AUSTRALIAN FINANCE

Otago Daily Times, Issue 20039, 4 March 1927, Page 9

AUSTRALIAN FINANCE

COMMONWEALTH AND STATES PER CAPITA PAYMENTS. ABOLITION ANNOUNCED. (Press Association—By Telegraph—Copyright, i MELBOURNE, March 3. (Received March 3, at 5.5 p.m.) Speaking in the Federal House of Representatives to-day, Mr Bruce outlined the financial proposals in connection with the States. He said that these would be embodied in an amended States Bill, which would provide for the abolition of the per capita payments to the States as from the end of the present financial year, and that the- Federal Treasurer would pay to the States in proportion to the number of their population any surplus revenue in his hands at the end of each financial year. The Treasurer, during the financial year fo r 1927, would make payments to each State in equal monthly instalments of the following amounts:— New South Wales ... £2,978,343 Victoria 2,152,615 Queensland 1.131,646 South Australia ... 721,269 Western Australia ... 483.750 Tasmania 267,367 The whole idea behind the Constitution, continued Mr Bruce, was that there should be co-operation between the Commonwealth and the States in all their activities. At present a deplorable spirit of antagonism had grown up, and the Federal Government wished to prove that it was anxious to bring about harmony between the States and the Commonwealth. The whole matter would be discussed at a conference between the States and the Federal Government, The per capita payments would cease from the end of June next.