DEFEAT AVERTED.

New Zealand Herald, Volume LXVIII, Issue 20902, 18 June 1931, Page 11

DEFEAT AVERTED.

AMENDMENT TO LAND TAX.

COMPROMISE WITH LIBERALS.

(Received June 17, 9.45 p.m.) British Wireless. RUGBY, June 16. The anticipated political crisis which Tras expected this evening -when the House of Commons would vote on the Liberal amendments to tho land tax clause in the Finance Bill, came to an unexpected end this afternoon. When the House, having gone into Committee, reached clause 20, a Liberal member rose to move the much-discussed amendment. The deputy-chairman, the Rev. H. Dunnico (Labour) ruled it. out. of order.l He said it should have been put forward on an earlier clause which had already been dealt with.

This development came as a complete (surprise to all the members, who, after Homo discussion, passed on to other business. The Liberals intimated that they would introduce the amendment later as a new clause, a procedure which the chairman intimated he would consider in order, although there is a possibility that the Parliamentary guillotino will fall before it is ever reached.

In any case, a settlement of the point At, issue Avas reached, shortly before the House met, at a further conference between the Liberal leaders and members of the Government. Tho Primo Minister, Mr. Mac-Donald, a little later informed the members of the Parliamentary Labour Party that the Liberals had redrafted their amendment in a form which, subject to tho reconsideration of certain details, the Government could accept. The defeat of tho Government has now been averted.

The political correspondent of tho Daily Express says ho regards tho land tax pcheme as smashed. Ho says that instead of getting £6,000,000 it is doubtful whether , it would now yield £500,000. Tt is learned, however, that the Chancellor of tho Exchequer, Mr. Snowden, after a conference with Treasury officials, was satisfied that he could take a chance Ly the acceptance of the modified Liberal point ot view.

in tho meantime Mr. Lloyd George professes himself satisfied, although nothing has yet been shown on paper.