-pricking that was going on by the opponents of the Government. On March 11 there was £716,000 cash in the public account at Wellington, £160,810 in , London, and £341,348 in other accounts. He was not satisfied with the way in which the expenditure was mounting up, and the Government had already set to work to

SAVE A QUARTER OF A MILLION

per annum in the Public Service. It was not pleasant work, but the Government must secure substantial reductions while maintaining efficiency. He was glad to say that there were already

SIGNS OF IMPROVEMENT, The Customs revenue for April had gone up £9600, and there was a much better feeling in commercial circles, notwithstanding pessimistic reports. The savings banks showed an increase in deposits of £636,000 for the year, and the post and telegraph business had greatly increased. He ridiculed the agitation against the

MORTGAGE TAX, and the statement that it was driving capital out of the country. Two large nnancial companies had informed him that it did nothing of the kind, and that they much preferred its remaining as it was. The TIGHTNESS OF THE MONEY

MARKET

was caused by so much being locked up. There -were not enough banks in the country, and either they must largely increase their capital or else facilities should be given to establish, others "to keep pace with the expansion of business. He was not in favour, hoAvever, of establishing paper currency, as advocated by some. Upon the question of

DEFENCE

the Prime Minister, went into figures showing that there were 160,000 men over 21, most of whom must be paid if compulsory training were introduced. This would cost over £1,000,000 per annum. No hasty conclusion could be arrived at. The Government would submit proposals for a gradually-improved system.

THE RAILWAYS showed an increased revenue of £167,588, and he was glad to say that the net return would exceed 3. per cent. Steps would be taken further to acquire

NATIVE LANDS

and assist the natives in developing their holdings. The receipts from

NATIONAL ENDOWMENTS slightly exceeded the estimate, notwithstanding the difficulty in getting land into the market. With regard to

RETRENCHMENT,

he announced that no one would be turned out during the winter except where essential, and then compensation would be paid. Among the measures that woiild be brought forward

NEXT SESSION

would be National Annuities and Land Finance and Settlement 81113, amendments to various Acts, especially defence, and legislation on the Public Service to enable many of its branches to be more economically and eifieiently administered. The

ANNUITIES SCHEME was meant for low-wage workers. It would provide a pension at 60 from lls to- 40s per week, according to the rate of contribution, with provision for the widow and orphans if the contributor died. The Prime Minister also intimated that the

SUCCESSION DUTIES would be revised to prevent evasions now going on. Entailed estates would have to pay like others.

SUBJECTS FOR LEGISLATION would be Bankruptcy Law, Company Law, Friendly Societies Consolidation Bill, Hospital and Charitable Aid, Workers' Compensation, Municipal Corporations and Construction of Railways under Private Guarantee.

The Prime Minister concluded by defending his. action regarding the presentation to the Imperial Government of a

"DREADNOUGHT," and received a hearty vote of thanks and confidence.