Labour Suggests Tax on Necessities

Manawatu Times, Volume 64, Issue 97, 27 April 1939, Page 7

Labour Suggests Tax on Necessities

DEBATE ON BUDGET LONDON, April 25. Speaking in the Budget debate, the Leader of the Opposition, Mr C. R. Attlee, said: “I am glad to see a certain concentration on luxuries. The Government should have gone further, not necessarily from the viewpoint of soaking the rich, but concentrating on necessities and not luxuries.” Mr Attlee asked whether the peak of the expenditure on armaments had been reached. He said that the Chancellor had shirked the problem by borrowing, which would lead to inflation. The mass of the people would have to pay the price. Accumulated wealth would have to be taxed sooner or later.

The Liberal Leader, Sir Archibald Sinclair, stressed the demands of luxury upon skilled labour and suggested that skilled workers engaged in the motor industry might be better employed on rearmament. The Budget, he said showed little evidence of mobilisation of the country's economic ar.d flnancia resources.

Mr R. J. G. Boothby (Conservative) axpressed the opinion that it wat necessary to devise a technique for extending the export trade and avoiding a ierious adverse balance. National income, he said, must be increased by Jicreased production. Mr A. P. Herbert (Independent) re that betting was not taxed, and described this as a national imbecility He referred, as an example, to Am :ralia. saying: “I was there in 192 f vhen 10 per cent, cf every bet in Nei South Wales was collected as taxatioi Twenty-million pounds a year could b •aised here, which is nearly tile sum tho Chancellor wanted.” EFFECTS OF NEW DUTIES PERHAPS NOT SO SERIOUS Received Wednesday, 8.25 p.m. LONDON, April 26. An automobile association official .•‘aid the taxation on motor vehicles and fuel in 1937-38 yielded over £54,70U,000. It is estimated on tho existing scale that the yield will be £93,000,000 for 1935-39. Cars were no longer a luxury and must be used for business purposes. A tobacco expert expressed the opinion that the increase in duty would cause people to turn increasingly to Empire tobacco, which would still enjoy a preference of 2s. a pound duty. A large firm of photographic dealers said the shilling roll was favoured by amateurs. The duty would be increased 3d, not 2d as the Chancellor estimated,