PARLIAMENT’S PROSPECTS

Taranaki Daily News, 26 September 1933, Page 9

PARLIAMENT’S PROSPECTS

EXCHANGE LOOMING LARGE

BUDGET MAY DETERMINE FATE.

CENTRAL BANK; SHARE HAWKING.

LYTTELTON VICTORY JUBILATION.

(Parliamentary Reporter.) Wellington, Sept. 24.

Although tire Parliamentary session has just commenced there is every indication that the big question of the deliberations will be the exchange issue, which Iras already been the subject of one discussion. It is unusual to have a prolonged debate on the motion to introduce a Bill, but when Mr. W. A. Veitch (Coalition, Wanganui) sought leave to introduce the Banks Indemnity (Exchange) Repeal Bill there was an animated condemnation of the Government’s policy. In fact the opponents of the high exchange policy had it all to themselves as none of the Government’s protagonists entered tire lists. There is no doubt that the Bill is tire direct outcome of the meeting of representatives of urban constituencies which was held at Wellington during the recess. This fact was partially disclosed by Mr. A. Harris (Co., Waitemata), who during his remarks on the measure said he wished to take the earliest opportunity of expressing his sympathy with the movement initiated by Mr. Veitch. At one stage the sponsors of the movement were confident that they would obtain sufficient followers to be able to force the hand of the Government, but so far the support they have received is unlikely to give them such a commanding position.

Apart from the members of the Labour party, who number 24, the Bill is unlikely to.-’ attract more than twelve additional supporters, whereas it would require at least sixteen anti-Labour adherents before it could have a chance of success. Moreover, if it is to prove a source of embarrassment to the Government, Cabinet will very likely see that its chances, of going to tire vote are practically nil. Unless the Government is sympathetic, it is almost impossible for a private member to obtain a run for any measure he is sponsoring. GOVERNMENT’S CHANCES. On the Banks Indemnity (Exchange) Bill last year the Government had a majority of eight votes and the only absentee from the Chamber was Mr. W. J. Jordan (Labour, Manukau), who would' naturally have voted against the legislation. Mr. Jordan has returned from his trip abroad, but at the present time two of the opponents of the Government’s policy, the Hon. W. Downie Stewart (Coalition, Dimedin West) and Mr. W. Nash (Labour, Hutt), are out of the country. This leaves the Government one up. The only additional votes that Mr. Veitch is likely to get for his Bill are Messrs H. G. Dickie (Coalition, Patea), who spoke against last year’s measure and then supported it, A. E. Ansell (Coalition, Chalmers) and J. Hargest (Invercargill). Among the representatives of predominately urban constituencies who are practically certain to support the Government are Messrs. S. G. Smith (Coalition, New Plymouth), who is Chairman of Committees, J. A. Nash (Coalition, Palmerston), who is one of the Coalition whips, W. P. Endean (Coalition, Parnell), H. Holland (Coalition, Christchurch North) and H. S. S. Kyle (Coalition, Riccarton). It would thus seem certain that the Government will obtain a majority on the exchange issue, unless the situation is altered by the Budget. If the Budget foreshadows more taxation for the purpose of bridging the deficit, the hostility may increase, but so far there has' been no indication that this will be so. The Minister of Finance (the Right Hon. J. G. Coates) has hinted that there will be no shocks for the taxpayer this year, and if he is able to keep to his present intentions his Government will be safe. COMPANY LAWS. The Companies Bill, which is- almost ready for presentation to the House, is to be sponsored by Mr. Coates. As Mr. Coates is not a member of the legal profession, he may find his task a difficult one, as legal legislation invariably affords the lawyers of tire House an eagerly grasped opportunity to talk at length. It is generally expected, however, that the Bill will be sent to the Statutes Revision Committee, although Mr. Coates considers that, owing to the fact that the legislation has been drafted by a committee of experts, there is no need for the committee to prolong its deliberations. As far as the general public is concerned the chief interest will be in the .provisions of the Bill relating to the hawking of shares. These provisions will give the investors greater protection, and it is expected that they will be popularly received. The Labour Party is holding its caucus later than usual this year. The party caucus is generally held on the first day of the session ,but it was decided, that the meeting should be. held over until the obituary references were made in the House to the late Mr. J. McCombs. The members of the Opposition are obviously jubilant over the Lyttelton victory. None of them expected such a big majority, and there is no doubt that Labour speakers in the Address-in-Reply debate will make frequent reference to the by-elec-tion. An'analysis of the figures, however, shows that Labour’s big gains were made in the urban areas, and that the rural districts did not flock to the Socialist banner as much as some expected. In view of the fact that Labour now holds most of the urban seats, the result of the by-election would seem to indicate that in a general election the party would not make the gains some of its supporters consider it would. Elections the world over have proved that by-elections are very infrequently an index of public opinion in a national poll. In the major issue there is altogether a different atmosphere. Since his return to New Zealand the Prime Minister (the Right Hon. G. W. Forbes) has implied that the English authorities are very favourable to the establishment of a central reserve bank in New Zealand. During his visit to the United Kingdom Mr. Forbes took the opportunity to consult the financial authorities there, and it is understood that he was informed that the Dominion could not reap the full benefit of any co-ordin-ated monetary policy by all the nations, or any group of nations, unless it possessed a central bank. This fact will probably lessen the opposition which a section of the Government s suppoi ters has against the proposed legislation. At the present time the Labour Party is not alone in the opinion that the State should have greater control over the banking system, but there are not enough currency “reformers’’ in the House to make any effective protest against a New Zealand central bank. COALITION CAUCUS DELAYED. So far the Coalition has not held an official caucus. There was . a meeting of the party on Thursday .night, but it was purely a social function at which the Prime Minister and the Minister of Education (the Hon. R. Masters) outlined their trip abroad. A few questions were asked by members on phases of the

World Economic and Monetary Conference and conditions in the United States, but there was no general discussion. The Government has thus not yet outlined its legislation to the rank and file of the party, but in view of the fact that the Address-in-Reply debate will take some days there is no hurry for’ a caucus meeting. It is expected that the caucus will be delayed until there have been further meetings of the full Cabinet. So far the Prime Minister lias been busy acquainting himself with the problems that have arisen during his absence, and there are questions for his decision before any further announcements can be made on policy. Up to the present the new member for Lyttelton, Mrs. McCombs, has been the cynosure of all eyes. She has received congratulations from women’s organisations all over the world, and the wives of the members, irrespective of party, presented her with a bouquet on the day she-took her seat. A special room has been fitted up for her, just as a room was fitted up for Lady Astor when she became the first woman member of the House of Commons. Mrs. McComas’ maiden speech is being awaited by all sides of the House.