LABOUR CRISIS
POSSIBILITY OF DEFEAT AMENDMENT BY LIBERALS OBJECTION TO LAND TAXES CERTAIN EXEMPTION ASKED QUESTION OF CONFIDENCE By Telegraph—Press Assn.—Copyright Rec. 7.55 p.m. London, June 11. Lobbyists agree that a serious crisis threatens between the Labour Government and the Liberals which may lead to a surprise general election. The Liberals determined by 16 votes to 6 to press the amendment proposed to the Land Tax Bill exempting therefrom land on which income tax is paid. Mr. Phillip Snowden, Chancellor of the Exchequer, declares that this is entirely unacceptable, as it would upset the whole equilibrium of the Budget. There has been much negotiation between the leaders behind the scenes, but no compromise has been discovered.
The Government has intimated to Mr. Lloyd George, the Liberal Leader, that the amendment is to be treated as a question of confidence. If it is carried the Government will seek a dissolution.
The Conservatives are certain to unitedly support the amendment, and if the Liberals vote solidly for it the Government is bound to be beaten. Mr. Lloyd George denies that the Liberals are split on the question and points out that the decision to submit the amendment was taken at a full party meeting.
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Bibliographic details
Taranaki Daily News, 12 June 1931, Page 7
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202LABOUR CRISIS Taranaki Daily News, 12 June 1931, Page 7
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