WANTED ECONOMIC EQUIPMENT

Timaru Herald, Volume CXXXVII, Issue 19624, 19 October 1933, Page 9

WANTED ECONOMIC EQUIPMENT

FRANCE ADOPTS BOLD MEASURES INTERESTING STATEMENT BY PRIME MINISTER United Press Association—By Electric Telegraph—Copyright (Received October 18, 7.10 p.m.) PARIS. October 17, In a speech in the Chamber of Deputies, referring to the budget, M. Daladier says: The Government has reduced the deficit by £130,000.000. The remainder must be wiped off immediately. The taxation proposed includes an impost on the profits from transactions on the stock exchanges. The Government has tabled a plan for “economic equipment.” including four years public works programme estimated to cost £171,000,000 for roads, bridges, town planning, and rural electrification, for which the Government will provide £119,000.000. Emergency Measures, The Chamber of Deputies, by 470 votes to 120. granted the Government's request to apply emergency procedure to the Budget, proposing to raise £75,000,000 to cover the deficit, by two Bills, the first of which provides for comprehensive emergency measures, producing £67,500,000, and the second an ordinary Finance Bill supplying the remainder. The Government states that the deficit must be covered by economies and increased taxation. They* will not borrow, in order to keep borrowing capacity intact, to repay the 10-year bonds due in 1934. They will also finance public works schemes and relieve unemployment. The proposals Include a petrol tax instead of taxation on motor cars. This is expected to yield £5,500,000. Tax on Turnover. A business turnover tax on water, gas and electric companies will produce £3,000.000. although the consumers rates will not be raised in view of the fall in the price of basic commodities. There will also be a tax on Government salaries and pensions, producing £13.500,000, and a revision of departmental and administrative expenditure, saving £6,000,000. Reductions in exemptions granted in more prosperous times of £11,000,000, the reform of monopolies, including cigarette lighters, with the imposition of a monopoly on the sale of arms, will save £3,000,000, The revenue includes a non-recurring amount of £8,000,000 from a national lottery, and £8,500,000 from new nickel linage.