Poverty Bay Herald PUBLISHED EVERY EVENING GISBORNR, THURSDAY, JULY 18, 1935. BRITAIN’S NEW DEAL

Poverty Bay Herald, Volume LXII, Issue 18761, 18 July 1935, Page 4

Poverty Bay Herald PUBLISHED EVERY EVENING GISBORNR, THURSDAY, JULY 18, 1935. BRITAIN’S NEW DEAL

The rejection by the British Cabinet of Air. Lloyd George’s plan for

•" ‘ organising prospei ity ” wn." not uuOipected. nor, in the light of the summary of the details which has boon made available, is it surprising. Ja polities, as in everything else. British people, ns a whole, have a tendency to avoid the spectacular, and no other term can be applied to Mr. Lloyd George's proposed “New Deal.” So far as the Cabinet is concerned, its whole policy has been one of slow and steady reconstruction; it has been conservative almost to the extreme, and nothing was more inilikely than that it should accept, a scheme that would involve a complete departure from the programme it has been so assiduously following. It does not follow, of course, that the New Deal is devoid of value, or thatnone of the suggestions contained in it will be adopted in a modified form, it would have been more impressive, owever, if it had been a little less attractive, for it is difficult to escape the conclusion that' it was framed, primarily, as a bait, to the electors. When the plan was first mooted, Mr. Lloyd George was most insistent that it was a noivpnrty effort, and he disclaimed any intention of forming a new political organisation. The programme, however,, boars the inipres sion of incorporating the most fascinating proposals of till the parties which have ever made a bid for power* and already its sponsor is talking about securing a hearing for it throughout, the country ns the coming elections. Only recently, Mr. Lloyd George pictured himself as a former leader who had boon virtually dragged from obscurity lo advance the cause of a non-party movement wljo.se object was to lift the Government from the rut of convention, but it is perfectly clear that, whatever

the real .reason, he is back into polities, at. least temporarily, ami. in the light of developments, is Must. he assumed that he returns, not ns a supporter of the Government, but an opponent. Whether the New Deal is an election stunt and nothing more is a. matter of opinion, but to those who have carefully followed the economic trends at Home during the last few years the attitude of the Government will be easily understandable. It is not necessary to consider all the deails of the plan to be. able, to appreciate its contentious features. The revolutionary changes in administration by an attenuated Cabinet, the setting up of control board to supervise industries, and the control of the Bank of England.by the State, appear to be essential features of the scheme,'-but these things will not al tract so much attention, perhaps, as (he more practical planks of the platform. The, real appeal to the electors undoubtedly lies in the suggested prosperity loan of £250.000,000 to, finance productive works and the scheme to revivify industry in its various aspects and develop overseas markets. • Atttempts to borrow a way into prosperity are not novel, but any such attempt that succeeded certainly would be. In the first place, there is the difficulty of securing really productive works, and it is greater in an old country than it would be in a newly-developed one such as our own. Even in New Zealand it has been found that prospective undertakings which ’ would be justified under present, conditions are not numerous, and it may be taken fot granted that the possibilities in Great Britain are relatively feu or But even assuming that works justify ing the expenditure of £2r>o,ooo,oof could be found, and that they would ■wovide employment, for more, men than arc available, as Air. T.loyd George states, what is to happen when they tire completed’ It, is not like now industries which would be carried on under their own momentum, for in this ease the work could only be continued by raising more loans. The position is hcsl illustrated by the housing scheme. The New Deal provides for the erection, of two million non dwellings in a few years, but what about when the few vears arc up? The present Government has a definite housing scheme under which ..f, many new homes will be erected every year, not just for a few years with a. subsequent cessation of activity,’ but as a permanent feature of national policy. The difference between the two plans, then, is that Mr. Lloyd George’s will provide temporary work for everybody, while the Government’s alnt.s at ensuring permanent employment for as many as nossfide. And this difference is characteristic of the New Dead as a whole in comparison with the policy of the National Government. The “Welsh Wizard “ seemingly wants to reform everything in ono fell sweep, but Mr. Baldwin and his colleagues prefer the old British method of making haste slowly and consolidating the advance*--as they arc made. It is unfortunate too. that tlie proposed New Deal for Britain should bear such n. striking likeness to its namesake in the United .States, for, strange though it may appear, the Americans, with all their typical hustle to get things done have failed, in the contest for recovery, to keep pace with the more stolid Englishmen. Impatience with the progress in Britain is understandable, a desire to instil a little more on tlutsiasm into the Government might well merit support, but in the light of the knowledge that no other eottn try has redeemed her trade to such ar extent nor established her finances ot. such a sound basis, it seems inconceiv able at this stage that the people should be tempted to abandon the substance for the shadow.