STATE ADVANCES

Wanganui Chronicle, Volume LXXXI, Issue 18821, 11 July 1923, Page 5

STATE ADVANCES

THE AMENDING BILL DISCUSSION ADJOURNED (Per Press Association). WELLINGTON, July 10. In the House this afternoon, the adjourned debate on the State Advances Amendment bill was resumed by Mr Perrelle, who happened the Bill and hoped the Government would have ample money available for the farmers when the moratorium expired. Mr Field drew attention to the fact that a number of the largest lending firms in the. .Dominion were contioiled from Australia, and sometimes Australian directors, without very much notice, called in as much money as possible from investments in New Zealand for investment in Australia. Tins was calculated to place many New Zealand settlers in difficulties, and he thought the Government should consider whether some steps could be taken to stop that sort of thing Mr Mcllvride said the first step in solving the housing problem was to Louse that section of society who, by smallness of wages, are not. able to pay down a deposit or pay a high rent. To these people 95 per cent, was of no use, and the Government ought to advance them. 100 per cent, of the cost of a home.

Mr F. J. Rolles ton iTimaru) said the solution of the housing problem rested with the State. Private enterprise was hopeless, and *ocal bodies had not been able to provide houses on the scale anticipated, because funds had not been available to them. 'Hie Bill would be a success in cases where the State is the only mortgagee, but in cases where a second mortgagee came into the transaction, he anticipated trouble, because the occupant would enter into engagements with the second mortgagee, which they co aid never carry out. He wanted to see the Act of 1919 continued, with liberal grants to local bodies for housing purposes, as they could administer the scheme more efficiently than a central authority in Wellington. Mr Masters said the Liberals would welcome anything dene to assist the farming community. The Advances Department, though well managed, could never meet all the demands of farmers, and an agricultural bank was bound to come. All the same, he wanted to see this Bill get a good run, and he wanted the Government to put more

“ ginger” into its administration than they did into the Act of 1919. Mr Nash supported the Bill, but he thought the Government should not build houses, as private enterprise could beat the Government every time. He recommended the Government to look into what was being done in the Old Country regarding housing. He thought a subsidy to private builders with fixture of rent for twenty years, would be the best solution of the housing problem. Hon. Hanan said the Bill might do something to relieve the housing difficulty. It would certainly create a boom in land buying and building, and in so doing might possibly create a crop of new evils, which would take the place of existing ones. Nothing would stabilise things so much as complete revision of our system of land valuation. On the motion of Hon. Nosworthy, the debate was adjourned until next sitting day, the Prime Minister intimating that he wished to proceed with the Financial debate at 7.30.