HIS FIRST BUDGET.

Star (Christchurch), Issue 17524, 29 April 1925, Page 1

HIS FIRST BUDGET.

MR CHURCHILL ANNOUNCES RETURN TO GOLD STANDARD.

INCOME TAX REDUCED BY SIXPENCE

PENSIONS PROVIDED FOR OLD PEOPLE AND WIDOWS BY NEW INSURANCE SCHEME.

By Telegraph.—Press Assn.—Copyright.—Aus. and N.Z. Cable Assn. (Received April 29, 9.5 a.m.) LONDON, April 28. Mr Winston Churchill’s Budget announces that the Act prohibiting the export of gold will lapse from December 31. The gold standard will be resumed as from to-day. This means a special license to the Bank of England to export gold and bullion pending the formal lapsing of the 1920 Act. Mr Churchill has announced the application of the 1923 Imperial Preference proposals 'as regards heavy and sparkling wines, dried fruits, and sugar from July 1. The chief points in the Budget are: A surplus of £26.000,000 on the present basis of taxation; death duties on big estates are to be increased, and the McKenna Duties on luxuries are to be restored from July 1; new duties are to be paid on imported hops and natural and artificial silk. A new contributory social insurance scheme is to commence in 1926, providing old age pensions at the age of sixtyfive, and pensions for widows, plus allowances for children. Income tax is ta be reduced sixpence, and small income taxpayers will be allowed one-sixth, instead of one-tenth from their earned incomes. There will also be a reduction in super tax. The Bank of England is to-day empowered to export bullion, and a Bill making notes convertible to coin at the banks’ option is being introduced. The Dominions arc returning (o (be gold standard simultaneously, Australia acting to-day.