BUILDING SUBSIDY SCHEME

Otago Daily Times, Issue 22052, 7 September 1933, Page 10

BUILDING SUBSIDY SCHEME

EXPIRATION ANNOUNCED APPLICATIONS EXCEED £2,500,000 (Per United Press Association.) WELLINGTON, September 6. As from Tuesday next no further applications for subsidies under the No. 10 building scheme will he considered by tiie Unemployment Board. Issuing a statement to this effect to-night, the Minister of Employment (Mr A. Hamilton) observed: — “ The purpose of the reintroduction of the No. 10 building scheme, which operated from June 1, was to provide a stimulus to the building industry, which at that date had languished to an extent much greater than was the case when the building scheme was first introduced last year. The total value of the buildings'for which permits were granted in the areas covered by the statistics collected during the month of April of this vear amounted to only £76,000. “ That the object in view has been achieved by the action of the Unemployment Board in reviving the subsidy scheme will be evident from the fact that, in the three months during which it has operated applications have been received covering a total cost of over £2,500,000. This is at the rate of over £BOO,OOO per month, and compares more than favourably with the corresponding three montha’ figures for 1926, the year when building activity in New Zealand reached its highest peak. It should also he remembered that these figures do not include large sums that are already committed for huge public buildings, and it can lie safely said that the introduction of the scheme has resulted in a decided acceleration in the building industry. “ At this point the board feels it unnecessary to continue offering a subsidy as an inducement for further building. In three months the total cost of the buildings for which the subsidy has been applied exceeds by over £1,000,000 the total value of the applications made last year during the six months that the scheme was running. Although this will mean an increasel liability against the Unemployment Fund the benefits which will accrue to the public and the worker in particular should outweigh the cost. Of course, this decision to close down the scheme will not affect the applications already authorised, and such approval will he honoured. Those applications which are at present under action will be considered as heretofore on their merits, and this will also apply to such further applications as may be lodged with certifying officers up to closing time on September 12.”