WAR FINANCE

Otago Daily Times, Issue 25238, 29 May 1943, Page 4

WAR FINANCE

LAST YEAR'S EXPENDITURE TOTAL OF £144,000,000 (FO.P.R.) WELLINGTON, May 28. - A surplus of £4,200,000 in the Consolidated Fund was revealed by the Minister of-Finance, Mr Walter Nash, in a preliminary review to-night of the public accounts for the year ended March 31 last. He said the surplus arose from increased re /enue, of which income tax provided £2,600,000. and interest receipts, mostly from the railways, a further £900,000. Discussihg the Social Security Fund, Mr Nash said that, after allowing for a contribution from the Consolidated Fund of £3,800,000, the receipts were sufficient to meet the expenditure, so that the balance in the fund at the end of the financial year was approximately the same as at the beginning. The War Expenses Account, Mr Nash said, was now the principal of the State accounts. The results for the year in this account disclosed a total expenditure of £144,000,000, compared with the Budget estimate of £133,000,000. Of this increase, £7,000,000 was accounted for by reciprocal aid to the United States forces. The balance of £4,000,000 arose from subsidies for the purpose of price stabilisation, and the purchase of stocks for the armed services and for essential industries, by sav. ings in expenditure by the army and navy. The increased expenditure was financed by borrowings in New Zealand. “A full review of the whole of the public finances will be made when the Budget is presented next week,” said Mr Nash, “ but ip the meantime it can be said with confidence that the accounts disclose a very satisfactory state of affairs.” .