REVISED ESTIMATES

Manawatu Standard, Volume LXV, Issue 224, 21 August 1945, Page 4

REVISED ESTIMATES

HIGHER EXPENDITURE. NO TAXATION RELIEF. (P A ) WELLINGTON, Aug. 20. 1 In a statement issued today the Minister of Finance (Mr Nash) reared to the undertaking he gave on the occasion of the recent adjournment of Parliament to submit rev sed estimates of New Zealand's war financial programme consequent upon the conclusion of peace. The revised estimates have been P re P ared .,. u P • ™ the probable date of demobilisation which should be reached early next year, dependent of course on the availability of shipping and other important factors affecting the positaon After their return to New Zealand the men will be entitled to draw their balances of pay. Then those who are qualified will be given three months leave on full pay and allowances. Provision has also to be made for mufti allowances, deferred pay and war gratuity. , .. , 7J "Allowing for all these factors continues Mr Nash, "the revised estimates for W r ar Expenses Account expenditure are as follow showing for comparison the actual Budget figures rearranged into the appropriate headings " (In the following itemisation the first figure in each case represents the "Budget estimate 1945-46 and the second figure represents the revised estimate to demobilisation ): £ £

REVERSE LEND-LEASE. “Most of the foregoing items are self-explanatory,” stated Mr Nash, “but it is pointed out that in connection with the item ‘war and other stores’ there is no question of continuing the importation or manufacture of such stores, but provision requires to he made for meeting charges in respect of goods already supplied or shipped. A large portion of the provision in fact relates to stores of Lend-Lease origin. “The expenditure contemplated under reverse Lend-Lease beinn; assistance given to our American allies has been tentatively stated at £22,000,000 under the amended proposals, showing a possible reduction of £2,000,000 against the Budget estimate. It is not possible at this stage to fix any final figure under this heading as the amount required for this purpose will depend on the result of the reciprocal negotiations between the Governments concerned.” In the case of gratuities, 'estimated to cost £18,000,000, Mr Nash said that, while the procedure. .for these was as indicated in the Budget at present being worked out, it was ‘ necessary to make financial provision [for the amount involved." “From the factors mentioned it > will be appreciated that it is difficult to estimate how much of the sum of over £139,000,000 will come to charge during this financial year,” added Mr Nash, “but any amount not expended by March 31 next will come to charge early in the next financial year. Now that the war has ended the Government is anxious to have all matters completed as soon as possible. ‘‘lt is clear that there will be no scope for an adjustment of taxation this financial year,” the Minister' added. “However, the Government fully realises the necessity for reviewing the taxation position at the earliest possible opportunity in order, firstly, that the taxpayer may be relieved from some of the financial burdens he has borne during the war period; and, secondly, that industry generally may be given that scope and impetus to reorganisation and development so essential to provide worthwhile permanent employment in industry for our men and women coming out of the Armed Forces.”

Pay and allowances 35,200,000 38,972.000 Accommodation, food and clothing5,500,000 5,872,000 War and other stores 21,170,000 22,029,000 Medical and ' educational services 640,000 937.000 Land, buildings, etc. 2,100,000 2,115,000 Repairs, maintenance, etc. 1,100,000 1.467,000 5,500,000 9,257,000 Miscoll'oiis services 1,094,000 1,424,000 Empire air training scheme Total Navy, 3,096,000 3,096,000 Army and Air 75,400.000 85.249,000 Reverse Lend-Lease 24,000.000 22,000,000 4,000,000 6,000.000 2,000,000 3,000,000 nil 5,000,000 nil 18,000,000 105,400,000 139,249,000