ARMS EXPENDITURE

Manawatu Standard, Volume LVII, Issue 63, 13 February 1937, Page 9

ARMS EXPENDITURE

PROSPECT FOR FIVE YEARS. MAY EXCEED £1,200,000,000. “A GREAT TASK” FACED. (United Press Association—By Electric Telegraph.—Copyright.) LONDON, Feb. 11. The Daily Telegraph’s political correspondent says the unofficial estimates place the defence expenditure in the next five years at £1,200,000,000. “Lot countries throughout the world mark the determined effort we are making,” said Sir Samuel Hoare (First Lord of the Admiralty), at Birmingham. “Let them remember that when we put our, hands to a great task we are willing to make great sacrifices. Though we might be slow in starting, we are remarkable for our way of eventually reaching the winning post. A great empire that is also weak is a menace •to stability and a temptation to an aggressor.” The Times, in an editorial, says that the scale of British rearmament is wholly conditioned by the rearmament of others and the failure of nations to agree upon the stabilisation which is still earnestly sought by Britain. The Daily Mail’s political correspondent says it is assumed that the rise in income tax will now be smaller than was anticipated. Members of the House of Commons in close touch with the Government express the opinion that it will not exceed threepence. Mr Neville Chamberlain’s announcement, made after the close of business, did not affect prices on the Stock Exchange. The market, already dull, is unlikely, in the opinion of the Times city editor, to derive much encouragement from the statement. Conditions for raising a loan are hardly favourable at present. Liheral members of the House oi Commons will meet shortly to decide their attitude. In the meantime they express astonishment at the magnitude of the sum. LABOUR OPPOSITION.

The executive of the Parliamentary Labour Party met immediately after the announcement and unanimously expressed the opinion that the plan should be opposed. Mr F. W. Petliick-Lawience (Labour), a member of the executive and Financial Secretary to the Treasury in the last Labour Government, said after the meeting that the loan would lead to boom conditions in which there would be a vast “rake-off” in the shape oi windfall profits, followed almost certainly by a depression, the brunt oi which would be borne by the workers in the shape of a reduced standar-d oi life. GERMAN COMMENT. “WE SHALL REMEMBER.” LONDON, Feb. 11. Official circles at Berlin find nothing to criticise in news of the loan. An official spokesman said: “We take it that now Britain is making use of her rights as a matter of course. AVe shall remember this when wc are criticised.” The astronomical figure of the loan when converted into lire is taken at Rome as final proof that Britain is now at the head of the armaments race. The news of the loan' was welcomed at Paris, but it is regretted that such expenditure is necessary. Britain and France would have preferred a strong League and disarmament. IMPERIAL DEFENCE. VALUE OF AIR PATROLS. LONDON, Feb. 12. The Daily Mail’s Aviation correspondent at Singapore reports that the recent manoeuvres provided overwhelming evidence of the advantage of oversea air patrols. The lesson was supremely important in the strategic defence of Singapore, Australia and New Zealand, which, equipped with aircraft, wiil be less vulnerable than in the past. DEFENCE OF LONDON. BALLOON BARRAGE PLAN. (British Official Wireless.) RUGBY, Feb. 11. It is announced that plans have been made by the Air Ministry for the manufacture at the Royal Airship Works at Cardington, near Bedford of a certain number of balloons for use in balloon barrages which will form part of the air defence of London. Since the construction of airships was discontinued at Cardington the establishment there lias been maintained on a skeleton basis. ARMAMENT SHARES RISE. Received February 13, 9.55 a.m. LONDON, Feb. 12. The gilt-edged security market open cd lower but later recovered. Armament shares are strong as a result oi the Chancellor’s rearmament statement.