URGENCY ACCORDED

Timaru Herald, Volume CXXXVII, Issue 19329, 2 November 1932, Page 6

URGENCY ACCORDED

END OF BUDGET DEBATE. PRIME MINISTER DEALS WITH ECONOMY REPORT. By Telecraoh—Pres* Association WELLINGTON, November 2. In the House of Representtaives this afternoon, Mr Forbes moved that urgency be acorded the Budget debate. Mr H. E. Holland (Leader of the Opposition) asked why the Prime Minister was moving for urgency at this stage, when the debate was almost completed. Mr Forbes said that while he did not anticipate that the House would have to sit late to complete the debate, it was desirable to ensure that it be finished to-day. Mr J. McCombs: “But the Government have been putting up speaker after speaker.” The motion was unanimously adopted, and the debate was continued. Mr C. H. Clinkard (Rotorua) said it should be possible to develop the secondary industries of New Zealand without high protection. New Zealanders enjoyed the cheapest food in the world and conditions. They also had raw materials at hand, and should be able to compete with Britain on even terms. Mr Clinkard stressed the value of the tourist traffic to New Zealand, and dealt tat length with the attractions of Rotorua.

Mr Te Tomo. speaking through an interpreter, paid tribute to the pakehas’ affection for the Maori. He said he knew from his own experience that it was not mere lip talk. Continuing, he said he had advised the Maoris not to follow Ratana, but to follow him. He had also advised them not to go on relie f works, but to work hard for themselves. He had investigated allegations of extravagance in connection with the Native Minister’s land settlement schemes, and could not find any grounds for the allegations. Mr Te Tomo added that chiefs had signed a document stating that they were satisfied with the scheme. Mr J. Linklater (Manawatu) expressed a hope that the Highways Board funds would remain apart from the Consolidated Fund. Referring to superannuation, he said he agreed that drastic measures were necessary to place the fund on a sound footing, but he did not think women should be penalised because of the remissions of past Governments. He urged that there should be no alterations in conditions relating to length of service so far as women were concerned. Mr Linklater said he believed the hydro-electric power schemes would eventually become mast profitable undertakings. As time went on, and development increased, we would derive greater benefit from them. He advocated amalgamation of contiguous Power Boards and electrical undertakings. Mr K. S. Williams (Bay of Plenty), said he regarded the Expenditure Commission’s report as a very valuable document, insofar as it enabled Parliament to see itself as others saw it. He referred to the Commission’s recommendation regarding reduction and ultimate withdrawal of the subsidy for the destruction of rabbits, and said it did not appear to be generally recognised that a large amount was already spent by private landowners on destruction of this pest. The Government was the biggest landholder in the Dominion, and if it did not do its share rabbits would very soon overrun the country. Mr Williams congratulated the Ngapuhais on the idea of placing a meeting house on the site so kindly acquired for the Dominion by the Governor-General, to commemorate the signing of the Treaty of Waitangi. Mi* R. W. Hawke (Kaiapoi) declared that it would be a great mistake to adopt the Commission’s recommendation relating to the withdrawal of subsidy to Poultry Clubs conducting egg-laying tests. He pointed out that these tests had resulted in increased production and development of export trade, because they revealed important points relating to breeding and scientific feeding. The House adjourned at 5.30. The debate was continued when the House resumed at 7.30.

Mr P. Fraser (Wellington). commented on the Prime Minister’s urgency motion, and the House that recent speeches had been mainly from Government members. Apparently the Government had been working on the maxim, “another little speech will not do us any harm,” and there could therefore be no objection to his accepting the invitation to carry on. Mr Fraser referred to criticisms of Parliament, and re marked that while he did not consider Parliament or its machinery to be perfect, the fact remained that the people of the country had to choose between democratic government or an autocracy of some form or another. He agreed that there could be an improvement in the Parliamentary machine. For instance, Committees could be given more power. Continuing, Mr Fraser said the Budget had been very little discussed during the debate. Members had been unable to discern any hope for the future in the Budget, and had sub-consciously turned to the proposals of the Labour Party, which had actually been the focal point of most of the speeches. Mr A. E. Jull (Waipawa), advocated closer settlement, and said he did not see why the Government should not derise means of attaining this object. He considered notice should be given to large landholders that if they did not subdivide by a certain date, a special form of taxation would be introduced in order to persuade them to carry out the wishes of the Government. Mr W. A. Veitch (Wanganui) suggested that there should be an extension of the operations and powers of transport legislation, in order to coordinate both coastal shipping and land services. He considered that lack of co-ordination in transport was just as serious to* day as it had been when the Transport Licensing Act was passed. Concern was being caused by the relationship between the railways and coastal ship services. A freight war was goi-ig on, and coastal shipping was in danger of being seriously affected. Prime Minister Replies. Replying to the debate, Mr Forbes drew attention to the increased burden of social services since 1913, and said it had to be remembered that the Government could not afford to allow this to go on increasing until it became beyond the capacity of the country. When there was a fall in national income it was time to realise that things could not go on in this way without incurring risk of national bankruptcy. Dealing with the Expenditure Commission’s report, Mr Forbes said there were a number of recommendations which could be and were being put into effect. There, were other recommendations which it was not possible to put into effect. Some of them might achieve economies in one direction, but they would add considerably to expenditure in other directions. The Government would shortly introduce legislation bearing on the Commission’s recommendations relating to reorganisation of the Native Department. It did not consider improvement could be effected by adopting the Commission’s recommendation to transfer the Highways and Unemployment Board's funds to the Consolidated. Fund. He con-

sidered some improvement might be effected in the direction of reorganisation of the hospital system, and the Commission’s suggestions regarding Hospital Boards would be referred to a Commission which it was intended to set up to deal with the question of local body administration. The Government was not of opinion that it was desirable to adopt the Expenditure Commission's suggestion to abolish Land Boards. It was more than ever necessary at the present time to maintain close and intimate touch with Crown tenants, and this could only be done through the co-operation of Land Boards with the Lands Department and the Government. The Commission had proposed that the operations of the Industries and Commerce Department should be very considerably curtailed, and that its activities should very largely be left to private enterprise. While he agreed that it was desirable to leave commercial matters to private enterprise as far as possible, he pointed out that there were times when it was essential that assistance should be given to private enterprise by the Government. While it might be possible to do away with the Industries and Commerce Department, it would not be wise to take this step, especially at a time like the present, when the Dominion was anxious to extend its markets. On the contrary, it might be necessary to extend this Department’s activities in certain directions.

Referring to tourist services. Mr Forbes said the Commission had also proposed that matters in this connection should be left to private enterprise. “If private enterprise is prepared to take over these services, well and good,” Mr Forbes said, “but at the present time private enterprise is not looking for these services. Continuity must be maintained, and for that reason the Government will carry them on. When times are better everything possible should be done to enable private concerns to undertake them.” Mr Forbes next dealt with the suggestion that local bodies should be charged for certain services. He said it was known that local bodies were experiencing difficulty in managing their own finances, and it was not considered advisable to do anything to add to their burden. Continuing, Mr Forbes said the Commission had recommended that the Cook Islands Department should be amalgamated with External Affairs, and expenditure reduced. He intimated that Niue had been taken over by the External Affairs Department, and this involved a substantial reduction in expenditure. The sale of the Maui Pomare had been advised, but he pointed out that the vessel was at present trading with Samoa, and there were commitments which the Government could not break. It was recognised that it would be far better to leave the running of steamboats to private enterprise, and the question of disposal of the Maui Pomare would be steadily kept in view, and arrangements to this effect would be made if a private company was prepared to carry on the services the vessel was now performing. Mr Forbes then replied to points from members’ speeches. Dealing with the question of a Central Bank, he said it was proposed to establish a New Zealand institution controlled by New Zealanders, and there would be no question of domination from outside. The Central Bank would be free from political control. The formal Budget motion was adopted, and the House went into Committee on the Estimates at 11.30. Progress was immediately reported. Programme for Wednesday. Replying to the Leader of the Opposition, Mr Forbes said private members’ Bills would be taken to-morrow, and the Customs Bill would be brought down. The Minister of Public Works would be in charge of the Bill. Mr Forbes said he could not say for certain whether it would be necessary to bring down further resolutions. If further resolutions were necessary they would have to be dealt with before the Bill. If there was time for other business to-morrow ,the House would go on with the Bill relating to miners’ widows’ pensions. The House rose at 11.33.