THE PREMIER'S SPEECH.

Otago Witness, Issue 2672, 31 May 1905, Page 26

THE PREMIER'S SPEECH.

POSITION OF COLONY'S FINANCES. ESTIMATED SURPLUS, £761,036. BGISLATION OF THE SESSION AND REPLY TO CRITICS.

The Right Hon. R. J. Seddon, Premier and Colonial Treasurer, gave a political address in the Princess Theatre on Wednesday night. There was a veTy large attendance, the lower part of the building and the dress circle being densely packed and the spacious gallery fulL Mr Seddon spoke forcibly and clearly for about two hour 3 and a-helf. He thoroughly held the attention of hi 9 large audience throughout, and was frequently warmly applauded. The chair was taken by Mr T. R. Christie (ex-Mayor of the city), in the absence of the Mayor (Mr J. Braithwaite), who was prevented from attending, having to preside at a meeting of the "City Council. Seats on the platform were -taken' "by about 2GO ladies and geatleznen, including %a number- of members of both branches of the legislature, prominent .citizens, leaders of the Labour movemenir, and others. - — The Chairman, in a iew introductory remarks, welcomed Mr Seddon to Dimedin,and'^expressed the' hope that his sojourn ameng them, though short, "~would M^be ' ple«sant.HA;ppleuse.) He~ read apoßgiw z- for^ J -ridn-attendance -from -Mr ' -Br»itn-Wa,ir» (Mayor of- Dunedin) and Mr Walker i!(presiderit of the .Political Workers' Association), and - added- "that it was .Mr Braithwaite's intention, if. possible,. to attend the meeting later on in honour of the occasion.—(Applause.) " 'The Right Hon. the Premier, who was received with great applause, said he had a message to deliver, and the message he conveyed was -from the Mother Country. It was:' "Empire greetings.— Lord Meath." - — (Applause.) That was Empire Day; it •«ra3 -unnecessary for him to remind the people that it -was the birthday of the greatest monarch the world had e.ver seen — (applause), — whose memory would ever bo revered. Not only so within that great Empire over which she had reigned, but throughout the civilised world good Queen Victoria -of blessed -memory would ever be remembered. — (Applause.) Although they might not all agree in many matters he would bring before them, he knew that in the first request he had to make they would respond in no uncertain manner. He would ask that vast assemblage to rise and sing ' verse of the National Anthem. The audience immediately responded, and sang the first verse. Resuming his speech, Mr Seddon said he felt deeply honoured by having present -such a vast assemblage. He apologised for not being able to -come to Dunedin sooner, but he was with them sooner than his medical adviser desired. As long as one was able one must* do his duty and must take a little risk sometimes, and if he was not exactly -up to concert pitch, at all events he would do his best, — {Applause.) MR MASSEY'S -SPEECH. They had had-wifch them recently the. Leader of the Opposition; Mr Massey— ('"Hear, hear," and applause), — and tio one was more delighted - than himself— (laughter),— because he (Mr Seddon) was not in the slightest egotistical, and simply trusted they might bear favourable comparison. Mr Massey had -a good and Jcind Dunedin reception, but he (the -speaker) was very sorry to see that when Mr Massey-got as far as Timaru he <saicl, in -an interview, ,that three years ago- "he would -not -have been allowed to make ~the speech in Dunedin that he had fast made --there. -Ho- (Mr Seddon) -said Mr Massey -had done the people of "^Dunedin a great injustice. — (""Hear^ hear/) That slight was undeserved. He (Mr Seddon) had .been in Dunedin .when political feeling was at its'highest, and when'heliad^iad'to roar from 3Jtep f hensonla horse bazaar—' (laughter}, — andyet-lie -was^giTen fair-play. He said there .never svas, a. time when the people of Dunedin woald-not hare-listened to -a speech from r "Mr Massey ;or anyone else. — (Applause.) He would bring before them -what Sir William Russell said.— (A Voice: ".Good man, too:") That was quite right, and this was .what Sir "William Russell-said : " Politics in New Zealand are in *n advanced stage, and I *k>n't think that Mr Seddon' s star.-k waning; and I don't think there is a possibility of it doing so while he lias public works to bestow, thus keeping himself pin power. I consider.: he is the ■trongesf in an -'we -ever ' had"— (Applause.) 'It was not a question- of himself ;■ the,- question was, Was the power -people of this countryon -the,- vane? He said "'No I .; the people ' were, -.true ' to themselves, .. and . true to -those '-whoMserved -them well,-.an3 «a long «5 this gir-avitbe case I<he country was perfectly: -safe. \He would .quote a- reference from one ,of -.the .--Australian, papers: .that paper said, -' A" motion- -of -no -confluence -in New Zaaiand fwas defeated fey \46 to 26. The Seddon "Government appears to be -the one permanent institution on the face di the earth."— (Laughter and applause.) The Seddon Government :had been assailed of late, and Mr -Massey and the "Opposition had been boomed durinjr the last few months. He never -reflected on the press of the colony, but he said that the -Opposition press had done, he thought, a little too much booming. At all events, the Opposition press should be fair. -But what happened after a boom? Why, there was a burst, and they were agoing to have it next November. — (Laughter.) It always followed, and the booming was -just a little too soon. He would refute the charges made, and, lehat was more, he would carry the war into the enemy's camp, and he would do .so in the interests of truth and justice, and in the interests of the people of New Zealand. In the -north Mr Massey said Mr Seddon would be High Commissioner within two years, but when Mr Massey got to Dunedin he eaid Mr Seddon would be High Commissioner within the next few months. Those few .months had gone by, and he (the Premier) was not High Commissioner, and, wKat was more, he would _not i>e High Commissioner!— (Applause.) His <luty was, as he had said publicly and privately, to New Zealand, and he believed he could do it best, for the # good of the country .and its people, by remaining in New Zealand. — ■ (Loud applause.) -He still believed that the country -must maintain its position in the world, and as a country that had to compete against other countries having a High Commissioner New Zealand should have One. The Commonwealth and Canada required High Commissioners, and his opinion was -that New Zealand, being the best of the lot, should have a High Commissioner. The world took them at what they set

themselves to be. They should not forget this, for there was a good deal in it, taking the position that New Zealand held in the Mother Country and in the world, for the world was copying from New Zealand. — (Applause and laughter.J The time had come when New Zealand should have a High Commissioner, and they would not be long without one. THE PUBLIC REVENUES ACT. There was another question : it was a wonderful discovery the Opposition had made. Just imagine it: In 1900, they were told and had read, the Government actually passed a Public Revenues Bill. Massey and the newspapers had said co, and they had told the people this was a terrible piece of legislation. "Why was this brought forward? He would tell them. Some time ago he said that of all the legislation passed by the Government during the past 12 years there was not a single measure the Opposition would dare to repeal. He challenged them, and what had they done? They had "brought forward this Public Revenues Bill, or Act, and said they would repeal three clauses of that, and that they would repeal one clause of another- aci. Considering that the Government had placed on the Statute Book, something like 600 acts of Parliament And 'the Opposition were only prepared to repe'ar four clauses, he thought this had been "the best legislation the world had ever known. — (Applause.) He did not know that anything more perfect was wanted. But he would put both statutes plainly .before them. What was this clause 3 of the Publio .Revenues Act they had heard so much about? He would tell them what happened in respect to tllat. This clause was asked for by the departments. It was drafted, and had nothing whatever to do with tho increase of £40 that was given to members of Parliament. During that session it was intended to pass a Payment of Members Bill, and there was the increase in that Payment of Members Bill; but the clause he had referred to was necessary, because under the Post Offices Act the postal service was classified, and under the Railways Act the railway service was- classified, and some increases were demanded, and unless these increases were placed as provided for by clause 3 it meant they would have to go into the Appropriation Act, and to avoid putting these clauses in the Appropriation Act clause 3 was suggested — and was not suggested by the Government at all, but by those who desired the necessary legislation. Clause 4— a question of transferring endowments or votes from one class to the other — had been the law since 1872. It was transmitted from one act to the other. Although it was repealed by Sir George Grey's act, it was placed in another clause and given fuller application. But it referred to surplus votes, and it was discovered that until a year had expired there could be no surplus vote, and when this was pointed out the surplus was repealed; and practically, with that" alteration, the clause was the same as it had been since 1872. But Mr Massey had said in Dunedin and in Christchurch that though the power was there the Government had not exercised it, and he had no fault to find, but it was a dangerous power to give. That meant that it was all right as long as the Government were in office, but Mr Massey was afraid to trust himself and those who might come in with him. — (Xiaughter.) fle wanted to get rid of that temptation. But to the pure all things were jpure. — (Laughter.) That brought him to clause 9 in the matter of audit. He could tell them that the law remained unaltered, and that he had secured the best legal ,advioe possible to obtain, and there had been no alteration in this' respect. There had been a slight alteration in the wording, but there had been always the «ame power in disputes between the Treasurer and the. Auditor and Controllergeneral as remained at present. He maintained this was a necessary power, and no Government dare be without it. "Was it to be said that a layman who might be for the time Auditor and Controller-general might bring default on the -colony by his interpretation of an act of Parliament? He ■would tell "them what happened to himself, or at least to the Government. On one occasion the Auditor an 3 Controller-general, though he did not prevent the scrip of a loan being issued, when it came to issuing the debentures he refused to issue these on the ground that because there was something slight over in prepayment of interest that made the- rate of interest greater than tfee act allowed, and 'he refused point-blank to issue these debentures. Let them consider the situation. Here was scrip issued by the Government, and when the people weatjto .get their scrip they should have - got .theiv , debentures. "What effect would ithat aeti&n referred to have, he- asked "them, tm the colony, and more especially when this question was submitted to a higher tribunal, and the contention of the A~uditor-ueneral was not well founded? What would iiave been said if they could ' cot have issued tho3& debentures? It was well when there was a question of law to go to a high legal tribunal, and in this case the debentures were issued, but if tiie power under clause 9 had not been the law in New Zealand, he assured them their credit would .have got a very nasty jar. With duo respect to constituted authority, he said that no colony was safe unless its Government had this power, and if Mr Massey were Colonial Treasurer tomorrow he would not allow the sole power to T-esb -in fhe bands of the Auditor-general. "The -people of Dunedin had had an ex:pwienee of the Auditor-gcireral. Wbnt about the accounts of the borough? Why were the audited accounts for Dunedin not pmblished? Simply because there had been a difference with the Auditor-general. — (Applause.) Dunedin. however, had no Auditor-general to deal with. But that was •not his repiv. His complete xeplv was this: That the Public Revenues Bill wont before the Public Accounts Committee, which unanimously passed it, ant 3 before that committee the Auditor and Controllergeneral and the Secretary of the Treasury eavp evidence as to the requirements. Beyond a technical amendment, moved by Mr W. Fraser. member for Wakatinn. there was no alteration made in the bill. .Sir William Russell -was there, and voted against the amendment. All this the press had not told the people Why did they rot do so? Then, when tine bill came before the House, -how w; it treated? On Hie motion that th^ bill be committed, limy clicT fho Opposition . votf>? The pr^s? informed Them -that zhpve 'vpro IS members of flip Opr>osui"jn i" tho TTou=o. Or.lr 11 of that tmihjJt vxiiod asain^r Ihf» '•ommittnl of th^ ''ill Tii" r.^mWr* who rmily fought the bill wore tho Lofl- "Wino- and vet + 'io Opposition at all Then when the bill had I'foii ni'ipi'tcd t!io moi rv l»'M" v ''o Micke agamM i" v»ro only two— Me ~-« W Fras-T and A. R. Atkinson — rut ol c'nc 13

Could it be said, that the Opposition fought the measure keenly? When clause 3 was before the House in Committee eight members out of the 18 opposed it, while nine of them voted against clause 4, and six against clause 9, which dealb with any difference with the Auditor-general. And that was how the gallant 18 fought all they knew how to stop this iniquitous measure. There was only one unpleasant circumstance in connection with this matter — he saw it that day in a Christchurch pgper — namely, that the Government had refused pairs*. Well, when he fought, he fought fairly, and h-e had to say this : Mr Lewis, Mr James Allen and Mr Maesey were nway on account of circumstances over which ilioy had no control, a-nd consequently they wore not to be blamed. But lhoy had said that the Government had refused pairs, and to that statement he had to givo an unqualified denial. He had thia to say, too : Lart session, when his health was seriously impaired, and he asked for a pair on two or three occasions, the Opposition refusod to give him a pair. Well, when the Prime Minister of a country — the Leader of the House — was compelled to leave on account of the state of his health, and a pair was refused to him, it showed the length to which the Opposition would go. — (Applause.) He had arranged a private pair, and yet the Leader of the Opposition, or the whip, stopped it. The Opposition need not talk to him, then, about pairs, and they could go and pair where they liked. — (Laughter.) A serious charge had been laid against members of Parliament for taking an increase of £40 in the honorarium. The only two members who did not claim the amount were Mr James Allen (Bruoe) and Mr "Hardy (Selwyn). The members who received and refunded the amount *were Messrs Massey (Franklin) Pirani (Palmerston), Hutcheson (Wellington), and Atkinson (Wellington). The sum may have been paid into their accounts and they did not know it, or it may have been that they received it and, having qualms of conscience, they gave it back as conscience money. — (Laughter.) And out of the four who paid it back three were not returned to Parliament, which showed how much tboir constituents appreciated their action. — (Laughter.) It had been agreed, as far as the constituencies were concerned, that the payment of members should be increased, and that increase was made. A clause might have been put in the Appropriation Bill to meet the case, and when there was the majority in favour of it that there was, it would have had no difficulty in passing. If anyone said, therefore, that clause 3 was put into the Public Revenues Bill in connection with the increase of £40 to members lie wished to say in justice to the members representing the people in the colony that that statement was a pure fabrication. — (Applause.) He came now to the question of auditing by the Auditor and Controller -general. On that question the people had been misled, and * he challenged the editor of the Otago Daily Times to contravcrt a single word of what ho was about to say. The ex-per-diture accounts of the Railway Department, of the Land Department, and of the Customs Department were audited -by the Auditor unr! Oonfcrollpr-sreneral. It was the receipts that were audited by the department, but, as far as the public expenditure was concerned — and that was what bad been referred to, — they had been asked to infer that the moneys voted by Parliament had not been audited by the Auditor and Controller-general. He said j every penny was audited. Only a man ] closely identified with the finances of the colony onuld say, from the language used i by Mr Massey, that it was not all the \ accounts of these departments that were not audited. When he (Mr Seddon) pointed out that there was a mistake, and that it was only part of the accounts that were not audited. Mr Massey corrected himself in Christchurch, and he told the whole truth by tellinp them that it was the revenue accounts that were not audited, but up to that time he had led the people of the i colony to believe that the expenditure was not audited. Let us have fair fighting, and none of this inuendo and insinuation. — (Appla-use.) As far as these three departments were concerned, it was having the pre-audit instead of a post-audit that caused all the trouble, -and each -of these departments had a,n act passed. Would they beliesre it, the granting of that power of auditing "the revenue accounts was never seriously questioned in the House at all. They were, however, led to believe that there was «. terrible leakage going on, that the 'Government -was ;not clean, and that there was not sound finance. So far as the 1 revenue of these departments was -concerned, had there been anything wrong? It was the expenditure that wanted to be audited, and not the revenue, and -the expenditure was \au6ited hy "the Audit Department. — (Applause.) The most serious charge of " COKBTTFSTNi} TEE PRESS OF -TH« COXOKT had been levelled against the Government. He asked the press of the colony: Did they not as one man rise «n and say they were beyond corruption. He thought Mr Massey had done the greatest injustice "to the press that had been done in tiro colony i since he had known .it. What did this corruption amount to -when analysed. Mr j Seddon here tiuntpd figures showing that in Auckland ;and Wellington the Onposition paper received more money for -advertising than the paper supnortinsr the Government. In Ohristohurch the Times (Government paper) got £79 more than tho Press ; whilst in Dunedin the Otago Daily Times received ; £590 more than was paid to the Star. If that was not enough to make the Star twinkle ho did not know what would. — daughter.) A paper that was singularly fair, and a paper that never missed an opportunity of opposing the Government, , and it got i 6590 more! Allowing that there was a waekly paper attached to the Times, ho found on anaJysing the figures that thare was still a balanre in favour of the Times. Tt was not spoils to the victors ; it was spoils to the vanmiisbed. — (Applause.) The late Mr George iFislier used to say that if one paper was against him his seat was shaky, brtt if both were apainst him he was sure to be returned, and the only colour of corruption that could be talcpn frown the advertising payments might be that they wore pa-vinsr this bribe to the Tim^s to opnose the GrOT-prrrmpnfc, becflTi c r> ■=o lonar as thf"^ cpoo^r! thp Government flic people wmild support the Government. — (Applnnse.) The KOST APVANfMT* AND TiF.-VRXTCT) rp.TTIO of tho finances of the rolonv was tho senior memliT for Dunedi.n. Mr Bedford — fLanshtor.) He. however, vimAtime' asked himt»lf tl.o onestion : "When rnn yon take! Mr Bedford seriously?"— (A To ice : "He!

1 13 no good.") Right Hon. Mr Seddon: That is where I differ from you. I think he is a very nice young man. —(Laughter.) Young politicians were like young men, and he would be all right by-and-bye. Mr Bedford had told them that th» finances were unsound, and the surplus manufactured, and that what was wanted was clean and efficient administration. He (Mr Bedford) had told them that the Government had no land policy, and gave four reasons why the Seddon Government should be relegated to obscurity. He (Mr Seddon) would give I them 404 very good reasons why they should stay where they are.— (Applause.) Ho (Mr Seddon) would give them 7161 reasons why the Government system was sound finance. Mr Bedford said the Government was taking money for sale of Crown lands and using it to make surpluses, he (the Premier) believed that before he i finished his speech they would see a sight which would be most edifying, and that would be that Mr Bedford would put his head on the breast of the Czar. —(Great laughter.) They must Jiot be too severe on Mr Bedford, for older men than he and older members than he had fallen into the same error. The money derived from cash i sales was the only money available for I surveying, roading, and putting lands on the market. With regard to receipts from land up to 1876-77, the receipts from land were credited to a separate account, and this account was charged with all expenses of administration, including also the payments to the provinces. In 1877-78 the separate account was abolished, and all the receipts were made part of the Consolidated Revenue Account. In 1880-81 a separate ( account was again established within the Consolidated Fund, to which the land sales only were credited, and the whole administration charges were paid thorefrom. In 1885-86 this separate account trenched upon •the consolidated revenue to the extent of over £20.000, -which was increased next year to over £54,000. In 1887-88 this overdraft had increased to £133,000, and in 1888-89 deficiency bills had to be credited to clear off the overdraft; but by the end of the year the account was again overdrawn £11,000, which increased next year to nearly £46,000. In 1891-92 the amount of £16,532 was made a charge against the ordinary revenue account of the Consolidated Fund to cover the overdraft in the separate account of the land fund at the close of the year, and in 1592-93 £28,500 was likewise provided by the ordinary revenue account. In 1893-94 all receipts from the disposal of land were credited to the ordinary revenue account of the Consolidated Fund, and had remained so credited ever since". He asked the senior member for Dunedin to withdraw his imputation when he (Mr Seddon) told him that the costs of survey, administration, etc., had totalled over £500,000 in excess of the receipts derived from ordinary cash land sales and land" sold "on deferred payments. He called on Mr Bedford, as a just man, to withdraw the stigma oast by him when he said the Government was manufacturing surpluses by taking land funds to do it. THE SURPLUS I. Well, they were all waiting to know about the 7161 reasons. He would give them the results of the year. He -would produce the Budget—(applause).— and there was the document the press had been longing for. He might tell them that was the first time in the history of the colony that the finances of the colony for the year had been first given to a Dunedin audience —(applause), —and as it was a record ' surplus, to whom could he give it with ! greater pleasure?—(Laughter and applause.) i The Premier then <?aid he had to declare I a surplus of £761.036, which was over three- | quarters of a million. He went on to read from the following-: — RESULTS FOR THE YEAR 1904-5. :Net surplus £761,036 j Made up as follows: — Receipts — Revenue £7,282,870 Sinking fund accretions 63,200 Other receipts .. .. 1,127 v A-i. ■ £7.347,197 Expenditure — Permanent appropriations £2,670,972 Annual appropriations .. 3,964,930 6,635,902 Excess of receipts over expenditure .£711^295 Balance Slst March, 1904 .. £649,741 Transferred to Public Works Fund 600.000 Balance from Tasfc year 49,741 Balance 31st March, 1905 .. .. £761,036 ■REVENUE RESULTS, 1904-5. Estimate for .year £7,034,800 Actual .j-fceeipts -7,282,870 Excess of revenue over estimate £248,070 Compared wrrn Previous Year. Revenue, 1303-4 £7,021.386 Revenue, 1904-6 7,262,870 Increase .. .. £261,484 REVENUE, 1904-5, COMPARED WITH ESTIMATE. Acfeual revenue, 1904-5 £7,282,570 Estimated revenue, 1904-5 .. .. 7.034,800 Excess of revenue £248,070 Comparative Statement of the Estimated and Actual Receipts and Expenditure of the Consolidated Fm.3 (revenue account) for the Financial Year ended Slst March, 1905: — Difference. Receipts. Estimated. Actual. More. Less. Revenue account —

PREVIOUS YEAR. Actual revenue, 1904-5 £7.282,870 1903-4 7,021,336 Increase .. ■> .. £261,434

Statement showing the Revenue for tho Twelve Months ended Slst March, 1905, and for the corresponding period cf last year. 1904-5. 1903-4 Inc. Deo. Consolidated Fund. Ordinary Uevenue— £ £ £ 0 Customs .. 2,631,984 2,601,325 80,659 -^ Stamps, including Post & Telegraph receipts .. 1,160,119 1,079,284 80,835 — Land tax .. 352,854 334,991 17,863 — Income tax .. 253.952 221,369 32,583 — Property tax — 3 — S Beer duty .. 96,210 96,721 — 511 Kailways .. 2,217,767 2,167,992 49,775 — Registration & other fees.. 103,465 92,647 10,818 —- Marine .. 36,121 35,836 285 — Miscellaneous 170,378 143,375 27,003 —• Territorial Revenue — Cash land sales .. .. 44,169 50,567 —1 6,898 Deferred payment land sales .. .. 5,357 5,505 — 148 Pastoral runs, rents .. .. 210,4)4 191,771 18.723 — 268,544 7,0C0 7,060 Totals „ 7,282,870 7,021,386 261,484 — REVKNUE, 1904-5. COMPARED WITH EXPENDITURE, 1904-5. Appropriations. Amount Appropriated — Permanent charges £2,692,655 Annual appropriations 4,070,025 Additional appropriation for railways „ 37,767 £6,800,447 Expenditure. Amount Expended — Permanent charges £2 670,972 Annual appropriations 3,964,930 £6,635,902 Saving on votes £164,545 EXPENDITURE. Comparative Statement. —l9o4-5 Compared with 1903-4. 190-1-5. Expended — Permanent appropriations £2,670,972 Annual appropriations 3,964,930 £6,635,902 1903-4. Permanent appropriations £2,613,917 Annual appropriations 3,820,364 £6,434,281 Increase expenditure .. .. .. £201,621 Increase —Permanent charges .. .. £ 57,055 „ Annual appropriations .. 144,565 £201,621 Increase —Permanent appropriations £ 67,055 „ Annual appropriations .. 144,566 TRANSFER OF SURPLUS. Statement showing the money transferred yearly from the Consolidated Fund to the Public Works Fund, and the amount of interest saved by such transfers at tho rates current at the times: — At 3J per cent., £25,550: 1891-92 .. ..£30,000 1893-94 .. ..£250,000 1892-93 .. 200,000 1894-95 .. .. 250,090 At 3 per cent., £80,250: 1895-96 .. .. £150,000 1899-1900 .. £450,000 1896-97 .. .. 150,000 1900-1 .. .. 500,000 1897-98 .. .. 300,000 1901-2 -. .. 500,000 1898-99 .. .. 425,000 1902-3 .. .. 200,000 At 4 per cent., £38,000: 1903-4 .. .. £350,000 1904-5 .. .. £600,009 Grand total, £4,855,000. Saving per annum, £143,800.

PUBLIC WORKS FUND, 1904-5. Results. R-eoeipts. Loan money £1,138,613 Transfer from revenue €00,000 Other receipts .. .. 11,633 Total receipts £1,750^4* Expenditure. Appropriations .. .. £1,208,932 Acquiring Point Elizabeth railway 62,540 Other charges 10,906 Total expenditure 1,282,371 Net results for year £467,863 Balance from last year .. ... .. 393,802 Balance at 31st March, 1905 .. .. £861,679 Balance of 1904 loan to receive .. £33,937 Available public works money to start the year with £894,607 Referring to the unexpended votes, he said the Government had made a «aiing. It had not spent every shilling it could lay its hands on, and it had saved from th» vofcos £164,545. The increase in expenditure

!tras £201,621, but if they had increased f railway traffic and increased population thfey must have more expenditure. In regard to education they had an increased expenditure, and he told the people of tine colony that, in respest to education, the money was wisely and well expended — • (Applause), — tnd the Government was ] going to spend more. — (Applause.) What did the masses get from the vast sums ftker pmid into the- Customs? The one great boon they got was free education for their children, and the Government must not stop until the secondary schools and technical schools were open to all, and J t&e child ot every man in the colony must , bare his chance to go to the University. — (Loud applause.) If there was increased expenditure in respect to higher and practical education, or primary education, if would be well for the country, and he told them that whatever they did in the interests of those who had to live after them, they must not be parsimonious in respect to education. — (Applause.) >

THE PUBLIC WORKS FUND.

There was transferred from the Consolidated Fund to the Publio Works Fund a grand total of £4,355,000, representing a , saving in interest per annum of *.146,euu. , That meant- that had the colony borrowed that £4,355,000 it would have had to proTide £143,800 a year in interest.— (Ap- , plause) The Opposition did not tell them , ther© had been an actual transfer. Mr > Mmasey and the Opposition press knew of this, position, and I the only thing they, didn't know -he was going to tell them. ; They did not know "that last year there was transferred from the Consolidated Fund to | the -Public- Worlis Fund £600,000.—(Applause.) - Thfr Government spent out. of the -Public jWorks IFnnd £1,282,378. The Opposition, had. been trying to hoodwink the people, for it had always been calling the Publio Works Fund loan money. It was not loan money, for half of it last year •was from consolidated revenue. They were iold the- Government charged to capital account what it should have charged to revenue, but if they took for last year the whole of the money spent on additions to open lines and all the money spent on publio buildings, there would be still left £200,000 of the £6007000 transferred. — (Applause.) They were all interested in the Public Works Fund. They all wanted to know what the Government was going to do about the Otago Central and other " questions. The Government would go on. — (Applause.) It would spend the money, and it would ask Parliament to give Otago that which was required for +he proper development of the resources of the province. — (A Voice: "How much.") That one wanted to get the Public Works Statement too soon. — (Laughter.) Be would just tell them how the money stood. The appropriations totalled £1,208,932, and the total expenditure was £1,282.378. The net results for the year were £467,868 and 4he balance from last year £393,802. On March 31 last there was a credit to the Public "Works Fund of £861.670. and to that must be added as still available £32,937 .balance- of 1904- loan to be received, so that on. March 31 they had £894.607 available to start the year with, another record, for there was more money on March 31- to the Public Works "Fund than ever New Zealand had before. — (Loud applause.) MR BEDFORD AND CLEAN GOVERN-

MENT.

To come back to a lighter subject, however, let" them consider the question of clean Government. Dunedm!s senior member said there was some, scrubbing to be done. — (Laughter.) What he (the speaker) objected to was that he said Mr Massey was to be the charwoman, for this was a very gross injustice to Mr Massey. Then Mr Bedford said that ultimately the Left Wing was going to control the politics of this land. It •was a dangerous thing to prophesy, but he ■went further, and said the young New Zealand party \ras coming into power. Mr Bedford, he said, must come to him (the Premier), for, he was the only survivor of the young New Zealand party that was established in 1879, and, he being the only one, Mr Bedford was quite right in saying that that party was going to control the forces of the country;. It had been doing it for the past 12 years— (laughter),— and he believed, with the help, of the people of the colony, it could do it for another 12. __ However, it served a ■ good purpose ; but he did feel that touch yery keenly, and if he thought Mr Bedford was serious he ■would ask -him for an explanation. When Mr Bedford said he (the Premier) should have been a Czar, and there had been a ' substitution, well just for the moment he (Mr j3eddon) felt, not that he wouH take off. his head, not that he would banish him to -.Siberia. — No, he would send him to the nearest " sweetie shop/' — (Laughter and applause.) ,To be more serious, however. Mr i Massey claimed to he a genuine Liberal; let. him then be put to the test. Mr Massoy voted against the Land for Settlements Act, •.gainst -tiie' Old-age Pensions Bill, against Advances to- Settlers, and he went so far as to say that the lease in perpetuity was in many respects better than the freehold. Under these circumstances Mr Massey had a good deal to do and a long way to go before he would prove to him (Mr Seddon) that he was a satisfactory Liberal. But, so that there should be no mistake let him call before them, not by a magic wand but by the aid of the press, Mr John Duthie, the member for Wellington. At a- Wellington 6peech on March 9 last Mr Duthie said the character of Parliament was clean, and there had been never a. suggestion of anything being done otherwise than in the public interest. He believed Mr Duthie.— (Laughter.) Mr Duthie said that upon the -whole he thought the present Ministry had giTen tfie' country what was desired by a large proportion of the population of New Zealand, and the Government had endeavoured to find out what the people" 'Wanted, and had endeavoured to give it to them. That, he (the Premier) said, was the proper thing for the Government to do, to find oat what the people wanted, and if what the people wanted was found out and what was "fair to the country carried out, •hen^ the Government had done its duty, ■n8 it intended to go on and give the people yihvt they and required. — (Applause.) THE COLONY'S PROSPERITY. fisd tße country suffered? What did Mr Massey say? In his speech to them he had Ba^d that the country was prospering and had been- prosperous, and he hoped it would . continue so. When he (the Premier) told *hs people the country was prosperous the Opposition members said it was nothing of the kind, as the people would find some i «ay. He (the speaker) said, however, that I

there was a. solid foundation, the country was prospering, and, kept on existing lines, it would continue to prosper. These reactionaries wanted a change, but ho maintained that change would not be for the good of the country* When the colony was governed by them what was its condition? It had the same people and the same resources ; but look at the miserable spectacle presented when the colony was under a Conservative Government. No thanks were due to Mr Massey or his friends of the Opposition for the country's prosperity. The Government had had to drag the colony along. He believed there should be at all times fair criticism. It was very good to have an Opposition and to have a brake on the coach when going down hill, but if the coach had to be dragged up hill, as the Government had been dragging it for years with the foot of the Opposition on the brake, blocking them in every possible way, then, lie asked, what was the good of such an Opposition? — (Laughter.) The Opposition called themselves the watchdogs; but sometimes it was just as well to watch the watchdogs. — (Laughter.) He was not at all satisfied that it had been from pure patriotism that the Opposition had been putting on the brake. Some of the liberal measures — those affecting land and those, affecting labour particularly — had not had much help from the Opposition. The Government had done . much in bringing capital and labour together in this country and getting them- to work harmoniously together for the good of both. Capital was. never safer than now, and never safer in the great British Empire than in the colony of New Zealand now. It never gave a better return than it was giving to-day. While labour and capital worked together, and adjustment- was effected without recourse to physical force, and calm reason did its duty, there they had a state of things that worked for the good of all concerned. Did they want to go back to that wretched system that obtained before? He hoped not. Let them all work together for the benefit of New Zealand.

OPPOSITION TACTICS.

It was a fair question to aak, What good did it do the country for the Opposition to be directly discrediting the country and decrying its credit? He had a bitter experience.. He remembered how the same tactics were adopted when the Stout-Vogel Government were in power. The then Opposition Leader, Sir Harry Atkinson, blocked the Stout-Vogel Government's getting the necessary taxation and revenue to make both ends meet. The credit of the colony was decried as it was being to-day, and a crisis was brought about. It was true the Opposition got upon the Treasury benches and appealed -to the country in 1887; but they had sown the wind and they reaped the whirlwind, and with what terrible consequences! Thousands were driven from the colony, houses were empty in all the large centres, lands and. farms were of little or no value, and 17,000 morepersons left the colony than came to ifc. The parties responsible for that disaster were those who refused the Stout-Vogel Government the taxation necessary at a time when they should have^ thrown away party altogether and helped the country and- combined to straighten its finances, instead of seeking to get on the Treasury benches, as the Opposition were trying to do to-day. They thought that if they could burst up the Government's finance it would mean their opportunity; but so long as ho (the Premier) had a voice and could do anything for the colony it would have a strong finance. — (Applause.) The Opposition said sometimes that too much was being taken, and it was better to have a surplus of half or three-quarters of a million, for that showed their credit remained good, and there would be money for industries and buildings and for the development of the resources of the country ; but they knew that if they crippled its finance they would cripple the Government and cripple the colony. It was a dirty bird that fouled its own nest. — (Applause.) The other day an attack was made in which it was said that compared with other colonies New Zealand stocks were less, and going down. That was incorrect. What occurred was this: that Australia had been suffering through eight years of drought — the main cause, — and naturally stocks had gone down ; and nobody was more delighted than he was to see Australian stocks gradually going up to those of New Zealand. This was the proper sentiment to have towards one's neighbours, and to use that as a weapon against the Government was monstrous. He found in the last quotations of New Zealand stocks that New Zealand 4 per cents, were 20s higher, New Zealand' 3£ per cents. 5s higher, and New Zealand 3 per cents. 5s higher than New South Wales stocks. Was this heralded to the people of the country by the Opposition and the Opposition press ? Why did they not tell the people that? If the quotation suited the Opposition used it against the Government and the colony's oredit, but when they had information that would help the country they kept, silence. Be could tell the Opposition that he would watch very carefully, and would compel them to be fair, and public opinion 'would also compel them to be fair; and publio opinion would now ask why they did not give the quotations when the rise oame. What caused their stooks to go down? They went down because the interests had been paid a month previous, and now they were up again. Did they know this: that with that surplus of £761,000 he was looking forward to their stocks going up further still? — (Applause.) The following press extract from the Financier and Bullionist was interesting: — "Of the Government loans offered to the public the most remarkable success -was, perhaps, that of the New Zealand issue. _ Rightly or wrongly, a prejudice exists against the polony in financial circles, but despite this unfavourable oircumstance the million of 4 per cent, seven-year convertible debentures, offered at par, were quickly absorbed, the subscription lists being closed some time in advance of the date- originally arranged." A million was wanted and two millions and a-half were offered. — (Applause.) Why did not the Leader of the Opposition tell the people how successful their last loan had been? He did not do so, but the Opposition said that in its previous loan the Government had invested in its own stock for the purpose of increasing the price, and he read with surprise that the New Zealand Government was put on a par with a company that had been paying for its shares a larger sum above par for the purpose, of keeping these shares up in the market. They were placed on the same level as this company, and he was not sure that a very harsh term was not applied to the Government. The gentleman who made that statement knew that at the time the loan

agents invested that £50,000 in these debentures the New Zealand Government was never consulted, and it knew nothing whatever of the transaction until it was completed, and he said in Parliament, as he said to them now, that the loan agents used their discretion in the best interests of the colony, and for that to be brought up against the Government to-day and used by the Opposition while they kept back the next loan, which gave two millions and a-half for one million required, was manifestly unfair, and was far from proper criticism. In the House he had stated, and he stated now, that the loan agents used their discretion in the best interests of the colony, and when the Opposition brought that matter against th© Government and kept back the figures of the next loan, for which two and a-half millions were offered when one million was required, where did this fairness come in? Was that proper 1 criticism? When the Government had floated loans in the colony the Postal Department and other lending departments of the State- invested in those loans, and no harsh terms were applied to such investments — it was considered the proper thing to do. Yet it was said now that the loan agents and the Government had been guilty of a wrong transaction. Why had the Opposition not treated them fairly? The colony's credit was good, and its stocks were going up, and who was trying to pull them down? It was his Majesty's Opposition. And what was their object? I They desired to get on the Treasury — (Applause.) The

CIVIL SERVICE BOARD

was one of the reforms promised by the Opposition. What did that board mean? It meant that the Opposition wanted to get into office, and when they got into office they would appoint a Civil Service Board, which would for all time employ those who were required for the civil service of the colony. In other words, it was not a demooracy that was to rule, but a bureaucracy. That was what was advocated by the Opposition. They would take from the ' democracy, from the people, a power now possessed by them. At one time the colony had a Civil Service Board — they had the Railway Commissioners, who defied Parliai nuent; and with what results? Did the colony want the Railway Commissioners again? No, the country would never again trust its work or its railway service in the hands of it responsible boards. — (Applause.) What had the Government done 1 to merit adverse criticism in this matter? Under act all cadets entered the service after a competitive examination, and he had figures to show the civil servants appointed from 1893 to 1904— namely, 548 cadets and 439 experts. As a matter of fact the Opposition were trying to get at a few temporary clerks who were engaged now and again. If * census return was required, or there was special work to be done in a department, temporary clerks were put on for a few weeks, and this was what was termed "spoils to the victors." There were the Railway and the Post and Telegraph Departments. Had there been any complaint from them No, none at all, because all had a chance. But if they _jyere going to have a board nominated by lbe present Opposition, and kept in office after any Government went out of power, and if this board was going to rule and put into the service whom they liked, ho was euro the people of the colony would not have them. — (Applause.) He was preI pared any day to take the people into his J fullest confidence in this respect. He asserted again tii<at in the past there had been fair play. The cadets selected were taken from the list of candidates who had passed the examination, which was the procedure fixed by Act of Parliament, and an act was much better than any Civil Service Board that would be appointed by the Opposition. — (Applause.) It had also been said that the Government was in the habit of

CHARGING TO LOAN ACCOUNT ■what oug-hi properly to be charged to revenue. The expenditure in public buildings had been particularly all tided to in this connection. Now. what was the expenditure on public baildings last year? On new buiWdngs the Government spent £69,496 last year, and on school buildings (new) £31,083, or a total of £100,579. On renovations, etc., of buildings there was spent the earn of £11.893, and on renovation, etc., of school buildings £4277, or a total of £16,170. In. other words, a total of something over £116,000 might be said, by a terrible stretch of the imagination, to bo chargeable to renewals and rerovations. Mr James Allen, in a speech in the House, aaid he had gone carefully into the matter, and' had found* that, as 'far as public buildin jrs were concerned, there was a sum of £25,000 that should bo so charged. That wits the extent of Mr Allen's criticism. He '(Mr Seddoh) asserted now that if they took the whole of the additions to open lines, and the whole of the amount on public buildings, there was still £200,000 to the good of the amount transferred from the consolidated revenue to the Public Works Fund. He would ask. Would it be fair to charge the Dunedm Law Courts to renewals or renovations? It would be monstrous to do it. The Law Couxte were there for all time, and should be properly charged against loan. The new Railway Station at Dunedm too had a perfect right to be charged against capital account. — (Applause.) Why did the Opposition vaiee these questions? At present half thePublic Works Fund came frcm revenue. When the whole of that fund was loan money their criticism of to-day would have teen right, but they knew very well that it wap not all loan money. He had great respect foi- his old opponent, Sir Harry Afclanson, Who was a good and honest servant of the people — (Applause), — but when he had to criticise it was necessary tor fiim to point out what occurred under the administration of thnt gentleman. This was what happened: From 1887 to 1890" thore was spent on public buildings £249,890. on harbour defences £231.967, and on additions to open linea £194.070. He would take only half of the last-named item, and the total was £628,892. They did not transfer from the consolidated revenue 628 farthings.— (Applause.) It was all loan money they spent. Where were the watchdogs of those days? Whero was the_ Opposition press? They did not try to injure the credit of the country. They knew there were some buildings being painted in those days, and some ammunition being fired away, but they did not take up the attitude taken up by the Opposition and th© Opposition press to-day? Why? It was really &o paltry it was better to treat it in that war than to take the cotrrse that the Opposition party was taking to-day. It only recoiled upon themselves. He wished now to deal briefly with

THE LAND QUESTION.

First of all he would ask, How many Crown tenants would there be if Mr Massey had his way? Speaking iv the House in 1901 Mr Massey said : So far as the compulsory clauses are concerned, I have never approved of the compulsory taking of land under the Land for Settlements Act, and I have not changed my mind on that point." In Otago the Government had bought 90,000 acres and spent on it half a million of money. After the Government had created the tenants Mr Massey tried to prevent them from being tenants. He tried to stop the Government from buying the land, and after the tenants were on it and doing well he said : *' I will go one better than the Government ; I will give you the freehold." Talk about bribery and corruption! Mr Massey was going to give it to them at the original value. He was going to make a present to 10,000 tenants of over half a million of money. A little in the way of painting on a building- with the Government was a crime, but half a million was neither here nor there as far as the Opposition was concerned. It was a matter that the people must settle. A Land Commission had been set up, and, though exception had been taken to it, the mind of the people would be better known when it had* completed its duties than it was known now. A few years ago the Federation Commission was appointed. Feeling was strong on federation at the time. But the federation influenza ran its course, people came back to thpir senses, and they were much better now in their present position. — (Applause.) In connection with the land there was another question involved. There was a sum of £483.000 of land revenue at present. Where was that amount to come from it there were no tenants, and the Government were to cease dealing with the land as it was dealing with it to-day? That was a question that statesmen ought to be able to answer, but no attempt was mad© to answer it. What about the education reserves and the reserves for corporations and harbour reserves? Had they been taken into consideration? Finally he had to say that under the existing law there were the three tenures — namely, purchase for cash, lease in perpetuity, and occupation with the right of purchase during a given number of years. That was the optional system to-day. It was introduced by the late Sir John M'Kenzie — (applause), — who had done more to put people on the land than any other man who had lived in New Zealand. — (Applause.) Were Sir John M'Kenzie's works to be lightly set aside? The colony must keep ifes leasing system, so that every poor man in the country could get upon the land. — (Applause.) It was very selfish of those who had done so well through the leasing system to now practically say "There shall be no more leasing of lands in this country." He was not overdrawing it. It meant the thin end of the wedge. Why should the Government take a piece of land eompulsorily from one owner and give the same land to another owner? It was not fair. — (Applause.) The question of giving the freehold to Crown tenants wanted to be dealt with very carefully. He had avoided taking a positive course until he had the fullest information at his command, and he must see to the rights of the masses of the people of this country. He wished, however, to give a little advice to the towns. This AGITATION FROM THE EXTREMISTS, who said they were going to revalue the land already leased was what was- causing: the uneasiness in the minds of the crown tenants, and it was a very wrong thing. Whatever happened in this country, whoever was in power must see that contracts made were faithfully observed. If the State commenced to break faith with its tenants after giving them a lease for a given number of years, where was it going to end. Any alteration that was made must only apply to lands hereafter taken up. It must not apply to existing contracts. — (Applause.) H« had never heard a member of Parliament urge tbat we should break existing contracts, but this extreme agitation in the centres of population caused a doubt in the minds of farmers and Crown tenants, and they feared that something was going to happen to them, and the Opposition, for party purposes, worked on those fears. They ought to take the same course as he (Mr Seddon) did, and, with the Opposition and Government combined saying to the people of the country, " Your contracts shall be justly observed," a great deal of the agitation now going on would end. — (Applause.) Mr Massey said that no more important subject was dealt with last session than the Land Bill, and it was unfortunate that the land laws were never free from agitation owing to the action of those peopl« who endeavoured to interfere with the tenure under which they held their holdings. Mr Massey complaining of the land agitators ! Mr Massey saying it was wrong to attempt to interfere with the tenure f He wanted to know who was the prime mover and .the prime agitator in this country? Mr Masßey himself. He had wondered what Mr Mass«y's reasons were apart from party reasons, and he discovered them the other day in a speech delivered by Mr Massey at Stratford. In that speech Mr Massey said that " hundreds of thousands of acres had" been settled, and that from that area the colony did not draw a single penny of land tax. and that showed the system was not profitable from the colonial aspect. Much of the land which was not now paying 1 land tax would contribute something towards the revenue if it was converted into the freehold, and in many other ways which would be felt and appreciated." Walk in, walk in, walk in, to my parlour said the spider to the fly \ Mr Massey wanted to give them the freehold so that he could tax them. — (Laughter and applause.) He had quoted Mr Mass«y'a own words, taken from the Stratford Post. In the House the same thing was stated. A return* was asked as to how much was paid by way of land tax by those who held leases-in-perpetuity, and the return showed nil. But those paying land tax wanted to get som« more to pay the tax, so that, he supposed", they would by-and-bye get a reduction. He would show that so far as direct taxation was concerned there had only been an increase of £243,000, but as regards indirect taxation, in the la3t 10 years there had been an increase of over £1,000,000 sterling. He thought if the Crown tenants knew what was behind the freehold agitation they would ask a question before they took the freehold. The LINE OF DEMARKATION BETWEEN

GOVERNMENT AND OPPOSITION was the land tax. Th« Government proposed to increase the graduated land tax, and where was the Opposition? Did they eupport it? Would they support it tomorrow? No. On the bill Sir WilKwn

Rtissell moved to omit sub-section 2, increasing the graduated land tax ; and th« nine "Noes" were James Allen, J. Duthie, William Fraser, M. Kirkbride, F. Lethbridffe, F. Mander, W. C. Buchanan, O. Lewis, and Sir W. R. Russell. These were the gentlemen who opposed the increase of the graduated land tax. As they all knew, he never wished a wrong impression to be created, but it was worthy of consideration under existing conditions, and considering the large amount paid in indirect taxation, whether or not the Government could not with advatage, with a view of stopping the aggregation of large estates, put a little more on the graduated land tax of the colony.

WORKMEN'S HOMES.

Under the Land for Settlements Act til 3 Government tried to get the right to advance in respect to lands for workers, urban and suburban land. Who did they think opposed ? Mr Massey ! He said h* objected to extending the operation c-f the act to urban and suberban land. Wheu the original bill was before the HouSS it was intended to benefit small settlers who had some difficulty in borrowing money. He believed the act had dona well in this connection and fulfilled its original intention ; but in the case of people who owned city and suburban land, if the security was good, they could borrow from private individuals. Within a few months of making that statement they found the Leader of the Opposition standing before large audiences and telling thorn he favoured the extension of. this principle. -to urban and suburban lands in the J interests of the workers. "Thank you for c nothing, Mr Massey," said Mr Seddon,. "It had been the law foi months."— (Applause.) The act ought tG be extended. Under existing conditions, whilst they had increased rates of wages, and whilst in some other respects the condition of the workers had been improved, yet with increased rents and increased cost of living they were not much better oft financially at the end of the year. — (Hear, hear and applause.) They must extend the operation of the law in this respect. If they wanted to save suffering and give the workers the advantage of increased wages they must give them comfortable homes, and give them those homes at reasonable rents. Speaking as Minister of Labour and as Minister administering the Land for Settlements Act, he said that one of the most pressing necessities of this locality of Dunedin was the obtaining of some land and throwing ifc open for workmen's homes. — (Applause.)

THE TARIFF.

He had alluded to the increase in taxation, but in justice to the Liberal partyhe ought to tell them that they had decreased indirect taxation by no less than £1,691,000. He held in his hand a return showing that this had been done by the tariffs of 1895 and 1900. It would not be wise to interfere too often with the tariff, for it disturbed the commerce of the country, but, comparing- the direct with the indirect taxation, the time was not far distant when Parliament would again have to look into this question. PREFERENTIAL TRADE RESULTS.

They would recollect that two years ago the Parliament passed a Preferential Trade Act, and he had been watching its results very carefully. In 1894- the percentage of imports from the United Kingdom was 58.19 per cent., from British colonies and possessions 32.90 per cent., &nd from foreign states 8.91 per cent. At the same time our exports were : To the United Kingdom 85.62 per cent., to British colonies and possessions, 10.02 per cent., and to foreign states 4.36 per cent. What was our position to-day? In 1904 our imports from the United Kingdom were 60.5 per cent, from British colonies and possessions 22.92 per cent., and from foreign countries 17.3 per cent. In 1894we imported from foreign States £604,390 worth of goods, and last year we imported £2,262,000. Our imiports from America. had exactly doubled during the years between 1894 and 1904. During that time our exports to America had remained stationary. He was happy to say that the increase from America had stopped last year, end the imports from the Mother Country were going up. It was true ifc was only a small fraction — about li per cent. The same thing had happened in Canada, and in our own interests-, and in the interests ot the Empire, we must ultimately give all we can to the Mother Country. — (Applause.) America wa3 a dangerous competitor. America locked out everything possible going from here lo> there, and yet she had doubled her exports to New Zealand. Her coastwise laws legislation blocked the Union Company from the 'Frisco mail service when it only had one boat out of three, and he did not need to refer to the Harper case, in which one of New Zealand's sons was put into jail in Honolulu because he had gone under engagement to work in America. The Government followed the matter up, and he was happy to afjr that ultimately the American Governm*tt> expressed regret and paid Harper £8U

OLD-AGE PENSIONS. Now he must leave the questions of fin&^M and deal with the old-age pensions.—(Applause.) Last year the old-age pension** scheme cost the colony £195,000. Two ye*?"* ago it cost £215,000. The cost of living, house rent, etc., had gone up, and tho pensioners had suffered like the workers, and in the country's abundance the question for the people of the country and Parliament was to consider whether the colony could not give a little more to the. old folk. — (Loud applause.) He did nofc know that portion of the great surplus could be better expended than in ameliorating! the condition of the old-age pensioners, and to give them 10s instead of 7s. This would cost, under present circumstances, £94,000; but even did it cost £100,000, after all New Zealand showed the world the lead in respect to doing justice to the deserving aged, and his colleagues and himself had considered the matter very carefully, and would leave it to Parliament to make this increase in the pensions. — (Applause.)

NURSING HOMES. He oame na.v to* the question of nursing homes. There were not enough nurses ia' New Zealand, and thore was not enough chance to train enough nurses, as the hospitals only took what they required. By the scheme initiated by the Government there would be trained 100 or 150 nurses per annum, and they wanted nurses to go> to every sick home in New Zealand. In his opinion there wiere hundreds of youngladies in. the colony who would be delighted at tho chance of training, and there -was.

*Ny number offering. Even putting it in iis most sordid aspect, each adult male life was •worth £300 to the country. Then with regard to infants, the death rate was too high, and proper nursing facilities must be provided. THE OHRISTOHURCH CASE. £?ow ho would come to that scandalous case in Christoburch recently. — (Applause.) It "was wonderful - how our Divine Master jtrorked His will. There had been a. death tinder the most tragio circumstances, and there had been a public feeling of indignation. It must be one of the first measures passed by Parliament to increase the time for bringing a charge so as to prevent the occurrence of such a. scandal again.— SHOPS AND OFFICES ACT. 3?inaUy, he must give item the policy of the Government, and contrast it with the policy of the Opposition. Coming to the advanced policy of the Government, clause $ of the Shops and Offices Act was to be ii-epealed next session.— (Applause, cheers, fend some cries of dissent.) They must let pirn finish. As it was now, this clause was •n abortion. It was introduced by the Legislative Council, but it might be called to-day ano man's child. He believed there mras a general feeling, however, that the bours of closing should be fixed. — (Cries of •*' Hear, hear.") There was a general feeling tfchat' ©o far a3 shop assistants were concerned "the hours fixed by the present law must be maintained. — (Applause.) A£s- regarded . adjustment, there were certain exemptions required, and if the combined wisdom of Parliament could not de&l with .these exemptions he would be sorry for iSParliamemV. Ho might have mentioned that #his clause 3 was- one of the clauses Mr iMassey said the Opposition would be in favour of repealing, and lie (the speaker) Wished to say that everyone must take theblame for that clause, and he did not exclude himself; he should have seen that jfchere were no exemptions, and that oeffain shops were Toot dealt with by the act at fell. At the conference held two members of the Opposition were present — Mr James iAllen and Mr T. Mackenzie were members of it, — and they were all agreed that they iiad solved all the difficulties, and they all came down to the House perfectly happy. They said to themselves that they had goli Tthis thing settled ; it was only to apply jto the four "centres. • The people, they said, •wanted it, and they would never be happy till they got it, like the boy who used Pear's «cap. Well, they had got it, and they had : ueT€rJ»en happy sinoe.7- (Laughter.) POLICY QUESTIONS OUTLINED. Turther, then as to the policy of -the GoJvernment, first he would mention the teachers' superannuation scheme, and he paid th"ey must pass that, for the teachers ferere a deserving body of public servants, ,who had no provision whatever for pld age, and justice must be done them. There should also be a superannuation scheme for civil servants. ..There ought to be classification of the civil service. There ought to be an extension of Ithe Land for Settlements Act, providing >ior tiia. purchase of workmen's homes and' 'ithe erection of buildings,' the Government lending: up to one-half at 5 per cent., five acres to' be the limit. — (Applause.) The harnessing of our rivers and the utilisation of, the" - natural motive power should be looked to. Provision should be mad* for uri incraase x>f teachers' salaries on a fixed pasis. The present system was rotten. (Teachers were paid on the attendance, and af . there was influenza or any other epidemic, or perhaps' if a settler ohanged hi* location, the teacher had to suffer in his salary. The basis wanted to be altered, and there ought to be a fixity of salary.— (Applause.)" Then there was forestry and iree-planting. No part of the colony -wanted it more than Otago did. — (Applause.) Given an irrigation scheme and forestry and tree-planting in Central Otago, it would be a great advantage to the people •of Dunedin. — (Applause.) Native lands legislation and local government reform, with an assured finance, should also be looked to. Royalties on timber and flax should be local revenue," less cost of administration. The gold-mining industry «hould be encouraged, including scientific prospecting. The fruit industry should be isxtencled. Home nursing for workers' -wjves and families and the housing of workers were questions to be considered. The time had arrived, too, to limit the area of land that people might hold. — (Applause.) Some companies held 150,000 or 200,000 acres. There ought to be a law passed to prevent that company holding any more. — (Applause.) LAND POR SETTLEMENTS. i Speaking with authority, the right Bon. \ rentlem*n said there was nothing which jjwrald help Dunedin so much, and would Iteep its present prosperity and increase it, \\s close settlement.— (Applause.) Every l»rge run that could be reduced with advantage, after the expiry of existing leases, jught to be reduced. All the large estates, feaeh as Greenfield and many other estates ii that part of Otago, required to be Brought under the Land for Settlements Jfiot. There was an earth hunger, as was evidenced by the greedy manner in which Ahe farms were taken up. Although in INorth Otago the Government had bought largely, yet in Southern Otago as much land had not been bought as he thought ought to have been; he would go further, and say as much as shallvbe bought. — (Applause.) Increase the number of farms, inorease the exports, and it will come back to you tenfold. They were all interested in *hls, but he asked, Was it likely they were going to get any assistance from the Leader -of the Opposition? He had told them that at the inception Mr Massey opposed the Compulsory taking of land, and what good could they get from that emanation? Mr jVLassey had -given them this: He said, "What we are prepared to do as an Opposition is this: as the present Crown tenants and lessees give us money for their farms iwe will spend that money in buying other lands." It will be a long time, said Mr Seddon, before you have close settlement in Otago under -those conditions. - . CHEAP MONEY tad been the salvation of this country. It iiad helped the industries. - The Government had done a good deal in the way of cheap money. It had advanced about five millions, and if it took the reduction in fehe rate of interest at only 2 per cent.-* fcut it used to be more than 7 per cent, in the days gone by, — he was looking at some gentlemen who used to pay 10 per oent — (laughter); — but- if they took the reduction *t 2 per cent., they would see what a large saving to the people of the colony

had been effected. He contrasted these planks of the Government with the policy of the Opposition. Restoration of the power of the auditor, as contained in the repeal of the Publio Revenues Act! That would certainly bring prosperity to Otago, wouldn't it? Then there was to be Legislative Council reform. They knew his opinion about that. Then there was to be the appointment of a Civil Service Board and local government reform. There waa to be freehold to Crown tenants and independence to the magistrates of the colony. That was the Opposition policy. Where was it going to lead to? Where was it going to improve the position of the people? Suppose they gave all the magistrates of the colony the same position as Supreme Court judges, what difference to the progress of the colony would it make? The more you improve and make important a position the more the person holding that position wants to get, and he understood from the Minister of Justice the other day that there was going to be a deputation of the magistrates asking, on the strength of what the Leader of the Opposition had said, for an increase in salary. He described the policy of the Opposition a^jjpne of negation and stagnation and the Government policy as one oE progression, a government by the people and for the people, and they had a good Government in office to-day. He was not at all egotistical — (laughter), — but he said, "Look at the Opposition and look at Government and the Government supporters and you don't require"—The Premier here hesitated as though* at loss for a word, and! looked behind him. A voice *om the gallery exclaimed, "No chance, Dick, he's gone." The Premier: "You are quite right," and he went on to say that there were to-day, in office, men desirous of serving the people faithfully, and the people had proved that that service had been for the good of the country The position of the country had been improved under a Liberal Government and a Liberal party, and he knew that- he had good masters and he must leave it to their intelligence to know that they had a good servant. — (Applause.) A GOLDEN FUTURE. Let them go on to higher and better things. The country might be prosperous and wealthy and yet it might not be a good country, and the people might not be a good people. He asked what was the moral tone of the country and its people? Were the people imbued with higher ideals and desiring to improve and uplift. humanity, or wero they careless and sordid? He hoped not. He wanted' to see the people in this country respected and looked up to throughout the oivilieed world. — (Applause.) A country must tot always be judged by its siirplus or its financial position. He wanted this country to be judged by a higher standard. He wanted the people to realise that this country was destined' to be a great nation. The area of the Mother Country was not equal to this. There was less than a million population to-day here, but there would bd millions in this country yet, and if the country laid the foundations 'on a broad basis on which a noble edifice eoudd be erected, then in the future it would be pleased with what it had done, and the Government wanted to lead the people in this direction. — (Applause.) The foundation was so far laid that there had been an inorease ' in population within the past few years of 170,000- without it ever being felt, and with increased population there would be increased prosperity; but it must be on such • lines that as the increase took place there would not be a diminution of true happiness. The people must be true to themselves. — (Applause.) Let the people be true to themselves, and remember the great responsibility cast up them. Let them make this country as Bracken described it : "God's own country." — (Prolonged applause.) Ex-councillor J. M'Donald after the applause had subsided, moved, in appropriate terms — "That this meeting of Dunedin citizens tenders a hearty vote of thanks to Mr Seddon for his address, and expresses unabated confidence in the Government and its administration. ' ' Mr W. H. Uttley seconded the motion, which was put by the Chairman and carried by a show of hands and amid applause. Mr Seddon, in replying, said he thanked them from his heart for the reception they had given him, and he wished his visits to Dunedin had been more frequent, as he meant they should be in the future. He moved a vote of thanks to the chairman, and called for three cheers for Empire Day. The cheers were lustily given, and the meeting terminated, a number of thoee pre1 sent joining in the strains of " For he's a jolly good fellow,"

Customs .. 2,610,000 Railways .. 2,180,000 Stamps . . 1,095.000 :,an<3 tax .. 330,000 income tax 22-2.000 Beer duty.. 100,000 Registration and other foes . . 93,000 if aaine . . 31,800 M i s c c 12.631.954 2,217.767 1,160,119 352,854 253,952 96,210 103, 465 36,121 21,984 — 37,767 — 65,119 — 22,854 — 31,952 — — 3,790 10,465 — 1,321 — laneous . . 140,000 Territorial 170,378 30,378 — revenue .. 230,000 260,020 30,020 — 251.8G0 3,790 3,790 Totals 7,031,800 7,282,870 248,070 —

'inancial Year. 1891-92 . . 1892-93 .. 1893-94 .. 1894-95 .. 1895-36 .. 1896-97 .. 1897-98 .. 1898-99 .. 1899-1900 1900-1 . . 1901-Q .. 1902-3 .. 1903-4 .. 1904-5 .. Consolidati Fund. .. £165,574 283,780 290,238 180,024 215,559 354,256 521,144 495,861 605,352 532,564 270,489 803,906 649,741 761,036 ted i Public worj Fund. £575,577 330,549 842,856 295,130 45,073 157,368 51,492 70,856 139,749 232,516 454,059 338,568 393,802 861,670 Total « £5,629,554 £4,289,058

BALANCES AT END OF FINANCIAL YEAR.