BRITISH POLITICS

Otago Daily Times, Issue 21359, 12 June 1931, Page 7

BRITISH POLITICS

A CRISIS DEVELOPING GOVERNMENT AND LIBERALS (United Press Association .) (By Electric Telegraph—Copyright.) LONDON, June 11. (Received June 11, at 9 p.m.) Lobbyists agree that a serious crisis threatens between the Government and the Liberals, which may lead ,tb a surprise general election. The Liberals determined, by 16 vot|s to 6, to press for an amendment of the proposed la,nd tax, exempting therefrom land on which income tax is paid, Mr Snowden declares that this is entirely unacceptable as it would upset the whole equilibrium of the Budget. There has been much negotiation between the leaders behind the scenes, but no compromise has been discovered, and the Government has intimated to Mr Lloyd George that the amendment will be treated as a question of confidence, and if it is carried it will seek a dissolution. The Conservatives are certain to support the amendment .unitedly, and if the Liberals vote solidly the Government is bound to be beaten. Mr Lloyd George denies that the Liberals are split on the question, and points out that the decision to submit the amendment was taken at a full party meeting.