LABOUR’S RULE

Waikato Times, Volume 123, Issue 20692, 30 December 1938, Page 6

LABOUR’S RULE

MR JORDAN EXPLAINS TAXATION RATES DEFENDED MAKING PEOPLE SECURE (From a Correspondent) LONDON, Dec. 8 Not “What do you think of New Zealand?” but ‘Why do you think of New Zealand?” was the question asked by Mr W. J. Jordan, the High Commissioner, when he addressed the Oil Industries Club. Some people were interested in New Zealand because of its social programme, he said. Others were annoyed with the social programme because they feared it would interfere with their investments. They knew of New Zelaand only as a place in which to invest money, and there had been some criticism because these things cost money—although at the same time he had had scores of letters of appreciation of what was being done in the Dominion. Comparison With Britain Taxation in New Zealand was about £23 per head, and no doubt that sounded terrible. He heard somebody say colossal (Laughter). And it did seem heavy. But what was included in that charge? Taxation in Britain was given as £l7 per head; hut there were two forms of levy in both coun-. tries—national taxation and local body rating. In New Zealand the whole of the cost of the police, justice, education, and the major part of the charges of health and social services were all in the national tax. That was not so in Britain. Mr Jordan instanced a house in Onehunga costing £IBOO in a quar-ter-acre section near a park, the local rating on which (including water rate for house and garden and everything else) was £9 10s per annum. In Britain the rating would be four or five times that amount. If they were to add to the taxation per head of population in Britain the local body rates, and compare it with the total charges in New Zealand they would find that the New Zealand taxation was far less. Social Security Referring to the provisions of the Social Security Act, Mr Jordan said that the money that would be used for the benefit of the people was money in circulation among the shopkeeper, the manufacturer, the farmer and the warehouseman. To-day one of the greatest troubles in the world was the feeling of insecurity on the part of the people, whether in the home, or in investment, or in the nation. That feeling was causing trouble and harm, and it came largely from unemployment, which raised a spectre of fear. He explained how under the New Zealand Act this fear of want, sickness and poverty was removed from those who were worthy of consideration. AH the main provisions of the Act were explained. ■ New Zealand, he said, was well able to meet her liabilities. Six months of 1 the present financial year had passed ; and the figures were keeping closely i to the estimates. It was expected the i financial year would end with a surplus of about £58,000.