MORE REVENUE.

Star (Christchurch), Volume LXVI, Issue 20454, 6 November 1934, Page 9

MORE REVENUE.

Increase of £1,646,027 on Last Year. DOMINION'S FINANCE. (“Star” Parliamentary Reporter.) WELLINGTON, November 5. The Government’s expectations of a substantial increase in revenue compared with that of last financial year have been fulfilled up to the present, according to an important statement made by Mr Coates in the House tonight. In moving the second reading of the Appropriation Bill, Mr Coates said that the figures for the first six months of the year showed an increase in revenue of £1,646,027 compared with the same period in the previous year. Expenditure was also being held within the aggregate allowed in the Estimates. Reviewing the budgetary finances for the half-year ended September 30, Mr Coates said:-

As the Bill is the final stage of the 1 budgetary programme, members will. * no doubt, be interested to know what i progress has been recorded in terms of Consolidated Fund finances for the : first six months of the current finan- < cial year. The Budget was based on ; the expectation of a substantial in-1 < crease in revenue compared with that! received for last financial year. The j results for the half-year ended Septem- I ber 30 last are in accord with these.ex j, pectations. The accounts for the:; period, which will be gazetted shortly, will show that revenue for the period amounted to £9,900,125 compared with £8,254,098, an increase of £1,646,027. Buoyancy in Taxation Receipts. Of this increase, £1,390,000 represents buoyancy in taxation receipts, the principal items concerned being:—Customs, £500,000; sales tax, £160,000; highways £100,000; stamp and death duties, £310,000. The remaining £256,000 of the increase came from interest and other receipts, practically every item contributing. Revenue is normally higher in the second half of the year, and last financial year only 35 per cent of the total revenue for the year was received during the first half of the year. For the current period, receipts for the half-year represent 40 per cent of the Budget Estimates, thus indicating that so far receipts are well up to Budget expectations. On the other side of the picture, the expenditure for the six months amounted to £12,860,571. In round figures, the main classes of expenditure involved were as follows; £ Debt services 5,826,000 Exchange 1,417.000 Other permanent appropriations 947,000 Social services 3,114,000 Other votes 1,656 000 Total £12.860.000 This total is approximately a million ahead of the proportionate part of the Budget estimate, but I may explain that substantially the full amount allowed for debt repayment for the year has already been paid out, and this item accounts for £750,000 of the apparent excess expenditure. Similarly, the expenditure on exchange included cover requirements for the whole year. In fact, there are some credits still to come, so that the net expenditure for the year will be slightly less than is shown for the half-year. This item accounts for a further £750,000 of the excess over the proportionate part of the estimates. Accounting Fluctuations. This means that other items were proportionately underspent to the extent of half a million, but I do not hope to maintain that position until the end of the financial year, as it is largely due to seasonal or accounting fluctuations. An analysis of the figures will show, however, that expenditure generally is being held within the aggregate allowed in the estimates. This satisfactory state of affairs, combined with the fact that revenue is well up to expectations, supports the Budget forecast that the year will close with a small surplus. Many factors are involved, and not the least is the psychological reaction and interaction from steps already taken and proposals made for economic rehabilitation generally. Trade and industry are, of course, the basis upon which the Budget rests, and as Finance Minister I am always on the look-out for indications oi cpntinued improvement. Up to the present, the trend of affairs shows that the budgeting was not over-optimistic. CROP ESTIMATES. Following: the usual practice, states tue Abstract of Statistics, cards were recently posted to grain-growers and to potato-growers throughout the Dominion for the purpose of ascertaining the areas which they had sown or plant*n.ten?«j to sow or plant, in " neat, oat a, barley and potatoes this season. Estimates have now been made, based on the replies received. The figures appear below, and results in con"f e Jon with the 1033-3 4 collection of com pari*.fo a * e sIIONVn for purposes of

HIDES, SKINS AND TALLOW. from LojiOon on October 4„ Messrs M . Weddel and Co, said:— 4 Colonial and miscellaneous sorts have had a quieter time. There is no reduction in price for the most part Australian hides are a little cheaper. D, S Queensland meats are offered at 5d to •>id according to weight: W/S Victorian meats, 30-401 b. at 4d. New Zealand freezers have been sold at 4&d from a hrst-class works. Ordinary shippers collections are quoted at 41d to 4 Jd. Vhe leather fair commences on Monday, at which a big attendance of Home and foreig i buyers is expected. Tt is hoped that a good clearance of leather will be made. The tanners in this country are. in fact, banking upon this, ana seem determined for the time hemg not to increase their commitment* further for raw material until the result of the fair is known.

MOTUROA OIL FIELDS

The following report for four weeks ended November 3 has been received from Moturoa Oil Fields. Xew I lymouth:—Moturoa No. 4 well prodneed 5920 imperial Ballons of crude oil: total production to date. 38.690 im«oTM: peri l P M? Ur .; lOn t 0 clate * 578,149 im-

3934-35. Xorth Sou.th Island. Island. Total. Wheat 7.0 0 0 221.600 228,600 V, at ? 23.900 288.900 312.800 F.arley 2,800 19,800 22.600 Potatoes .... 5,100 15,200 20,300 ,,.] n J 933-34 the Dominion totals were : Wheat, 294,992 acres; oats. 364,729; barley, 29,607; potatoes. 25,028.