£4,000,000 IN RATE REBATES TO RAILWAYS

Manawatu Times, Volume LIII, Issue 6672, 27 July 1928, Page 3

£4,000,000 IN RATE REBATES TO RAILWAYS

TO BE PASSED ON IN LOWER V FREIGHTS. British Official Wireless. ; RUGBY, July 25. As a result of the changes, in the derating scheme announced in the unemployment debate in the House of Commons last night, a reduction by 75 per cent, of the amount paid in local taxation by the railways will . take effect as from December 1 next instead of October 1 of next; year. This will involve handing to the railways £4,000000 annually, and, as under the scheme the railways must immediately pass on this relief to industry in the form of lower freights for iron, coal, agricultural products and- steel, it is anticipated that the heavy industries will at once benefit. The Chancellor of the Exchequer, said that the freight reliefs for coal traffic would reduce the cost of export' and bunker coal by 7id per ton, and coal for the steel industry by 10J per ton. Entire relief' from local rates would be enjoyed,by agriculture when the scheme came into full effect next year, and productive industry generally would also be relieved of 75 per cent of the rates which now constituted a heavy burden. . , It was also announced that the Government proposes to introduce legislation extending the exports credits guarantee scheme for a further two. years from September of next yesr when tho existing scheme expires. This scheme empowers the_ Government to guarantee traders against bad debts, on approved foreign orders. Regarding tho proposals of the Industrial Transference Board, it has been decided that employment ex-, changes may advance to ‘ men -trans-, ferred from one district to another'in, search of work money for railway fares, removal expenses ’ and remittances to wives and families. These arc loans to be repaid in small instalments. The suggestion that migration with-, in-the Empire should bo -stimulated,; also has the approval of the Government, and a discussion of further powers will bo undertaken with tho /Do-, minion Governments by Lord Lovat, Under-Secretary for the Dominion, who is chairman of the Overseas Settlement Committee during his coming visit , to; Canada, Australia and New Zealand.