PARLIAMENT IN SESSION

New Zealand Times, Volume XLIX, Issue 11304, 1 September 1922, Page 7

PARLIAMENT IN SESSION

FINANCIAL DEBATE HEEDING THE END LAiOUR AMENDMENT HEAViLY DEFEATED The Financial Debate was continued in the House of Representatives yesterday, when more speeches,,were delivered. Only one Minister addressed the House, and it is expected that the debate will some to an end some time to-day. The Labour amendment was disposed of during the afternoon and was heavily defeated.

The House of Representatives sat at 2.30 p.m. yesterday, and early in the afternoon resumed the Financial Debate. Mr Holland’s amendment (to the effect that in view of the fact disclosed in the Budget that there was a seven million surplus the Government failed in its duty in not making provision for the absorption of the unemployed by not proceeding with urgently necessary (public works) was defeated by 52 votes to 13. . • The f allowing was the division list: For the amendment.—Bertram, Fraser, Holland, Howard, McCombs, . Munro. Party, Poland, Savage. S. G. Smith, Sullivan, Thacker, "Wit ty - Against the amendment.—Bitchener, Bollard, Bibwn, Burnett, Campbell, Coates, > Craigie, J.' M. Dickson, J. S. Dickson, B. Dixon, Field. Forbes, Glenn, Guthrie, A. Hamilton, J. K. Hamilton, Harris, Hawkon, Henare, Htrries, Horn, Hockly, Hudson, Hunter. Isitt, Jones, Lee, Luke, Lysnar, McLeod, McNicol, Mackenzie, Malcolm, Mander, Massey, Masters, Mitchell. Nash, A. K. Newman, E. Newman, Ngata, Nosworthy, Parr, Potter, Pood. Sir R>. H. Rhodes, T. W. Rhodes, R.. W: Smith, Stewart, Sykes, Williams, Young. Pairs.—For : MoCallum. Against -. Anderson. MR G. MITQHELL Land aggregation. Mr G ■ Mitchell (Wellington South) 6aid that he did not feel it necessary to defend himself against the general charge of disloyalty,that had been made In the House. New Zealand’s only hope to-day, he contended, was the settlement of the land and gTeater production. Of recent years there had been unjustifiable aggregation of land. Since 1916 the total number of settlements hv the . Crown . Was 8924 and yet the total gain in -holdings; was 4530, so that 4394 must have disappeared. During the war them had been some striking instances of aggregation, and' one man at Feilding had acquired 21 holdings. Laws had been passed in this country to prevent aggregation, but the laws were dead and never were. SiitenjJed to be" put into operation. There was evidence that aggregation was rampant in the country. Another evidence of this aggregation l was thown by the population figures; the population-was decreasing, in the country In comparison with the advance of population in the-towns* Speaking .of the question of a revaluation of-the land, Ktr Mitchell' said that if there was a revaluation of soldier lands it would be tho foierunnqr of a revaluation of farmers’lands, which would be a blessing to the- farmers. "THE AGGREGATOR BLIGHT.” On either side of the Main Trunk line 'from Wellington to Auckland one could see thousands of acres of the most fertile land . growing nothing but blackberry, thistles, .tmd other weeds; and . In as bad a condition as when the Government first took it over from the natives, Mr J. Ifdie (Bruce); Worse! Mr- Mitohell said that this land, had ’had the railway running through it for years. -It was all Toaded and so on. Here was all this land crying out' for labour to maho it produce wealth and make'the railways pay, and yet we had hundreds, and thousands -of unemployed. The soldiers had been settled .on . dear land, though there was so mudh idle land; and thousands more could— have been settled on good, cheap land. In times to come the people would look back, upon this period as the worst for land legislation m the whole history of the country. He urged that the .Government should have dCyigordus policy of settling 2000 men on the land in the first; year, 8000 in .the second, and 4000 in every succeeding year, thus throwing -out every year so many sheet-anchors for 'law., and .order—for .maintaining, the com. stitntion of the country. The. Govern! meat should settle the Grown lands as quickly as possible, and oheok land speculation and "the aggregator blight.”

CLOSER SETTLEMENT NEEDED HOW TO ENCOURAGE IT, Mr W. S. (Bay of Plenty) agreed • that tq meet our heavy liabilities and ensure the future prosperity of 'the country we must ' look to closer settlement. especially pf' unproductive land. He urged that a greater proportion of the cost of roading should be borne by the Consolidated Fund, and that, as a further encouragement, the man on bush and backblocks land should be allowed to go rent free for three or more years He thought that in his- district there were still very ’considerable areas that could be far more profitably ussd for farming purposes thah for timber. With regard to tne Urewera country, he expressed the hope that the Minister for Lands would not cut. it up into too small blocks; and'that he would'.be-very, very careful not to ‘allow- land to be settled that had far better he left in its native state. He deprecated too much’centralisation in regard to hospitals, stressing the necessity for making/ provision • for maternity nursing, and 'tha. care of accident 'cases in the country districts. - He did not agree with some members as to the uselessness of trying to. preserve the kauri. To his mind nothing liad advertised New Zealand more-than the fact that we grew the kauri here. He thonght that its growth and .preservation should (be encouraged as far as possible. .The Director of Forests had told him that there were 150,000 acres of waste land—Crown and other lands—within a forty miles Tadius of Wellington. -This land Was valued at 25s to 50s an acre; and. if .it were planted," would provide after thirty to thirty-five years, eome 75 million feet pf timber a year. . To reafforest that waste land would absorb a great many of the unemployed. (Hear, hear.) The Government, he urged, should endeavour ;to -find work for all who ware willing and. able to work, by improving the conditions of settlement of industry; and by better education and othej encouragement, it should seek to reduce as much as posible ftio very large proportion of casual labourers. If steps were taken to do this and to cut down the cost of living, the Government would make New Zealand much more what it ought to be. (Applause.)

DOMINION’S POSITION FREE MARKET - FOB WHEAT' •WANTED. Mr J. Horn (Wnkatipu) congratulated the Government and the country on the fact that up to this '.year the Dominion had always had' a surplus, and t&o ■ deficit this year, thanks to the accumulated surpluses tarried over, was ■ not very large. The National Government was dissolved in August, 1919, and on March 31st following tho accumulated surpluses amounted to 17i million. On March Slst, 1921, Mr Massey had a surplus of £6,132,000: and this year the accumulated surpluses were reduced to 71 million. Of this £1,250,000 was to be transferred to the Public Works Fund, leaving t$J mil-

lions; and of tliat amount the Prime Minister estimated that .£1,900,000 -would be roqidred to clear his accounts at the next balance, which would bring down the surplus to about ~£1,800,000. Some members suggested that the surplus should, be use<£ to reduce taxation, and others that it should be used to meet the unemployed difficulty. But ho thought, -with the Prime Minister, that at a time liko this; the country should have some little nest egg to fall back upon in case of necessity; though no one would like more than he would to see taxation seduced, and adequate work found for the unemployed. He urged the need for reducing the income tax on mortgage interest so that settlers and others oould secure mortgage money at a cheaper rule to carry pn their farms and their industries. He complained that the wheat control had never been any good to "Wakatipu. There was now plenty of first-class milling wheat in the Dominion, with me result that the millers could pick and choose only the very best milling wheat. But in his district, there was wheat in Southland now 85 per cent, of which, was good milling wheat, and by blending it with a higher {Trade wheat it would make very good flour ; but the wheat-growers were being offered by the buyers only 3s a bushel, less 2£ per cent., for that wheat. Ho urged that the Government should, do something for these farmers by regrading the wheat and requiring the millers to use it us he had suggested. The Government should meet them in that way this year, as the>man, who had grown wheat at his ©ountry's call, but had got wheat that was not quite tip-top, was getting practically nothing for it. Next year, however, he hoped that they would have a free market for wheat. Reverting to the reduction of the accumulated surpluses to £1,300,000 only, he urged- the necessity for doing something to increase that reserve, otherwise the country would be financially bankrupt. They should go back to ’their National Government, when there was no party fighting, and all would do> their best for the country.

_ CONGRATULATIONS "POSITION NOT AS BAD AS MIGHT 1 BE." Mr W. D. Lysnar (Gisborne) thought that the Government, -was to- be congratulated -on the fact that the position, bad as it might be; vras not much, worse. It waa urgently necessary to reduce taxation. The taxation burden to-day ,wae 60 heavy that, if it was not reduced ttie country would not only be at a standstill, as one member had said tha other day, but it would go back. During the debate he had looked' for criticisms or suggestions that would help to improve the situation. The criticisms 'had! all been destructive, not constructive. The leader of the Opposition had complained at the frequent references to his party and the question of loyalty; but now could l he wonder at it when he had•been coquetting witb the Labour Party, and when he said that he still'hoped that some- arrangement would be arrived at with that party fop the next election, in order to secure representation That, he’ thought, would he disastrous. A Liberal member: To the Reform Party 1 i Mr Lysnar: No; disastrous to the country as. a whole. Ido .not agree ■with proportional representation. -No one knows What would happen under it. (Laughter.) The Labour Party, he charged, was opposed to defence 'expenditure, its object being 'to make it easier for what had happened in Russia to happen here—easier for. the Bolsheviks to get control. (Labour dissent and, laughter,) The Leader of the Labour Party had expressed the hope that the time would come when the workers of the world would refuse to fight in any war. That showed the true inwardness of his policy. (Hear, hear, and laughter.) Mr X). G. Sullivan: It is to do away with. war. ■ ... , Hr Lysnar: No* to do away with defence expenditure eons to make it eaeier for the Bolsheviks to get control of the country. ', LABOUR'S LAND POLICY. He contended that the land policy of the Labour Party would make it, impossible for the people to live. :Mr Sullivan * . Por the. mortgagee* to live. ( (Laugiter.) , Mr Lysnar i No; for the people to live on the land. The proposal of the Lahour Parly to nationalise the land was impracticable and imprudent. There was no statesmanship m it. It would mean adding some ,£470,000,000 . to the national 1 deut* which was already £>2J.v>000,000; and that would mean alwolute bankruptcy for the, country. (Hear, bear, dissent, and laughter.)

A WORD ON LIQUOR ; AND SOMETHING OF TAXATION. Mr L. M. Isitt (Christchurch. North) spoke'.at' some length against the liquor traffic. He ,claimed that the carrying of prohibition would save a huge expense on luxury and millions in bad debts. .Nothing so hindered production as drunkenness. . Her claimed that prohibition , had been a success 1 in America. • ,: _ . . . Hr H. M. Campbell (Hawke's Bay) said that-Mr Isitt seemed to be banking on the ways of ithe Americans, . but Mi Campbell, preferred the ways of the British, who were not prohibitionists. He felt sorry for those children who suffered through drunken parents, hut wanted to .see the race made Self-reliant. Though America was nominally dry iiquor could be more eaeily obtained in the hotels there than, at those in Now Zealand. Turning to taxation, he said tho land (tax was crippling industry and lessening production. Sheep had decreased in number, and dairy cattle had not increased. Taxes were being met Out of capital, and a" continuance of tho present conditions would result in disaster,, He hoped something would be done to help the man on the land. mr~Tdie>s way TAKE BUDGET AS BEAD. Mr J. Edie (Bruce) suggested that in future the Budget should he taken us read, and that ■ members should, have a week or ten days to study it before, it was discussed m the Hodee.. (Hear, hear.) It was a waste, of time and energy for the Prime Minister to have to spend two and a half hours in reading the Financial Statement, and it was very difficult for hon. members to follow the Statement when thus read. Commenting on the Budget, he said that to say that on March Sisit there was a balance-of 7J millions, but that on April Ist there were only a few pounds left, was . absurd. An improvement was needed in the method of keeping the public accounts to make • them, clearer and more understandable. Referring to the shipping difficulty, he said that ho tad hsard the Prime Minister say some

time ago that he wae glad that the Now Zealand Government had not bought a single ship, hut during the war the Government had spent enough in freights and war to buy the whole of the Union Shipping Company's fleet; and when New Zealand could .spend a million on a battleship he thought it would be well that* she should buy up the Union Company's fleet. Mr D. Jones (Kaiapoi): Who spent a million on a battleship? Mr Edie contended that the time would come when the Government would have to buy shipe in order to take our produce to market. He had given the Prime Minister a hint some ago as to how he could raise additional revenue, but he took no notice of it. (Laughter.) Mr J. A. Nash (Palmorston North): It was very wrong of him. (Laughter.) Mr. Edie : It was very wrong of him. The Prime Minister, lie maintained, could have raised another £2O,OGG to .£30,000 by a graduated receipts tax, and he should not neglect such a ©ource of revenue. (Hear, hear and laughter.) He contended, also, that the time had coroo when the Public Service Commissioner should be wiped out, thus effecting a great saving.*

FALLING COSTS FOE PUBLIC WORKS. The Hon. J. G. Coates, Minister for Public Works, replied to criticism that had been levelled at the control of stores in his department. Ho said there l were fourteen different methods in which stores were checked in and out. He believed in decentralisation of store 3, and considered that it would be reasonable to purchase many small articles locally and not have everything- sent from Wellington. Mr Coates said there had been ample evidence of the reduction in tire cost of construction work; and he could Rive several instances ot* how prices had fallen. The price oi road, metal at one time went up to £2 a yard. It came down t0.11a.4d, but at that price he decided to allow purchasing to stand over for a year and the price the other day was 9d. The price for building a telephone exchange building at Dunedin lind been .£20,000, and a tender had , been Jet the other day at ,£10.900. Rails had fallen from £l7 10s to £ll 17s, copper wire from £169 to £IOB per top. and sleepers from- 10s to 65.5 d each. Thor© were 2240 workers on relief works, at which married men got 12& a day and single men 10s a day. Development work was carried on at standard rates. £450.000 was being paid out monthly to relief workors.

A DEFICIT "THE ONLY MW FEATURED Mr B. W. Smith (Waimarino) said that the* Budget disclosed no new policy. It's only new feature was a deficit, and it Vould have boon much better it that deficit had been, frankly acknowledged. The method of dealing with native lands was altogether too cumbersome and expensive. "and something should bo done to expedite this class or business. - Mr J. S. Dickson (Parnell) moved the adjpurnment of . the debate, and at 11.43 p.m. the House rose.