HOUSE OF

Wanganui Chronicle, Volume XXXVIII, Issue 12122, 10 August 1895, Page 2

HOUSE OF

EEPEE'SENTAIIVES. Wellington, August 8 FINA CIAL STATES!WT DEBITS. Mr Pinker ton Baid the public debt must increase, owing to th? necessities of the colony, and if the Opposition were on the Treasury Benches tc-morrow, the debt ?ould increase in the same nay as at present. Ho admitted that the administration of tbo Advances to Settlers Act was at first a failure, but he hoped that now the Act' was becoming bitter known its effect would be more bancfiiial. As t; the unemp'oyed. if the Government assistod them in gettiug land for small homes near tow.iß, it would teid to te'.tle the difficulty. He defended (he co-opera-tive system, and snid it was the abuse of the system and cot the system itself that caused it to be a failure, as alleged by Mr Uuthie. Mr Meredith spoke in praise of the Government policy. He could not see that the Government had anything to do with the conjested state of the labour market. Mr Ward hid done a great service to the colony at Homp, but theio was ono littlo matter that required clearing up, and that was on what legal authority the Trust Fund securities were sent t} London; and &lso on what legal authorities they were declaied pledgeable by the Treasurer. Trie Ceba'e was interrupted by the 5.30 adjournment. The Hou'e resumed at 7.30. Mr Meredith continuing his remarks, praisad the Cheviot purchase, and thought the report of the Tariff Commission savoured strongly of protection. Mr Thomas MoKenz:a i strongly condemned the application of the "g«g." in the shape of the time-limit in this debate, and deprecated the way in which the publication of Haneard was kept back in order that members might correct and altor their speeche3. Members talked about Liberalism, but he asked how many Liberals figured amongst the names of thcs9 who subscribed in Wellington lately towards the unemployed fund. Not one was amongst them, but thare wera pi nty of name 3 of peop c whom the Premier consideied had committed a crime because they were honest and industrious Ths working of ths Advances to Settlers Department was not satisfactory, and it was the lich and not the poor who were getting the benefit of the cut, He said the Govern* ment tariff proposals meant an increase in the burdens on wotkers of New Zealand to the extent of £5000. RJr Carroll saidthat'so far tho criticism of tlw Bugdet had not been of a very elevating pbaracror, but the able speech of Sir Kobert Stint, which he had listened to with admiration, must be t-xcepted. Howeve/, he preferred to accept the official figures rather than those used by Sir liobert Stout. With reference to what Sir Hobort Stout had said about the Canadian tariff, he (Mr Carroll) wished to make it clear that Me Ward had the 1894 tariff in his possession. It was true, however, that by somo mistake the wrong tables had been inserted in the Financial Statement There was no question about that, bnt Mr Ward would explaiu the matter fully later on. This explanation was made now in case the people should say tint it was on the 1890 tariff lint Mr Ward had based, his reciprocity proposals. Sir Robert Stout: Cut he may have got the wrong figures in Canadi. Mr Ward: " Oh, no!" I have the 1894 tariff complete. Mr Carroll, proceeding, deprecated the way m which the Opposition continu-jd to belittle Mr Ward's mission and criticise his action with regard to the securities. The Budget was notable fcr the way in which the Government aealt with the lesiprocal treatie3. He defended the administration of the Advances to Settlers Act, and the policy of the Government in purchasing land for settlemont. Tli9 real net increase in (he public debt from 1891 to 1895 was only £193,791. Mr- Ward here laid on the tibia the Canadian tariff of 18!) i, which 'was now in force; ' "' : Dr Newman twifi'ei Mr Carroll with having leen a-itrotif supporter of the lato t jr Harry Atkinson, and ho had now found'a haven on I}\h' present Government bonclie3. From start to flush ths Financial Statement bristled with intocuracies, and it was nioya incorrect than any other Budget lipy had ever had. Muj or Steward congca(u|it3-l the Minister of Lands upon the formation of the Agricultural Department, which had proved of great advantage to the colony. Hp, however, would u.rge }a concestion with tbifj department the appointment of an etomologist, The Government, Jw understood, were in communication with a gentleman in Canada, who declined to come under anything but a very high salary. In New Z»aland, however, there was a man of the first rank of entomologistp, bettor qualified than outsiders on account o( I.U local knowledge, who would accept tho position at a moderate salary. Tho Government Advances io Settlers Act, he was sorry to say, had not filled the purpose for vrliich it had been passed, and he thought he could state the reason. It was this, The vahutora were of opinion that the rents paid on Government leasehold was really two high for there to be any goid will, which showed tho necessity for a Fair Bent Bill The fining industry should receive greater assistance from tho Govarnm'-nt. He believed the Government could solve the unemployed difficulty dy putting the unempbyod on the "poor niau's diggings" in his district-, and allow them ti work on the diggings on tribute. Regarding the reciprocal treaties he was not going to ) vote against (lie South Australian treaty, but he would point out that it neodod careful consideration to sea thal; none of our local industries were injurod thertby. The Colonial Treasurer having expressed his willingness to strike timber out of the trea'y with Canada, he thought the treaty with thatcolony li'sply to tie of much good to this colony. He 'tow came to ths tariff proposals of the Government, and as Chairman of the Tat iff Commission ho had to epaik against th'js. Thpre were never men who 4'd their duty more carefully and conssientiously than did the members of the Tariff Comnrssion, and he thought they did fairly good.

• work, Continuing, he proceeded to deal ' in detail with th« recommendations of the. Commission. In a great many cases, ho said, the Colonial Treasurer had struck a medium between the recommendations of the Commission and the existing staw of things, which had, of conrse, not accomplished the desire of the Commission ; and had even thrown away chances of increasing his revenue. The Commission had recommended a reduction of 2d on toaaa they thought that would reach (he consumer, but the Id reduction of the Colonial .Treasurer would not reach the coDßumpr at all. The Commission, anxious to relieve the poorer classes of the colony, had recommended that all cotton goods should come in free, but the Treasurer could not sue his way to do this. The recommendation to increase the duty on flannelette, which competed with our local industries, the Treasurer had agreed to. He ( Major Steward), after dealing with olher detail?, said he ventured to think that if the Colonial Treacnrer had adopted in Mo the recommendations of the Commipsiorj, they would have produced the same rovenue as he now expected to obtain, or d they would hava given general saiLfac tion. The Colonial Treasurer had shown hinwelf Toll quiltfiad in every respastfo? his position, but on this question of (ho tariff ho (Major Steward) differed with him. On tho motion of Mr G. W. Kusse'l the debate was adjourned, and the Home rose at 12.25 a.m. August 9. The House met at 2.30. Kir G. W. Russell resumed the debate on th 9 Financial Statement, He had been returned tn the House as a supporter of the Liberal party, but after carefully studying tho Statement he had come to the con-lusion that its dominant theme - was one which could have come down from the most Tory Government that had over been in New Zealand. He raid this with deep and bitter regret from a party point of view The Bud Ret was absolutely colourless. It was a Budget of pure opportunism. With such a large majority at their back the Government had lost the grand opportunity of carrying out an advanced Liberal policy. The financial condition of the colony was far from satisfactory, and the result would be that the colony would shortly have to $o in for a large loan, to be sorambled for on the floor of the House. He was opposed to the South Australian and Canadian treaties, and objected to ,£20.000 being thrown away On the Vancouver mail service. It was a great omission that the Budget made no proposal for finding work for the unemployed, and the stagnation of tho labour market was due to the fact that our natural resources were not developed. The redaeiiens proposed by the Treasurer were jo unsignifiiant that thiy would never reach the consumer. He intended to move that the duty en tea be removed, ani tlmt an increase ba made on other articles in order to make up for the locs, Mr Morrison said that as to what Mr Russell had said about spending large ' sums of money on opening up the resources, of tho colony, he did not think the Government would be justified in, expending large amounts in creating artificial settlement. He admitted that the co operative system required to be worked on a difforent system than at present. He referred at some consider--,.—, able length to Mr Ward's mission to v England, and defended the position he took up with respest to the Sinking Funds. He hoped the good sense of the Hou3e would see that the Liberal party would not be divided over the tariff proposals, and that the House would assist the Colonial Treasurer to make his proposals as acceptable as possible. - Mr Buick objected' to the released-' Sinking Funds being regarded as ord'mry revenue. The real fact was that for four years the colony in ita internal administration had not paid its nay by .£95,2:4. One cause of this. state of nffairs was the expense in the administration of the public service. If a large inceise in the burdens of taxation was not to take place, local bodies mu«t look to less assistance from the Government, aid the public must expect lers favours from the Gcvarnment sources. The Public Workß Fund waß gradually disappearing, and if the colt ny was to go on with its public works policy there were two alternatives before it— the colony mint either go slowly and moderately and keep within its means, or pursue a vigorous policy,' which meant floating a loan of considerable magnitude. The Teal solution of . the unemployed difficulty was in vigorous administration of the Laud for Settlement Act. The debate was interrupted by the 5.30 adjournment. The House resumed at 7.30 p.m. Mr Buick continuing his remarks, Jaid he should not support a single item of increase of duty on goods used by the working clas3es till he was convinced that all reasonable reductions in public expenditure had been made. Captain Russell said the. Premier's speech jn the Budget debase w.as nob a defence of the Budget or of his policy, b,qfc a lonj; des3ertation on ac'erit hnfory add an endeavour to show that the borrowing policy of the Srout-Vogel Government-. - • whom he had supported, was greater than that of his own Government, The Sre,. mier had led tbo House to balfeve that the actual increase to the public debt during hw term qf office was only J£ million?, whereas the returns laid on thq table Bhowjd that tli9 actu.il increase was £2,291,109, and this amount by no means showed the liabilities incurred by th.3 ' Government, The Premier altogether forgot to tell the House of the liability of two millions incurred for the Bank of New Zsalaad. It might I c argued that that was not borrowing, bat it was a promiesory noti whfch might have to be met some day, although he hoped that day was a long way off. There was also a liability of 1£ millions fir advances t) settlers. He asserted thit the gross liabilities incurred by this Govern* ment sites they took office was aclually £6,541,1(9. As to the tariff, nearly every member on the Government si<?e of the House had spoken against Mr Ward's prcpoEals, Mr Jfirani had referred to the great progress of the colony for the past three yens, but that progress had been baikwards. Both the Customs and the railway revenue had considerably decreased. Next year's Eurplus wa3 to be made up by imposing .£IO,OOO en the necesearieß of Jifo and getting £20.000 from tho widows of the colony. He asserted that the finances of tho Government had-' completely brokeri down', aDd if it wece'hot for thatwo items he had mentioned, the predictions 'of the 1 Opposition, that the Government w,r'e galloping to a defijif, would''have fiee'n completely tufiUei. As tofhe Banking legislation, he warned the Government that they would not bo allowed to force any Banking Bill through the session without giving the fullest iDfor^ mstion about the ma ter, The Govern 1 ment boasted that they were iosfc umon^aj in kwering the rates g? inte §'ir, bnt h.q had seen adveitisements in Australian papers that hundreds of thousands of pounds could be got there for 4 per cent on good tojurity. Tho amount of trade with South Austral'a and Canada did not i warrant the proposed treaties. As to the tariff j no attempt bad been made to remit the duties on the necessaries of life and he asked why the Treasurer had not put an extra penny on New Zealand baer and so get a revenue of £20,000. He should not now propose any amendment, but wouid on a future date propcua the following resolution, ' That the Colonial Treasurer be requested to withdraw the proposed alterations of the duties of Custom?, on ths grounds that by them no simplifioition of the tai iff i 8 effected few existing anomalies are abolished, no' appreciable relief is granted to-anjbaay, while extra burdens ara imposed- tapon many, and the estimated increase' in She revenue (viz., £0300) is not com r ensurate with the general diearrangenisnt of trade which will o-sue." That would give the House a fair opprrtunitj of dis. cussing the whole question, and lie would move the resolution in no spirit of antaEonism to the Government. Mr J. UcKenzie said that the Lsader if the Opposition hud shown nothins to prove that if he were in office the colony would be any better off.., He thought Captain Kussell had shown questionable testo in dragging in the Bank of'Ne'w Zealand but he asked who it was who hM caused the Bank * > be in its preset o6n. dlt \ On ? J2*y? n] * U*» nto * th ° Libera party, lhe Government had acted last year in this matter to prevent a crisis, and hnd boon supported by the Leader of tho Qroosition. As to the Advances to Settlors Act, he reminded tho House that millions of this money was lying in London yet, Locking at the low price o{

•- ' ' ■•--^ produce, he thought the Government were to be congratulated on the position of the colony, especially considering the state of the other colonies. The Government had nflver claimed to be a non borrowing Government-, but he contended they hud nos borrowed in the same way as had had gone on ia the past. The Government hai plenty to thow for the money they had borrowed, and if the Opposition thought differently let them go to their constituents and tbey would see what the verdict would be. He defended his land settlement at Borne length, and he asked how that settlement ) could go on unless thtra was moaey to i carry it on with. The Government wate J acting strictly within thi law in their dealings with tbe Sinking Funds. Several of the railways under construction in the colony had been asiistedby means of a Sinking Fund. The Cheviot purchase had been made with borrowed money, and he ventured to Bay there was not a soqnder balance sheet in the colony than was presented by Cheviot. He quoted figures to show to what extent the Government had a-aisted the small settleis of the colony If the present Opposition got on the Treasury Benches a huge loan would be floated He conttinded that the Government had done «ood work for the money (hay had borrowed. , Mr Frss^r advarsoly criticised the Budget. He said the OppMition did not altogether complain of the increase of the debt, or the way in which the borrowed money was spent, but they objected to tbe assertions of the Government that the debt ba-1 not been increased and that no money was borrowed. He referred to the exceptional severity ef the winter in the sonth, and expressed the opinion thatthe Treasurer had not made sufficient allowance for this emergency. Many of the runholders would be absolutbly unable to pay their rates, so severe bad been their losses through the weather.