HOSPITAL RATE

Otago Daily Times, Issue 26233, 17 August 1946, Page 8

HOSPITAL RATE

SAVING THE TAXPAYER SUBSTANTIAL SUM LIKELY The Government’s decision to stabilise the hospital rate at a figure not exceeding 0.5 d per pound of rateable capital value was the subject of a statement made to the Daily Times by the secretary of the Otago Hospital Board (Mr J. Jacobs) yesterday. Mr Jacobs said that a detailed pronouncement on the subject was impossible until his board was in possession of further facts concerning the Government’s proposal. Mr Jacobs pointed out that on the basis of the board’s estimates for the year ending March 31, 1947, the hospital rate was fixed at 0 827 d, or 39.6 per cent, more than the maximum rate now proposed. The year’s levy on ratepayers in the Otago Board’s district would be £120,970, but on the new rate this would be reduced by £47,887. This sum would be “saved” as far as ratepayers were concerned, but, of course, would, have to be made good from the Consolidated Fund. The abolition of the sales tax on building materials, clothing, furnishings and other articles, the secretary added, would result in the saving of a very large sum, and may even save the board up to £25,000 in a full year.