£80-Million Loan Authority

Manawatu Times, Volume 66, Issue 187, 8 August 1941, Page 6

£BO-Million Loan Authority

1 WELLINGTON, Aug. 7. A Finance Bill of 43 clauses, containing numerous amendments to existing laws, thus qualifying as a “Washingup” Bill, was introduced in the House of Representatives last night by the Minister of Finance, Mr. WJNagh. It provides for the borrowing of £50,000,000 for war purposes, doubling the sum authorised under a similar Bill last year, and also sanctions other borrowing. It patches and repairs earlier legislation and increases certain State benefits. The Minister is also given power to borrow an additional £1,000,000 for electric power works. There is also an

increase of borrowing power in respect of the State coal mines, the total being raised to £510,000. In addition to other money payable to the account, it is to bo credited with three twenty-thirds of the revenue from income tax during the financial year ending on March 31, 1942. Power is included for paying from tho Consolidated Fund amounts not exceeding £200,00 into various superannuation funds. Mr. Nash said tnat the promised increases in war veterans' allowances in respect of each dependent child are also made, the sum being raised from £l3 to £26 a year, and the maximum payable to a veteran, his wife and children being raised from £156 to £2OB a year. This section comes into force on September 1, 1941.

Promises made in the Budget of certain increased benefits under the Social Security Act are also redeemed. The commission is authorised in certain cases to increase age benefits by £26 a year instead of £l3. In addition, the rate of benefit for children of persons receiving age benefits may be increased to £26 a year. Family benefits are also to be payable in respect of the first child, and the maximum rate* of invalids' benefits is raised from £2OB a year to £234. A new increase, ont mentioned in the Budget, is a payment of 10s a week for each child under tho sickness benefit, as well as in tho widow's and age benefits. There is also provision for minor exemptions in the payment of national and social security taxes by trustees.

1 Mr. Nash added that another clause, which was involved, and which related to a subject discussed at length last year, stipulated that the value of farmers' livestock at April 1, 1940, was the same as its value on March 31, 1940. It removes an anomaly pointed out last year.