“TURN IN THE TIDE ”

New Zealand Times, Volume XXXVII, Issue 8457, 17 June 1913, Page 6

“TURN IN THE TIDE ”

It is pathetic to see how the “ lieform ” Government, before it has been one year in office, is already indulging in the very speculative enterprise of clutching at straws. The Hon. R. H. Rhodes, a worthy gentleman though a most indifferent politician, to whom “the advent” brought the portfolio of Postmaster-General, has just discovered a “turn in the tide,” Wo do not know what this latest tiirp indicates in Mr Rhodes’s mind, but it is evidently something significant, since ho makes the announcement with every indication of relish. The “ turn jn tne tide ” is in connection with one of the few subjects which it is understood do not afford the Prime Minister unlimited amusement—that is, the relation of deposits to withdrawals in the Post Office Savings Bank. At Awakino on Friday evening the Postmaster-General stated that deposits had exceeded withdrawals last month by £99,516, as compared with a margin of £82,566 in May, 1912. We are prepared to beUevo that Mr Rhodes is giving us the correct position. It will be remembered that when the Hop. W, F. Massey delivered his famous “ policy ' speech at Christchurch last March he cited as a proof of prosperity, such prosperity being in turn proof of the virtues of “ Reform,” the “ fact” that whereas in the past withdrawals from the Post Office Savings Bank had “ always ” exceeded deposits therein, since “Reform” took charge of affairs the position had been reversed, and deposits were in excess of withdrawals. Alas, however, for Mr Massey and his little boast, he spoke without knowledge. There was for the March quarter quite a substantial excess of withdrawals | In correcting the Prime Minister at the time, we urged him to raise the rate of interest payable on deposits. Our suggestion was adopted, the interest being increased hy onequarter per cent, as from the beginning of May. The natural result has fol-lowed-—the result which we told the Government would be effected if it proceeded on business principle®, and gave the people fair interest on their savings. More money has been deposited because its earning-power has been increased. That is all there is in Mr Rhodes’s comforting fancy, about a “ turn, in the -