POLITICAL GOSSIP.

Taranaki Herald, Volume XXVIII, Issue 3470, 1 July 1880, Page 2

POLITICAL GOSSIP.

[from our special correspondent.]

WANT OF CONFIDENCE DEBATE.

Wednesday, June 30. — To everybody's disgust except the talkers the debate was not finished last night. The new standing order that all business must stop at 12.30 a.m. tends to spin out the talk. Everybody is tired of it, but the thing is every now and then galvanised into new life ; but it is expected it will die out to-night. PROPERTY TAX V. INCOME TAX. The feeling on the whole is in favour of the Property Tax with sound modifications and a severe reduction of expenditure. The proposal to tax incomes is not in favour, as such a tax would be more inquisitorial than a property tax, owing to the difficuly of ascertaining what a man's income really was. The Government will be instructed to reduce during the recess, and if it is found that such has not been done, the Government will have to give good reasons for their action. BUSINESS BLOCKED. The business of the House is completely blocked, and will, I suppose, be rushed through at the end of the session as usual. NO CHANGE OF GOVERNMENT. There is no anticipation of a change of Government this session ; but it is thought that the effect of heavy retrenchment will make Ministers unpopular during the recess, and that a change of feeling will be the result next session. It would be very convenient for the Opposition if they could force the Government to | give effect to the proposals to reduce expenditure, and thus enable them, if they returned to office, to be more liberal, and so delude the country. It is, however, to be hoped that the country now sees the necessity of a wise reduction of expenditure in all directions, so that the credit of the Colony can be maintained, MEETING OUR ENGAGEMENTS. At one period in London during the negotiation of the five-million loan, it was thought that the loan agents would not be able to honor the drafts made on them by the Colonial Treasurer. If the loan had not gone off, the Colony would have been landed in bankruptcy, so deeply had the expenditure been in anticipation of the loan floating. SENDING HOME THE INTEREST. For the first time since the Public Works Policy was started, we shall have to send from the Colony the money to pay the interest, to the amount of £140,000 a month. Hitherto it has been paid out of the funds in London in the hands of the loan agents. This heavy draft on the earnings of the Colony will affect every department of industry, and unless the finance of the Colony is wisely and carefully administered the effect on trade will be most deeply felt.