ELECTION ADDRESSES.

New Zealand Times, Volume XLIII, Issue 7222, 18 July 1884, Page 7

ELECTION ADDRESSES.

THE PREMIER AT HAWERA. Hawkey, July 3

Major Atkinson addressed the electors here to-night. He commenced by throwing on the Opposition the onus of having caused, at the present time, the inconvenience and expense of a dissolution. Binding itself in the extraordinary position of having a temporary’ majority, it refused to go ou with work, but dett-rukiued to put out the Government before any of the Ministerial measures were submitted. It might 1)0, and indeed was a deed, why the Government did not resign ? But what would have been the result of resignation ? Why, that aoraehudy, lie could not say who, for the leaders of tho Opposition were ashamed to announce themselves and had not dared to move the resolution, would have simply taken office and then have gone to His Execdlency. “It is quite impossible in this House to carry on the business of the country ; tbe old Government party are by far tho largest party in the House ; we caunofc carry on ; we must have a dissolution T That would have taken place to a certainty. It was not a question as to whether there should be a dissolution, but who should be in office when it took place. When that resolution was passed, a dissolution was inevitable, because the Opposition could not form a Government which could go on with the work, Tho various sections of the Opposition were more distrustful of each other than they were of the Government, and tilth- majority was but a majority of the moment. Indeed, a leading member declared, when an adjournment of the Houie was proposed, that the vote must be taken at once, for if there was delay till tho morrow, the majority would be lost. It was quite likely they would have lost it had there been any delay. Had the debate lasted a fortnight, certainly tbe OppotJfion would not have had a majority. Ho held that tho Opposition were wrong in the course they took, because there was a great deil of important work to be done, and there should have been a delay until, at any rate, tho policy of Government had been developed. But the circumstance that Government had raised the railway rates, and dared to say it would stop speculation in native land, gave the Opposition a temporary majority and they seized the opportunity without considering the result to the country. The great question for the people to consider was that of finance ; and this must be considered under two heads. First, ordinary revenue and expenditure ; and secondly, public works finance ; in other words, current revenue and expenditure ; and revenue and expenditure on tho loan account. As to ordinary revenue and expenditure, the deficit last year was really £152,000, which had been temporarily made up by the issue of deficiency bills. He explained the process of raising money by means of deficiency bills. The object was to enable the treasurer, when large payments had to be made at a certain date, to anticipate the revenue. The limit to

which that could ha done in New Zealand was £IOO.OOO ; but in England the Chanc.-Ilor of the Exchequer had power to raise in this way any sum up to the total amount expected to bo received iu auy one quarter of the year, tho deficiency hills to be repaid iu the quarter following that iu which the money had been so raised. In New Zealand authority to raise such a proportion of the revenue in that way had never been given. The limit was £400,000, and usually whatever amount was temporarily borrowed was repaid within tho year. But last year there was a deficit of £152,000 ; that was to say there were deficiency hills unpaid to the amount of £398,000 ; but to meet them there was cash in baud to the amount of £245,000, the balance being £152,000. He made this explanation because Sir Julius Vogel had said that the Government had left a floating debt of £1 030,000, of which these deficiency bills formed part, and ho did not sec bow it was to he met. There

was no such floating’ debt at all. Had the bills besu Treasury bills, having a currency of years, then the term might have been applied, bat it did not apply to deficiency bills. To meet the £152,000 temporarily, and to give further necessary power to anticipate the revenue in this way, and to provide money for carrying cm the public works authorised in the schedule of the Loan Act, the Govern' meut had taken power to raise £700,000 on deficiency bills ; but none of this could be regarded as floating debt; the bills would be met as the revenue came in. Some revenue, like the property tax, came in but twice a year. The money borrowed for public works would, of course, be repaid as soon as the loan was raised. This sort of thing must go on go long as the colony was a colony, and the term “ floating debt/’ u?ed in connection with such an operation was misapplied. In reference to taxation it would; bo very easy to bring down an attractive Budget if anyone chose to do it. It would bo easy enough to abolish the property tax and raise from Customs sufficient to meet requirements ; but it could only be clone by dealing with the public works funds in a manner different to the present method. But he defended the property tax, not only as a fair means of raising revenue, but because as a direct tax it brought home to the people the close connection between borrowing and taxation, and, therefore, actedasacheckupou lavish borrowing and lavish expenditure. It seemed to him that direct taxation, especially in a country like this, was very desirable ; let a man pay directly any sum, no matter how small in direct taxation, and he would have to agree that there was economy of taxation. It would be very unwise not to keep to direct taxation in some form or other. It was quite possible that iu the next session there would be a proposal to abolish this taxation, and to increase indirect taxation, about which the people would not likely say anything at all. However, he hoped that the people would look into the question, and not allow direct taxation to be done away with. Direct taxation meant that they would have lively election?, lively Parliaments, and lively Governments. He believed that the property tax was the best tax that could be levied in the way of direct taxation. It had been said that it was antagonistic to local industries, but he pointed to the example of America as refuting this idea. In no country had local industries flourished more than in America, while in no colony was the property tax more popular than in America, notwithstanding the fact that it was levied in a much more offensive form than iu New Zealand, He denied that It had the effect of keeping away foreign capital ; for, as a matter of fact, there was more foreign capital in the colony for investment now than there had ever been in any previous period iu the history of the colony. He also claimed that the effect of direct taxation in the colony had been to give confidence to investors in colonial securities, in proof of which he instanced the fact that whereas the 4 per cent, debentures in 1879 only brought £3O per £IOO bond, on the occasion of the last loan being floated they bad brought £IOO 6s Gl per £IOO bond. Unless they kept to some form of direct taxation ho was very much afraid that they would have a repetition of that extravagance which spread over the land some years ago. He had said it would be easy to bring down a satisfactory Budget if they consented to deal with the public works fund in a different way. A great mistake was likely to be made in this matter, and people were likely to be led away unless they were very careful. The idea was not a new one. It bad been ofeen thought of by needy treasurers and it was the idea of capitalising interest. When a company borrowed money to construct a railway, it charged interest to capital until the line wai opened, and then treated the amount borrowed and interest paid in the meantime as cipital. There was a good deal to be said for that in the case of a company. It was the only way a company could do. It had not revenue with which to pay interest, but it was very different with a colony. The colony had always paid interest out of revenue, and he hoped it would continue to do so. However, if this system were adopted, and three, or four, or five millions were borrowed at once, under it everything

would r< Ccive an on- rm-us lilt for the pnsi-ut, instead of having to find £150,000 . r £200,001 out of the con-ohdat-d venue, 1-r iotir-st would he niH o-.t of c .pital, no 1 n , one w. uhl feel the burden ot increased indch'eji;e-s. The t ifect would he wen h.-rfuh G-od tiin-s would come in,mediately, and would last until the money was sp, nt, Hut then the burden would fall with crushing vv-ight, and the colony would be iu a far worse position than it was at | re-ent or ever had been. There would cdso he this result ; as soon as a money loader at Hemha I learnt that the colony was capitalising its inieee.-t, our credit would sink to the lowest, our bonds would tab felch moie than

, aI i 1 or £OS p--r £IOO, and tile private borrower would coon liu l that he was com-pell-d to give more for the money he wanted than at present. Such financing would, to a certainty, he ‘‘burning the candle at both end -,’ e.nd although there might he great temptation to resort to it. He hoped that the electors ol tile colony would as one man say that they would not cuter into such a scheme, hut would simply continue to borrow, from time to time, so much as they could pay interest upon out ot the ordinary revenue. As to the question, what had the pr-sent Goverumeet done since they had been in -dice, he replied that when they had come into oliice they had found a very largo expenditure going on, and when they came to examine into the accounts they found it would he impossible for tho calouy to provide interest on hotrowed money unless borrowing were restricted without taxation becoming speedily of crushing weight. It was said, on the one hand, that they were a cheese - paring G--vernmont ; and, on the other, that they were extravagant. Neither statements were correct. The Government had set out with the policy that the country could con. tinne to borrow, hut only at the rate of one million per annum, ami that tho increase in productions would be only found sufficient to pay interest on such borrowing. The House and the country assented to that policy, ami that was the policy which hail been carried out. It had been said that the Government had intensified the depression by suddenly checking expcndituio. The fact was that the Government had spent more since the depression than they had done previously. While the colony was comparatively prosperous, the Government were careful about expenditure ; they ha 1 hardly spent the million which they were authorised to spend. Hut latterly [times became s i hard and work scarce, that tire Government immediately spent the balance which had remained unspent from tho year before ; and dnrin" the last two years bad actually spent”about £150,000 above the limit of £•2,000,00(1 a-vear which the? had set themselves. ’ £-100,000 or £500,000 more had been spent during tho year just ended than during the previous year. There was no doubt that large public works’ expenditure at tho present time would relieve the country of its difficulties. Tho temptation to go iu for such a scheme might be great, hut would it be honest (1), and them was no reason tor giving way to tho temptation. In America, in Kugland, and in all parts ot the world there was now greater depression than tho:o was iu Now Zealand or any part of it, and ho could not believe that the people of New Zealand would saoi-ilice the future ot the colony iu order to gain relief from a little temporary depression. lit urged that the colony should go on, as it was giving, with a careful and steady policy of public works. The colony had passed through worse limes than the present, and kept to the course which it had always followed—honestly facing its position, and it would again rise to agreater state of prosperity than it had ever enjoyed before. But if, in order to avoid inconvenience at the present time the colony went into schemes which could bo shown upon the face of them as being likely to lead the colony into permanent dilficulties, the colonists would richly deserve tho depression which must necessarily ensue from a course of extravagance. With an intimate knowledge of the finance of the colony, lie asserted that a million a year might be “pout upon railways, hut more than that could not be spent ; and he asked whether that would not be sufficient. He repeated tho defence ot the Government mads in tho House daring last session, that there was really no charge made against the Government by tho Opposition ; no complaints against their native, financial, or in connection with their land administrat ion. The roil cause of offence was that the Government dared to say that the railways belonged to the people of the colony, and not to the people in any particular part ot the colony, and that jobbery in native laods should cease. No one had denied that statement iu the Home, and no one could deny it now. Tho result of turning tho Government out was an immense expense to the of which the double honorarium was an item. It would also render impossible reduction in expenditure during tho current year, which would have been made had the Government remained iu cilice. He claimed that while they had been in olliee they had restored the credit of the country and had been highly successful with their native policy ; that lh;y had carried on public woiks with as much speed as was prudent; that they had helped ami encouraged local industries, in connection with which special reference was made to tho manufacture of tobacco and the starting of cheese and butter factories j and that they had put the taxation on tire shoulders best able to hear it. There

waa need for more economy among people. Last year, one half million people who composed the population of the colony spent three and a quarter million upon tobacco and spirituous liquors ; in contrast to which he mentioned that contributions to friendly societies amounted to only £70,000. Speaking on the subject of immigration, he strongly favored the maintenance of the nominated system and the adoption of means to attract small capitalists, many of whom, ho was glad to say, were now coming to the colony by means of the direct steamers. In conclusion, ho said there was nothing in the financial position to make colonists despair, although there was necessity for caution. There was no need for fresh taxation to meet the cost of the services of the year ; the revenue of the year would bo sufcieut for that. Replying to questions, Major Atkinson said that within the past live years the colony had paid £-11,000 hy excess of arrivals over departures, not counting assisted immigrants. Hu would oppose any farther sale of pastoral lauds, but it would not be wise to the colony to rush into any scheme for the wholesale nationalisation of the laud. He absolutely refused to give any pledge to support the Stratford or any other route for the main trunk route. He was in favor of all children who showed capacity in the primary schools bavin*' free secondary education favoring some form of scholarship. He was him-clf a believer in religious education, hut was aware ho was not in accord with the majority of the people of the colony on this point. This was an open question with the Government, In lime he thought the colony would come to payment by results for education. Bat this would only be in the large centres. In smaller towns it would bs impossible. He was not in favor of any reduction in Ministerial salaries. He believed that almost every Minister lost money. lie was in favor of members being allowed reasonable expenses only. A vote of thanks and confidence was proposed, and an amendment of no confidence was also brought forward. For the amendment 0 hands wero held up, and the motion was carried hy an overwhelming majority.

SIR GEORGE GREY AT AUCKLAND.

Auckland, July 3,

Sir George Grey addressed a meeting of clfzens to night at the Theatre Koyal. Captain I). 11, McKenzie presided. There was a crowded audience. On appearing on theplitform Sir George Grey was loudly cheered. On rising to speak, again he received repealed cheers. He said he appeared again as a candidate for their suffrages, and he had to thank Mr James McGoah Clarke far the courteous way in which he had acted towards him in regard to the City East. It had been said that he was practically untitled to administer public affairs. He appealed to his past career iu South Australia, to his first Governorship of New Zealand, and his rule at the Cape of Good Hope. Sir George then recapitulated the history of the session and the action of the Opposition and Ministry, which had finally led to dissolution. Had he been called to conduct affairs he would have sketched out two or three great measures of pressing necessity, in the shape of Bills which could have been published to the country, and considered by the new Parliament. He had been charged with losing them a railway and other public works which the Ministry bad in a repentant mood promised. As there would he new men and a new Parliament these promises were not binding, could not be enforced, and were not worth the paper they were written on. _ The Ministry now promised two lines of railway. He wondered they did not make it three. He ventured to doubt whether the line recommended by the published semi-official report as opening the largest amount of good _ land really did so. In his first Governorship he went on foot from Auckland to Taranaki and fonnd good land on the route, in addition to valuable minerals. The lines projected were known as a line for Wellington and

Aiuk'u d to vr. ngle over. While the I'Jiies'rv vet I -, over llu-'e rai.way lin-s, ho h'.-l aim ‘h, co levy. Hr had o in .- -M-.-uiii-.ii ..;-Viti-. (’ip-.oir I’o.oof Gi-l"iuc, who ih-!in[-1,1 \ In-,v i!u-,-oil-try, and lie was rati-fied a rood lie- c.-nU he n-.ule from Gisborne to Napier, ami Hence a ceneeclien made with the Auckland line, ai-d from a mint on that line to Taranaki, so that Auckland would he joined to c- „tr, -< of popu-

I;.tinn mi bill) the Last ami West Coa-t. Win n he entered the present Parliament lie dunnrbt ho hail a g'-ocl majority, but in a w«.ck it was g« ue—ho never knew how until laUly. Tht reduftioncf railway charges in C.-nt. rhury, -•If-cU-d at the will if the MlmsPr ef • Public Works was llm r-al cans., ..f do d-ftvMou among bis followers.. Now ll.e I Minbtrv had reimpns. d eha-g s in je- . lice, tiny said, to \iicklmd ami her pbm. >•. but for r’s I outfit th< «• r-<bi'-nVns li ul been mad**, it was «*■ rtau dv .ml f' i tboe in ■ Auckland Ho thou n f.-rred to do- Inm. rariam nucMion. and justified tin- actum of himself and pruty in tb.it matt.r and pay hunt of rnt'inb. rs. Tfilu- l‘n jmVr reallybelh-wd dial the amount of honorarium was too large ho should not have itmdo provision for its payment. Ho promised Iho electors that next session he would introduce n iuiSmuo to ( deal with this vexed ipiostion, and prevent a recurrence of the recent episode. Sir Georgo then refen ed to thi* gumtivld e.v os, and explained lus connection with them wlu n snponntendi nt of Auckland ; also the action of the House, Mr Uolhston, and Mr Milchcb fe.,n # Ito regarded manv of the recent acts »s ill* gal, and the gmmligger ns defrauded. Ho-K-nino to the next Parliament, Sir George said that there would be throe parties : that of himself uni friends, Major Atkinson and his friends, and Sir Jujus Vo.il and hit friends. It was said that he (Sir George Grey) and his follower.* would be in a minority. Well, take tint for granted ; and that the otlur coalesced after Home bickerings, the minority would still, in spite of «;Vtn thing, rule the country. They would get suirifient followers from both Major Atkinson's airl Sir duliuß Voxel’s parlies to enable them to govern actively. Ho would not probably act ostensibly, but he did not care who acted as long as right was done. The first tiling was Imposition of a land tax. The workingmen should band together iuo I h and south, an 1 strengthen their trade and labor councils hy united action and correspondence. Member* at the clone «»f the session had come to him for letters to some of th.nr councils, while others said to him, why luvo they been established ? They will rule everything. Sir George then referred to the laud system and the prospect held out by Sir Julius Vog« l that large foreign capital would be introduced. Hu thought capital introduced as proposed by tv syndicate would injure rather than benefit this colony, by raising land to fictitious rates and putting it outside the means of small settlers. K ithcr than see foreign capital monopolise the land and dole it out at high rales' to small settlers, h) would a<*o it in a place ho did not care to name. He urged them to vote on the lines of the programme sketched out by the Auckland Trades and Labor Council. It was said that he (Sir G cargo) should go back to Parliament with men around him who were not strong enough. He hoped they would send hack to I the Assembly along with him the men who I had worked with him. Of them hocmld say they had got nothing, and had considered the interests of Auckland, Sir George concluded amidst great chi ering. There were loud cries for various ex-mom-hers present. Mr T«»!e came forward, and said that, nn before, lie would be loyal to his party. Mr Dargaville stated that he had never announced himself a Greyite, as they knew, hat them whs a possibility of a combination. Mr Moss came forward amidst bootings. The Chairman asked a hearing for him, ami, amid great interruption, he Raid that the men who turned out the Ministry had no sympathy with Auckland member* or with Sir Georgo Grey. All they wanted was to turn out Urn Government and a dissolution. They had no right to pledge any of their representatives to Sir George Grey. The storm of bootings compelled Mr Moss to retire. Mr Seymour George expressed regret that the meeting would not hoar Mr Mohs. Councillor Thompson, candidate for City North, spoke briclly. There were loud cries for Mr Du Lautoiu, but ho did not appear. Mr Garland, the labor agitator, Came forward but bad to retire. Mr Laing moved, and Mr London seconded, a resolution to the following effect, which was Carrie 1 by acclamation, u That the Auckland members and their friends were warranted in their late action in Assembly, and are Cully entitled to the confidence of their constituencies.”

Sir George Grey explained Mr Do liautonr’e uon-appoo’auce. 11' 1 had ('out! to GDhorne on buiiiu;KH. If llio electors desired Mr Go Lantmir, they had only to expiesw it to him and lie would telegraph to Mr Go Gnutonr. The mooting dispersed with cheers for Sic George Grey.