DETAILS LACKING

New Zealand Herald, Volume LXXVII, Issue 23699, 4 July 1940, Page 11

DETAILS LACKING

THREE MAJOR POINTS COMPULSORY LOAN PLAN IMPORTANCE OF INFORMATION [BY TELEGRAPH—SPECIAL REPORTER] WELLINGTON, Wednesday A complaint of a lack of information in the Budget concerning the proposals for a compulsory loan, an excess profits tax and the regulations giving the Government power to take over overseas securities was made by the Leader of the Opposition, the Hon. A. Hamilton, in the House of Representatives to-night.

.Referring to the compulsory loan proposal, Mr. Hamilton said that full dotails should have been given to avoid confusion and misunderstanding, as no business or enterprise could plan for tho future without definite information. The Government should tell the pcoplo tho worst, for when a person knew what his obligations were he could arrange his affairs accordingly. *

Mr. Hamilton pointed out that an excess profits tax had been introduced in 1916, but had been dropped the following year as it had proved inequitable. A high rate of excess profits tax was theoretically desirable to bring in more revenue and to prevent particular individuals or companies making too much as a result of war-time demand, but surely a really high yield or even a fairly substantial yield from such a tax would moan that the Government's policy had at least moderately favoured a particular class, which was not its intention.

The Budget did not indicate on what basis this tax was to be levied and until that was known it was very difficult for people to make their plans. Lnless the position was cleared up immediately it would stifle enterprise.

No details were given either, Mr. Hamilton said, of how it was intended to realise on overseas securities held by private people or companies, but it had been pointed out that there was a very large weight of investments against us should another country take similar action against us. This was a point that had to bo considered.

HIGHER LIVING COSTS FAMILY MAN'S PLIGHT WAYS OF STOPPING TREND GREATER PRODUCTION [BT TELEGRAPH —SPECIAL REPORTER] WELLINGTON, Wednesday Instances of the higher cost of Jiving caused by the additional sales tax and other factors were given by the Leader of the Opposition, the Hon. A. Hamilton, when opening the financial debate in the House of Representatives tonight. More goods, he said, must bo produced to satisfy our own and overseas requirements and to stabilise our prices.

Mr. Hamilton said that since 1935 the cost of living had increased by fully 20 per cent. High wages to meet high prices favoured the single man and hit the family man, whose plight to-day, with a low salary, was grave indeed. This increase in the cost of goods struck at the very heart of our economy and .a greater effort to prevent its cause was necessary.

'.'No one would say we are working at our maximum effort yet," said Mr. Hamilton, when stressing the need for organisation to produce more goods. "We retain our 40-hour week and awards, and conditions are still almost oil a peace-time basis, while Britain works the clock round. I know there are some things in which, for instance, longer hours will not bring about greater assistance to the war effort or our production, but there are scores of ways in which extra effort to assist us can be made by longer hours and proper co-ordination between all sections of the community. All-in is not just an idle phrase." Quoting actual examples to show the increase in the cost of .living, Mr. Hamilton said that a suit which cost 105s last year would now cost 120s with the additional sales tax. Overalls which previously cost 7s lid were now 10s 6d, and overcoats costing 115s had advanced to 1395. A boy's tweed overcoat could have been purchased for 44s 6d last year, but it would now cost an extra 10s.

ROADING WORKS AUCKLAND PROVINCE VOTES FOR PRESENT YEAR Details of the amounts to be expended in construction and improvements of roads and bridges in the various road districts are not given this year in the Public Works Estimates as usual. Only 'the total figures for the districts are shown. The figures provided in the road districts in the Auckland Province, with last year's votes in parentheses, are as follows:— Whangarei Road District, £BO,OOO (£167,320); Auckland,£l2o,oo (£7B 300); Gisborne, £27,000 (£59,330); Taumarunui, £70,000 (£124,145). Votes under the Main Highways Account, with last year's votes in parentheses, are as follows:—Construction. iMorth Auckland, £110,300 (£210,000); South Auckland, £241,700 (£480,000).: Taura n ga, £BI,OOO (£238.000) ; G.sborne, £48,400 (£76,000); King Country, £102,400 <£ SS.-Nortl. Auckland, £30.00" (£53.000); South Auckland, £20,000 /x'ot nnnS • Tauranga, ±,/4,uuu (£23 000); Gisborne. £II,OOO (£18,000);King' Country, £3OOO (£5000). Maintenance. iSorth Auckland, £57 300 (£76,000); South Auckland £124,050' (£155.000); Tauranga. £106,050 (£104,000); Gisborne, £60,500 (£82,000); King Country, £oo,ooo (£55,000).