DEFICIT OF £577,000

Sun (Auckland), Volume III, Issue 726, 27 July 1929, Page 6

DEFICIT OF £577,000

NO FURTHER CREDIT LIKELY POST AND TELEGRAPH SURPLUS •(THE SUN'S Parliamentary Reporter) PARLIAMENT BLDG., Friday. That the deficit of £577,000 in the finances of the country, at the end of the last financial year had been arrived at after allowance had been made for Post and Telegraph Department surplus, was revealed In a statement made in the House of Representatives this afternoon by the Prime Minister. Mr. P. Fraser (Wellington Central) spoke of the new method of accounting, which meant that the Post and Telegraph accounts be kept separate and asked Sir Joseph Ward whawas the balance at the end of the year, and what its effect on the deficit would be.

Sir Joseph Ward replied that because of the alteration In the law it was not possible to Include Post and Telegraph finance In the Consolidated Revenue accounts. The whole question would be dealt with in the Budget, and information on the Post and Telegraph accounts would be given there. Mr. Fraser said that one of the reasons advanced why more was not being done for unemployed was the deficit. There was a possibility that when the surplus of the department was disclosed, for he expected a surplus, it would be shown that the finances of the country were not In as desperate a condition as alleged.. Therefore the same excuse about unemployment relief could not be given. Sir Joseph Ward said that Mr. Fraser could accept his assurance that the deficit of £577,000 was after the credit from Post and Telegraph had been dealt with. All moneys belonging to Consolidated Revenue were credited and there was a net loss on all departments.