Gravity of Britain’s Financial Situation

Manawatu Times, Volume LIV, Issue 6627, 14 August 1931, Page 7

Gravity of Britain’s Financial Situation

Mr Baldwin’s Unexpected Return

Three-Party Conference Next Week

United Press Assn.—By Electric Telegraph.—Copyright Received Friday, 2 a.m. LONDON, Aug. 13. Mr. Baldwin, wlio is holidaying in Aix le Bains unexpectedly returned to London to-day, strengthening the belief that there will he a Three-Party Economy Conference next week. Rt. Hon. Neville Chamberlain has also returned. The city regards the return as a timely recognition of the gravity of the financial situation.

The Daily Telegraph understands that while the Conservatives are not unwilling to participate in the Three Party Conference on economy the responsibility must he the Government’s. Ayy proposal in the direction of a National Government "would be rejected.

Budget Must be Balanced

ment Departments affected by the proposals of tlio Economy Committee, which are estimated to effect a reduction of expenditure next year of £06,000,000. The Sub-Committee will decido, after a study of the proposals, the general direction in which economies shall be made in order to provide for the balancing of the next Budget. It is known that the Prime Minister and the Chancellor are lirmly resolved on securing a balanced Budget, and it is denied that there are any differences between the Ministers with regard to the imperative necessity of a balanced British Budget, which the Daily Herald to-day described as an “integral part of world financial security.” It is understood that to-day’s meeting explored the whole ground and dealt generally with th_c situation. After to-morrow the Committee is not expected to meet again until Monday, when it is hoped that it will bo possible that the next stage will evolve consultation with representatives of the two Opposition parties, but nothing definite is known as to the Government’s intentions.

MINISTERS AGREED. ECONOMY PROPOSALS STUDIED BY CABINET. British Official Wireless. RUGBY, Aug. 13. The Cabinet Sub-Committee, consisting of tho Prime Minister (Mr. J. Ramsay MacDonald), the Chancellor of the Exchequer (Mr. Philip Snowden), the Foreign Secretary (Mr. Arthur Henderson), the President of the Board of Trade (Mr. Walter Graham), and the Dominions Minister (Mr. J. . Thomas), which is to advise Cabinet regarding the recommendations of the Committee appointed in February at the request of the House of Commons to review national expenditure, met for the first time this afternoon, and after a session of nearly four hours, adjourned until to-morrow. The Sub-Committee is in possession of the observations of all the Govern-