A POLICY SPEECH.

Pahiatua Herald, Volume XIV, Issue 3311, 3 May 1909, Page 5

A POLICY SPEECH.

SIR JOSEPH WARD AT INVERCARGILL. A SURPLUS OF £184,321. PROPOSED LEGISLATION. THE DEFENCE QUESTION. Electric Telegraph—Press Association. Invercargill, May 2. The Prime Minister delivered an important policy speech in the Municipal Theatre on Saturday night, to an audience of about one LnousanQ people. Sir Joseph spoke for an hour and three-quarters. He opened his remarks by deprecating the Opposition statement that the expenditure for the March quarter of the present year was certain to have exceeded that of the corresponding quarter of the previous year. As a matter of fact the expenditure in the quarter just ended was nearly £4OOO less than in the March quarter last year. Speaking of finance he declared that notwithstanding the tightness that, has existed in the money market of New Zealand for some time the finances were exceedingly satisfactory. Wliat had been adversely called his optimistic views had been justified by the results for the financial year just ended. He had estimated the revenue at £8,950,000, and the expenditure at £8,878,346, and after bringing forward tile previous year’s balance of £767.849, and transferring £SOo,OOO out of the revenue to the Public Works Account lie had estimated the surplus at £74,503. He was, therefore, not unnaturally gratified to say now that all analysis of the figures showed the year’s surplus to be £184,321. That was £109.118 more than the Budget estimate. Revenue for the year amounted to more than nine millions —an increase of £16,185 over the estimate. The revenue for the year exceeded the expenditure by £215.672. To this railways contributed £2,918,507 an increase on the previous year of £153,112, in spite of reduction in fares and freight to the extent of £950,000. Stamps brought in £l,591,358 —an increase of £40,394. Laud and Income Tax returns reached £926,000 —an increase of £83,194; miscellaneous revenue £264,210 —an increase of £45,868; and registration and other lees also showed an increase. Customs did not come up to the estimate by £148,752, ownig to an unexpected failing olt in import values for 1909, as compared with the steady increase tor some years previously. and owing to excessive importation in 1908 m anticipation of extended preferential tariff which took on March 31st of that year. There was a falling off in beer duty of £786, and a drop in territorial revenue of £13,133. Revenue as a mat-

ter of policy has been largely reduced during the last few years by remission of Customs duties, railway concessions, abolition of sheep tax, and transfer of large areas of Crown land-, and national endowments. Not-

withstanding all this the revenue tor the year just closed was £600,600 better than for the previous year. A satisfactory feature of the year’s transactions was that £BOO,OOO had been transferred from the ordinary revenue, and paid unto the Public Words Fund. Otherwise the balance would have been £984,320. He drew attention to the amount obtained tor the requirements authorised by law during the past year. Those included renewals of the Public Works and Manawatu Railway, Loans to Local Bodies, Lands for Settlement and Advances to Settlers—a total of £7,797,257, all of which had been provided for and showed the financial stability Oi the country. The Minister mentioned incidentally that the Secretary or Customs had that day wired that

there was an increase of £9600 in Customs duties for the month of April, and stated that there was a much better feeling among commercial men as to the prospects and conditions of trade. Speaking of the Opposition criticism with regard to post and telegraph business, the Premier declared that the Government did not view with any disquietude the ebb and flow of the Savings Bank busimss, which were regarded as the natural sequence of fluctuations in the money market. Two hundred and fifty thousand pounds of the deposits were last year loaned to public bodies, so that in addition to the whole of' the security of title country there was the rating security of local bodies, who borrowed the money. Sjx-aking of the tax which was alleged to be driving money out of the country he said that during ttic year the investments under mortgage bad increased by £1,664,393, which did not look as if money was being driven out of New Zealand. This tax prev< titod people evading the land tax by mortgaging their lands to possibly a man of straw. It was absolute nonsense to say that the Government was responsible for the tightness of the money market. The fall in wool made a difference of over £3,000,000 to men who had drawn ..;cney on their wool clips. The tight-

ness was also caused by a fall in flax and by the loosing up of money in laud. He thought, however that tin re was not the banking conveni-

ence in New Zealand to enable the is pie to deal with temporary financial embaTrassineilt. He thought that more hanks should be allowed to come into tin- country to cope with the ex-j.an.-ioii of biisiuc s. lie thought also tna: tho operations <n the Advances to Settlers Department might lie extended with advantage. Speakingof paper currency, Sir Joseph said that to adopt a system of paper currency

would lalal unless there was behind it an equivalent in gold. There was room possibly tor hanking reform, hut the matter must be approached without precipitancy on account of the immense interests involved. Speaking of defence tlio Premier said that it was a groat mistake to supjuise. that nothing had been done in the direction of improving the internal defence of the country, hut the (natter was one requiring to he gone into very caret idly. Many of those who urged compulsory military training did not realise what it would cost to foot the hill. It was necessary first to find out the maximum requirements, and then make arrange mi nts to pay for them. During last year there had been a record number of men in the volunteer system. The proportion was greater Hull it HUS in any country in the world. He spoke in detail of wliat had been done during the past tivo

years to assist the work of the volunteer forces, and maintained that the whole thing was not drifting as had been asserted. During next session of Parliament measures would be introduced to further improve the system. With regard to railways there was no other country in the world where railway travelling was cheaper than in New Zealand. The total amount of reductions in pursuance of the policy to use railways as an adjunct to settlement, was £2,709,000. In the next few days there would be introduced an arrangement whereby people travelling from one point of the country to the other M ould be enabled to obtain their railway tickets at the office of the Union Steam Ship Company. Speaking of land settlement, lie said that the total number of selectors under national endowment to March was 1853, .and the total area was 579,641 acres. The total territorial revenue for the year Mas £696,126, or some £32,000 over the total estimate. The predictions of the opponents of the national endoMment as to the revenue had been totally refuted in a most practical' May.. With regard to native lands, the Department had since October 21st, 1900, rendered available for settlement 1,690,047 acres of native land. At the present time the Boards had in hand the surveys of over 10,000 acres, a large proportion of which is expected to be put on the market almost immediately. The Government Mas anxious to make things as easy as possible for those unfortunate enough to come under the retrenchment proposals. None of those affected would be turned out during the M’inter or in cases M r here retirement M'as necessary, they would be compensated for a period to cover it. With regard to the Government policy the aim this session Mould be to introduce legislation remarkable more for quality than quantity. In the matter of national annuities a 'Bill for self-help must precede that for State help. The principle of the Lands for Settlement Finance Bill M'as to allow any five men to come together to acquire a limited area of freehold by the State’s guarantee, it helped only those who helped themselves, and Mould encourage those M'ho Mere disappointed by constant failure in the oallot, and those Mho could not purchase singly, it Mas not intended to replace tne Lands for Settlement Act, but to work in conjunction with it. In the last few years there had been a tendency on the part of the people to drift to the towns, and it Mas the duty of everyone to encourage people to go on tiie land. As to tiie National Annuities Ljill one ot the teal's flaunting a low-waged worker Mas a povertystricken old age. Under the proposed Bill a man could make provision tor las old age, and for his Mite and children by malting a small contribution per Meek to tiie fund. The chief beuents Mould be given to parents supporting children. It Mas not charity, but Mas a combination of individual and State effort that Mas financially sound. An important aemndment oi the Succession Duties Act Mas contemplated by uhicli duties Mould be imposed on those estates M hich Mere in the best position to afford it. Prison reform Mas advocated on-lines already lamiliarised by the Minister lor justice. There Mould also be considerable reforms in the bankruptcy lairs. A reform under contemplation Mas that ot bringing back to tbe country ail absconding debtors. Probably a Bill Mould be introduced improving the Patents Act in tbe direction ot dealing with false trade descriptions, important amendments to the Friendly Societies Act, Hospital and Charitable Aid institutions, Education, Workers’ Compensation for Accidents, and Municipal Corporations and other Acts Mould also be introduced. The action ot the Government in offering to the British authorities the gift oi a Dreadnought from the Dominion had aroused a ide and intense expressions of approval, though a small section of tire public protessew disappointment. The English Socialist leader (Mr Bla-tchf.ord) had declared strongly for increasing the naval strength, showing that the man on the spot recognised a calamity to the workers unless the British -Navy Mas made impregnable. The Minister drew a graphic picture of the consequences of Mar with the possible result of New Zealand passing to a foreign country as indemnify. When anyone is talking of the cost of a Dreadnought or two Dreadnoughts, he asked, dot's he for a moment suppose, looking at is from a mercenary point of view that it Mould equal the cost of what the penalty Mould be to us? Our very existence depended upon the strength, power and mightiness of the British Empire, anti tho talk of joining hands with Australia in the matter of a local navy Mas next to futile. The constitutional aspect of the matter would be duly laid before Parliament. To have asked individual members to commit themselves would have been most unfair. Tiie executive took tiie responsibility, and Mould risk subsequent ratification by the people and Parliament in in their loyal and practical support to the Old I .and by rising above party and standing at all cost to the Mother that had given us protection for the last, seventy years for the infinite small amount of flic naval subsidy. The Minister's eloquent peroration was received with tremendous applause, bin speech being frequently punctuated by outbursts of approval. A vote of thanks and confidence in the Government was carried with unanimous enthusiasm.