BRITISH NATION RICHER NOW THAN A YEAR AGO.

Star (Christchurch), Issue 17831, 27 April 1926, Page 5

BRITISH NATION RICHER NOW THAN A YEAR AGO.

STEADY IMPROVEMENT IN TRADE, BUT BASIC INDUSTRIES DEPRESSED. MR CHURCHILL REPORTS REMARKABLE ACHIEVEMENT IN REDUCING DEBT. By Telegraph.—Press Association.—Copyright.—Reuter s Telegrams. (Received April 27, 11.2i> a.in.) LONDON, April 26. Introducing the Budget in the House of Commons, Mr Churchill regretted that the customs and excise revenue had

fallen short of the estimate by £1.000,000. The nation was richer than a year ago. '>ut. while general trade was steadily improving and some important sections were very prosperous, large profits being made from rubber and tin. the basic industries of the country were mostly obstinately depressed. The picture was not black or grey—it was piebald, with the dark patches less prominent than last year. The estimate of inland revenue was £1,000.000 short, the income tax £2,500,000 under the estimate. This was partially offset by an improvement in stamps. The most striking feature was that the death duties were £5,250.000 below, and the super tax £5,250.000 above the estimate. The increase in the super tax was due to stricter and more efficient collection. Annual non-taxable revenue showed an increase of £13,000,000 over the estimates. There would have been a net surplus over all increases in expenditure of nearly £5.000,000 but for the coal subsidy, which alone was responsible for a deficit of £14,000.000. Mr Churchill emphasised the remarkable achievement in debt reduction. The total diminution in the past six years had been £75.000,000 annually, which was perhaps some repayment for our immense efforts. He could say. “ I,ct us persevere.” The total estimates of expenditure were £812,500,000 against £793,500,000. estimated, and £826,000.000 actual expenditure last year. The new estimates included nearly £19,000.000 new additional expenditure, arising from either automatic growth of pensions or decisions on policy. Last year there had been a net reduction of £7,000,000 in administration services, including £4,000,000 in armaments. Further continuous effort was necessary. Mr Baldwin had authorised him to say that the Cabinet Committee on Economy would continue their work, and the estimates for the three fighting services would be considered jointly. The Government did not intend to renew the Trade Facilities Act. which had exhausted its usefulness. The estimated revenue on the existing basis of taxation was £804,700,000, thus there was an estimated deficit of £7,941,000.