STATE ADVANCES.

Poverty Bay Herald, Volume XLIX, Issue 16175, 11 July 1923, Page 8

STATE ADVANCES.

THE HOUSING PROPOSALS. ,Por Press Association.) WELLINGTON, last night. The adjourned debate on the State Advances Amendment Bill was resumed by Mr. Pcrelle, who supported the Bill, and hoped the Government would not forget to have ample money available for farmers when the moratorium expired .

Mr. Field drew attention to tho fact that a number of the largest lending firms in the Dominion were controlled from Australia, and sometimes the Australian directors, without very much notice, called in as much money as possible from investments in New Zealand for investment, in Australia.. This was calculated to place many New Zealand settlers in difficulties, and he thought, the Government should con aider whether some steps could be taken to stop that sort of thing. Mr. jJlcllvride said the first step in solving the housing problem was to house that section of society who by; smallness of wages is not able to pay down a deposit or pay high rent. To theso people 95 per cent, was of no use, and the Government ought to advance them 100 per cent, of the cost of the home. Mr. F. J. Rolleston said tho solution of the housing problem rested with the State. Private enterprise was hopeless, and local bodies had not been able to provide houses on the scale anticipated, because funds had not been available to them. The Bill would be a success in cases where the State is the only mortgagee, but in cases where a second mortgagee came into the transaction he anticipated trouble, because the occupant would enter into an engagement with a second mortgagee, which they could never carry out. , He wanted to see the Act of 1919 continued with liberal grants to local bodies.for housing purposes, as they could administer the scheme more, efficiently than a. central authority in Wellington. Mr. Masters said the Liberals would welcome anything done to assist the farming community. Tho Advances Department, though well managed, could never meet all the demands of the farmers, and an agricultural bank was bound to come. All the same, he wanted to see this Bill get a good run, and ho wanted to see the Government put rnore "ginger'' into its administration than • they did into tho Act of 1919. Mr. Nash supported tho Bill, but thought the Government should not build houses, as private enterprise could best the Government always. He recommended tho Government to look into what was being done in the Old Country. Regarding housing, ho thought a subsidy to private builders with fixture of rent for 20 years, would be the best solution of tho housing problem. The Hon. J. A. Hanan said the Bill might do something to relieve the housing difficulty. It-, would certainly create a Doom in land buying and building, and in so doing might possibly create a crop of new evils, which would take the place of the existing ones. Nothing would stabilise things so much as a complete revision of our system of" hand valuation.

On the motion of the Hon. W. Nosworthy, tho debate was adjourned until next sitting day, tho Premier intimating he wished to proceed with the financial debate at 7.30.