PARLIAMENTARY.

South Canterbury Times, Issue 3498, 21 June 1884, Page 2

PARLIAMENTARY.

FBy Telegeaph.]

LEGISLATIVE COUNCIL.

Welmkoton, June 20. The Legislative Council met to-day, but no business was done, and it adjourned till to-morrow, then to take the question of Supply if sent up from the House.

HOUSE OF REPRESENTATIVES.

The House met at 2.20 p.m. After the transaction of minor business, and a somewhat angry discussion between the Premier and Opposition members the FINANCIAL STATEMENT was delivered. The following is an abstract

The Colonial Treasurer (the Hon. Major Atkinson) in opening remarked that the financial difficulties of the Colony were over-rated, but nevertheless the serious depression under which New Zealand in common with a large part of the eivilized world has been suffering for some time past had caused a considerable falling off in some items of our revenue, and has thus transformed into a deficiency the small estimated surplus of £8295 with which it was hoped to have ended the year, ORDINARY REVENUE.

In last year’s statement, he had estimated the total expenditure at£3,661,496 Of the amount £1,645,694 was required for interest and sinking fuud, and for tho Civil List and other charges under permanent Acts, and £2,015,802 for the Services for which annual provision is made by Parliament, The sums voted on the Supplementary Estimates increased tho amount of the annual appropriation to £2,040,560, This sums therefore, with the estimated charges under permanent Acts, amounting to £1,645,694, gave £3,686,064 as the total appropriation for the year. Tho The total actual expenditure on this account during the year proved to be £3,681,320 being £4734 less than the estimated amount. The payments under pennant Act were £506 in excess of the estimate, and those under the votes of the year were £5241 within the amount authorised. These were the net results. Of the £IOO,OOO provided by the Public Revenues Act, for “ unauthorised expenditure,’’ £35,126 bad been expended On the other hand, the unexpended balances of votes amounted to £40,389. During the year 1882-3, the total expenditure out of the ordinary revenue amounted to £3,638,484, as against £3,681,320 expended last year, the expenditure of 1883-4 being therefore greater than that of 1882-3 by about £43,000. Tho classes of expenditure mainly accountable for this increase were education £12,200, and railways £53,800, but a saving of £39,200 was effected in the Constabulary and Defence Services. The liabilities of this account on the 31st March, 1884, were estimated at £166,757, being £9773 less than the amount outstanding on March 31st, 1883. The ordinary revenue of the year 1883-84, that is the revenue exclusive of tho receipts from land sales, was estimated in the Financial Statement of 1883 at £3,573,800. The subsequent increase, however, in the property tax of one farthing in the pound brought op the estimate to £3,638,800. The actual amount of ordinary revenue received and brought to account by the Treasury during the year was £3,493,659, being thus £165,141 under the estimated amount. The branches of revenue in which the estimated receipts had not been realised, were Customs and Railways. In Customs the amount received was £123,318 short of the estimated amount, which was £1,520.000. On Railways the amount estimated to be received was £1,020,000, bat the amount brought to account proved to be £963,109, being £56,881 under the estimate. The total expenditure of the ordinary revenue of the Consolidated Fund during the year 1883-4 was £3,681,320, and the revenue amounted to £3,493,659. The position of the Consolidated Fund for the financial year ending the 31st March last, resulted in a deficit of £152,112. There was always a great difficulty in accurately estimating revenue. LAND FUND ACCOUNT. The amount to be expended during the year out of tho money derived from sales of land was estimated at £338,162, of which £36,600 was for payments under votes for the services of the year. The actual expenditure was £23,662, or £SOO more than the estimated amount. The expenditure under permanent Acts was £34,843, and under the votes of the year £203,819, There was a total of £68,804 handed over to local bodies to be expended by them. The expenditure in respect of the Crown Lands, Survey, and other Departments amounted to £158,374, being £3IOO within the amount authorised. The amount transferable under section 4 of the Eoads and Bridges Construction Act 1882 to the Main Roads Account in the Public Works Fund, on account of the transactions of the year 1882-83, was found to be £75,203 but no transfer was made during the year 1883-84, the necessity for doing so not having arisen. The liabilities outstanding on March 31, 1884, in this Account amounted to £33,557, exclusive of the sum of £74,203 transferable to the Main Eoads Account in respect to the transactions of the year 1882-83. The estimated revenue during the year from sales of land v as £275,600. The actual receipts proved to be £232,545, being £43,055 under the estimated amount. The revenue derived from the cash sales was £162,758 and from deferred payments £68j787, the total receipts were|£3l9,lo9. Deducting from this amount the expenditure amounting to £238,662, which includes a sum of £68,804 paid to local bodies we get a balance at the close of the year of £86,447 subject to the charge of £75,203 transferable to the Main Roads Account. THE PUBLIC DEBT.

On the 31st March, 1884, the gross public debt of the colony amounted to £32,667,710, and the accrued sinking funds to £2,792,808. The net public debt was therefore £29,574,903. Of this sum however, there remained unexpended £877,912. Daring the past year £599,399 of the amount represented by Imperial guarantee on other debentures had been raised, leaving £124,000 unraised. During the year there had ako been raised the second £1,000,000 of the loan of three millions authorised in 1882, together with £25,000 authorised by the Colonial Inscribed Stock Loan Act 1882. The debt had further been increased to the extent, probably, of £161,300, by the conversion, to which I shall presently return, of a large amount of 4 2 and 5 per cent five-thirty debentures into 4 per cent inscribed stock at the Bunk of England. The reduction in the rate of interest in respect of this part of the debt has, however, caused a large aunual saving. These increases of the public debt, amounting to £1,411,300, added to £28,884,581, give a total of £29,795,881. From this sum however, deducting the sinking fnnd accrued during the year, estimated a £220,979, £29,574,903, remained as the

net public debt of the colony on the 81st March, 1884. j The colony had reason to congratulate ; itself on the successful placing of the last £1,000,000, loan at £9B 12s sd. COLONIAL INSCRIBED STOCK. A loan under the Colonial Inscribed Loan Act 1882 was raised last year, and was taken up by the Postmaster-General as a Savings Banks investment at 5 per cent per annum, the proceeds being paid to the Public Works Fund. DEBENTURES. The two classes of debentures of 3 and 5 years’ currency respectively had been combined, amounting in all to £9,082,000 giving to tho holders the option of conversion on certain terms. In September, 1883, an announcement was made public through the Bank of England that up to the 30th November applications for conversion would be received in respect of the following debentures—£6,ooo,ooo of 4J- per cent five-thirty debentures at £lO3 of stock for every £IOO in debentures’; £1,250,000, of 5 per cent fivethirty debentures at £lO3 10s of stock, and £1,832,000 of 5 per cent at £IOO of stock. The result was that the following debentures were brought in and converted, viz., £3,053,000 of 4j per cent five-thirty debentures ; £503,700 of 5 per cent five-thirty debentures; and £1,832,000 of 5 per cent debentures, making a total sum of £5,388,700 converted out of a sum of £9,082,000. Full accounts had not yet been received from the stock agents, but after setting aside a sufficient sum by way of sinking fund to cover the increase of debt arising from the conversion, a sum of about £28,000 would probably be annually saved to the colony by the reduction of the rate of interest. PUBLIC WORKS.

For the year ending the 31st March last Parliament voted out of the Public Works Fund £2,014,757, exclusive of the vote for land purchase—£77,ooo. The actual expenditure was £1,278,710, exclusive of the expenditure for land purchase, amounting to £24,480, and also exclusive of the expenditure under the Hoads and Bridges Construction Act 1882 amounting to £106,898. The chief items of expenditure were—On railways £661,846, roads £222,243, public buildings £164,375, immigration £107,041, other services £123,202. The liabilities outstanding at the end of the year, exclusive of those for land purchased, amounted to £997,443, which, added to the sum expended, £1,278,710, gives a total of £2,276,153, as against £2,014,757 voted for the year. Out of the £350,203 standing to the credit of the fund available under the Hoads and Bridges Construction Act, £106,398 had been expended. Of this £89,396 was on account of main roads, and £16,002 on account of district roads. The liabilities outstanding on the main roads account are £160,483 and upon the district roads account, £43,777. The balance ef the Public Works Fund remaining unexpended on the 31st March last, including the balance, £389,000 of the second instalment of the loan, amounted to £877,912, PROVISION FOR THE FOTURB. The Ministry under existing circumstances had only to ask for Supplies until the meeting of the new Parliament. The issue of £150.000 deficiency bills was absolutely necessary for the general service at one ; and of £IOO,OOO in connection with public works. THE DEPRESSION. The depression was due solely to extravagance, the excessive number of distributors and middle-men, and the low prices ruling for wool and grain. Government would not have needed to ask Parliament for an increase of taxation for the purpose of carrying on the Services of the year. They had had under consideration reforms in the Civil Service, by which savings would have been made by our hospital and charitable aid proposals, and by the savings upon other votes. CONCLUSION, The Treasurer in conclusion, reviewed the financial operations of the Government during its term of office, and concluded with these words" Waste is more or less an incident of all human work, which the greatest skill, sagacity, and prudence cannot wholly terminate, and the tendency in times of excessive confidence, is to neglect thrift. It is generally admitted that but for this fact our large colonial enterprises of the last fourteen years wcnld have been a more signal success. If the country and Legislature are capable of profiting by the uses of adversity,our future progress as a people will more than compensate in its increased stability for whatever it may sacrifice in swiftness.” The Statement having been delivered, In reply to Mr Eichardson, tho Hon Mr Mitchelson said it was not intended to make any Public Works Statement. Mr J. W. Thomson contended there was a larger deficiency than £150,000 as stated by tbe Treasurer. They were already three months into tbe financial year, and they were asked for other two month's Supplies, making in ail five months, so that the deficiency would be that proportion of time in excess of £150,000. This fact, for political purposes, in the present state of the colony was made light of. The Customs revenue was over-estimated by£123,000 and the railway receipts by £56,000, and altogether the income of the colony for tbe last year had been over-estimated by at least £205,000._ That fact in itself should bo sufficient to make the Treasurer ashamed of himself in having expended £187,000 in excess of the income.

The House resumed at 7.30 p.m. in Committee of Supply, and Mr J. W. Thomson resumed the debate on the Financial Statement, arguing that the condition of affairs was such as to create the gravest possible doubt. Our finances seemed to be going from bad to worse. Other members criticised the State mentand the general conduct of Government, and the House adjourned at 9.35 p.m. till II to-day.