LOAN OF £30,000,000

Southland Times, Issue 18990, 11 July 1923, Page 5

LOAN OF £30,000,000

MR PERRELLE’S SUGGESTION ADVANCES TO SETTLERS AND WORKERS (Special to the Times.) WELLINGTON, July 10. Speaking in the debate on the second reading of the State Advances Amendment Bill, this afternoon, Mr P. A. de la Perrelle, (Liberal-Labour), Awarua, said that while he thought the original Act one of the finest pieces of legislation on the Statute Book, the amending Bill was a step in the right direction, and the people would appreciate its advantage before very long. In connection with the further proposal in the Bill which gave aid to local bodies, he said that preference should be given in all cases to settlers, and workers. Local bodies could obtain money more readily than the farmer, not that their security was better, but it was regarded as a sounder business proposition. Discussing the bearing of the Mortgages Extension Act, on the Bill, Mr Perrelle, quoted statistics regarding mortgages to show that 17 per cent, of them comprised amounts up to £500; 23 per cent, from £5Ol to £lOOO, 23 per cent, from £lOOl to £5OOO, while 26 per cent, was registered for amounts over £5OOO. The average amount for each mortgage was £896. On country property the, average was £1274. as compared with £551 on town and suburban holdings. The average amount loaned to settlers was £6OO, to workers £5OO, and to local bodies £2240, the amount absorbed being £2,500,000. With the increase in the advance to £3500, he was satisfied that there would be sheaves of applications coming in and he thought the Prime Minister should borrow at least £30,000,000. This would not meet all requirements but would materially help to solve the position, when the Moratorium was lifted.