PARLIAMENT TO MEET.

Timaru Herald, Volume CXXV, Issue 18652, 22 August 1930, Page 9

PARLIAMENT TO MEET.

Australian Budget. POSITION TO BE REVIEWED. United Press Association—By Electrio Telegraph—Copyrignt MELBOURNE, August 20. The combined Premiers’ and Treasurers’ Conference, which is dealing with the Australian financial crisis, forced the Federal Ministry to convene a special meeting of Cabinet, which was held at the Prime Minister's residence at Richmond to-dav Mr Scullin is still very unwell, but adhered to his intention to begin the journey to London to-morrow. The Premier’s Conference is most anxious to ascertain from him whether he will agree to a group of State Ministers handling the financial situation, along non-party lines. It is understood also that the Labour section of the Conference is desirous that Mr Theodore should again take up the portfolio of Treasurer and Acting-Prime Minister, since he alone is thoroughly conversant with the financial position. It was reported that Sir Otto Niemeyer intends to issue a comprehensive report on the subject of his mission. Late to-night it was announced that the Federal Cabinet had agreed to summon Parliament for a special session to review the Budget and severely curtail expenditure. ALL ROUND REDUCTION. DECISIONS OF CONFERENCE. United Press Association—By Electric Telegraph—Copyright (Received August 21, 10.20 p.m.) MELBOURNE, August 21. The Prime Minister spent a few minutes at the Premiers’ Conference to-day, before taking his departure for London. Sir Otto Niemeyer and Sir Robert Gibson (chairman of Directors of the Commonwealth Bank) were also present at the Conference, which agreed upon a scheme of all round reduction of Government expenditure, as advised by Sir Otto Niemeyer, and plans were evolved for a revision of programmes in order to balance toe various Budgets. The Federal Government’s representatives have undertaken to pursue a similar course. It was decided to make available £1,000,000 to Sbuth Australia, half of which is to be contributed by the Federal Ministry in order ,to ensure preservation of that Sate’s solvency. It was further decided that loan moneys in future be spent only on reproductive works. The Conference issued a statement, pointing out there was not . a vestige of truth in the published report that it was intended to abolish State Governors, nor of such a discussion having occurred. Sir Otto Niemeyer’s report on Australian finances will be released tomorrow. It was stated that the loan expenditure of the seven Australian Governments had been reduced from £24,000,000 to £15,000,000. Each Government will now receive only five-eighths of the original sum allocated to it.