THE POLITICAL CAMPAIGN.

Colonist, Volume LVI, Issue 13420, 18 March 1914, Page 2 (Supplement)

THE POLITICAL CAMPAIGN.

MR' MASSEY AT"THE THEAERE.

A JCROWDED MEETING,.

AN UNFORTUNATE CONCLUSION.1 -(From <lTho CotonT&V' March^JT:) . f Tha Theatre Royal,was packed fe> the doors, '-last evening by a „ Jiarge audience" to hear an - address by the Prime Minister {the Rt. Hon. W. F. Massey) on th© political questions of the day- The Mayor (Mr W. Xock) presided, and seated upon the platform were Mrs Massey, Miss Massey, members of the local branch of the Reform League, Mr H. Atmore, M.P., and Mr John Graham, ex-M.P. The Prime Minister received a cordial reception, a& also did the member for Nelson, who was loudly cheered. The Mayor, in introducing Mr Masr sey, said it';was-exceedingly gratifying to the Prime Minister to. see such a large. audience-;, ,The fact -of his (the MJ'ayor'*) presence- had no particular sifeilifican^e, .^as .he was there in his official capj&cjty. . There were" two sides .to .ev^ry and that night the Prim© Minister would; put the side of ;the^ Government beforethem. He ask.affair and ; impartial .hearing, and he* was sure the 'speaker would got ■one. 1 Thertf would xbe questions at ;the oonclusiori ol the meeting.-' [■ ■ The; Pr&cfeMinister,..who was received with, loud applause, expressed his pleasure at meeting such a large gather-; Ing of Nelson residents. It was not the first time he had #tood< before: a Nelson audience, and he was sure he would receive a patient and attentive heaiing. The subject he had to speak about required very little introduction. H© was going to tell them something of what the Government had done in the past, and to a certain extent .what they intended to do-in the future. One or the^ first difficulties they had to deal with when they went into office waa the financial position of the Dominion. They had then commitments to local bodies ainourting to £770,000 to meet and £17,000 to meet them with. The position was so unsatisfactory that they decided to send the Minister of Finance to London. In the early part of 1912 it had been intended to float a loan, but the then Government had not done so because they had not been returned by a majority at the polls. The other Government went to London and raised a loan of 4£ millions, but they made* the mistake of raising the loan on shortdated debentures, which had to be paid I back by May of 1914. This year between Ist of January and December 31st the present Government had to find £8,000,000 to pay off short-dated loans, in addition to four or five millions for ordinary purposes. It was bad finance on the part of previous Governments, and any settler could manage his business better than that. The price of the 4&-million loan floated by th© Government in office for ten months was so good that it. was all taken up by speculators at £5 2s 9d per cent. Th© present Government declined to renew it. (A voice: I should think so.) Last year th© Massey Government placed a two-million loan, and got it off on fairly satisfactory terms. At the same time they instructed their agents in London to watch the money market, and wait a favourable opportunity. Prior to 1912, explained the Prim© Minister, money had been fairly cheap, but it had become deafer because of the Balkan war, and because certain civilised and uncivilised countries required money for development purposes. That was the position. However, their opportunity came; there was a slackening off, money went down, and Consols vent up, and they put their loan on the market at 10 o'clock one morning. And, said Mr Massey, one of the most extraordinary things that have ever happened in the history of any country occurred —-they were offered five times th© amount asked for. (Applause.) There was no waiting. It was, aaid Mr Massey, the policy of the country to lend money to local bodies—and h© believed in it —but if th© Government had attempted to supply all the large local bodies with what they wanted, their finances would have been ruined. Before tho last election local bodies could get the money they wanted, but when the present Government got on the Treasury benches they found the limit for local bodies was £5000, and settlers were limited to £500. They soon increased the limits to settlers to £GOO, then to £750, and when the last loan cam© along they put it up to £1000, and shortly tho limit would be put up to £1200. (Applause.) The maximum for local bodies within counties' and road districts had been raised from £2000 to £5000. Mr Massey said that daring 1911 one local body borrowed £16,000 at 3£ per cent., out of which it paid interest and sinking fund, and the country was paying the same rate, and perhaps a little more. Tho local Harbour Board wanted to raise a lean under the State guarantee, but there was a flaw in the Act> which prevented loans •to harbour boards being guaranteed; but they would put that flaw right. (Applause.) If they were not able to lend th© money the Government would have to give a guarantee which..would enable the local body to go on to the London market and get their money at the lowest possible price. (Applause.) Their financial critics—spare1 the mark—said they were not lending local bodies and settlers enough money; others, of course, eaid they were lending, too much. The present Government had lent to settlers, workers, and local bodies £2,472,715, which included £1,----555,625 to settlors, £498,075 to workers, and £619,020 to local bodies. Other Dominions of the Empire had been to London for money since the last New Year loan was floated. South Australia went into the market with a fourmillion loan, which was only offered to tho extent of '47 per cent. South Africa in February, 1911, went with a four-million loan at 4 per cent., and 80 per cent. was. left on the hands of the underwriters. Canada offered a five-million loan at 4 per cent., and 78 per cent, was left in the hands of the underwriters. They, therefore, had every reason to be proud of the grand littl© country in which they lived. (Applause.) . Instead of going about the country carping, twisting and wriggling, it was the .proper thing to look at it from a proper point of view. There were no bettor judges of the financial position of a country than the people in London who lent tho money, and the result of the loan showed that they had absolute faith in New Zealand, and the Government of the. day. (Applause.) Prior to the present Government coming into office—"You were all in opposition then," said Mr Massey, amidst laughter. "I was told so, and I bolieve it," he added—it was said that if ever the Massey Government got into office the country would go to the dogs. (A voice: So it has.)' "Tho m(in 1S n0 P, a" triot who said that," retorted the Prime Minister, "and ho ought to get out of it. We don't want a man of that sort. (Applause.) The men who have anythinc in it cay it is the best in tho world?' (Applause.) It was predicted that there would be bad times, and that there would be low wages and all sorts of things. The country, said tho Prime Minister, was never more prosperous than at present. The best indication of tho prosperity of a country was the Post Office savings bank. If the -deposits epiceeded the withdrawals it was good, if tho withdrawals -exceeded tho deposit it was bad. H© had' received information from the Post Office that the deposits for the months of January and February exceeded the withdrawals by £193,438. (Applause.); Waa that not a good thing?. (A voice: A pretty good .proof.) The deposits for February, of this'year. wero better than February of last year

W, _ &&&?& J&B&MM.) . (A voice: "Still our .money- is only worth 3 per cent.") ..".Whstfc p that?» said . the Bp,oajfer/ * {&. ' voice: "3$ per cent,'^) MrMaasey: "That's better.'' (A~voi«er "The' Jew lendsat 4 per cent. ,and"fie-«e^it"). , "Yee," said the Prime Minister, "th« . Jew lends his money for.-40-years, and when you go to the Posu Office- you get it handed over the counter to you the moment -you want it." (Applause.) The Government,. ..he continued, had put up the rate^of * interest on sum© under £100 i rpmj 3%\ to 3$ per cent. It cost the-Government £30,000, but it was doing the jcight -thing." The-' ..* Government was. sometimes charged-with falling to keep its pledges. Before' going •to the country in 1911 they wer©'asked to put forward their policy, arid rightly, too—and he put forward the policy before the, largest meeting ever- held in the Wellington Town Hall—(A voice: "You would.not get it now.'^-^Hand one of the proposals wa% in regard to the land question. They told the electors that if tney.iwere given ai majority they would changes-he land policy from leasehold to freehold, and they haddbne it. (Loud applause.) Some said'the freehold was all sentiment, but ask the nran on the land if he wanted to purchase whether, he would: sooner have - leasehold or: freehold. As the result of the .Government's land legislation between 19,000 and 20,000tsettI©r.s now bad theipption of converting- their leaseholds into freer holds.if they so desired it, and become theiri;own .landlords. He believed in limited freehold, not unlimited freehold. (A voice: "What about Hawke's Bay?") "I'll tell you al>qut that later," retorted the Prime Minister. Then he continued, there was the difficulty about roads in the backblocks. The Government had provided in the Act of last year that when a setfcler or association of settlers went on to the land in the backblocks the money they paid by way of rent or interest went to pay for the roads made to, their holdings. (Applause.) Neither did the settlers have to pay for the land at once-r-it could be paid for in twenty annual payments. Nothing could be more liberal than that. (Applause.) It interested and amused him to see the change that had taken place in favour of the freehold, and how those who opposed them on other questions were compelled to follow him into the lobby. They had faces on them like men going to the gallows. (Laughter.) Mr Massey then referred. to the settlement of 250,000 acres in the Thames district It was, he said, formerly held under a mining occupation lease, and could not be used for any «the-r purpose. However, a clause Bad been drafted to meet the situation, and the result was that the land was now, or o would be shortly, in the occupation of the settler. When cleared it would run about a sheep to the acre, equal to a quarter of a~ million sheep, and the exports of the country would increase accordingly. As long- as settlers wanted land the Government was going to find it for them. They wanted the land that was producing nothing to produce something, and that which was producing something to produce more. They would see the results in the export returns as time went on. This month they were opening 138,725 acres of land.' (Applause.) (A voice: "What about the Maitai?") They were negotiating -at that moment for the Maitai. (Applause.) During tho present financial year they had placed. 2200 settlers on tho land, and had purchased 149,000 acres of land worth £559,606, because the Crown lands were running out. For som€ years there had been provision for workers' homes in the cities and towjis. He had extended that system to the country districts. He called the local bodic-s to his assistance, enabling them to purchase land and erect workers' homes. He got the opportunity of purchasing some land in South Canterbury for an experiment. He cut it up in five-acre blocks, and let it be known that he would erect houses at a cost of between £500 and £600, and the occupier couid pay off the purchase price and interest on land and house at th« rate of los a week for 25 years. Ii was an attempt to cater for the men who went out for a considerable pari of the year as harvesters and shearers. The scheme would work out all right, and he was repeating the experiment in tho North Island, and ho hoped tc extend it. He was out to give the man on the bottom rung of the ladder a chance to climb. So far as the defence question was concerned the principle was laid down by Statute and the Wk of the people were satisfied with it. Ho lad eg sympathy with the folded hands { ohey. They must bo ready to help themselves. They had their duty to the Empire and themselves, and they wtre ureparo.i to do it. They ad to k-e^ the expenditure within reasonable limits. He did not say the Defence Act was perfect, but they m\t)d be able to amend it- as experience dictated. Naval defence was at; '•esout co-t----ing £100,000 per annum in tv-Nsuly arc 1 nearly £150,000 interest on tho. LaUlecruiser New Zealand, • r a total 1 1 nearly £250,000 per annum The agreement of 1909 bet* >eu 'New V.m land and the Admiralty had not been complied with. He was not reflecting in this upon the Imperial Government, which had its hands full. Last year the Minister of Defence got no satisfaction about the 1909 agreement, and so anxious was the Government atout the two Bristol cruisers for i> Tow Zealand waters that it offered to find an extra, £50,000 per annum if they could be sent. They were, however, required elsewhere. They felt that that position could not be allowed to last. They wanted to do something in the way of training' their young men for the seafaring life, for New Zealand was destined to become a great inj>rtime country. They, therefore, arranged for a training ship, and the Imperial Government had given them tho Fnilomel. The cost would be £50,000 a year and would come out of the annual subsidy. ■ Thoy had two ship 3 row in New Zealand waters, the Pyra.nas and Psyche, which were out of date, and should have been scrapped long ago. They were going to ask Parliament to authorise the building of_ a light Bristol cruiser, the cost of which per annum at Home was £72,000. It would be more here, as the rates of pay would bo higher, but it would not cos^t r.ore than £90,000 per annum, and they rad the £50,000 of subsidy towards it. Sir Joseph Ward had proposed that New Zealand should pay 10s per head j.er annum, or £550,000, to the Imperial authorities for naval defence. They were making a beginning with r-aval defence which he thought was moie important than land defence, but they must maintain both in an efficient state. There was a provision in the Naval Defence Act that in the event of war any New Zealand ship or ships should pass under the control of the Imperial authorities. He wanted _ the ships to remain Imperial for all time, always provided that our trade routes wore defended. With the ships vocld grow a sense of proprietorship axd patriotism. He agreed that the battle which would decide the fate *-i the Empire would be fought in European sons and not in the Pacific, but the cay would come, perhaps not in their time, when tho Pacific would be.the storm centre. He hoped they would all, Australia, Canada, and New Zealand, be prepared for it. They would not, however, unless they made a start in time of peace. He regretted that an attempt had been made to make pi-rty capital out of the. defence question, which should bo above party. Mr. Masaey read the opinions of British naval experts favouring Now Zealand's change of policy.

Dealing with the recent strik e ß| Massey said it ' cost this cojßl . £}OQ,OOO, £nd T it.was money well wfll They Had, to dial with the mostßP oils difficulty the country had Bf -seen. — The- strike of 1890 was mm& to that of 1913. They were pijK people, and the strike would have occurred had it not been fo«Br e,ign jaeitators'. coming into the J try. They lad not a sufficient JP force to cope with the, difficulty,^! tried to settle .the strike and pr^B it from .spreading, and he was t<JB the strikers' representatives tlSf their terms were not agreed toßr streets of Wellington would runjHJ blood in a few days, and the ,JH, tionary red flag would float overßf liamentJßftildings, Therefore, tWHI the only thing under the circum^B. es they could do. They appeale<jvHf "specialsj" and they had a niagoMl response. (Applause.) They caSI help Wellington and Auckland iitßf,' hundreds, and the number could ]B been multiplied by five. (A JB "Ifor eighteen.bob a day.") NotoM them got eighteen boh a day, and ( of them refused to take anytfajj all. There was no more talk 0 | streets of Wellington running \ blood. (Applause.) fie wished to press his high appreciation, as of the Government," of the men came to help them, leaving their vests and crops. If he could say' of thipi men he could say more of women who were, left on lonely L (Applause.) The stand taken bj settlers was a revelation. "What did they get from the Opposit Compare the attitude of their own position with that of the South if, -Opposition recently. He was glj acknowledge the attitude of ; members of the Opposition whj pressed their sympathy with the | ernment, but a section of the Op tion did their best to hinder the ernment. Sir Joseph Ward ( cheers and counter cheers.) was» led by a few of his followers. S' heart was not in his attitude; he \m: the man too well not to reccjS, that. He was made a tool of by S| members^ The strike was not a ajß' for-higher wages. It was intendjßb take place on February Ist, bSfcame off earlier than they expjßSf The shipwrights' strike couldJ^Hi been settled in five minutes.-.^H| set of men had a right to °, rga?|^Bf no set of men had the right i^B| the wheels, of industry. He H^BI would never be necessary to ifj^B deportation in New Zealand, bl^B country could get on well with<s^^K scores of professional agitator|^H| strike had killed the old Litera^^K (Loud dissent.) The parties |^X future would be the Reform l^Bi and the Bed Fed. Liberals, &IHP would have to choose which thif^B| support. The Hon. J. A. Miff^E* the Government'had done tblj^Bf thing in connection with the||^H| and he was prepared to suppff^Bl to the end of the chapter. I^B|

Coming to public works, thei^Bf said that despite the fact thaJj^Bl was scarce last year more Hi^B spent on railways than in anyp^Bj| years. (Cries of "No.") |^BI have the figures here, and caJ^H it." As far as railways were|^Hj ed they would keep the presen^^K going, and perhaps do a h'ttl|^H| They proposed also to allow sei^Bi local bodies to construct linß|f^B| light principle, but with a §J^B| gauge. This was to be set ab6|^H| especially in Taranaki. If t|j^H| try was to progress it must g^Bi roads, bridges and railways thai^Bf at present. In his travels ref^^B had been able to see that thd|^Hi was a hive of industry, and w§j^H| ahead in a wj^y which could|^^H stopped. If the Governmentf^^H as yet kept all its pledges, its fault; but it had buil^H policy which would be for th||^^H the Dominion in years to comea^^M vernment bad reduced the age^t^^H men's old age pensions to had been said that he peal the Old Age Pensions -^^Hj other pledge fulfilled was thej^^R to the old soldiers. Still anothi^H [ was that to give Parliament i^H to carry out reform of the I>|^^B Council, but tliat body had two Bills on this matter. If jf^^B bers of the Council had V eenf^M| I selected, not on party ',i nes.S^^B [ result of reward for services, jj^^H ble would not have cropped l^^B vould not reform the Upper i^^B would be willing-to knock itJ^^B twenty-one years all the aPPJj^^H had been made to the Counci^^H Liberal Party. The Ref°|^^BJ been accu-sed of appointing I such was not the case, and hfj^H| ed, amongst others, the loll^^^B lof Sir William Russell, M|^^Hj Duthie, Sir William Hall-Jq^^B Messrs. Barr and Paul. Thi*|^H| ment had appointed just a|^B many men to the Council W^°?^Bl Government's opponents as W^^B supporters. If the Payment "Mi full term next session fie P roinlij™^B reform of tho Council would be °^^B into effect. Concerning the,s^B Ballot Act, Mr. Massey said second ballot was introduced 'or;^Bi: purposes. ("Did you not Pronl^B put something in its place?" QufH| voice.) "No; I certainly did noS^B|; statement is untrue." Mr. *^R: proceeded to say that what "e^^Bii ed was to give the Hsuse an oP^^k" ity of saying if it wanted aD|^B' else. When he got somethinglM| ho would put it on the f^EK: Book, but the second ta"°,t^B: never be put back. The speaK®^» referrod to the Public Service, H that as a result of the GoverJ^Mp legislation there was now fluence" in the service. In rl^B to a question: "How about Rflfl^B1 tck?" Mr. Massey replied tha'^B I terjector should have stopped t~^H ; before, making himself f°°^'^^R overybody knew that Royd «ar^^B ! appointed before the Public J^B j Act was passed. It had he&n^^^g many dismissals would *a. jt^MJ under the.Commissioners, ut^^B not been so. Some had eel).3^^P I nuated on reaching the age '*^^X this gave room for tho youll^^^^ to rise. One of the best met^Hr ! world had been appointed . aSi^^B I manager. He did not cl^'^^B; idea was the Government S>J^^E the Liberals proposed the sa?a^Bf just beforo they went out °,i^B The I/ihorals thems<>lvos thoU^^K. - the sprvicos of an outsider Bi^^B| I secured. "Why not import.*a^B- ! ier?" was called from a rovHS^Kt men at the back. l 'Because'jj^» i necessary. There's nobody n^K ;do it better than the m^^H there," replied the lh'e^^^M laughter. Referring to tne;^^K boys/ Mr. Massey said it W.JO^B tvue that tho Hiph Comnus7«^» asked to send out 50 hoys aiUH| week, with'clothing found. j7^^H a rush of applicants, ro tf°«~*J^mk 50 were sent. The k'V'vJ^Bl brought out 50 boys, and Mf^J^Bl wcok. In timo to come vf^^M • would make a fine class ..otJ^M Tim country was very 'ieaViy tJ^M| ivnd if justice was to be donJj^M population must he incrTjj^^B Diore people settled on tno'tiji^^H excess of arrivals aver "fP^^^H year was 14,000, and of came out without i^eD^^M Government at all. The o« fill the places of the *'fl£ej*S^M were working up to bo l^Mf were going on the lan(Ji 3;^^^B out suitable immigrants- fj^^B