RESTORING HAWKE’S BAY

Waikato Independent, Volume XXXI, Issue 1451, 12 March 1931, Page 5

RESTORING HAWKE’S BAY

GOVERNMENT WILL FIND £1,500,000. SURTAX ON INSURABLE PROPERTY. By Telegraph—Press Association. WELLINGTON, Wednesday. The reserve fund which New Zealand holds in London is to be drawn upon for £1,500,000 of the money needed to assist in the rehabilitation of the Hawke’s Bay district following the earthquake. The necessary legislation will be introduced during the forthcoming Of Parliament. The Government proposes to limko available the sum mentioned for the purpose of providing assistance as follows: ' (a). £1,250,000 for assistance by way of grants or loans to persons or business firms for the recontruction of buildings destroyed or damaged by earthquake or fire, or towards the replacement of loss occasioned thereby. (b). £250,000 for assistance by way of loans to local authorities for the restoration of essential local body services. ■‘The reserve fund is largely invested in securities of the British Government,” said Mr Forbes, “and it is therefore proposed to realise these to the extent of £1,500,000. It is felt that the decision of the Government to realise on this reserve will tend to enhance New Zealand’s credit in the world’s money markets, as it will demonstrate that the Dominion is able to make good earthquake damage out of her own, resources. It is necessary for Parliament to consider ways and ‘means of reinstating the fund/ With this end in view, the Government proposes to levy a surtax of 1/6 per cent on the value of all insurable property in the Dominion.”