RECKLESS FINANCE.

Wanganui Chronicle, Volume LXXXIII, Issue 19731, 28 December 1926, Page 6

RECKLESS FINANCE.

With the aid of the device known as the gag the Premier of New South Wales, Mr J. T. Lang, contrived on the eve of the Christmas adjournment to rush through Parliament his two taxation schemes. Apparently he will now be able to raid the Main Roads Fund and to tax the large newspapers on their cireualtion. The newspaper tax is probably the worst, iniquity that a New South Wales Government has perpetrated. Mr Tiang’s purpose is, of course, to injure the great Sydney dailies, which almost without exception oppose him, and Io curry favour with the smaller country newspapers, many of which will be exempt from the tax. The newspapers probably will have to pass on the impost, and hundreds of thousands of the public will suffer.

It cannot be denied that Mr Lang’s Government urgently needs money. Reckless finance has brought the State into difficu’ties. with the result that every possible source of revenue must be exploited to lhe utmost, and even then the Government has to seek authority 1o raise an exceptionally large amount of loan money. Moreover, the Government desires permission to borrow “in sueh countries or cities as the Governor-in-Council may direct.” Mr Lang has admitted that the London financiers arc not very favourably disposed towards New South Wales, and the reason is not far to seek. The Premier himself revealed it in the House when he spoke of the necessity for the estaMishment of a sinking fund.

The Commonwealth Year Book for 1925 shows that New South Wales has been the most, reckless borrower of a’l the States and the least esmeemed albert rejtaymcnt. Western Australia has a gross debt of £63,000,000 and has accumulated over £9.000,000 of sinking fund. South Australia owes £70,000,000, and has a sinking fund of £2,500,000. Victoria owes £124,000,000, and has a sinking fund of £3,500,000. Tasmania owes £24,000,000, and has saved £1,000,000 to meet, the bill. Queensland, with a gross debt, of over £90,000,000, has about £1,000,000 in reserve for the same purpose. Above all these figures New South Wales towers high in lonely splendour, with a gross public debt of about £224,000,000, and a sinking fund of less than half a million. It is little wonder that Mr Lang does not know where to turn for money.