8.-6
INDEX.
PAGE. Accounts, Departmental .. .. .. .. .. .. • • • • xliv Accumulated Surpluses .. .. .. .. .. . ■ . • • ■ IV Advances, Imperial Government, Funding of .. .. .. .. .. xlii Advances, State .. .. .. .. .. .. .. • • ■ • xxxiv Advertising .. .. .. .. •• • • • ■ ■ • • • xxm Agricultural Banks or Rural Credit Associations .. .. .. .. .. xlvi Agriculture . . .. ■. ■. ■ • • • ••• • • ■ xvii Amusement-tax .. .. .. . ■ .. .. • ■ • ■ • • xi Automatic Telephony .. .. .. .. .. . • • • • • xii Balances on 31st March, 1922:— Consolidated Fund .. .. .. .. .. .. .. . • , v Public Works Fund .. .. .. .. .. .. .. . ■ vi Bank-note Tax .. .. . . .. .. .. .. .. • • xi Bank of New Zealand Dividends .. .. .. .. .. .. .. xliv Beer Duty .. •• •• •■ •• •• • •' ix British Empire Exhibition .. . . .. .. .. .. '~ .. xlv Butter Equalization Fund .. .. .. .. .. .. . . .. xxxv Cash Balances, Investment of .. . . .. .. .. .. • • xliv Census and Statistics .. .. .. .. .. _.. ■ ■ . • xxii Cinematograph Films, Censorship of .. .. .. .. .. .. . ■ xxii Conclusion .. .. .. . • • • • • • ■ ■ ■ • • I 1 Consolidated Fund:— Estimated Expenditure, 1922-23 .. .. .. .. .. .. xlix Estimated Revenue for 1922-23 .. .. .. .. .. .. xlviii Expenditure for 1921-22 compared with Appropriations .. .. .. .. ii Result of Year's Operations .. .. .. .. .. .. • • iv Revenue for 1921-22 compared with 1920-21 .. .. .. .. .. i Consolidated Stock (London Issue) .. .. .. .. .. .. .. xxxviii Conversions —Loan.. .. .. . ■ ■ • • • • • ■ • ■ ■ vu Cook Islands .. .. .. .. ■ • • ■ • ■ • • xxxiii Cost-of-living Bonus to Public Service Annuitants .. .. .. .. .. xxix Customs Department .. .. .. • ■ .. .'• - - • • viii Customs Tariff, Arrangement with Australia .. .. .. .. .. .. viii Dairy-farmers' Mortgages .. .. ... .. .. .■• • ■ ■ xxxvii Death Duties Stock Redemption .. .. .. .. .. .. .. xxxviii Defence Department: — Defence .. .. .. •• •• •• •• •• •• xxiv Expenditure .. .. .. .. •• •• ■• •• •• xxiv Naval Defence .. .. .. .. . • • • • • xxv Repatriation .. .. .. .. . • • • • • • • • • xix War Expenditure .. .. .. .. .. . • • • • • xxv War Relief Funds .. .. .. .. . • • • • ■ • • xxii Departmental Accounts .. .. .. .. ••• • • • • • • xliv Discharged Soldiers Settlement .. .. .. .. . • • • . . xv Dominion Laboratory '.. .. .. . • • • • • • • • • xxii Economies and Savings .. .. .. .. .. . • • • • • xlvi Education Department: — Education .. .. .. •• •• •• •• •• •• xxiii Teachers' Superannuation Fund.. .. .. .. . • • • • ■ xxix Estimates: — Expenditure, 1922-23 .. .. .. .. .. . • xlix Revenue, 1922-23 .. .. .. . • • • • • • • • ■ xlviii Exhibition, British Empire .. .. .. .. .. .. .. .. xlv
8.—6
2
Expenditure:— j. A(m Comparison of with previous .Years .. .. .. .. .. .. iii Details for 1921-22 compared with Appropriations . . .. . . . . ii Estimated for 1922--23 .. .. .. .. .. .. . . .. xlix War .. ... .. .. .. .. .. .. . . .. xxv Finance :— LocaJ Bodies .. .. .. .. .. .. .. .. .. xxxvii Treasury .. .. .. .. .. .. ~ . xxxviii Five-million Loan, 1922 .. .. .. .. .. .. .. ..xxxviii Forestry, State .. .. .. .. .. .. .. .. . . xix Froe-of-income-tax Securities .. .. .. .. .. . . . xxxix Friendly Societies .. . . .. .. .. .. . . . . xxix Funding Imperial Government Advances .. .. . . ... . . .. xlii German Reparation . . .. .. . . . . . . . . .. xxxvi Go vernment Insurance Department .. .. .. .. .. .. .. xxxiii Government Printing and Stationery ... .. .. .. . . . . xxxi Greymouth Harbour Board .. .. .. . . .. .. .. .. xxxvi Health Department .. .. . . .. .. .. .. .. xxiii Hospitals, General .. .. .. .. .. .. .. :. .. xxiv Housing .. .. ... .. . . .. .. . . . . .. xxvi Hydro-electric Supply .. .. .. .. . . . . . . . . vi Immigration .. .. . . . . .. . . . . . . . . xxi Imperial Government Supplies, Department of .. ... .. . . .. xxxv Imperial Securities, Profit on .. .. .. .. .. . . . . v Imports and Exports .. .. .. .. .. .. .. .. viii Income-tax Receipts .. .. . . . . . . . . . . . . x Industries and Commerces, Department of .. .. .. . . . . xxx Insurance on Public Buildings .. .. .. ...... . . . . xxxvi Insurance, State Fire .. .. .. .. .. .. .. .. xxxiii Internal Affairs Department .. .. .. .. .. . . . . xxi Justice Department .. .. .. .. . . . . .. xxx Kauri-gum Industry .. .. .. .. .. .. . . . . xiv Labour Department .. .. .. .. .. .. .. . . xxvi Land and Income Tax Department .. .. .. .. .. .. . . ix Land- and Income-tax Receipts .. .. .. .. .. .. . . x Lands and Survey Department .. . . . . .. . . . . . xvi Discharged Soldiers Settlement .. .. .. .. .. .. .. xv Kauri-gum Industry .. .. .. .. .. .. .. . . xiv Land-settlement .. .. .. .. .. .. .. .. xiv Swamp-drainage Reclamation .. .. .. ~ .. . . .. xv Waste-lands Development .. . . .. .. .. . . .. xiv Loans:— Conversions .. .. .. .. .. .. .. .. .. vii Falling due .. .. .. .. .. .. .. .. .. xliii Five-million Loan, 1922 ... ... .. .. .... ... .. xxxviii Loan Certificates .. .. .. ... .. .. .... xii Redemptions and Renewals .. .. .. ... ... .. ... vii Local Bodies' Finance ... .. .. .. ... .. .... . . xxxvii Machine Telegraphy . . .. ,\ ~ ~ .. . . . . xii Maori War Pensions .. ... ... ... ... .... .. .. xxvii Marine Department .... ... ... .. ... .. .. '.. xxxii Meat-producers Board .. .. .. .. .. ... ..'••'.. xvi Mental Hospitals . . .. .. .. .. .. ..' ~ ... xxiv Miners' Pensions .. .. .. .. .. .. .. ... .. xxvii Mining .. .. . . .. . . .. .. .. ....'. xx Mortgages, Dairy-farmers' .... .. ... .... ... .. xxxvii National Provident Fund ... .... .... ... .. xxix Native Department .. .. .. .. .. .. .. .:. xxxii Native Land Settlement .. .... .. .... ... .. ~'..'. .' .. xxxii Native Trustee ... .... .... ..>. .... .. ... .. ■ '■■.;■■ xxxv Nauru and Ocean Islands .. ~ ... ... .. .. I t cl' xviii
8.—6.
3
PAGE. Naval Defence .. .. .. .. .. .. .. .. .. xxv New Zealand Consolidated Stock (London Issue) .. .. .. .. .. xxxviii Old-age Pensions .. .. .. .. .. .. .. .. xxvii Passports.. .. .. .. .. .. .. .. .. .. xxii Pensions .. .. .. .. .. .. .. .. .. .. xxvii Pensions Appeal Board .. .. .. .. .. .. .. .. xxviii Permanent Charges 1921-22 compared with 1913-14.. .. .. .. .. iii Phosphates, Supply of . . .. .. .. .. .. .. .. xviii Police Department . . .. .. .. .. . . xxx Post and Telegraph Department .. .. .. .. .. .. .. xi Printing and Stationery Department .. .. .. .. .. ..... xxxi Prisons Department . . .. .. .. .. .. .. .. xxx Profit on Imperial Securities .. .. .. . . .. .. .. v Proposals for Year, Summary of .. .. .. . . .. .. .. Ii Publications Committee .. .. .. .. .. ... .. .. xxiii Public Debt .. .. .. .. .. .. .. .. .. xxxix Public Service Superannuation Fund .. .. .. .. .. .. xxix Public Trust Office .. . . .. ' .. .. .. .. .. xxxiv Public Works Department .. .. .. .. .. .. .. vi Public Works Fund .. . . .. .. .. .. .. .. v Railway Department .. .. .. .. .. .. .. .. xvi Redemptions and Renewals .. .. .. .. .. .. .. vii Registrar-General .. .. .. .. .. .. .. .. .. xxii Relief Funds, War .. .. .. .. .. .. .. .. xxii Reparation .. .. . . . . .. .. .. .. .. xxxvi Repatriation .. .. .. .. .. .. .. .. .. xix Reserve Fund Securities .. .. .. .. .. .. .. .. xlii Result of Year's Operations .. .. .. .. .. .. .. iv Revenue: — Customs—Estimated, 1922-23 .. .. .. .. .. .. .. ix Details for 1921-22 compared with 1920-21 .. .. .. .. .. i Total estimated, 1922-23 .. .. .. .. .. . . . . xlviii Rural Credit Associations or Agricultural Banks .. .. .. . . . . xlvi Rural Mails .. .. .. .. .. .. .. .. .. xiii Samoa .. .. .. .. .. .. .. .. .. .. xxxii Savings through utilizing Surpluses.. .. .. .. .. .. .. v Sinking Funds .. .. .. .. .. .. .. .. .. xl Soldiers :— .-_= Pensions .. .. .. .. .. .. .. .. .. xxvii Repatriation .. .. .. .. .. .. .. .. .. xix Stamp Duties Department .. .. .. .. .. .. .. x State Advances Office .. .. .. .. .. .. .. .. xxxiv State Fire Insurance .. .. .. .. .. .. .. .. xxxiii State Forestry .. .. .. .. .. .. .. .. .. xix Stores and Supplies .. .. .. .. .. .. .. .. xliv Superannuation Funds: — Public Service .. .. .. .. .. .. .. .. xxix Railways .. .. .. .. .. .. .. .. .. xxix Teachers' .. . . .. .. .. .. .. .. .. xxix Surplus accumulated .. .. .. .. .. .. .. .. iv Swamp-land Reclamation .. .. .. .. .. .. .. .. xv Tariff Arrangements with Australia.. .. '.. .. .. .. .. viii Taxation : — Amusement-tax .. .. .. .. .. .. . . .. xi Bank-note Tax .. .. .. .. .. .. . ■ • ■ xi Income-tax .. .. .. .. .. .. .. . • • • x Land-tax .. .. .. .. .. .. • ■ • • x Totalizator-tax .. .. .. .. .. .. .. .. xi Tourist and Health Resorts, Department of.. .. .. .. .. .. xxxi Treasury Bills .. . . .. .. .. .. .. .. .. vii Treasury, The .. .. .. .. . ■ • • • • ■ ■ vii
8.—6.
4
PAGE. Treasury Finance .. .. .. .. .. .. .. .. .. xxxviii Trustee Investment in Government Securities . . .. .. .. .. xliii Valuation .. .. .. .. .. .. .. .. .. xxxiii War:— Expenditure .. .. .. .. .. .. .. .. .. xxv Pensjons .. .. .. . . .. .. .. .. .. xxviii Relief Funds.. .. .. .. .. .. .. .. .. xxii Washington Conference .. .. .. .. .. .. .. .. xlv Waste-lands Development .. .. .. .. .. .. .. .. xiv Weights and Measures .. .. .. .. .. .. .. .. xxii Western Samoa .. .. .. .. .. .. .. .. . xxxii Westport Harbour .. .. .. .. .. .. .. .. xxxv Widows' Pensions .. .. .. .. .. .. . .. xxvii Wireless Telegraphy .. .. .. . . .. .. .. . . xii Year's Operations, Summary of .. .. .. .. .. .. xlix
8.-6
.1922. NEW ZEALAND.
FINANCIAL STATEMENT (In Committee of Supply, 15th August, 1922.) BY THE RIGHT HONOURABLE W. F. MASSEY, P.C., MINISTER OF FINANCE.
Mr. Malcolm, — I have the honour to submit the annual statement of the finances of the Dominion as at the 31st March, 1922, together with, my proposals for the current financial year. The total revenue of the Consolidated Fund for the year 1921-22 amounted to £28,127,007, whilst the expenditure for the same period totalled £28,466,838, the difference being met by the utilization of a. portion of the excess of Customs revenue collected during the previous year. Revenue. The revenue for the year was estimated at £28,000.000, but the amount collected was £127,007 in excess of the estimate, or £6,133,955 below the revenue of the previous financial year, as shown hereunder : —
Revenue for the Year ended 31st March, 1922, compared with the Year ended 31st March, 1921.
The decrease in the Customs revenue of £3,313,290 was anticipated, and justifies the provision made for applying the excess Customs revenue collected during the year 1920-21 towards adjusting the disturbance in the equilibrium due to overimportation.
i—B. 6.
Year ended Year ended 31st March, 31st Maroh, 1922. 1921. j Increase. IncrcDecrease. Customs Beer duty Stamp and death duties Postal and telegraph Land-tax Income-tax Railways Registration and other fees Marine Miscellaneous Territorial National-endowment revenue .. Other receipts £ £ 5,095,436 ! 8,408,726 458,898 360,525 3.444,504 3,745,902 2,748,481 2,640,158 1,637,816 j 1,688,978 6,002,987 I 8,248,945 6,683,236 | 6,918,492 146,548 | 220,085 51,849 56,540 1,410,478 1,584,995 200,697 219,193 102,481 100,448 143,596 67,975 £ i 98, 108, 2, 75, £ 3,313,290 98,373 108,323 301,398 51,162 2,245,958 235,256 73,537 4,691 174,517 18,496 2,033 75,621 ~ ! 284,350 fi\yx , 6,418,305 284,350 Totals .. 28,127,007 ! 34,260,962 6,133,955
II
8.—6.
Expenditure. The expenditure under the permanent and annual appropriations amounted to £28,466,838, or £886,516 less than the amount appropriated by Parliament. It will be remembered that after a careful examination by the Public Accounts Committee the estimates as originally submitted were reduced by £260,116.
Comparative Statement of the Appropriated and Actual Expenditure of the Consolidated Fund (Ordinary Revenue Account) for the Financial Year ended 31st March, 1922.
i j Appropriated, 1921-22. I i Actual. More. Less. I 'ermanent Charges,— Civil List Interest and Sinking Fund Under special Acts. . £ I £ £ £ 1,216 70,074 238,532 31,100 8,512,352 4,640,531 29,884 8,442,278 4,401,999 13,183,983 12,874,161 309,822 .nnual Appropriations,— Legislative Departments Treasury Department Land and Income Tax Department Stamp Duties Department National Provident and Friendly Societies Department Working Railways Post and Telegraph Working-expenses Public Buildings Government Domains Maintenance and Improvement of Roads Maintenance of Irrigation-works Native Department Department of External Affairs Department of Industries and Commerce Department of Justice Supreme and Magistrates' Courts Prisons Department Crown Law Office Police Department Cook Islands Pensions Department Mines Department Department of Internal Affairs Audit Department Public Service Commissioner's Office Printing and Stationery Mental Hospitals Department of Health Naval Defence New Zealand Military Forces and Cadets Aviation Non-effective Services Rifle Clubs Customs Department Marine Department Department of Labour Department of Lands and Survey Valuation Electoral Agriculture Tourists Education Department lervices not provided for 82,091 47,330 66,956 117.210 27,650 6,492,776 2,557,600 111,705 5,748 64,000 2,000 27,180 20,716 185,758 34,512 90,472 92,815 6,550 435,910 15,256 142,466 57,779 408,348 25,136 9,676 23,730 301,830 214,205 342.587 376,441 8,426 12,427 21,490 141,228 150,173 39,132 254,370 62,172 5,950 331,968 96,404 2,659,198 73,843 41,103 60,533 101,415 24,935 6,473,234 2,448,688 109,092 4,513 62,280 1,295 22,862 21,478 157,518 45,875 101,219 79,545 6,021 411,056 15,406 138,734 47.076 367,062 21,685 8,861 (Jr. 1.0,220 269,199 223,388 303,517 373,791 8,361 11,982 21,316 136,475 151,695 35,762 215,672 55,278 6,295 275,176 86,943 2,580,562 2,156 762 11,363 10,747 150 8,248 6,227 6,423 15,795 2,715 19,542 108,912 2,613 1,235 1,720 705 4,318 28,240 13.270 529 24,854 3,732 10,703 41,286 3,451 815 33,950 32,631 9,183 39,070 2,650 65 445 174 4,753 1,522 3,370 38,698 6,894 345 56,792 9,461 78,636 2,156 16,169,371 15,592,677 36,228 612,922 Total expenditure 36,228 922,744 36,228 29,353,354 28,466,838 886,516
8.—6
III
It is thus evident that the economies introduced by the Government are beginning to take effect, and I am glad to be able to announce that the rapid annual increase in expenditure disclosed by the following table has been effectively checked :• — Expenditure of Ordinary Revenue Account under Appropriations for the Financial Years 1913-14 to 1921-22, inclusive. xr Tii a •_ Excess over Year. Expenditure. -r, , T t r Previous Year. £ £ 191.3-14 .. .. .. 11,825.864 743,826 1914-15 .. .. .. 12,379,803 553,939 1915-16 ~ .. .. 12,493.107 113,304 1916-17 .. .. .. 14,058,770 1,565,663 1917-18 .. .. .. 15,120,287 1,061,517 1918-19 .. .. .. 18,673,599 3,553,312 1919-20 .. .. .. 23,781,524 5,107,925 1920-21 .. .. .. 28,068,730 4,287,206 1921-22 .. .. .. 28,466,838 398,108 Interest and sinking fund charges increased during the year by £610,685, and scale increases to the salaries of State employees amounted to £226,443. The small net increase for the year is, however, more than set off by an asset in the reserve stock of coal held by the Railway Department. The decrease in the rate of expenditure is definite. Conditions, however, are such as to make it imperative that the present rigorous policy of economy must be adhered to, for safe finance demands that public revenue and expenditure should balance. Future expenditure must be subject to careful review, and constant pressure applied to ensure thatwnoney is spent wisely, also that the State receives full value for its expenditure. Permanent Charges for the Years 1913-14 and 1921-22. The expenditure on permanent charges compared with 1913-14 shows an increase of £8,638,072. Most of this increase is due to causes beyond administrative control, such as the late war and the effect it had on the cost of living, and also to normal expansion. The following items will show this more clearly:— Directly due to the war: — £ £ Interest and sinking fund on war loans .. 4,657,766 War pensions .. .. .. .. 1,722,596 6,380,362 Indirectly due to the war : — Increase to old-age, widows', military, and miners' pensions, due to increased cost of living . . 414,200 Butter subsidies .. .. .. .. 240,270 Increase in rate of interest on new loans and renewals .. .. .. .. 250,000 Increase in subsidies to Hospital Boards, due largely to increased cost of maintenance, food, drugs, &c. .. .. .. 276,172 Increase in subsidies to local bodies, necessitated by increased rating .. .. .. 73,214 — 1,253,856 Increases in — Old-age pensions . . . . .. . . 231,563 Education grants . . . . . . . . 90,000 321,563 Increase in subsidies owing to expansion : —■ National Provident Fund . . . . . . 61,275 Superannuation Funds .. .. .. 64,000 125,275 Epidemic pensions . . . . . . . . .. 72,500 £8,153,556 — i I'WIiMII |
8.—6.
Deducting the increases for which the war is directly and indirectly responsible—viz., £7,634,218—the net increase is £1,003,854, of which £446,838 is due to growth of population and increased pension liability. Result of the Year's Operations. The rapid fall in the price of our primary products had a marked effect upon the year's operations, but the situation improved with the increase in values. Whilst it would not be prudent to assume that the improvement will continue or that an early return to normal conditions is to be looked for, I am confident that the worst has been passed. It is a matter of congratulation that the difficulty arising out of overimportation, which proved so serious in other parts of the world, has been satisfactorily overcome in New Zealand. The results of the year's operations within the Consolidated Fund, Ordinary Revenue Account, are summarized hereunder : — Receipts during year 1921-22 : — £ Revenue ' .. .. .. .. .. 28,127,007 Expenditure during year :- £ Permanent charges .. .. .. .. 12,874,161 Annual appropriations .. .. .. .. 15,592,677 28,466,838 Excess of expenditure over revenue .. 339,831 Less other receipts : — Repayments by Southland Electric-power Board .. .. 60,000 Net amount required to adjust expenditure and revenue .. .. .. £279,831 The balance of the accumulated surpluses, brought forward at the Ist April, 1921, was £8,591,209, including £2,409,251 held in reserve to meet the inevitable drop in Customs revenue. The balance at 31st March, 1922, was £7,531,367, including the unexpended portion of the excess Customs revenue; the reduction being accounted for by the application of £780,011 to debt-reduction or capital purposes, and of £279,831 to adjusting ordinary revenue and expenditure. ACCUMULATED SURPLUSES. The following statement shows how the accumulated surpluses have been applied:— Statement showing how Accumulated Surpluses have been applied. To Accumulated surplus at £ By transfers— 31st March, 1920 .. 17,5.38,976 To Discharged Soldiers Settlement Accounts— £ £ Surplus for financial year 1920-21 .. .. .. .. 13,330,000 1920-21 .. .. 6,132,233 1921-22 .. .. .. .. 170,000 13,500,000 To Discharged Soldiers Settlement Depreciation Fund Account — 1920-21 .. .. .. .. 50,000 1921-22 .. .. .. .. 50,000 100,000 To Public Works Fund, 1920-21 .. .. 500,000 To Reserve Fund Securities Account, 1920-21 .. 1,200,000 To loans redemption, 1921-22 (war-loan certificates, £560,000) .. .. .. .. 560,011 To balance revenue and expenditure, 1921-22 .. 279,831 Total .. .. .. .. 16,139,842 Balance, 31st March, 1922 .. .. 7,531,367 Total accumulated surplus .. £23,671,209 £23,671,209
IV
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V
The financial advantages of applying our surplus revenues, due largely to war taxation, to debt-extinction purposes, or to purposes for which money must otherwise have been borrowed are set out hereunder. In addition to other gains, the interest and sinking-fund charges have been relieved to the extent shown, whilst the income resulting from the transfer of £1,200,000 to the Reserve Fund Account in London has provided a valuable addition to the annual revenue of the Consolidated Fund. Savings through utilizing Surpluses. Discharged Soldiers Settlement Account, £13,500,000 : — £ Interest and sinking fund .. .. .. .. .. 405,000 Redemption of war-loan certificates, £560,000 : — Interest and sinking fund .. .. .. .. 16,800 Public Works Fund, £500,000 (transferred) :— Interest and sinking fund, &c. .. .. .. .. .. 15,000 Discharged Soldiers Settlement Loans Act 1920 Depreciation Fund, £100,000 :— Interest on investments . . .. .. .. . . 4,800 Reserve Fund (London) : — Interest on capital gain .. .. .. .. .. 3,150 £444,750 Profit on Imperial 5-per-cent. Securities purchased, at £95, now valued at Par. Discharged Soldiers Settlement Loans Act, 1920 — £ Depreciation Fund, £50,000 (principal) .. .. .. .. 2,600 Reserve Fund Securities, £1,200,000 (principal) .. .. ..63,150 £65,750 Summary. ==_-__-_ Interest and sinking fund — £ £ Consolidated Fund .. .. .. 439,950 Other accounts .. .. .. 4,800 444,750 Profit on investments — Consolidated Fund .. .. .. 63,150 Other accounts .. . . . . 2,600 65,750 Total .. .. .. £510,500 Public Works Fund. The expenditure upon public works amounted to £5,461,407, or £2,320,210 over the expenditure for the year 1920-21. Statement showing the Position of the Public Works Fund as at the 31st March, 1922. £ Balance brought forward on Ist April, 1921 . . . . . . 489,489 Receipts,— - Loan-money — £ Finance Act, 1920, section 15 (public works) . . 560,000 Finance Act, 1921, section 10 .'. . . . . 2,673,111 Aid to Public Works and Land Settlement Act, 1921 .. .. .. .. .. 2,155,290 Other receipts .. .. .. .. . . 13,199 5,401,600 5,891,089
8.—6.
Expenditure,— Under appropriation . . . . . . . . 5,286,687 Other expenditure .. .. . . . . 439 Charges and expenses of raising loans . . . . 174,281 5,461,407 Balance at 31st March,"l 922 .. .. .. *£429,682 t . * Note.—The balance on 31 sb March, 1922, is made up as follows: — £ Cash in Public Account .. .. .. .. .. .. 20, 346 Imprests in the hands of officers of the Government .. .. .. 403,336 £429,682 Advantage was taken of the provisions of section 56 of the Public Revenues Act, 1910, to temporarily transfer £500,000 from the Consolidated Fund in anticipation of the receipt of loan-money, whereby a saving of interest amounting to £7,500 was effected. The activities of the Public Works Department have been, very considerable throughout the year. It was not possible in connection with railways to carry out the principle of concentration in its entirety, owing to unemployment throughout the country, which has necessitated the carrying-on of works in various parts in order to avoid the expense and dislocation which would have been caused by an endeavour to employ all the men requiring work on a limited number of works. As a result, some lines, which would have otherwise been stopped, have been continued. On the more important lines vigorous work is being carried out, and progress satisfying anticipations has been effected. In connection with roadworks, the ordinary programme has been speeded up and work done this year which, but for the necessity for finding employment, would not have been carried out so soon. The number of men employed has risen to about 6,500, one-third of these being what are known as relief workers. The legislation prepared last year in connection with, the construction and maintenance of main roads has been reconsidered. There has recently been a conference between the Government and the interests involved, and it is hoped that the difficulties which appeared will be overcome. The work of developing the backblocks is still actively proceeding. The Department's hydro-electric works have been vigorously pushed on ; fresh units have been and are being installed at the Lake Coleridge power-house, which will soon reach its maximum capacity of the first development. The Harper River has been diverted into Lake Coleridge, this being the first stage of a complete duplication of the installation, which will be progressively proceeded with. Work at Mangahao has been speeded, up. The reticulation in connection with the Horahora scheme has been extended, so that a large area of fertile country and. a number of towns are supplied with power. The returns from this scheme have been very gratifying. The work of enlarging the powerhouse, with the consequent extensions elsewhere, is in progress. The development of the first stage at Waikaremoana is so far advanced that power will probably be available for Wairoa very shortly. An agreement has been entered into with the Auckland Power Board whereby this body agrees to take the whole of its demand from Arapuni power-house as soon as the supply is available, and the Government has agreed to use every endeavour to have power available by the end of 1928. Very good work in connection with the improvement of the Waihou and Ohinemuri Rivers has been done, and during high water, which occurred once or twice during the year, the good effects of the work already done were plainly evident. The work on the Manuherikia irrigation scheme, Central Otago, is so far advanced that water was turned on officially by my colleague the Hon. Minister of Public Works on the 31st March, 1922. Further extensions are being made in
VI
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VII
connection with the Ida Valley scheme, the financial returns from which have maintained the steady increase which has been evident ever since water was turned on. The rate of progress so far, and the proposals for the future, are such that the present loan authorities will not be sufficient, and necessary financial proposals will be submitted for your consideration in due course. The expenditure for the year was largely increased in order to provide a substantial measure of relief in connection with the unemployed difficulty. I propose to supplement the Public Works and Development Accounts by transferring £1,250,000 of the accumulated surpluses, and thus effect a saving ol £25,000, including sinking-fund and flotation charges. Treasury Bills. As a large portion of our revenue, especially the land and income tax, does not come in until the end of each financial year, special arrangements have to be made to meet current requirements when the expenditure is in excess of the receipts. In the year just ended Treasury bills amounting in the aggregate to £1,1.55,453 were issued in anticipation of ordinary revenue and loan-moneys, upon receipt of which they were duly redeemed. The rates of interest varied from 3| to 5 per cent. No Treasury bills were outstanding at the 31st March, nor have any been issued since, although, for the reason stated, it will probably be necessary to anticipate receipts in this manner before the 31st March next. By the use of Treasury bills in preference to the sale of Imperial securities held by the different investment accounts a saving of at least £93,000 was effected, as Imperial 5-per-cent. stock purchased at £95 was quoted at a much lower price when the bills were floated. Treasury. Although the financial and administrative work of the Treasury has not diminished in importance or complexity, especially as regards the management of the large portion of the public debt domiciled in New Zealand, the effect of the reduced activities of the various Departments has been reflected in the business transacted, and it has been found possible to dispense with the temporary staff. The transfer to the Pensions Department of the administrative work connected with the payment of Imperial pensions and the after-care and treatment of exImperial soldiers in the Dominion has resulted in the reduction of the departmental expenditure by £1,300. In consequence of a readjustment of fees and an increase in transactions connected with the management of the New Zealand inscribed stock, the revenue from this source increased, over that of the previous year by £576. The reductions in the staff towards the end of the financial year, and the curtailment of other expenditure, resulted in a net saving of £6,200 in the departmental vote, whilst the fees increased by £700. REDEMPTIONS AND RENEWALS. The loans which matured during the year amounted to £7,704,990, to which must be added £42,740, matured loans for which debentures were not presented up to the 31st March, 1921, making a total of £7,747,730. Of this sum, debentures amounting to £3,244,430 were redeemed, and £4,496,625 renewed at rates of interest varying from 4| to 6 per cent. Moneys for redemption purposes were obtained as follows ; £560,011 from Consolidated Fund, £2,683,130 subscriptions from, the public and other sources, and £1,289 from sinking funds set free. Matured debentures amounting to £6,675 remained unpresented at the 31st March, 1922. Conversions. As the advantages of inscribed stock over bearer bonds become more appreciated by investors, the conversions into stock tend to increase, as the following statement will show: 1920-21, amount converted, £499,700; 1921-22, amount converted, £749,100.
8.—6.
CUSTOMS DEPARTMENT. The estimated revenue from Customs duties, including excise beer duty, during the financial year ended 31st March, 1922, as compared with the amount actually realized and with the amount collected for the previous year, is as set forth below, viz. : — Estimated Amount . Amount r , t Amount over or „ , _ < .Revenue, realized, 117+- f collected. 1921-22. 1921-22. under Estimate. 1920-21. £ £ £ £ Customs duties .. 4,900,000 5,095,436 195,436 (over) 8,408,726 Excise beer duty .. 500,000 458,898 41 ,102 (under) 360,525 Totals .. 5,400,000 5,554,334 154,334 (over) 8,769,251 The number of gallons of beer brewed in New Zealand during the financial year was 13,669,777. This was a decrease of 1,256,849 gallons from the quantity brewed during the financial year 1920-21. During the last four financial years the values of imports and exports have been as follows : — Imports. Exports. £ £ 1918-19 .. .. .. 26,437,284 32,263,792 1919-20 .. .. .. 32,162,029 50,776,650 1920-21 .. .. .. 67,463,269 48,219,672 1921-22 .. .. .. 36,123,256 43,794,883 The import values represent the fair market values in the country of exportation, plus 10 per cent. The export values are the f.o.b. values. The value of our imports during last year was less than that of the previous abnormal year by the amount of £31,000,000, and the value of our exports exceeded that of our imports during the year by over £7,600,000. Owing to the fall in the market prices of our products, the value of our exports decreased nearly £4,500,000 as compared with the amount of exports for the previous year. The following table shows, for purpose of comparison, the value and tonnage of goods imported from the principal countries during the years 1914, 1919, 1920, and 1921 :—
Tariff Arrangements with Australia. During the recess the Minister of Customs for New Zealand visited Australia for the purpose of making more equitable tariff arrangements with that country. A treaty, subject to ratification by the Parliaments of both countries, was signed, and has been submitted for your consideration. An agreement was also made with the Government of the Commonwealth that goods which would be entitled to admission under the British preferential tariff if imported direct from the country of origin, but which have been imported into the Commonwealth and afterwards exported therefrom to the Dominion, will be entitled to admission under the British preferential tariff on the production of a
VIII
British Ports. U.S.A. Other Foreign rp ot£ Countries. lis. Year. Value Tons. Value. Tons £ £ 17,649.784 1,360,843 2,282,966 125,755 20.829,937 948.060 7,576,314 236.359 46,804.855 1,487,216 11,100,259 323,129 32,667,045 1,378,017 7,746.457 278,753 Value. Tons. Value. £ £ 1,923,346 52,157 21,856,096 2,265,447 64,723 30,671,698 3,690.714 113.038 61,595,828 2.528,941 62,431 42,942,443 Tons. 1914 , 1919 1920 1921 1,538.755 1,249,142 1,923,383 1,719,201
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certificate from the Customs Department of the Commonwealth as to the country of origin. The agreement also provided that goods produced or manufactured in thp United Kingdom which would be entitled to admission under the British preferential tariff in force in Australia if imported direct from the United Kingdom, will, if exported to the Commonwealth from New Zealand, be so admitted on production of a similar certificate from the Customs Department of the Dominion. This arrangement came into operation on the Ist May last. Estimated Customs Revenue for 1922-23. With a view to estimating the amounts likely to be received during the current financial year, inquiries have been made from merchants and others, and it is doubtful if the volume of imports this year will exceed that of last year. On this assumption it is evident that, had it not been for certain increases in the duty on luxuries made by the new tariff, we would, in view of the reduced prices of most classes of goods, have expected this year to collect much less than during 1921-22. Under the new tariff the duty on spirits was doubled and that on tobacco was increased by over one-third. The full effect of the duty on spirits will probably. not be felt this year, because merchants, in anticipation of the new duty, cleared abnormal quantities at the old rate, and there are still considerable duty-paid stocks in hand. It will also be remembered that large concessions of duty were made last year in certain classes of machinery and appliances necessary for industrial development. Concessions were also made on inorganic salts, Australian hardwood timber, roadrollers, and on gas and oil engines, and stationary and marine steam-engines of sizes which, could not be economically made in New Zealand. There will also be a reduction in the duty on silk piece-goods from the Ist June. On the other hand, a number of items were added to the list of goods liable to preferential duty, and until traders are able to adjust their businesses and obtain their supplies from British sources it is likely that there will be a slight increase in duty owing to the continued importation of these goods from foreign countries. Beer Duty. Although the duty on locally manufactured beer was practically doubled last year, the revenue did not increase in a corresponding ratio during the period the increased duty has been in operation. Estimated Revenue. It is estimated that the revenue for the present financial year will be as under: — £ Customs duties . . .. .. .. ..5,160,000 Excise beer duty .. .. .. .. 650,000 Fees for licensed warehouses and other receipts . . 1.5,000 £5,825,000 During last year the savings resulting from economies introduced in. this Department amounted to £1,346. It is estimated that the total annual savings will amount to £3,355. The expenditure in 1921-22 amounted to £136,475, and £108,507 is the current year's estimated requirement, a reduction of £27,968. LAND AND INCOME TAX DEPARTMENT. The net receipts in this Department for the past year amounted to £7,640,803 (land-tax, £1,637,816 ; income-tax, £6,002,987), which compared with those for collection for the previous year show a decrease of £2,297,121.
ii—B. 6.
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Land-tax. The land-tax receipts compared with those of 1920-21 show a decrease of £51,163. The comparison is as follows : — £ 1920-21 .. .. .. .. 1,688,978 1921-22 .. .. .. .. 1,637,816 Decrease . . . . .. £51,162 This decrease is due principally to the enlarged exemption granted in respect of mortgaged lands, and also to the subdivision of large taxpaying properties into smaller and non-taxpaying holdings. It would have been much larger but for the increased value of land in districts revised under the provisions of the Valuation of Land Act. The number of land-tax payers who benefited by the increase in the mortgage exemption granted by the Act of last year was approximately 10,100, and the amount of tax remitted aggregated £100,000. Income-tax. The income-tax receipts compared with those of 1920-21 show a decrease of £2,245,958. The comparison is as follows : — £ 1920-21 .. .. .. .. 8,248,945 1921-22 .. .. .. .. 6,002,987 Decrease . . . . .. £2,245,958 The decrease in income-tax is due to the large shrinkage in the incomes of taxpayers generally, the full effect of which has not yet been realized, but will be shown in the income returns and assessments for the current year. In order to give some relief to taxpayers, rebates were granted of 10 per cent, of land-tax and 5 per cent, of income-tax if paid within twenty-one days of the due date ; and, while this had the effect of reducing the collection as a whole, it also had the effect of inducing taxpayers and the financial institutions to make every effort to meet the payments within the time specified, with the result that a larger amount was collected within the financial year than would otherwise have been the case. The business of the Department has increased to such an extent that it has not been found possible to effect any material reduction in expenditure. The retirement of a number of officers and the bonus reduction, however, resulted in a saving of £830 for the year. A reduction of advertising and telephone services, &c, will effect a saving of £150 for the year 1922-23. Retirements and the reduction in the cost-of-living bonus will effect a further saving of £3,700. STAMP DUTIES. The revenue for the year amounted to £3,444,504, as compared with £3,745,902 for the previous year, the decrease being due almost entirely to the reduced collections from, duty on instruments. The amended provision in the Finance Act, 1920, to increase the rates, and of the Death Duties Act, 1921, to charge interest on duty outstanding, resulted in a considerable increase in the revenue. The amusements-tax is expected to produce additional revenue amounting to £60,000.
8.-6
The amounts collected by way of totalizator, bank-note, and amusements taxes are shown hereunder : — Totalizator-tax. £ 1921-22 . . . . . . .. 515,248 1920-21 . . .. .. .. 497,961 Increase .. .. 17,287 Bank-note Tax. 1921-22 .. .. .. .. 227,080 1920-21 .. .. .. .. 236,713 Decrease . . . . 9.633 Amusements-tax. 1921-22 . . .. .. ..103,815 1920-21 . . . . . . ..80,103 increase .. .. £23,712 The departmental expenditure vote for 1921-22 was £101,415, but in the estimates for the current year this is-reduced by £21,234. POST AND TELEGRAPH DEPARTMENT. The amount of revenue collected by the Department during the year was £2,748,481. The principal items were--postages, £1,410,251 ; telegrams, £685,855 ; telephone-exchange receipts, £614,367. The net expenditure was £2,448,688, a decrease of £139,672 when compared with that of the previous year. The increased expenditure compared with 1914-15 is due entirely to the war or is a result of the war. As an indication of the increases in prices of material and office equipment, it may be mentioned that telephones increased by 52 per cent, in price ; poles, 88 per cent.; arms, 100 per cent.; other materials, wire, &c, ranging from 400 per cent, to 600 per cent.; stationery, 103 per cent. The following return shows clearly how necessary it was to increase the postal and telegraph rates to meet expenditure, including cost-of-living increases, during recent years : —
The salary expenditure in 1914-15 absorbed 55 per cent, of the total revenue, and 57 per cent, in 1921-22. The deposits in the Post Office Savings-bank for the year ended on the 31st March totalled £29,125,907, and the withdrawals £30,236,231, leaving an excess of withdrawals of £1,110,324. The amount standing to the credit of depositors on the 31st March, 1922, excluding interest for the year, was £42,241,797, compared with £19,048,029 at the end of 1914.
XI
Year. Actual Gross ! Revcnu". Estimated Actual Revenue if „ ... Revenue „ , , , , Expenditure. Ratis had not . r over been increased. Expenditure. Actual Expenditure over Revenue ovi r Exp; ndituiv if Rates had not been increased. Expendituic over Revenue if Rates had not boen increased. Revenue. I 1915-16 1916-17 1917 18 1918-19 1919 20 1920-21 1921-22 £ 1,695/(57 1.809,317 1,837,260 1,972,539 2,106,995 2,590,441 2,748,481 £ £ £ 1,559,505 1,296,522 399,235 1,538,533 1,3,0,810 438,507 1,554,250 ' 1,483,446 , 347,814 1,693,262 : 1,702,018 : 270,491 1,751,188 1.944,161 ', 162,834 1,732,810 ! 2,591,786 | 1,676,220 i 2,448,688 I 299,793 £ £ 262,983 167,743 64,804 £ 1,345 8,786 192,173 858,976 775,351
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The aggregate number of money orders and postal notes issued in 1921-22 was 3,048,847, and the amount paid out £5,104,812. The sale of war-loan certificates by the Post Office from the 11th August, 1916, until the 30th 'October, 1920, when they were withdrawn from, sale, totalled £4,619,983. The earlier issues are now maturing, and from August last to the 31 st March the value of certificates redeemed totalled £] ,528,594. The sales of Post Office investment certificates, which were inaugurated from, the Ist November, .1920, have now realized £229,673. The bonus reduction under the Public Expenditure Adjustment Act, 1921-22, resulted, for the quarter of the year it was in operation, in a saving of £28,257 ; and economies during the year reduced the amount appropriated by a further sum of £48,716. Apart from the amount saved by the reduction in the cost-of-living bonus, an estimated annual sum of £133,337 will be saved by changes in course of being effected. The arrival of comparatively large shipments of materials which had been under order for a considerable time caused the vote " Telegraph Extension " to be somewhat inflated, the total amount expended on the construction of telegraph and telephone lines being £579,899, whilst the sum of £170,395 was spent in maintaining the existing lines and cables. Commitments to the amount of £350,000 for outstanding orders" are being carried, forward, and will require to be met this year. Machine Telegraphy. Machine-printing apparatus has been installed on two main telegraph circuits — i.e., Christchurch-Wellington and Auckland-Wellington. The experience gained in this modern means of handling telegraph traffic goes to prove that in comparison with Morse working the carrying-capacity of the wires has been increased* by about 390 per cent., and. that the output per operator has increased on an average by 90 per cent. In view of the success of the existing installations provision has been, made for extending the use of machine printing to other main routes. Wireless Telegraphy. A revision has been made of the hours and duties performed at the New Zealand wireless coast stations with a view to effecting an economy in the operation of these stations, consistent with the keeping of a vigilant watch for distress signals, carrying-out public radio communications with ships at sea and the Dominion's dependencies. Consideration is now being given to the modernizing of the wireless transmitting equipment at Radio-Awanui and Radio-Apia, in order to increase the efficiency of these services and reduce the rates at present charged between New Zealand and the Polynesian group. This it is hoped will result in the equipment of a first-class high-power wireless station capable of world-wide communication and opening up, at a reasonable rate, communication with all countries with which New Zealand desires to extend its business relations. Automatic Telephony. The obsolescence of a number of manual telephone switchboard systems is being met as rapidly as possible by the installation of automatic switching systems to eventually replace at all principal centres the present manual methods. Fortunately, the intermediate or common-battery stage has been avoided at the large centres, and the conversion to automatic is therefore being effected at a minimum of cost to the country. Automatic exchange systems are at present in operation either wholly or as auxiliaries to the manual system at Auckland, Hamilton, Masterton, Wellington, Blenheim, Christchurch, and Oamaru, and complete installations are being pushed forward as rapidly as possible at Auckland, Wanganui, Palmerston North, and Wellington. So rapid has been the growth of the telephone systems that at all places where the automatic system has recently been brought into operation immediate provision has had to be made for its further extension. The proposals for automatic telephone switching systems also embrace Christchurch and Dunedin, as well as a number of other centres where the manual systems have
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reached their full capacity, and where it would be more economical —as soon as funds can be made available —to resort to a more up-to-date and efficient method of giving telephone service. During the past year the Department has done its best to meet the ever-increasing demand for telephone connections, and by various expedients has effected, the renewal and extension of existing systems. There are, however, practical limits to these temporary measures, and considerable development and extension, must take place if the telephonic needs of the community are to be satisfactorily met. The telegraph and interurban line plant was increased during the year by 106 miles of new pole-line and 998 miles of wire, in addition to which 2,699 miles of line were overhauled during the year. Although this is a considerable increase on the previous year's work, it represents only a portion of the arrears that have to be overtaken in the telegraph and telephone extension programme, which during the war period and following years had necessarily to be considerably curtailed. Despite the fact that 9,259 new subscribers were added to the telephone-exchange system during the year, there still remain 6,132 persons awaiting telephoneexchange connections, and twenty-six exchanges awaiting erection. Of the new connections made during the year 2,389 were connected on. the party-line system, involving the erection of 543 party-line circuits, the majority of which provided, much-needed relief to settlers in scattered rural districts. The telephone-exchange system has increased by 543 miles of poles, 5,271 miles of open aerial wire, and 63 miles of telephone-cable of various sizes, containing in the aggregate 15,109 miles of wire. Six new telephone exchanges were opened . during the year, and forty exchanges were provided with additional switchboard accommodation. Automatic exchanges were opened at Oamaru and Kelburn, while extensions to existing automatic or manual apparatus were made at all the principal centres. Buildings. Only essential building has proceeded during the past financial year and maintenance has been kept at a minimum, but when financial conditions improve a considerable number of new buildings as well as extensive renovations will be required. Twenty-five new buildings were completed and four purchased to meet urgent needs. The majority were small buildings in country districts. At Timaru and Christchurch fairly large additions are nearing completion. Tenders have been called for the erection at Dunedin of an. automatic exchange. During the year one post-office was destroyed by fire, and one badly damaged. It is hoped to call early tenders for erecting the main automatic exchange at Wellington, and for post-offices at Stratford, Dannevirke, and Patea. Tenders for other necessary buildings will be called as soon as arrangements can be made. Rural Mails. A new system was established on the Ist January, 1922, for dealing with postal deliveries in rural districts. The principal alteration was that requiring rural-box holders to pay an annual fee of £l for a delivery in excess of thrice weekly, and 10s. for a delivery having a frequency of thrice weekly or less. Deliveries are now established only where a reasonable return may be expected for the expenditure involved, and the fixing of the above charges enabled the Department to cancel most of the contributions formerly paid by settlers. In some cases these contributions fell very heavily on a few. The small charge referred to converted the annual loss of £4,700 to a profit of £280, and enabled the Department to proceed with establishing additional deliveries in the far backblocks without loss. The box-holders under the old system totalled 8,700 ; the number now is over 10,000. Staff. On the Ist April, 1921, the number of permanent officers of the Post and Telegraph Department was 7,762 ; the temporary employees numbered 673, while there were 659 casual men employed on maintenance and construction work. The total number of employees was therefore 9,094. That total had been reduced to
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8,679 by the Ist April last, on which date there were 7,657 permanent officers, 429 temporary and 593 casual men employed. If an exchange attendant on the permanent staff resigns and is replaced by a girl on temporary employment, as is usually the case, the permanent staff is reduced by one while the temporary staff is increased by one. It is therefore necessary in order to follow the reduction of staff which has been effected during the year, to take into account not only the permanent staff, but also the temporary staff. The same position arises in connection with the maintenance and construction staff. LAND-SETTLEMENT. There being little demand by discharged soldiers for rural and pastoral lands, the purchase of land for this purpose has been much reduced. During the year the Land for Settlements Department acquired 6,000 acres under the provisions of the Discharged Soldiers Settlement Act, 1915, at a cost of £140,407, and 2,250 acres for individual soldiers, at £79,750, under section 3 of the Discharged Soldiers Settlement Act, 1917. The total area proclaimed under the Discharged Soldiers Settlement Act, 1915, up to the 31st March, 1922, was 1,367,761 acres, of which 46,670 acres were proclaimed during the past year. Fifteen estates, comprising 28,938 acres, subdivided into 145 holdings, were opened for selection, together with 231,398 acres of rural, Crown, and scattered settlement sections comprising 460 holdings. Excluding cash sales, reserves, and miscellaneous leases some 221,558 acres of Crown settlement and national-endowment lands, subdivided into 714 sections, were taken up. An area of 97,972 acres of land was taken up by 403 discharged soldiers, whilst 1,307 persons other than soldiers selected 212,104 acres. Over 400,000 acres of land are now open for application by the general public, soldiers having preference. In view of the conditions which obtained during the past year this result is satisfactory. I believe that improved prices will be followed by an increased demand for land, the settlement of which is essential to increased production. The Government policy of encouraging and facilitating settlement will be vigorously pursued. Waste-lands Development. Two large block's have been prepared for settlement under the waste-lands-development system 1 ; —the Riverhead, containing some 10,000 acres, subdivided into sixty-five sections, and another area between Rotorua and Taupo. Extension of Soldiers' Privileges to South African War Veterans. Provision was made by section 17 of the Discharged Soldiers Settlement Act, 1921-22, to extend certain provisions of the principal Act to South African and other war veterans, and will be given effect to as opportunity offers. Kauri-gum Industry. The market for kauri-gum has not yet recovered, and, although good prices were obtained, the quantity shipped during the year was below half the annual export average for the decade prior to the war. The return to Europe of some hundreds of Austrians materially affected the output, which, however, increased later, owing to the arrival on the gumfields of many men who found it difficult to obtain employment in the towns. As buying by private exporters fell off, it became necessary for the Government to provide assistance in all the gum-producing districts, preferencebeing given to married men, and gum was purchased in small lots from those in need. The total purchases for the year amounted to £38,600, or £5,600 in excess of the previous year, while the sales totalled £21,800, or £.1.6,500 less than those for 1920-21.
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Discharged Soldiers Settlement Account. The following statement shows the extent of the financial operations in regard to loans authorized and advances made under the Discharged Soldiers Settlement Act, 1915, and amendments, up to the end of the financial year : — Section 6, Discharged Soldiers Settlement Act, Authorized. Advances made. 119.15 : Advances on current account :— £ £ 4,160 returned soldiers .. .. .. ~ 3,908,852 3,486,613 Section 2, Discharged Soldiers Settlement Amendment Act, 1917 : Advances towards purchase of farms, market gardens, orchards, and discharge of mortgages : — 5,443 returned soldiers .. .. .. .. 8,776,534 8,768,847 Section 2, Discharged Soldiers Settlement Amendment Act, 1917 : Advances towards purchase and erection, of dwellings and.discharge of mortgages thereon : — 10,789 returned seldiers . . .. .. .. 7,724,185 7,489,490 20,392 returned soldiers. £20,409,571 19,744,950 Repayments of principal . . . . . . . . 1,457,659 Transfers to Realization and other accounts —Securities in course of realization . . . . . . 82,992 Transfers to Property Account —Securities bought in by Department on default of mortgagors . . 32,669 1,573,320 Balance out on mortgage .. .. £18,171,630 The gross receipts for the year amounted to £1,258,611. Of this sum £553,346 represents repayments of advances, while receipts in respect of interest and sundries total £705,265. The fall in prices and adverse conditions affected repayment of advances, with the result that relief had to be afforded by means of additional loans and postponements, while, on the other hand, a considerable amount of arrears was outstanding. Postponements in force at the end of the year amounted to £26,470, whilst arrears in respect of payments of instalments of interest and principal amount to £385,845. Every encouragement is held out to men who are industrious and thrifty and have a reasonable prospect of making successful farmers. A small percentage of men who from want of experience and other causes would not succeed even under favourable conditions are gradually giving up their holdings and seeking more suitable employment. Heavy demands were made for loans to finance the purchase of farms for subdivision, also for the erection of dwellings. The Government was reluctantly compelled to restrict its operations to granting loans for the purchase of stock and improvement of land held, by soldiers, as well as helping invalided and disabled men to purchase small farms and erect dwellings. With the repayment of instalments it was subsequently found possible to authorize a large number of loans to assist soldiers to erect dwellings where, through a misunderstanding, contracts had been entered into at the time of the notification of the stoppage of loans. Swamp Drainage Reclamation. The acquisition, of latest modern dipper-dredge equipment and excavators has considerably facilitated operations, and has made for economical construction The whole of the plant ordered is to hand, and 70 per cent, of it in active commission. The most important new project undertaken was the Hikurangi swamp area, the major work of which is well advanced. Operations on Hauraki, Rangitaiki, Kaitaia, and other areas are being steadily pushed on. As a result of these drainage undertakings the value of the reclaimed land has already been increased by over £3,000,000. "
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The net expenditure in 1921-22 on account of these schemes was: Hauraki, £125,564 ; Rangitaiki, £80,778 ; other swamp lands —Kaitaia, Waihi, Poukawa, and Hikurangi—£92,os6. LANDS AND SURVEY DEPARTMENT. The expenditure in 1921-22 amounted to £215,672, while estimated expenditure for the current year of £193,666 is submitted, a reduction of £22,006. RAILWAYS. The gross receipts from, the working railways amounted to £6,643,591 —a decline of £265,000 on the previous year's figures. The working expenses amounted to £6,237,727. The net revenue is therefore £405,864 —representing a return of 1-07 per cent, on capital cost. The year has been one of abnormal difficulties —a post-war condition common to railway systems throughout the world. Although the net result of working does not provide sufficient return upon the capital expenditure, too much significance cannot be attached to that fact, and in measuring the result, due consideration must be given to the causes operating to bring it about. The railways have in point of fact been working under abnormal conditions due directly to the economic effect of the war. On. the one hand, the prices of stores and materials have increased and wages have greatly advanced since 1915. These advances reflect themselves in increased, operating expenses for the year just ended, as compared with 1915, by 130 per cent. On the revenue side the rates for the carriage of passengers and goods have been raised during the war period by 25 per cent, and 40 per cent, respectively. Up till 1920 the trade in the country was stimulated by the high prices of its products. This resulted, in an expansion of the railway business to an extent sufficient to make up for the disproportionate increase of the rates in relation to the large increase in expenditure. The slump in trade last year, however, changed the position, the reduction both in exports and imports reflecting itself strongly in the railway receipts. The small additions that had been made in the railway charges were therefore no longer sufficient to maintain a proper balance, and the falling prices of the country's products made it impracticable to further advance the rates. The only means of regaining normal relationship between revenue and expenditure was therefore to reduce the latter, and steps were taken to do this. The matter is still engaging the close attention of the Government and departmental experts. The problem, is however, by no means a simple one. The coal stocks had been depleted and had to be replenished at high cost in order that the Department might fulfil its obligations to the public. The enhanced price for coal and other stocks of materials obtained during the war period and required for carrying on the operations will continue to be charged against the working expenditure until such time as stocks are exhausted and the lower prices now ruling can be reflected in the expenditure. A reduction of wages has been made in terms of the Public Expenditure Adjustment Act, but this did not come into operation until January, 1922, consequently the reductions did not have any marked effect on last year's expenditure of the Department. As illustrating the practical results that have been obtained in the direction of economy, it may be stated, that in September, 1921, the expenditure exceeded the gi'oss revenue by £54,000, while on the 31st March, 1922, the revenue was in credit to the extent of £405,864. For the year ending 31st March, 1923, it is anticipated that the revenue will amount to £7,200,000, and the expenditure to £6,164,000. In regard to railways, it must not be forgotten that they act powerfully in the development of the country and the promotion of its industries, and in pursuance of this policy they daily render services *to the Dominion in many cases at below actual cost. NEW ZEALAND MEAT-PRODUCERS BOARD. In accordance with the Meat Export Control Act, 1921-22, the New Zealand Meat-producers Board was constituted in. Maroh with full control over the export and marketing of frozen meat.
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The Board has been very closely engaged in the investigation of the conditions of and methods for improving the trade, both in New Zealand and in London, and has already secured considerable reductions in the excessive charges which are bearing so hardly on producers. Much yet remains to be done in obtaining reductions in the charges payable in respect of freight and other services. The Vice-Chairman of the Board has been in London for some time, and it is anticipated that when his considered report is received a forward move will be possible in the directions authorized by the Act. » DEPARTMENT OF AGRICULTURE. The outstanding feature of the year has been the relatively low range of prices obtainable for wool, frozen meat, dairy-produce, tallow, hides, sheep-skins, and phormium-hemp. In the latter part of the year, however, and since its close, conditions for most classes of our produce have shown a gratifying improvement, and more or less normal business at fairly good prices has been possible, excepting in crossbred wool and hemp. The steady improvement in the wool-market which I felt justified in predicting some time ago has been fully realized, and if the upward movement continues, next season's clip should bring prices that will enable the producer of crossbred wool to secure something above the cost of production. The total value of the agricultural products exported was £39,236,528, or 89 per cent, of the total value of all exports—namely, £43,794,883. The number of sheep slaughtered decreased by about 600,000, but lambs killed increased by 1,400,000, making a net increase of 800,000 in sheep and lambs. The aggregate number therefore during the year constitutes a record. The total number of cattle in the Dominion increased by 150,000 oyer the figures for the previous year, a satisfactory improvement being shown in the number of dairy cows and heifers. The numbers of stock killed at meat - export slaughterhouses for the year 1921-22 were as under, the figures in brackets indicating the figures for the previous year : Cattle, 97,907 (194,089) ; calves, 9,585 (6,525) ; sheep, 3,071,255 (3,671,182); lambs, 4,876,555 (3,433,101) ; swine, 92,697 (66,395) The 1921-22 season opened with export prices at an unprofitable level lor all classes of stock ; but fortunately these conditions suddenly improved for both mutton and lamb, the latter reaching a satisfactory figure even when compared with pre-war prices. Beef has remained at a price that does not encourage export, and the prospects do not indicate an immediate improvement. The market for butter was decontrolled in the United Kingdom from the Ist April, 1921, and in New Zealand from the Ist September, 1921. The market conditions for both butter and cheese have been remarkably unstable throughout the season. Butter-prices, however, began to improve soon after the New Year, and at the end of March the market appeared more stable. The cheese-market did not promise relatively good returns, and many dairy factories which had changed over from butter to cheese about December reverted m March to the manufacture of butter. ... , , The amount collected by the Department during the year in fees imposed tor grading dairy-produce amounted to £12,863. . The fruit industry continues to make progress. The area in commercial orchards is estimated at 30,000 acres, the increased area planted throughout the Dominion during the last five years being 3,171 acres. The fruit-yield has been a good average one, the apple crop being estimated at one and a quarter million bushels. . „ ~ The market returns for fruit of good quality have been satisfactory to the grower and the export of fruit, which received a serious set-back owing to war conditions, again commenced. The bulk was consigned to the English market under the guarantee of a net return to the grower of id. per pound. me season's exports total 120,513 cases, which is nearly double the quantity exported in any previous year.
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Beekeeping is now an important minor industry. 8,426 persons are keeping bees, with a total of 85,861 hives. All honey for export is graded by Government officers, and certificates of quality are issued. During 1921-22 the area estimated as sown in wheat is 363,000 acres, an increase of 140,157 acres over the area actually sown during the previous year. The estimated area sown m oats during 1921-22 is 470,000 acres, a decrease of 104,729 acres as compared with the actual area sown during the previous year. The estimated average yield per acre for 1921-22 is 29-32 bushels for wheat and 40-68 for oats, as against an actual yield in the previous year of 31-24 bushels for wheat and 35-41 for oats. It is pleasing to observe from a report of the British Seed-testing Station, that New Zealand rye, cow-grass, and white clover were ranked as the finest secured from any part of the world. The revenue of the Department for the year 1921-22 was as follows :— Under the vote : — 1. Sales of stock and produce from experimental farms and areas, also horticultural £ and poultry stations .. .. .. .. .. .. .. 27,461 2. Quarantine stations : Sustenance fees, &c, for imported live-stock . . .. 1,198 3. Sales of poison for destruction of rabbits .. .. . . .. .. 10,648 4. Destroying rabbits on Crown and private lands .. .. .. .. 1,888 5. Fees for semi-official testing of pure-bred dairy cows and cow-testing associations .. 5,813 6. Services of Dairy Instructors .. .. .. .. .. .. 3,192 7. Dairy-produce grading fees .. .. .. .. .. .. 12,863 8. Sales of Journal of Agriculture and photographic material .. .. .. 2,212 9. Fees for testing of seeds .. .. .. .. .. .. .. 605 10. Fees for fumigation and destruction of diseased fruit .. .. .. 196 11. Miscellaneous .. .. .. .. .. .. .. .. 10,133 76,209 Under Acts administered by the Department:— 12. Slaughtering and Inspection Act: Meat and inspection fees .. .. .. 26,222 ]3. Dairy Industry Act: Dairy registration fees .. .. .. .. 2,890 14. Orchard and Garden Diseases Act: Nursery registration fees .. .. 533 15. Stock Act: Brand registration and other fees .. .. .. .. 4,580 Total .. .. .. .. .. .. £110,434 The total expenditure of the Department was £275,176, as compared with £192,838 (including Industries and Commerce) for 1913-14. Economies effected during 1921-22 amounted to £18,733, and the total annual savings from economies in course of introduction are estimated at £22,756. Nauru and Ocean Island Phosphate. In order to ensure satisfactory supplies of phosphate rock for manurial purposes the interests of the Pacific Phosphate Company in Nauru and Ocean Islands were purchased by the British, Australian, and New Zealand Governments as from the Ist July, 1920, the • price being £3,500,000. New Zealand's share is .16 per cent., the balance of the capital being held in equal shares by the other Governments concerned. The business is controlled by the British Phosphate Commission, consisting of a Commissioner for each of the three Governments. The Governments are entitled to imports of phosphate rock in proportion to their capital interest, but when their requirements are satisfied the surplus may be placed on other markets. The production and sale are controlled by the Commis sion, but New Zealand imports are controlled by this Government. Orders are obtained from New Zealand purchasers of phosphate through an agent representing the Government, which purchases f.0.b., arranges transport, and collects through its agents the c.i.f.e. price. The Commission is required to sell at a price that will give a return of 6 per cent, on the capital invested and establish a sinking fund for the redemption of the principal. Owing to the need for providing working capital out of revenue a portion of the interest charge was allowed to stand over, but future payments are expected in full. The Dominion's control of local imports is arranged on a basis closely approximating cost, with a view to the supply of our primary industries with fertilizers at as low a price as possible. During the year 35,093 tons of phosphate rock were landed in New Zealand. The first cargo was
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received in April, 1921. The present c.i.f.e. price for phosphate rock is substantially below the peak war prices, though, still above pre-war prices. Owing to reduced f.o.b. charges and freights and careful handling of the business it was possible to make reductions in the c.i.f.e. price during the year. Additional improvements in production and transport charges will result in still further reductions in the c.i.f.e. price. The phosphate rock from these islands contains 85 to 86 per cent, of tricalcic phosphate of lime, and constitutes the richest large deposit in the world. Nauru and Ocean Island phosphate, in the finely ground natural state and converted into superphosphate, is giving excellent results. STATE FOREST SERVICE. The preliminary organization of the staff into the seven conservation regions, as outlined in the departmental reports in 1920, has been completed. The net expenditure for the year was £107,582, an increase of £28,031 over the previous year, which is accounted for by the increased staff, the greater activity in field-work, the preventive operations in connection with forest fires, purchase from the Native Lands Settlement Account of a valuable timber area, and the extension of planting-areas. The revenue from all sources for the year was £30,836, an increase of £11,139 over the previous year. The borrowing-powers conferred by the Finance Acts of 1916, 1918, and 1920 limit the total authority to £500,000. The unexpended balance of this authority at the end of the financial year was approximately £213,200. REPATRIATION. The work of re-establishing discharged soldiers in civil life, which has been proceeding for over three years, .is nearing completion, and the early absorption of this special branch has been arranged. A great measure of success has been attained in what was admittedly one of the gravest tasks confronting the Government at the conclusion of the world war. Briefly, the intention was to help every discharged soldier requiring assistance to secure for himself a position at least as good as that relinquished by him when he enlisted, and, so far as lay in our power, to recoup him for any disability, physical or financial, suffered through war service. In order to do this it was necessary to find work - for all those requiring it; to provide facilities for the educational and vocational training of partially disabled men and such as had lost opportunity ; to make suitable arrangements for the after-care and systematic following-up of all serious cases, including the blind, limbless, tubercular, &c, and to provide financial assistance for the purchase or establishment of businesses, for the acquisition of furniture to set up homes, for necessary tools and equipment required in the pursuit of vocations, for transportation to employment, and for the various other contingencies arising in connection with the absorption of the men. Over eighty Boards and Committees were set up throughout the Dominion, composed of prominent local residents representative of the various social and industrial organizations, and the success achieved is due in no small measure to the enthusiastic and devoted work of these bodies. Employment. Up to the 20th March last 26,854 men had been placed in employment, and the total number awaiting employment at that date throughout the Dominion was only 259. It has been necessary to make unemployment sustenance allowances in only 188 cases of hardship during the past two years, and the total, amount expended as " out of work " pay is but £5,536, or an average payment of Is. 4d. per demobilized soldier. Training, Training was arranged for 7,417 partially disabled soldiers, apprentices, &c, and 6,897 of these have finished their training. No less than 91 per cent, of this number completed the full course laid down, and were absorbed by the
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industries in which they had been trained, whilst a number of the 9 per cent, who discontinued before the completion of the course did so on account of ill health. The total amount expended upon facilities for training and for the sustenance of the men during the training-period is £382,022, an average cost of £55 for each completed trainee. Financial Assistance. Business loans have been granted in 6,087 cases, at a cost of £.1,125,713, and 14,134 men have received advances totalling £677,481 for furniture and tools of trade. Some 4,130 others have been, assisted financially in other directions ; the amount paid to or on behalf of soldiers under all headings being £2,197,956. Of this sum £1,803,194 represents advances by way of loan, and the amount received ■in repayment thereof up to the 31st March, 1922, is £901,877. An additional £42,929 has been received, as interest, making a total collection of £944,806, and it is satisfactory to be able to report that, within three years of the granting of the first loan, more than 50 per cent, of the total advanced to date has been received. Administration. From the inception of the scheme a strict supervision has been exercised by the Ministerial Board, and immediately the office charts indicated a reduction in the volume of the work a start was made in the matter of gradually tapering off repatriation, activities. The staff was reduced from 122 in March, 1921, to 71 in March, 1922, the work being now practically concentrated in the four centres, Auckland, Wellington, Christchurch, and Dunedin. As a result the administration expenses have been reduced by over 50 per cent. Up to the 31st March, 1922, the total administrative expenditure was £152,208, or under 7 per cent, of the gross expenditure. The reductions referred to amount to £28,196 per annum, whilst further economies will add £2,000 to this sum. The following table shows the number of men assisted under the various headings, and the amount expended : —
Summary of Assistance rendered as at 31st March, 1922.
MINING. The value of the mineral-production, other than kauri-gum and coal, during 1921 amounted to £910,152, as against £846,236 during the previous year, the increase being £63,916. In the case of gold and silver bullion, the improvement is better indicated in weight than in value, owing to the prices which were realized for the precious metals having declined in conformity with the upward movement of the American rate of exchange for sterling. Notwithstanding the difficulties experienced by the mining industry, the increase in value of such metals amounted to £18,788, and in weight 77,225 ounces. The output from the coal-mines in the Dominion declined from 1,843,705 tons during 1920 to 1,809,095 tons during the year 1921, due chiefly to the increased importations, the bulk of which came from Australia. The number of persons ordinarily employed in or about mines and stone-quarries during 1921 was 7,998, or 522 persons in excess of those employed during the preceding year.
Nature of Assistance. Loans: — Business Furniture, tools, &c. Number assisted. 6,087 14,134 Amount. £ 1,125,713 677,481 Grants: — Training sustenance, &c. Transportation Unemployment sustenance 7,4-17 3,012 1,118 382,022 7,204 5,536 Placed in employment 26,854 * Totals 58,622 £2,197,956
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The production of coal from the State collieries has been" well maintained during the year, and the indications are that the State Coal-mines Account will show a satisfactory profit. One of the most encouraging features in connection with, the mining and quarry industry has been the success attained by the Onakaka Iron and Steel Company (Limited) in producing at the first trial at the blast furnace at Onakaka an excellent grey pig iron of marketable quality. The production of limestone for cement-manufacture is annually increasing, as during the year 1921 were 180,751 tons produced, being an increase of 10,798 tons over the quantity produced during the preceding year. As sulphur is destined in the near future to play an important part in the progress of the Dominion, the Government has recently completed the purchase of a large block of sulphur-bearing land in the North Island, which, when served by a railway, will constitute a most valuable asset. The activities of the Coal Control Department were transferred to the Mines Department during the year, and as the result of such transfer the saving in expenditure will be at the rate of £4,350 a year. Further economies affecting the activities of the Mines Department are in progress, and it is estimated that they will amount to £8,141 per annum. IMMIGRATION. There has been a steady flow of suitable immigrants during the past twelve months. The open nomination system enables the residents of the Dominion to secure all classes of skilled and unskilled labour. That the system is working well both for the Dominion and the individuals assisted is evidenced by the acknowledgments from immigrants, after they have settled in their new homes, of their indebtedness for the help they have received and in some instances refunding to the Government money spent in bringing them to New Zealand. There could not, I think, be better proof that the Dominion is securing by means of this system good citizens who are able to better themselves and fulfil their obligations to the State. The expenditure under the vote for the past year includes liabilities incurred during the war period which had to be liquidated. Considerable economy has been effected through restricting the travel of overseas settlement immigrants to the Dominion to the direct route, the saving for 1922-23 being estimated at £2,500. DEPARTMENT OF INTERNAL AFFAIRS. The following statement shows the savings in recurring expenditure effected during the year: — Vote : Internal Affairs :— (1.) Result of first reduction in cost-of-living bonus — £ Permanent officers . . . . . . . . .. 1,553 Temporary officers . . . . . . . . . . 842 (2.) Result of reduction of staff, transfers, &c. — Permanent officers .. .. .. .. .. 7,178 Temporary officers .. .. .. .. .. 4,1.81 (3.) Result of economies effected in general items .. .. 29,008 £42,762 In addition to the above there were large reductions in expenditure of a non-recurring nature. The complete result may be summarized as follows :— £ Total expenditure charged to vote, 1920-21 .. .. .. 574,297 1921-22 . .. ..367,062 Total reduction .. .. .. .. £207,235 The estimated expenditure for the current year shows a reduction, of £98,158.
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Dominion Laboratory. The receipts during the year were as follows : Pees for a,nalyses, £39 ; fees for licenses under the Explosives and Dangerous Goods Amendment Act, 1920, £1,153 ; charged on explosives stored in Government magazines, £1,357 : total, £2,549. The expenditure in 1921 22 was £9,887, and the estimate for the current year is £9,180, a reduction of £707. t Censorship of Cinematograph Films. Films to the number of 2,432, containing 5,672,720 ft., have been examined by the Censor. Of these forty-one were rejected, and excisions were made in 203. The revenue amounted to £1,564. Registrar-General's Office. The revenue of this Department for the last financial year amounted to £17,244, as against £19,569 for the previous year, the difference being accounted for by a decrease in the number of marriages. Census and Statistics. The expenditure in 1921-22 was £60,508, whilst the amount asked for this year is £31,537, a reduction of £28,971. Weights and Measures. The fees collected in connection with the administration of the Weights and Measures Act, 1908, up to the 31st December, 1921, amounted to £264. The administration of this Act was taken over by the Labour Department as from the Ist January, 1922. Passports. The fees collected for tin; issue of passports amounted to £J ,624, the total collected for renewals being £53. War Funds Office. From the latest details available the following are particulars of the funds : — Balances held by approved War Funds at the End of the Financial Year, 31st March, 1922. £ Incorporated societies .. .. .. 1,048,735 Local administering societies . . . . .. 9,049 Collecting societies . . . . . . . . 6,645 Red Cross organizations .. .. .. 211,017 Social funds . . . . . . .. . . 3,567 Returned soldiers' building funds .. .. .. 11,066 Memorial Park funds .. .. .. .. 3,335 Blinded soldiers funds .. .. .. .. 3,779 Navy relief funds . . .. .. . . 5,524 Maori organizations .. .. .. .. 2,807 Crippled Soldiers' and Sailors' Hostel . . .. 3,774 Total held by approved war funds . . .1,309,298 National War Funds Council .. .. .. 127,623 New Zealand War Relief Fund .. . . .. 661 Convalescent Home Account .. . . .. 1,280 War Expenses Account . . . . . , .. 1,437 New Zealand Comforts Fund Account .. ... 1,475 Sundry small accounts .. .. . . .. 86 High Commissioner . , .. . . . . 9,657 Total .. .. .. .. £1,451,517
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Advertising. All Government advertising is submitted to this Department for scrutiny prior to publication. Throughout the year a stringent check has been maintained thereon, with the result that the expenditure has been decreased by more than one-half. The comparative figures for the last two financial years are as follows :■ — £ 1920-21 .. .. .. .. .. ..23,767 1921-22 .. .. .. .. .. .. 11,839 Saving for all Departments .. .. £11,928 A Publications Committee was- set up towards the end of last calendar year to review all Government publications with the object of reducing their volume without affecting their value. Later the functions of the Committee were extended to embrace the control of expenditure on publicity propaganda, and to coordinate with the Publicity Officer attached to the Internal Affairs Department, who acts as Secretary of the Committee. The Committee has undertaken the reduction, of the bulk of departmental printed matter, and a reform of the system of free issues of Government publications. EDUCATION. The expenditure on education services from Government sources during the past financial year has been as follows: — Votes from Consolidated Fund — £ Department of Education . . ■ . . . . 2,580,562 Under special Acts .. .. .. .. 140,008 Primary-education reserves revenue . . . . 88,135 National-endowment revenue .. .. ~ 71,738 Public Works Fund, for buildings . . . . 2,469 Education loans for buildings .. .. .. 563,201 £3,446,113 To this should be added the amounts expended from, revenue received by the Boards from secondary education and University reserves, £79,800, making a total expenditure of about' £3,526,000, as compared' with £1,420,000 in 1913-14. The increase in the past eight years has therefore been 148 per cent. The increase over last year was due largely to the natural increase in the attendance at the primary, secondary, and technical schools, to an increased expenditure on new buildings of £106,000 (many grants made previously coming to charge during the past year), to arrears of payments for the previous year for technical instruction and other purposes having to be met, and to a considerable increase in the number of students at the training colleges. I have made provision, for an amount of £350,000 to be available during the current year for land and school buildings. Every endeavour has been made to curtail expenditure without seriously affecting essential services. Economies have so far resulted in a total estimated annual saving of £125,000, including £.1.05,000 from the first reduction in the cost-of-living bonus or increase. HEALTH DEPARTMENT. Including subsidies, the total expenditure for the year under this heading was £725,8.10, as against £621,990 in the previous year. The receipts of the Department amounted, to £64,337, as against £31,628 the previous year. The net expenditure of the Departmental vote was £223,388 as against £202,332 for 1920-21, the increase being due to taking over the four military hospitals —King George V Orthopaedic Hospital at Rotorua, Trentham Orthopaedic Hospital, Pukeora Sanatorium.
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and the Queen Mary Neurological Hospital at Hanmer. The cost of administering these hospitals has been reduced : a saving of £9,000 was made last year, and a further reduction of approximately £20,000 is estimated this year. The orthopaedic work performed at Trentham and Rotorua can be undertaken by the general base hospitals, and it is proposed to close Trentham Hospital as soon as possible, and later King George V Hospital, except as regards provision for local needs. Hospitals, General. The annual subsidies to Hospital Boards amounted to £471,711 in 1921-22 as against an estimate of £425,000. Action has been taken in the direction of raising the fees for treatment in State institutions to a figure more nearly approximating the cost of treatment than heretofore, and also to induce Hospital Boards to do the same. The estimate for the current year is £425,000. MENTAL HOSPITALS. The total expenditure for the year under this heading was £384,615, but the credits, mainly receipts for maintenance and sales of produce and stock, amounted to £115,416, leaving a net expenditure of £269,199, an increase of £7,460 over the previous year. In a Department where the maintenance of a number of people is being continued on established lines, and when that number is always being augmented (the increase last year was 100), an increase of only £7,460 is not excessive, especially as the item for salaries was £15,070 above the previous year, due to the increased nursing staff necessitated by the reduction of working-hours. DEFENCE. Owing to the geographical position of New Zealand the people of this Dominion are vitally interested in the maintenance of peace in the Pacific. The proceedings of the Washington Conference were therefore followed very closely by all sections of the community. Although the Conference did not provide for disarmament to the extent desired by the British-speaking peoples of the world, it has resulted in the creation of a better understanding among those nations bordering on, or who have interests in, the Pacific. The causes of war have, however, not been removed, and, while it is imperative that our Defence expenditure should be kept as low as possible, there is a limit beyond which reduction cannot be made with safety. This limit is governed by the ability to rapidly expand our naval and military organization to its full effective strength in time of need, and requires the retention of the necessary machinery to enable this to be achieved. Overlapping and duplication have been eliminated, and the administration of the Department has been, reorganized in such a way as to enable the fullest advantage to be taken of the existing machinery of State. The expenditure out of the Consolidated Fund for defence, including Ordnance services and the maintenance and training of the Territorial Force, during the financial year ended' 31st March, 1922, amounted to £415,451, or £3,333 less than the amount appropriated. The estimated expenditure for the current year is £317,616, showing a saving of £97,835. including an economy of £50,000 per annum effected by the execution of a new contract for the supply of small-arms ammunition. The discontinuance of the issue of a maintenance grant to units of the Territorial and Cadet Forces, and the substitution of a Regimental Funds grant, has been the means of effecting a saving over a period of twelve months of £11,983, of which £10,794 has been recovered and paid to the credit of Public Account. The centralizing of mechanical transport into one Government garage has been found more economical than the previous system, the saving, to the Defence Department in this connection amounting to £8,000 per annum.
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War Expenditure. The net expenditure from vote " War Expenses " for the past year was £914,227. This included £326,000 for the medical treatment of returned soldiers for war disabilities, £170,000 for transport claims, £46,000 war gratuities, and £406,112 for post-war equipment to replace equipment taken from New Zealand with the Expeditionary Foree —that is, after allowing for a net credit of £48,756 on account; of item '' Repatriation." The estimated net expenditure for the current year is £799,252, in which provision is made to meet liability to the Imperial Ministry of Shipping for transport charges £475,000. The War Accounts and Records staff, which on the Ist April, 1921, was 153, is now reduced to forty-six, representing an annual economy amounting to £14,137. The staff is being still further reduced as the work permits. Arrangements have been completed for the administration of medical treatment for war disabilities to lie taken over by the Pensions Department, and a considerable saving has been effected also by the transfer of military hospitals and institutions to the Health Department. At the 31st March last the cash and investments held by the War Expenses Account amounted to £3,710,439, representing unexpended loan balances, and various recoveries on account of capital expenditure, including recoupment from the sale of surplus stores. Against this is the estimated liability referred to above, including the amount due to the Imperial Government, whose final accounts have not yet been received. These accumulations properly belong to capital account, and should be applied to the reduction of the war debt. I therefore propose to transfer £3,000,000 to Loans Redemption Account, the ultimate result of which will be to effect a clear annual saving of £30,000 for sinking-fund payments alone, giving the power to remit subsequently as much taxation as is represented by that amount. NAVAL DEFENCE. The expenditure on naval defence for the financial year amounted to £418,665, under the following headings: — Permanent charges:— Naval Defence Act, 1909 (H.M.S. " New Zealand ")— £ £ Interest .. .. .. 43,341 Sinking fund .. .. .. 71,807 115,148 Annual Appropriation : — Vote—Naval defence .. .. .. 303,517 £418,665 The capital sum owing on account of H.M.S. " New Zealand " is £.1,795,166, against which accrued sinking funds amounting to £931,429 are held by the Public Trustee, to whom 4 per cent, per annum on the capital sum is paid for this purpose. Provision was made in last year's appropriations for the purchase and erection of two Army huts on the Admiralty reserve at Devonport for recreational purposes and emergency sick-quarters. One hut was erected by September, 1921, and was available for use when an outbreak of influenza occurred amongst the recruits under training. The other was not completed at the end of the financial year, and you will be asked to reissue the unexpended balance of the vote. As it w T as not found possible to take advantage of the provision made during last year for the formation of a New Zealand Naval Reserve, the relative item appears in this year's estimates. Owing to the Admiralty subsidy to the Auckland Harbour Board for the priority use of the Calliope Dock, workshops, &c, and to the courtesy of that Board,
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it has been possible to carry out the docking and repairs of all ships on this station by the resources of the repairing base and the naval personnel comprising the crew of the ships. This has effected a very considerable saving, as the only charges incurred are for material required and actual expenses incurred by the Auckland Harbour Board whilst the ship is in dock. An item of £1,500 has been placed on the estimates for the building of a shed on the' property of the Auckland Harbour Board art Calliope Dock for the housing of Naval Ordnance and other stores. With this exception no new item appears on the current estimates, which have been drawn up with a view to providing for the maintenance and upkeep of "Chatham" and "Philomel," for the payment, victualling, &c, of the personnel, and for administrative charges on an economical basis. Certain items show an unavoidable increase, due, as regards pay, &c, of personnel, to the fact that a larger number of men will be borne throughout the current financial year than were borne throughout last year, and to the increase in rates of pay on advancement, &c, particularly of new-entry recruits. The increase in the stores item is occasioned by the necessity of replacing practice ammunition expended last year. The time has arrived when the contributions of the Dominions, whatever form they may take, should be placed on a more satisfactory and businesslike basis. If it was certain that contributions would be forthcoming from Germany on account of the enormous expenditure incurred by British countries during the war, I would suggest that the cost of new warships should be a first charge on such payments; but, in any case, the Dominions cannot allow such a very large proportion of the total cost of the naval defence of the Empire to be carried by the taxpayers of the United Kingdom : to do so would be grossly unfair and unpatriotic. The countries of the Empire should contribute to the defence of the Empire, naval defence particularly, in proportion to their financial ability. The cost of the " Chatham," with the training-ship, will be approximately £300,000 per annum. This sum counts as a contribution. The payments we are now making on account of H.M.S. " New Zealand " amount to about £100,000 per annum, and if our finances will permit in the next financial year, we should make our contribution for naval defence, including the items I have mentioned, up to £500,000 per annum. This may seem small, but it will, if agreed to, be a move in the right direction and an improvement on the present position, and it can be improved upon as time goes on and as our financial conditions permit. For the present financial year maintenance charges are estimated at £256,656 against an expenditure last year of £303,517. A reduction amounting to £46,861 has therefore been effected. LABOUR DEPARTMENT. The departmental functions have been satisfactorily carried out in the past year, and with the return to normal staff conditions, duties which had to some extent fallen into arrears have been resumed, resulting in better supervision and increased efficiency. The Weights and Measures Office, formerly a part of the Internal Affairs Department, has been incorporated in this Department, whose staff, it is considered, are well equipped to ensure an economic administration of this service. The expenditure in the past year amounted to £35,762. Under the Housing Act the number of dwellings provided during the year was 297 ; the expenditure being £228,544. The future operations of the Government in connection with the building of homes for workers should be in the direction of granting financial assistance to enable them, to build for themselves rather than in building for subsequent disposal on application ; and it is proposed that this be undertaken by the State Advances Office.
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PENSIONS. The gross payments made during the year are as follows : — £ War pensions .. .. .. .. .. 1,726,174 Old-age pensions .. .. .. .. 743,749 Widows' pensions . . . . . . . . 186,509 Epidemic pensions .. .. .. .. 65,505 Maori War pensions .. .. .. .. 37,651 Miners'pensions .. .. .. .. 31,163 Police pensions .. .. .. .. 433 £2,791,184 From this total must be deducted the sum of £33,052, representing £30,744 from national endowments on account of old-age pensions, and £2,308 from gold duty in respect of miners' pensions. The annual liability in respect of each class of pension, the total number in force at close of year, and the amount of the average pension are as set out hereunder : — Number Annual Average Value. Pension. £ £ War pensions . . .. .. 29,091 1,513,263 52 Old-age pensions .. .. 20,491 751,121 37 Widows'pensions ,j .. 3,343 207,029 62 Epidemic pensions .. .. 683 54,994 80 Maori War pensions ... .. 740 36,260 49 Miners'pensions .. .. 506 31,505 62 Police pensions . . . . 5 446 89 54,859 £2,594,618 In addition, payments for special annuities, £4,600, and cost-of-living bonus to annuitants, £40,000, as referred to elsewhere, are provided for in the current year's estimates. The work associated with the payments of all Imperial pensions was transferred to the Pensions Department as from the Ist October, 1921, and from the Ist April, 1922, the control of pensions under the Defence Act, 1909, Civil Service Act, 1908, and Judicature Act, 1908, and various special annuities and allowances previously paid by other Departments, was vested in this Department. Thus practically all classes of pension have been brought under one Department, whereby it is anticipated that economy and removal of anomalies in the administration will be effected. The policy of our pension system and its increasing obligations on the public revenues has been receiving my special attention for some time. The expenditure on old-age, widows, and other civil free pensions has, in the last seven years, more than doubled —mainly the result of additional benefits and concessions from time to time. In reviewing the capacity of the State to meet these charges it is necessary to look at the proportion to the whole, of these and similar non-revenue-producing charges, which can be termed " social services," and which are gradually overweighting the ordinary revenue. If we take pensions, education, public health, special Acts, &c, interest and sinking-fund charges, none of which can be much reduced as things now stand, we find that the expenditure in 1921-22 amounted to £15,390,776, compared with £4,965,886 in 1914. Expenditure on other services can be reduced by rigid economy, but the cost of these social services can only be brought to a due proportion of the total by a change in policy. Especially is this so in dealing with pensions, as the present system of annually amending and extending the Acts, means that by a gradual process the charges imperceptibly increase without a due regard to the fundamental principles that should govern their administration. The
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system, moreover, abounds in anomalies —such, for instance, as the payment of higher widows' and children's benefits in the " free " schemes than are obtainable by contributors to the subsidized service funds. I propose, therefore, to have an inquiry made into the whole question, in order to ascertain in what directions improvements in the administration of these important services can be brought about. The following table indicates the growth of " free " pension expenditure, exclusive of war pensions :— i Pension. 1913-14. 1916-17. 1919-20. 1921-22 £ £ £ £ Old-age .. .. .. 416,776 480,230 732,968 743,749 Widows' .. .. .. 27,077 38,016 136,815 186,509 Military (Maori War) .. .. 29,477 45,674 45,085 37,651 Miners' .. .. .. .. 8,066 16,652 31,163 Epidemic .. .. .. .. .. 46,300 65,505 Other .. .. .. . . .. 93 4,700 Totals . .. .. £473,330 £571,986 £977,913 £1,069,277 War Pensions. In comparison with the figures for war pensions paid during the previous year, the amount paid during the year shows a decrease, details of the gross expenditure for the two years being as follows : — Payments 1920-21. 1921-22. made in £ £ New Zealand .. .. .. 1,754,382 1,595,139 England .. .. .. 72,994 64,772 Australia .. .. .. 30,849 50,988 Canada .. .. .. .. 2,876 South Africa .. .. . . . . 367 Other foreign payments . . . . 252 316 Allotments paid after casualty . . 28,475 11,586 Sundry payments . . .. . . 130 £1,886,952 £1,726,174 The grand total of actual payments made to war pensioners from 1915 to the 31st March, 1922, is £7,335,044. The table hereunder shows the annual liability of each class of war pension in force at.end of year : — ™ i -n -mi,' Annual Value. Average. Class of Pension. Number. „ ■ „ *> Soldiers (permanent) .. .. .. 4,650 243,463 52 Soldiers (temporary) .. .. .. 15,302 765,690 50 Dependants (temporary) .. .. 1,103 79,833 72 Widows of soldiers .. .. .. 1,986 219,542 111 Other dependants of deceased soldiers . . 6,050 204,735 34 29,091 £1,513,263 £52 The War Pensions Medical Appeal Board appointed in terms of the Act of 1920 commenced its sittings in June of last year, but, owing to the limited number of appeals received, it was decided to suspend the sittings of the Board as from the 31st May of this year. Up to the 31st March, 1922, appeals to the number of 433 had been made to the Board. The departmental expenditure in 1921-22 amounted to £138,734, compared with the estimated requirement, £119,801, for 1922-23, a reduction of £18,933.
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NATIONAL PROVIDENT FUND AND FRIENDLY SOCIETIES. The year ended 31st December last was a good one for the National Provident Fund. The membership increased from 19,724 to 21,713, the contribution income from £110,594 to £129,344, and the accumulated fund from £473,361 to £632,653. The sum of £10,073 was paid in allowances to annuitants and to widows and children, whilst £6,996 was paid by way of maternity allowances to contributors and £28,253 to members of approved friendly societies. The amalgamation of this Department with the Government Insurance Department has now been consummated, and considerable savings have been effected. The expenditure in 1921-22 was £24,935. The estimate for the current year is £21,785, a saving of £3,150. The triennial actuarial valuation of the fund was completed during the year, with the satisfactory result that the fund was shown to be in an actuarially solvent condition, no addition to the statutory subsidy being required. PUBLIC SERVICE SUPERANNUATION FUND. The total number of contributors to the fund on the 31st December last was 15,782, and the total revenue for the year was £421,711, including members' subscriptions, £249,626 ; interest, £85,312 ; Government subsidy, £86,000. The total amount expended during the year was £207,779, which comprised retiring and other allowances, £150,594; refunds of contributions, £51,705; cost of administration, £4,615. The total number of allowances existing at the end of the year was 1,949, representing an annual aggregate payment of £163,355. The amount of the total fund invested on the 31st December last was £1,649,467. TEACHERS' SUPERANNUATION FUND. This fund amounted on the 31st December, 1921, to £681,777, an increase of £82,474 for the year. The amount invested was £656,585. The revenue for the year was £174,554, including contributions, £96,391 ; interest, £35,146; and Government subsidy, £43,000. The expenditure was £92,080, including retiringallowances, £74,315, and refund of contributions, £15,710. The experience of the past few years has shown that there are many anomalies connected with the administration of the fund, and legislation will be necessary to remove hardship and effect improvement. The actuarial report on the fund indicates that an increased subsidy will be required from the Consolidated Fund. GOVERNMENT RAILWAYS SUPERANNUATION FUND. This fund amounted on the 31st March, 1922, to £543,532, as compared with £464,491 on the 31st March, 1921. The annual contribution from the Consolidated Fund is £75,000. COST-OF-LIVING BONUS TO PUBLIC SERVICE ANNUITANTS. The authority for the payment of cost-of-living allowances to superannuated public servants, also to the widows and children of contributors to the different State superannuation funds, lapsed on the 31st March last, at wdiich date bonus payments amounting in all to £137,461 had been made to beneficiaries. Notwithstanding the financial stress, I have, pending a further appropriation by Parliament, authorized a continuance of the allowance, in addition to the annual pension for the current year, at the following rates: Annuitants, in cases of hardship, up to £26 ; widows, £13 ; children, £13. These bonuses will necessitate the payment of approximately £40,000, in addition to annual grants to the superannuation funds, totalling £204,000 —viz., Public Service Fund, £86,000, Teachers Fund, £43,000, Railways, £75,000, with the prospect of further expenditure to stabilize.
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I must, however, point out that the object of the superannuation funds is to ensure an allowance to public servants on their retirement from the Public Service relatively to their pay and length of service, not to provide an insurance against death, for which contributors are expected, like other members of the community, to make provision out of their own savings. The contributions of members and the State subsidies are based on this principle, and it is obvious that increased benefits can be provided only by means of increased contributions. The Government has every desire to assist those pressed by hardship, but that desire must be limited by the capacity of the taxpayer to provide the means. DEPARTMENT OF JUSTICE. The revenue received during the past financial year amounted to £192,856, being an excess of £47,917 over the previous year's receipts. This excess is due to the increased business transacted in the Courts, and to the new scale of Court fees which came into operation in October, 1920. The expenditure during the year totalled £147,094, being an. excess over the previous twelve months of £10,036. It will be seen that the revenue exceeded the expenditure by £45,762. From this, however, must be deducted the salaries of the Judges of the Supreme Court and of the Stipendiary Magistrates, provided for under special Acts, and amounting to £42,631. The net excess of revenue over expenditure is thus £3,131, which has been collected without material increase in the working-expenses. The expenditure in 1921-22 amounted to £147,094, and the estimate for the year 1923 is £131,418, a decrease of £15,676. PRISONS DEPARTMENT. The total revenue from prison industries amounted to £49,866, which exceeds last year's returns by £10,730. The estimated value of prison labour employed on public works was £21,120, and in addition to this the labour employed in improving farm lands, maintaining buildings, roads, &c, is estimated at £24,628. When the latter amounts are added to the cash credits, a grand total of £95,614 is obtained, which, represents the value to the State of prison labour, and is over 73 per cent. of the gross expenditure of the Department for the past year. Last year's expenditure amounted to £79,545, and for the current year the estimate is £78,324, a reduction of £1,221. As in former years, prison labour has been used in improving and bringing into use land which had not previously been cultivated. This class of work does not yield an immediate or annual financial return, but the ultimate value to the State will be very considerable. POLICE DEPARTMENT. The expenditure for the year was £411,056, being an increase of £12,078 over that for the preceding year. This increase was caused partly by an increase of fifty men in the strength of the Police Force which had been authorized during the year, and partly by the additional expenditure involved in the administration of the Arms Act, 1920, the sum of £12,054 having been paid as compensation for automatic pistols handed over to the police. The saving effected under the provisions of the Public Expenditure Adjustment Act for the last three months of the financial year amounted to £4,705, but this was absorbed by the increase in the strength of the Force. The expenditure of the Department has been kept down to the minimum consistent with efficiency. The estimate for the current year is £7,496 below last' year's expenditure. DEPARTMENT OF INDUSTRIES AND COMMERCE. A reduction in the staff and expenditure of the Department is recorded. The temporary tribunals and officers appointed in the four centres to deal with
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profiteering have been disbanded, and the work of these committees, coupled with the investigation of complaints generally, is now undertaken by the Department. These reductions and the termination of subsidies have resulted in a saving of £.125,988; the expenditure last year, £157,518, being reduced to an estimate of £31,530 for the year 1922-23. The 'control of wheat-supplies has been under the supervision of the Hon. Minister of Agriculture, and the purchase, sale, and distribution of the Dominion's wheat crop for the season 1921-22 is being effected through the agency of the Wheat Control Office at Christchurch. The system of a guaranteed price for wheat necessitated the fixation of prices for flour, bran, pollard, and bread for the current year. An announcement has already been publicly made that no guaranteed price for wheat will be given to the growers for next season. In spite of the adverse market conditions and industrial difficulties, the transactions in sugar have involved no financial loss, no capital outlay by the Government, and no encroachment on the Consolidated Fund. PRINTING AND STATIONERY DEPARTMENT. Although this Department charged itself with £.105,000 last year for land and buildings, it shows an excess of receipts, after a reasonable charge for work done, of £8,000, thus demonstrating the value of the Government's policy of doing its own printing-work. As paper continues to fall in price, less is being asked for this purpose than was expended last year ; but stationery supplies, though readily procurable, have not declined to the same extent. During the year several new machines have been installed. Of the £8,000 voted for machinery, £7,727 has been expended, and this year £5,000 is asked for, as the Department must be kept up to date. Machinery prices are still from 100 to 150 per cent, over pre-war days. Printing or other services are now a charge against the Departments placing the work, credits being allowed for copies supplied to other Departments or to the public. This entails extra work upon the Printing and Stationery Department, but good results are expected from the alterations. The total value of printing for the year (exclusive of stamps) was £219,182, and the value of the stationery supplied to Departments £33,242. . The departmental vote shows this year a nominal increase from £23,730 to £218,344, due to the crediting of receipts to ordinary revenue account instead of to the vote as in the past. The estimated receipts for 1922-23 are £208,125. TOURIST AND HEALTH RESORTS. The receipts from all sources were not up to expectations, being £51,127, as against £51,038 for the previous year. The net revenue from the passenger-booking system was £3,469, against £3,409 for the previous year. The control of the sanatorium, baths, and gardens at Hanmer Springs was transferred to the Health Department as from the 20th January, 1922. With a view to making receipts more nearly approach working-expenses than has hitherto been the case, the fees for maintenance of patients at Rotorua Sanatorium have been increased, while a similar procedure has been adopted in the case of fees for baths and games at the principal pleasure resorts. The charges for accommodation of visitors at all the hostels have also been increased. The expenditure in 1921-22 amounted to £86,943, which is reduced to an estimate of £71,792 in the current year —a saving of £15,151.
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MARINE DEPARTMENT. The expenditure of the Department for 1921-22 was £151,695, and the revenue received amounted to £74,900. Considerable economies have been effected by putting out of commission the s.s " Hinemoa " and the training-ship " Amokura." The estimated savings on this account will amount to £24,000 per annum, while further economies, due to staff changes and retirements, will be effected to the extent of £3,800 per annum. It is of interest to record, in connection with the Fisheries Branch of the Department, that quinnat salmon is now successfully established, and there are large numbers of big fish " running " each year in the southern rivers. The estimated expenditure for 1922-23 is £126,305—a reduction of £25,390 when compared with that of last year. NATIVE. This Department has been recently reorganized and placed in charge of the Chief Judge of the Native Land Court, thus combining the judicial and the administrative divisions under one head. This has given satisfaction and confidence to the Native race, who are principally affected by it. The amount received in fees was £9,41.1, a decrease of £1,4.16 on the figures for the previous year, but the economies more than cover this loss. On the other hand, a system was inaugurated whereby the Maori Land Boards contributed over £8,800 towards the cost of administration. The Native Land Purchase Board acquired for the Crown 114,035 acres under the system of permitting lessees from Natives to acquire through the Crown the freehold of their holdings. Altogether an area of 1,089,084 acres of Native land has been acquired for the Crown, and gradually absorbed into settlement. During the past year 129 blocks, of an area comprising 45,780 acres, were duly proclaimed Crown land. The expenditure in 1921-22 was £22,862, and estimates for the current year amount to £20,945, a reduction of £1,917. WESTERN SAMOA. Pursuant to Article 6 of the mandate for Western Samoa, the first report on the Territory has been forwarded to the League of Nations, and will this session be laid on the table of the House. Owing to the low state of the market for tropical products on which the prosperity of Samoa entirely depends, it was not possible during the year to pursue so forward a policy as was desired. An extensive public-works programme has, however, been carried out, resulting in improved accommodation and facilities for the staff, erection of cool storage and laundry, improvement and extensions to roads and bridges and boat-passages, water-supply to Apia and to many native villages, new hospitals and laboratory, &c. An extensive campaign against the dreaded hookworm, with which 95 per cent. of the Native population are affected, has been inaugurated. It is hoped within five years to clear the Territory of this scourge. The education service has been extended in Upolu and also to Savaii, where a suitable property has been acquired and a Native school established. In the interests of international shipping a continuous wireless service is maintained at Apia, and daily broadcasting of weather reports is carried out with the assistance of the Samoan Observatory. The Apia Wireless is the chief transmittingstation for the Southern Pacific. On account of the trade depression already referred to, the New Zealand Government has contributed £16,000 towards the cost of the medical, educational, and wireless services. Authority was taken in the Finance Act, 1921-22, for a loan of £100,000 to the Administration, providing for public works (productive and unproductive) already alluded to, which had been temporarily financed out of the accumulated profits of the Crown estates.
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In keeping with the retrenchment in the New Zealand Service, reductions have been made in Samoa in both emoluments and personnel. The Departmental expenditure in 1921-22 amounted to £21,478, whilst the estimated expenditure in 1922-23 is £18,756, a reduction of £2,722. ' COOK ISLANDS AND NIUE. The past year has been one of fairly satisfactory progress, for notwithstanding the depression, the trade and revenue of the islands have been well maintained. The expenditure in 1921-22 amounted to £15,406, whilst for the current year an amount of £20,521 is asked for. The principal item of increase is a charge due to the Postal Department on wireless services. GOVERNMENT INSURANCE DEPARTMENT. The Life Branch of this Department had a very successful year. The new business, which comprised 4,986 policies, for £1,631,250, was, with the exception of that of one year, the largest ever transacted, and brings the total policies in force to 59,189, insuring, with bonus additions, £17,279,734. The premium income (including consideration for annuities) was £471,438 — a record amount; and the funds increased by £183,804, now totalling £5,726,356. The Department was one of the few life offices to maintain its bonus rates with but a slight diminution in the face of the severe strain imposed by the heavy war and post-war mortality, and it is most satisfactory to find that notwithstanding the larger business in force the death claims in 1921 were lighter than for a good number of years past. The Accident Branch has also had a successful year, the premium income— £35,932 —being the largest in the history of the Branch. A sum of £23,212 was transferred to reserve, and after deducting this the funds stand at £11,472. The statutory Reserve Fund amounts to £115,020. A substantial reduction has been made in the number of officers, in spite of the fact that the Department has opened three new branches and that the business of the Department is steadily on the increase. It is expected that a further reduction will be made in the staff as the result of the amalgamations and otherwise. STATE FIRE INSURANCE. The State Fire Insurance Office has had a good year, and, although fire losses were much heavier than for the previous year, a profit of £39,324 was made after providing £30,230 for income-tax, reserve for unearned premiums, and investments fluctuation reserve. The net income increased by £14,403, the gross amount underwritten by over £2,800,000, and the accumulated funds by £45,080. The working-expense ratio of this office already compares very favourably with that of private offices conducting a similar business, and amalgamation with the Government Insurance Department is expected to effect further economies. VALUATION DEPARTMENT. The number of special valuations made during the year ended the 31st March, 1922, for stamp duty and death duty assessment, for determining the prices paid for acquiring the freehold of Crown lands under the Land Laws Amendment Acts, for assessing the value of Native lands in connection with alienations, and for the purpose of advances on mortgage from the State lending Departments, amounted to 10,875. The work of revising the valuations on. the district rolls supplied to the Land and Income Tax Department and to local rating authorities has almost been completed, with the result that the expenditure on this work will show a material reduction during the current year. Last year over 50,000 valuations were revised.
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In the same period it is estimated that approximately 75,000 notices of land transactions, including subdivisions of properties, were dealt with by the Department, and the various local authorities notified of the alterations made in the valuation rolls. The net expenditure in 1921-22 was £55,278, while the estimate for the current year is £42,353, a reduction of £12,925. STATE ADVANCES OFFICE. The benefits derived by the numerous borrowers from this office, which is able to lend money at the net rate of 4| per cent, interest, are of great value to the community. The new business during the year was as follows :— £ Loans granted to settlers number .1,355 and amount to 805,975 Loans granted to workers number 820 and amount to 407,580 Loans granted to local authorities number 372 and amount to .. .. .. .. .. 708,410 Total .. .. .. .. £1,921,965 The amount advanced since the office commenced operations, including the sums repaid and loaned again, is— £ To settlers .. .. .. .. .. 20,632,015 To workers .. .. .. .. .. 4,854,265 To local authorities .. .. .. .. 4,564,980 Making a total of .. .. . . £30,051,260 Much assistance has been rendered to persons seeking homes, and a large amount of money has been advanced during the last three years. The following is a table of loans authorized from the Ist April, 1919, to the 31st March, 1922 :— Number. Amount. To build houses or purchase homes — £ To settlers .. .. .. .. 3,162 1,597,248 To workers .. .. .. .. 3,628 1,588,405 To release mortgages on home properties— To settlers .. .. .. .. 671 245,083 To erect workers' dwellings — To local authorities . . . . . . 74 392,435 Total.. .. .. .. .. £3,823,171 Owing to the financial stringency this office, in common with other lending institutions, has been obliged to deal liberally with some of its borrowers. With the improvement in prices it is anticipated that borrowers who have not been able to meet their engagements will be in a position to do so in the near future. PUBLIC TRUST OFFICE. The year ended 31st March last shows a further increase in the value of estates and funds under administration of the Public Trustee, and on the date mentioned their value was £25,497,779 —even after allowing for Native trusts, valued at over £2,250,000, transferred to the Native Trustee—or an increase for the year of £3,133,460. New estates to the number of 2,300 were accepted, and 4,113 wills of living persons were deposited during the year. The investments (not including Office premises and plant) on the 31st March, 1922, amounted to £14,498,125, as follows : Mortgages, £9,534,548 ; local
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bodies' debentures, £3,527,689 ; Government securities, £1,077,200 ; Land Settlement Finance Act debentures, £50,192 ; fixed-deposit receipts, £916 ; overdrafts by way of advances to estates and beneficiaries, £307,580 : total, £14,498,125. Investments held on behalf of the Public Service Superannuation Board amounted to £1,649,466 —making the total investments £16,147,591. In common with other financial institutions, the Office has shown as much consideration to its mortgagors as has been possible consistent with its duties as a trustee, and there has been only a small number of cases in which it has been necessary to take extreme steps. The year's expenses in comparison with those of the previous year show a decrease of £23,342. The full effect of the savings has not yet been realized, as some of them have operated over a portion of the year only. As the total annual saving to be effected is estimated to exceed £50,000, the expenditure for the current years will show a still further decrease. The revenue has been reduced as the result of concessions granted to clients and beneficiaries, a liberal policy having been developed with regard to the rates of interest allowed on amounts held in the Common Fund. The value of the concessions for the year ended 31st March, 1922, is estimated at £57,500. The result is that the profits have been reduced by that amount, whilst estates and funds entrusted to the Public Trustee for administration have correspondingly benefited. Notwithstanding these important concessions the Office has not only met the whole of its liabilities for the year ended 31st March, 1922, but succeeded in earning a profit on the year's transactions. NATIVE TRUSTEE. The Native Trust Office was inaugurated under the Native Trustee Act, 1920, and took over the Native business of the Public Trust Office as from the Ist April, 1921. The Office was primarily set up with a view to assisting Natives by lending money on mortgage to enable them to farm their lands in a better manner than hitherto. Experience has shown that lack of funds has, in. the past, been a serious handicap to members of the Native race in their efforts to work their own lands to the best advantage. As the operations of the Native Trust Office increase it will be possible to render greater assistance in the future without cost to the Consolidated Fund. DEPARTMENT OF IMPERIAL GOVERNMENT SUPPLIES. Early in the year under review shipment was completed of the balance of the stocks of Imperial Government frozen meat and butter remaining on hand at Ist April, 1921 —namely, 214,881 quarters beef, 73,033 carcases mutton, 4,408 carcases lamb, 2,387 carcases sundries, 251,029 boxes butter. Of the 314,904 bales of wool held in New Zealand at the commencement of the year a total of 136,181 has been shipped during the four months to the 31st March since shipping was resumed in December last, leaving a balance of 178,723 bales, which it is expected will be cleared by September next. Butter Equalization Fund,. —The audit of factories' accounts for butterequalization purposes has been practically completed, and final payments made accordingly. A 73-per-cent. reduction was made in the staff of the Department for the year, the amount paid in salaries being reduced by 66 per cent. WESTPORT HARBOUR. The assets and liabilities of the Westport Harbour Board were taken over by the Crown as from the Ist April, 1921, at which date the advances made by the Treasury to enable the Board to meet its liabilities amounted to £81,758.
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The loans for which the Government became responsible amount to £880,495, held as under :"■ — £ London investors . . .. .. .. .. 350,000 Post Office, New Zealand .. .. .. ..489,500 Public Debt Sinking Fund Commissioners . . . . 10,500 . Treasury .. .. .. .. .. 30,495 £880,495 With the exception of the £30,495 due to the Treasury these loans have been subject to a sinking fund of 1 per cent., and accretions amounting to £261,200 were held by the Public Debt Sinking Fund Commissioners on 31st March, 1922. The harbour receipts for the year amounted to £29,774, whilst the expenditure totalled £76,892, of which £30,715 represents maintenance expenses and £46,177 interest and sinking funds charges on the loan capital of the late Westport Harbour Board, leaving an apparent deficit for the year, which, however, is reducible by a proportion of revenue collected by the Railway Department, in connection with which an adjustment of accounts is pending. The harbour is now controlled by the Marine Department, which is taking active steps to strengthen the financial position, involving a revision of the port charges and a reorganization of the staff. GREYMOUTH HARBOUR BOARD. In 1917 it became necessary to grant financial assistance to the Grey mouth Harbour Board, which was unable to meet current expenses, including interest and sinking-fund charges. At the 31st March, 1921, cash advances amounting to £64,865 had been made, against which the Treasury held £29,342 accumulated special coal rate, also £2,500 due on account of land taken for railway purposes. The net indebtedness of the Board, £33,000, has been treated as a loan on the security of debentures issued by the Board bearing interest at the rate of 5| per cent, per annum with a currency of ten years. The affairs of the Board have now been placed on a satisfactory footing, and further assistance will not be looked for. INSURANCE ON PUBLIC BUILDINGS. On the 31st March last the balance at credit of the special Insurance fund established in 1913 for the purpose of rebuilding or renovating public buildings destroyed or damaged by fire was £43,750 —a decrease of £15,977 as compared with the balance at the end of the previous year. This depletion of the fund is due almost exclusively to the large amount— £27,103 —paid over in respect of school buildings, other buildings being responsible for only £1,968. The interest credited to the fund by the Public Trustee for the year amounted to £3,094, whilst the usual annual contribution of £10,000 was paid over by the Treasury. GERMAN REPARATION. In last year's Budget I stated that, although a sum of about £26,000,000 had been allocated to this Dominion as our share of German reparation-money, yet it might be a long time before any payment would be made. This fact becomes more apparent as time passes. Germany was unable to meet the full amounts of quarterly payments due on the 15th January and 15th February last, and made application to the Reparation Commission for a partial postponement of these payments, at the same time stating that similar difficulties would arise in regard to future payments. The inevitable conclusion has been forced upon the various Governments that the reparation question could no longer be satisfactorily dealt with apart from the general economic position of the world, and that international action is necessary for reconstruction in Russia and central Europe.
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Great Britain has received a certain portion of the cost of her Army of Occupation, and of this amount this Dominion has been paid the sum of £507,000 to cover the cost of the New Zealand Army of Occupation from the Armistice to the date of withdrawal of our Forces, but this payment is apart from ordinary reparation claims. No other payment has been received by New Zealand. i LOCAL BODIES' FINANCE. The Finance Act, 1920, provided facilities to local authorities whereby their unexpended balances in Loan Accounts might be temporarily transferred to General Account, but a banking difficulty rendered the section inoperative. A declaratory judgment of the Supreme Court made it appear that to give full effect to the intention of the relative section, the concurrence of the local bodies' bankers to the retransfer of the balances is necessary. In the interests of sound finance it was found necessary to introduce legislation to restrict the excessive use that was being made by local bodies of the power to borrow money by way of overdraft. In the legislation of last session local bodies were required to pay off their overdrafts and afterwards to live within their income. To enable this to be done authority was given for discharging the antecedent liability either by borrowing, or by seven yearly instalments ; future overdrafts being limited to three-fourths of the revenue of the antecedent year. From reports furnished to the Hon. Minister of Internal Affairs it is evident that this important reform is being achieved without any serious inconvenience. With a few small returns to come in it appears that of the total antecedent liability of £2,317,000 more than £2,000,000 has been arranged for, and no great difficulty is anticipated regarding the balance. The question of overdrafts and their treatment as " antecedent liability" directs attention to the large increase in the debt 01 local authorities during the past few years. The increased annual charges for interest and sinking funds are affecting the ability of local bodies to finance their ordinary needs out of revenue, and before undertaking further extensions of works they should carefully consider the likelihood ot their productive capacity. During the war period honourable members were asked on several occasions to pass special legislation enabling local authorities to raise loans for certain purposes without taking a poll by the ratepayers, but the consent of the Government to such legislation should not be looked for after this session. The important principle at present embodied in the Local Bodies' Loans Act, 1908 —namely, that money for new works should be obtained only with the approval of the ratepayers —should be adhered to. DAIRY-FARMERS' MORTGAGES. In February, 1922, the Valuer-General was appointed to inquire into the financial difficulties of dairy-farmers in different parts of New Zealand, and, inter alia, to mediate as opportunities occurred. He acted in the capacity of intermediary in cases where there appeared to be possibilities of effecting satisfactory arrangements by the mutual consent of mortgagees and mortgagors. In sixty-nine cases mortgagees were induced to grant more or less substantial measures of relief to mortgagors who were unable to fulfil their obligations. The nature and extent of the relief varied considerably. In some cases mortgagees wrote off arrears of interest wholly or in part, or reduced the rates of interest. In other cases mortgagees surrendered the whole or portion of the principal sums of the mortgages where these sums represented balances of unpaid purchase-moneys. In a case where three mortgagees are interested in the same property the total principal sums surrendered amounted to £15,000, and the total arrears of interest written off amounted to £1,287. Undoubtedly the success attained through mediation has had the effect of inducing a very large number of mortgagees to grant relief to mortgagors.
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1922 LOAN. The promotion and active operation of public works in the past year called for unremitting attention to our financial resources. The necessity for keeping our works going so as to ensure as much employment as possible when in other directions staffs were being reduced became a national duty, and the fact that we were able to finance the year and maintain the high expenditure of £5,286,687 on public works speaks for the efforts made by the Government to carry on through a difficult period. Towards the end of the financial year our requirements could be met only by using our Treasury bill powers, selling securities, or borrowing outright. I recognized, however, that the postponement of borrowing until after the close of the year would enhance our prospects of better terms, on what I anticipated would be an improved market, and I therefore used the expedient of Treasury bills, the sale of British war-loan stock, and the transfer of cash from Ordinary Revenue to Public Works Fund, in order to avoid London borrowing. The result has, I am pleased to state, quite justified my action. If I had borrowed two or three months earlier the permanent annual charges would have been increased for the term of the loan by about £26,000, which over twenty-three years represents an amount of £598,000. In April inquiries went to show that, as I expected, the prospects of floating a loan were much improved and I was able to authorize the issue of £5,000,000 at par —rate, 5 per cent. ; term, 1935/45, repayable on Ist July, 1945, with option to repay on or after Ist July, 1935, on three months' notice. The issue was a shade above Imperial stock value at that time, thus affording * the unusual spectacle of a colonial security rated higher than Imperial stock. The advices to hand at time of writing indicate that the net return was £97 lis. Ofd., after allowing for underwriting, loss of interest, brokers' commissions, &c. The cost with redemption at twenty-three years comes out at £5 3s. 9d. per cent., and without redemption at £5 2s. 6d. per cent. The expenses do not include any charge for compounded stamp duty, it having been considered desirable, in view of the present high rate, to meet the duty as it arises. In this connection, however, I am pleased to state that my representations in regard to Imperial stamp duty on Dominion loans have since resulted in a reduction in rates by the Home Government. The exclusion of the last loan from the then high rates will therefore mean a considerable economy which, together with the reduced underwriters' commission, will amount to not less than £25,000. The loan, which was oversubscribed, was most favourably commented upon by the British Press, and is a further testimony to the credit of the Dominion and to the satisfactory service we receive from our London representatives. This is the more marked when it is considered that subsequent colonial issues have not been absorbed on as favourable terms. New Zealand Consolidated Stock (London Issue). Arrangements have been completed, under authority of section 49 of the Finance Act, 1920, for the transfer to the New Zealand registers kept at the Treasury, of New Zealand consolidated stock domiciled in London and registered in the books of the Bank of England. This has relieved stockholders resident in New Zealand from the necessity of drawing their interest in London, where it was subject to heavy deductions for Imperial income-tax and to exchange charges on remittance to New Zealand. When the transfer has been effected, interest and principal become payable in New Zealand. Up to the present, transfers of stock amounting to £10,057 have been made. I am at present negotiating for a reduction in bank-management charges in London which, will probably result in a considerable saving. DEATH DUTIES STOCK REDEMPTION. Inscribed stock amounting in the aggregate to £1,848,200 was issued under the authority of the War Loans (£1,524,630) and Discharged Soldiers Settlement (£323,570) Acts, with the condition that in the event of the death of the holder it
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would be available for the payment of death duties. Of this amount £279,760 has been presented in payment of death duties, the stock having been taken over by various Government accounts. With the object of automata ally reducing the public debt and the annual charges, as well as diminishing the volume of free income-tax securities, I am applying a portion of the capital repayments of the loan accounts concerned to the redemption of this stock when tendered in payment of death duties, and propose to repurchase stock held by Government Departments for cancellation as provided for in section 24 of the Finance Act, 1921. The annual saving in interest and sinking fund already effected amounts to £15,000. FREE-OF-INCOME-TAX SECURITIES. Free-of-income-tax securities to the value of £51,733,405 were issued in connection with our war loans, but by a process of renewals and redemptions I have been able to reduce this amount by £2,585,960, leaving a reducible balance of £49,147,445, which sum. includes investments held by various State Departments totalling £8,000,000, as well as a large sum held by numerous investors who are not subject to income-tax. In addition to the proposals I have already outlined I am arranging a conversion scheme under which a continued and substantial reduction in the volume of free-of-income-tax securities is anticipated. PUBLIC DEBT. The gross public debt as at the 31st March, 1922, was £219,054,385, held as follows : Annual Interest Charge. Held in £ £ New Zealand .. .. .. 110,847,786 5,032,887 Australia .. .. .. .. 2,287,440 110,314 London .. .. .. .. 105,919,159 4,461,192 £219,054,385 9,604,393 Annual sinking fund charge .. .. 1,270,792 Total .. .. .. .. £10,875,185 £1,892,081 of the annual charge will be recouped to the Consolidated Fund from trading and investment accounts. The gross debt, including the State Advances debt of £12,619,950, is equal to an indebtedness per head of the European population of £175 9s. lOd. The accumulated sinking funds at the 31st March, 1922, amounted to £10,655,394, including £1,663,537 on account of State advances. The net debt amounted to £208,398,991, including £10,956,413 net State Advances debt, or a net indebtedness per head of £166 19s. 2d. The loan liabilities of the Westport Harbour Board, amounting to £880,495, were taken over on the Ist April, 1921, in terms of the Westport Harbour Act passed in 1920. Against this debt, accumulations of sinking fund amounting to £261,200 are held by the Public Debt Sinking Fund Commissioners. A sum of £560,000 was paid out of Consolidated Fund for redemption of warloan certificates which matured during the year. A sum of £1,289 was received from the Public Trustee as sinking fund on Hutt Road loans, to which was added £11 from Consolidated Fund, making £1,300, which was applied in redemption of debentures which matured on the Ist January, 1922. One feature of the public debt from an economic standpoint is of particular interest, and that is the change in the incidence of the debt as held in the Dominion and elsewhere. Ten years ago 18-78 per cent, of the debt was held in New Zealand and 81-22 per cent, overseas, whereas to-day the percentages are 50-60 per cent. in the Dominion and 49-40 per cent, elsewhere ; and, further, the proportion of
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interest payable in New Zealand on the increased debt is 52-40 per cent, of the total, so that, whatever sacrifices were necessary in subscribing our loans, we have the satisfaction of knowing that the money and its earnings are circulating in our own country. If the present total debt had maintained its old proportions held in Great Britain it can readily be seen how much greater our difficulties would have been during the last few years with an unfavourable trade balance in process of adjustment. Under the power to cancel securities given last session I expect to be able to make arrangements which, when completed, will have the ultimate effect of reducing the public debt by approximately £5,000,000, including War Loan redemptions. This I propose to do by utilizing a portion of the accumulated surpluses and balances held by certain loan accounts which are now in a position to redeem some of their own securities. When these operations are completed the annual saving to the Consolidated Fund will exceed £30,000. Honourable members will find included in the tables to the Budget a statement of assets held and capital expenditure as against the public debt at the 31st March, 1922, together with supporting schedules. The tangible assets amount to £44,122,079, whilst the total expenditure on railways, public buildings, telegraphs, electric power, &c, amounts to £85,989,788, for which the Dominion holds good value. The estimated value of Crown lands is £25,750,000, State forests £37,909,875, and in addition a sum of £18,920,325 has been expended on indirectly productive services, which may be set off against the debt. The debt transactions are fully set out in 8.-l [Part ll].SINKING FUNDS AND PUBLIC DEBT. The accumulation of sinking funds for the extinction of the public debt of the Dominion, excepting that portion which has special sinking-fund provisions, is provided for under the Public Debt Extinction Act, 1910. This Act requires an annual payment to be made out of the Consolidated Fund to the Superintendent of the State Advances Office, which, if invested each year at compound interest, would in seventy-five years provide a fund equal to the debt. For the purpose of arriving at the annual payment the average net earning-rate for the preceding three years is taken. The present rate of the annual sinking-fund payment is equivalent to about 0-2 per cent, of the debt. The amount of the debt under the Act for extinction purposes at the 31st March, 1922, was £114,484,456; the annual payment for the last financial year was £203,132, and the total amount of the sinking fund accrued £2,313,330. Included under the above Act are the following loans : Local bodies' loans, £3,453,100 ; old war and defence loans, £3,995,000. Sinking funds relative to these loans, amounting to £992,291, had been accumulated by the Public Trustee up to 1910, and, in terms of the Public Debt Extinction Act, are to be held by him until the debt is extinguished, and then paid to Public Account. Since 1910 no further payments in respect of these sinking funds have been made to the Public Trustee, the necessary provision being made in the total under the Public Debt Extinction Act. The interest earned by the older sinking funds, which remain invested with the Public Trustee, is paid annually into the Consolidated Fund. The Public Trustee also holds sinking funds amounting to £138,020 relating to old loans raised under the New Zealand State-guaranteed Advances Acts, but which, are now provided for by the Public Debt Extinction Act. The sinking fund in connection with the late war debt of £81,843,543 is provided for by section 6 of the Finance Act, 1918 (No. 2), which requires a payment out of the Consolidated Fund of 1 per cent, on the total war debt to be made annually to the Public Trustee. It is estimated that this annual payment will extinguish the debt in forty years, assuming an investment rate of 4-J per cent. Included in this debt is an amount of £26,000,000, which is now in the process of " funding" with the Imperial Government on a 6-per-cent. annuity basis, and which, when completed, will have the effect of separating this portion of the loan from the Dominion sinking-fund operations.
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The State Advances debt is provided for by two sinking funds —one in the State Advances Office of £1,663,537, including £354,082 held by the Public Trustee, the other a portion in the Public Debt Extinction Fund —£27,000 —accrued since 1913. Under the Naval Defence Act, 1909, a sinking fund was established to repay the cost of the battleship " New Zealand." This fund is at the rate of 4 percent, on the total cost —£1,795,166 —and at the 3.lst March last the sinkingfund accumulations amounted to £931,429. Part of the total debt, amounting to £963,131, matured in December, 1914, and. was included in the redemption advances made by the Imperial Government during the war. This sum, therefore, is included in the Imperial debt-funding operations to which I. will refer later. In terms of the New Zealand State-guaranteed Advances Act, 1909, the Public Trustee still holds some sinking funds, previously referred to, representing accumulations prior to the date the loans came under the Public Debt Extinction Act, in respect of loans raised almost entirely from Government Departments for lands for settlement, Native-land settlement, opening up Crown lands for settlement, mining advances, Hauraki Plains and Kangitaiki land drainage, amounting to £.138,020, the interest derived from which is paid annually by the Public Trustee to the Consolidated Fund. These loans were in 1913 brought under the Public Debt Extinction Act. The Public Trustee also holds £877,692 — a sinking fund in respect of loans raised for lands for settlement purposes. As debentures mature from time to time, the renewals come automatically under the Public Debt Extinction Act. That portion of the public debt not referred to in the foregoing and which has special provisions for repayment totals £5,213,652, and relates to electric-power loans, £3,953,652 ; swamp drainage, £223,000 ; Kangitaiki land drainage, £360,000 ; Nauru and Ocean Islands, £600,000 ; Samoa, £77,000. Separate sinking funds are established as follows : Westport Harbour, accumulations amounting to £261,200 held by the Public Debt Commissioners on loans totalling £850,000 ; State Coalmines—loans £227,601, sinking fund £24,580, is held by State Coal-mines Account; and £2,100 loan, New Zealand Loan Act, 1863, sinking fund. £2,207, held against unpresented debentures. These loans are deducted from the total public debt when assessed, in terms of the Public Debt Extinction Act, for sinking-fund purposes. The following table summarizes the position : —
vi—B. 6.
Amount of Loan. I Title of Sinking Fund. Hold by. Amount of 8 ' n u k n ? g Sinking Contribution Accumulated „. ti „ o) .„j t „ Fund Hate. 1921-22. Sinking «£$£*! Jllna - Inception in £ 114,484,456 Public Debt Extinction State Advances . . Per Cent. 0-2 Per Cent. £ £ i Years. 0-2 203,132 2,313,330 I 75 t rt.Tmrmr i £ 203,132 £ 2,313,330 81,843,543 1,795,166 2,017,917 * * * 2,100 227,601 850,000 War Loans Naval Defence N.Z. State - guaranteed Advances Act, 1909 (Land for Settlements Branch) Public Debt Extinction (Local Bodies' Loans) Public Debt Extinction (old War and Defence Loans) N.Z. State - guaranteed Advances Act, 1909 (various branches) N.Z. Loans Act, 1863 State Coal-mines Westport Harbour Board Public Trustee Public Trustee Public Trustee (approx.) 1 4 1 (approx.) 1 815,386 3,451,107 39 4 7.1,807 931,429 | 20 1 23,807 877,692 | 40 i 815,386 71,807 23,807 3,451,107 931,429 877,692 Public Trustee I i ;. .. 799,601 75 799,601 Public Trustee 192,691 75 192,691 Public Trustee 138,020 65 138,020 Consolidated Fund Coal-mines Account Public Debt Sinking Eund Commissioners In account In account In account In account Treasu ry Ran out, 2 I Ran out, 1914 .. 2,207 j 2 4,552 24,580 ! 1 8,500 261,200 j 40 1914 4,552 8,500 2,207 24,580 261,200 3,953,652 223,000 360,000 600,000 77,000 Electric-power Works Swam p Drainage Rangitaiki Land Drainage Nauru and Ocean Islands Samoan Loan 1 I Instal ] nstal Instal 1 Subject to profits 1 .. .. j 40 Instal ments .. .. ' 40 Instalments .. .. 50 Instal ments .. .. 30 Subject to profits .. ments .. ments .. ments .. 206,434,435 12,619,950 206,434,435 12,019,950 State Advances State Advances .. 8,991,857 Profits of 1,309,455 year Profits of 8,991,857 1,309,455 «9.iq nfu ass State Advances Public Trustee year 354,082 V ccfci 354,082 £219,054,385 5219,054,385 * Loans included 1 in Public Debt Extin ictiou total. 10.655.394 10.655,394
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It will be observed that the Public Trustee holds £1,130,312 in what may be termed "dead" sinking funds. They are accumulations prior to 1913 in respect of loans which by altered legislation came under a different system, and these past accumulations represent practically a double provision for the same debt. However useful they may have been in providing money for investment, they are not as valuable as they should be for debt-reduction purposes, as they are not liquid and available to meet loans falling due. Not only do they fall short of their purpose in this respect, but when renewal of a loan is undertaken it is probable that higher rates of interest will have to be paid. This is particularly the case in recent years regarding old maturing loans. The sinking fund of £877,692 is still in the process of accumulating, while the loans as they mature come under the provisions of the Public Debt Extinction Act, a further instance of double provision. For the same reasons the other sinking funds are not more available for actual debt-reduction purposes, arid it is clear that our sinking-fund provision is not answering the purpose for which it was intended. The volume the debt has reached in recent years, and its greatly increased charges on the revenue, have directed my close attention to the necessity of considering a method that will enable an actual reduction in the debt to be made annually, and thus effect a relief to the revenue. Such methods are operating successfully in other countries, and I hope at an early date to submit proposals to lighten a burden that will increase in weight out of proportion to its value, unless a change is made- in the present system. RESERVE FUND IN LONDON. The annual income from the Reserve Fund, which is invested as under, now amounts to £90,550.
Reserve Fund Securities held in London.
Securities to the value of £330,000 were hypothecated to secure an advance of £300,000 at 3 per cent., pending the receipt of loan-moneys, by which means it is estimated considerable saving was effected, as by the use of the moneys so obtained the flotation of the loan was delayed until the most favourable moment. FUNDING IMPERIAL GOVERNMENT ADVANCES. It will be remembered that in the war years the Imperial Government met a portion of our liabilities in Europe by advances on account of war expenditure and loan redemptions. The gross amount so advanced was £29,623,073, made up of £26,340,245 for war purposes and £3,282,828 for loans redemption.
Name of Stock. Nominal Value. Annual Interest. 3-per-cent. Transvaal stock 3-per-cent. Egyptian guaranteed bonds 3j-per-cent. India stock 3-pcr-cent India stock 2|-per-cent. India stock 5-per-cent. British war-loan stock . . 5-per-cent. British war-loan stock .. t . £ 230,000 59,000 153,010 357,766 65,340 20,000 1,263,158 £ 6,900 1,770 5,355 10,733 1,634 1,000 63,158 Totals £2,148,274 £90,550
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The following arc the particulars : — 31 per cent. £1,000,000 due Ist March, 1928, or Ist March, 1925, or after on giving six months' notice. 4| „ £7,414,141 due Ist December, 1945, or Ist December, 1925, or after on giving six months' notice. 5 „ £11,100,000 due Ist June, 1947, or Ist June, 1929, or after on ' giving six months' notice. 5| „ £9,900,000 due Ist September, 1928. 3| ~ £168,421 Memorandum of security. 5 „ £40,511 £29,623,073 The question of placing the debt on an improved basis has engaged my attention for some time past, and I am now pleased to announce that an arrangement satisfactory to New Zealand has been made. It has been decided to fund £27,532,164 on a 6-per-cent. annuity basis, which will heave the effect of automatically discharging this sum from the public debt of New Zealand in about thirty-seven years; this leaves aside £2,090,90!) State Advances debt redemption as that office has its own provision for sinking fund. The conditions include the concession that the whole or part of the funded debt may be redeemed at any time, thus enabling advantage to be taken of any future reduction in interest rates. This transaction will relieve the annual permanent charges by £53,000, and there is the further advantage that the portion of the accumulated sinking funds relating to this debt now vested in the Public Trustee under the Finance Act, 1918 (No. 2), will be available for reduction of the public debt. LOANS FALLING DUE. The loans falling due during the seven years ending with the year 1929 are as follow :—
In connection with the large amount which matures during the current year I am pleased to state that I have been able to make satisfactory arrangements for redemption or renewal without materially increasing the annual charge for interest. TRUSTEE INVESTMENT IN GOVERNMENT SECURITIES. It has been represented that the legislation of certain Australian States does not permit of investment of trust funds in New Zealand Government securities, whilst, on the other hand, the New Zealand Trustee Act legalizes investments by New Zealand trustees in Commonwealth or Australian State stocks. lam therefore endeavouring to obtain reciprocal arrangements which should assist in maintaining the balance between the Commonwealth and the Dominion, whose financial interests are closely related.
Year ending 31st March, London. Australia. New Zealand. Total. 1923 1.924 1925 1926 1927 1928 1929 £ 55,300 1,747,200 338,100 £ 639,450 3,300 12,200 £ 8,207,606 7,798,365 11,210,247 15,494,557 3,606,220 2,578,260 3,025,310 £ 8,902,356 9,548,865 11,560,547 15,494,557 4,342,520 3,678,260 12,925,310 1,000 1,000,000 9,900,000 735,300 100,000 13,041,600 1,490,250 51,920,565 66,452,415
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INVESTMENT OF SURPLUS CASH BALANCES OF PUBLIC ACCOUNT. As a result of the authority provided by section 28 of the Finance Act, 1920, which permits the investment of the surplus balances of the Public Account in London in Imperial Government securities and on fixed deposit with banks, interest amounting to £17,161 was earned and credited to the Consolidated Fund during the year. BANK OF NEW ZEALAND. The advantage to the Government of the banking legislation passed in 1920 is reflected in the dividends received from the Bank of New Zealand for the financial year 1921-22, which amounted to £112,500. On the £500,000 preference "A" shares the dividend is fixed at £50,000, or 10 per cent. On the £625,000 preference "B " shares the dividend received was £62,500. This was equal to the dividend of last year, and represents a return of 16§ per cent, on the capital invested in these shares. The total dividend, £112,500, is at the rate of 10 per cent, on the nominal value of the shares held by the Government, £1,125,000, or 12-£ per cent, on the total funds invested, £875,000. DEPARTMENTAL ACCOUNTS. I stated last year that the preparation of Departmental accounts in such a form as to express their operations on a commercial basis was well in hand, and a number of completed balance-sheets were duly laid before Parliament. Further progress has been made, and the accounts to be presented this session will, with few exceptions, cover all activities of the State. The importance and value of balance-sheets, setting out on commercial lines the activities of every branch of the Government service, have been reported to me from many quarters, and the reform effected in thus requiring each Department to disclose the results of its administration in this manner must be of lasting effect both in the interests of economy as well as of organization. STORES AND'SUPPLIES. An important reform has been effected during the year by the establishment of a central system of control in connection with the purchase and issue of stores and supplies for State services. This control has been definitely vested in a Board consisting of the administrative officers of the principal purchasing Departments, under the chairmanship of the Hon. the Minister of Public Works. It will be the function of the Board to co-ordinate the purchasing, and to control the issues of stores and supplies, and as far as possible to arrange that the prices paid and the conditions imposed under Government contracts shall be upon uniform lines. The centralization of this service has been effected without any serious disturbance of the different departmental systems or of local conditions, but it has eliminated the waste of effort and unduly large expenditure associated with the independent purchasing by different Departments of supplies common to each. Under this arrangement, instead of buying piecemeal, the smaller Departments will be guided and controlled by experts, and also enjoy the benefit of a system of bulk purchasing under which delivery at specified places can be arranged. In addition to the administration of stores, it is anticipated that the Board will be able to secure economies in the use of technical staffs, such as contracting, accounting, costing, and inspection sections. The Controller and Auditor-General has established a special branch in the Audit Office for the necessary and important work of stores audit, under which better control is assured, and the possibility of leakage or loss passing undetected has been reduced to a minimum. In this connection I propose to ask honourable members to amplify the existing law, to make it clear that stores and supplies are
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the equivalent of cash, and that the power of finally discharging losses and deficiencies from the Public Account is vested in Parliament, by whom any provisional writing-off must be subsequently validated. It is estimated that a saving of something like £200,000 per annum will be effected in the total cost of stores and supplies by these reforms. i WASHINGTON CONFERENCE. It is fitting, in view of its international importance and the far-reaching magnitude of the decisions arrived thereat, that I should make some brief reference to the Conference held at Washington in November, 1921, the sittings of which continued until February of this year. Honourable members will recollect that New Zealand was ably represented at this historic Conference by His Honour Sir John Salmond, who has submitted to the Government a most valuable report concerning the work of the Conference. This report will be laid before the House in due course, and an opportunity given to members for full discussion regarding it. It will be appropriate if I enumerate here a list of the most important of the treaties and other international instruments which have resulted from the Conference : — (1.) The Naval Treaty for the limitation of naval armaments ; (2.) The Pacific Treaty ; (3.) A treaty relative to the use of submarines and poison gas ; (4.) A treaty regarding the independence of China ; (5.) A treaty relative to Customs tariff in China ; (6.) The Shantung Treaty between China and Japan, and various resolutions relating to the internal administration of China. It is earnestly to be hoped that the deliberations and manifold results of the Washington Conference, as briefly set out in the foregoing summary, will be a powerful factor not only in minimizing the danger of future wars, but also in promoting peace and harmony among the nations of the earth. BRITISH EMPIRE EXHIBITION. The question of New Zealand's participation in the British Empire Exhibition to be held in London in 1924 was discussed at a Conference at which I was present in London in July of last year. I then indicated that the New Zealand Government would assist in making a success of the Exhibition, whose main objects are the fostering of inter-Imperial trade, ihe finding of fresh world's markets for Dominion and Home products, and of aiding the discovery of further sources of national wealth in the development and utilization of the raw materials of the Empire. A visit is at present being paid to New Zealand by a mission headed by the Assistant General Manager of the Exhibition, with a view of interesting the citizens of the Dominion in the Exhibition and to ascertain from the Government the amount of money to be allocated for New Zealand's representation. Ample evidence has been received by the Government showing that a great interest is being taken throughout New Zealand in the Exhibition and that very satisfactory support is being accorded to it by intending exhibitors. The Minister of Industries and Commerce has taken steps to secure the assistance, in an advisory capacity, of gentlemen who are prominent in the producing, commercial, industrial, and labour affairs of the Dominion, and has secured on behalf of the Government the active co-operation of these interests in making New Zealand's participation in the project worthy of the Dominion. The Government is particularly desirous of using the Exhibition as a means of making known the merits of the primary products of New Zealand, of increasing our exports of wool, butter, cheese, kauri-gum, hides, frozen lamb, frozen mutton, hemp, and tallow; of showing the substantial development that has taken place in our secondary industries during recent years; making better known the opportunities the Dominion offers for
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the investment of British capital, and for the settlement of the right type of British immigrant, and displaying to advantage New Zealand's natural mineral wealth, our quantities of gold, coal, iron-ore, greenstone, and other valuable minerals. The attractions the Dominion offers to the tourist, the sportsman, and the health seeker will also be fully illustrated. The Exhibition opens on Ist May, 1924, and continues until the end of October, 1924. RURAL-CREDIT ASSOCIATIONS. I have arranged with the Public Accounts Committee to inquire into the Government's proposals with regard to agricultural banks, or rural credit associations as they are called in some countries. This matter will be taken in hand at once, and the evidence of experts will be heard so that the necessary legislation may reach the statute-book during the present session. ECONOMIES AND SAVINGS. Although it is somewhat difficult to express in precise figures the full extent of the economies and savings that have been and are being effected, I have attached a table which shows the result so far of the operation, of the Public Expenditure Adjustment Act and of economies effected by Departments. I have had conferences with the Heads of the respective Departments, who fully recognize the necessity of reducing administrative expenditure to the lowest possible figure, and are rendering valuable assistance. Honourable members will recognize that a general reorganization to effecteconomy must be a gradual process, as ill-considered savings (inly lead to extravagance and waste. The duty which has devolved upon the Government is by no means a pleasant one, especially when faced with the absolute necessity of reducing cash grants and services, as well as dispensing with staff, at a time when employment is difficult to obtain, but the balance between taxation and expenditure must be maintained upon an equitable and sound basis. Justifiable and desirable expenditure has had to be postponed, for the simple reason that at present the country cannot afford it. The results which I summarize hereunder indicate the actual reductions and savings effected in detail, and also the economies now being effected and proposed, including those in the table referred to. The period under review runs from the Ist April, 1921, at which date I directed the operation of special measures to bring about the necessary reductions. As the adjusting and co-ordinating process is gradual, and I desire to bring these changes about with as little disturbance as possible to the various public utilities which are used by all classes of the community, the full effect of the economies under action and proposed cannot yet show in the annual appropriations. First taking the Consolidated Fund expenditure, the reductions are — Departmental Votes — £ • £ Estimates, Main, 1921-22 .. .. 16,055,112 ~ Supplementary .. .. 341,131 16,396.243 Deduct actual net expenditure .. 15,592,677 E eduction .. .. .. 803,566 Expenditure, 1921-22 .. .. 15,592,677 Deduct estimate, 1922-23 .. .. 14,703,401 Seduction .. .. .. .. 889,276 Total departmental reductions effected over — ■ period .. .. .. .. .. £1,692,842
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Special Acts — £ £ Estimates, 1921-22 .. .. ..4,667,803 Add Supplementary . . . . . . 5,972 4,673,775 Deduct actual expenditure (less advances , other Governments) .. . . 4,341,466 Reduction .. .. .. .. 332,309 Expenditure, 1921-22 .. .. .. 4,341,466 Deduct estimates, 1922-23 . . . . 4,013,754 Reduction .. .. .. .. 327,712 Total economies under special Acts over period .. .. 660,021 Departmental reductions as above .. . . . . 1,692,842 Total economies departmental and special Acts over period £2,352,863 The savings in interest and other economies in course of being effected amount to a considerable sum. Taking interest and sinking fund, charges, the position is that had I during the preceding years allowed our surplus revenue to be expended on annual services, not only would the Consolidated Fund expenditure have been much greater than it is, but the interest and sinking-fund permanent charges would have increased proportionately. The use of these surpluses for capital purposes such as soldier' settlement, &c.—purposes beyond administrative or policy control—undoubtedly obviated borrowing at heavy cost, and the amount given is based on a conservative rate of interest. Savings in. interest and sinking-fund charges and gains : — £ On £14,560,000, as detailed on page v .. .. ..436,800 On funding Imperial debt .. .. . . .. . . 53,000 By profits on investments, Imperial war stock . . .. 63,150 Through deferment of loan-flotation, commissions, &c. . . 51,000 Treasury bills used instead of selling securities . . .. 93,000 Total .. . . .. .. .. £696,950 Other Economies effected, now being effected, and proposed. Due to services reduced and financial adjustments, 1921-22 : — £ Expenditure voided owing to reduced services (including £578,106 due to termination of butter and flour subsidies, being difference between payment 1921-22 and estimated season's subsidies, £1,000,000) .. .. .. 780,000 Amalgamations, co-ordinations, increased fees, &c. .. .. 160,000 Improved stores control . , . . . . . . .. 200,000 Proportion of annual rate not yet operating of total reduction in cost-of-living bonus in terms of Public Expenditure Adjustment Act .. .. .. .. .. .. 466,000 Estimated savings on proposed redemption and cancellation of death duties stock and war-loan securities .. . . . . 45,000 By proposed transfer of £1,250,000 from surplus to public works and development accounts . . . . . . . . 25,000 Total .. .. . . .. .. £1,676,000
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SUMMARY. Economies, Savings, Reductions, etc. £ Actual in Departments and special Acts from Ist April, 1921 .. 2,352,863 Interest and sinking-fund charges. . .. .. .. 696,950 Other economies proposed, effected, and in hand .. . 1,676,000 ' Total Consolidated Fund .. .. .. 4,725,813 Miscellaneous Departments and accounts .. .. .. 464,606 Grand total .. .. .. ~£5,190,419 In considering the foregoing it is necessary to remember that the estimated expenditure includes the cost of those automatic increases which inevitably follow the growth of population and expansion of business. These are substantial items which being statutory cannot be avoided, such, for instance, as interest and sinking fund, pensions, scale increases to salaries of public servants, education, hospital and other social services, whilst, of course, administrative charges are proportionately increased. As the country develops new services require also to be undertaken. All of this represents expenditure that cannot be eliminated, and amounts to a large sum, which tends to obscure the effect of the economies. The figures, however, should, I think, satisfy honourable members that the attention I am giving to this important matter has already brought about satisfactory results. The estimated savings in full in respect of the economies and adjustments in course of operation should in the main be realized by the end of the current financial year. I do not suggest that this is a complete programme of what is required to be done, as I am convinced that the most important part of the policy of this country for a considerable time to come (along with energetic development) must be retrenchment and economy. If we profit by the lessons of the last two years the depression from which we have suffered will not have been an unmixed evil. Every possible effort on the part of the Government, Parliament, and people should be used in the direction of reducing the cost of government, of reducing the cost of production, of reducing taxation, and consequently keeping the public expenditure within the public income. There will be no satisfaction until this is accomplished, and there should be no slackening-off. These difficulties are not peculiar to New Zealand, and, as an illustration of the financial burdens imposed by the war on Governments in other parts of the world, I have included an interesting table showing the abnormal increases since 1913-14. ESTIMATE OF REVENUE. The causes which reduced the revenue of the last financial year will continue to be felt during the current year, especially as regards the land and income tax. I estimate the revenue under the main heads of each of the important Departments at: — £ Customs .. .. .. .. .. 5,160,000 . Beer duty .. .. . . . . . . 650,000 Railways .. .. .. .. .. 7,200,000 Stamp and death duties . . . . . . 2, 726, 000 Post and telegraph .. .. . . . . 2,766,000 Land-tax .. .. .. .. .. 1,500,000 Income-tax .. .. .. '. . .. 4,100,000 Registration and other fees .. .. .. 147,000 Marine .. .. .. .. .. 52,000 Miscellaneous .. .. .. .. 1,400,000 Territorial .. .. .. .. .. 202,000 National endowment .. .. . . . . 105, 000 Departmental and other receipts .. . . 242,000 Total .. .. .. .. £26,250,000
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ESTIMATED EXPENDITURE. The expenditure for the year is estimated at: — Permanent charges: — £ Civil List .. .. .. .. 29,831 Interest and sinking fund— £ t Ordinary debt .. .. 4,315,667 War debt.. .. .. 4,667,437 8,983,104 Under special Acts: — Pensions— Civil and military .. .. 1,061, 096 War .. .. .. 1,650,000 2,711,096 Other Acts, including subsidies for social services 1,302,658 13,026,689 Annual appropriations .. .. .. 14,911,526 £27,938,215 The estimated expenditure shows a nominal increase of £208,000, representing Printing Office receipts now credited to Revenue Account instead of to the relative vote, and which for purposes of comparison with previous expenditure should be set off against the estimate for the current year. ESTIMATED RESULT FOR THE YEAR. To the estimated revenue I propose to add £2,000,000 of the excess Customs revenue of 1920-21, specially reserved for the purpose of meeting the inevitable effect upon the revenue of the years immediately succeeding the period of overimportation. The net amount of the accumulated surpluses brought forward at Ist April, 1922, was £7,531,367, including excess Customs revenue. Securities representing £1,000,000 temporarily invested in the Railways Authorization Improvement Account are also included. As indicated, I propose to transfer £1,250,000 to public works and other developmental accounts, thus reducing our loan requirements for the current year and at the same time making provision for unemployment. The estimated result of the year may be summarized thus : — £ £ Balance forward .. .. .. 7,531,367 Estimated revenue .. ..26,250,000 £33,781,367 Less — Estimated expenditure .. 27,938,215 Supplementary estimates .. 250,000 Transfer, public works .. 1,250,000 £29,43 8,215 Estimated credit balance at 31st March, 1923 £4, 343,152 This balance will be available during the ensuing year to cover the margin between expenditure and revenue, and to meet with regularity the Dominion's commitments without incurring heavy interest charges prior to the receipt land and income tax. RESULTS. Consolidated Fund receipts, £28,127,007; expenditure, £28,466,838. Transfers from accumulated surpluses to — Discharged Soldiers Settlement Account, Loans Redemption Account, &c, £780,011. Portion of excess Customs duty used for balancing, £279,831.
vii—B. 6.
XLIX
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L
Excess Customs duty available to supplement revenue, £2,000,000. Income from Reserve Fund, London, £90,550. Accumulated surpluses carried forward, £7,531,367. Public-works expenditure, £5,461,407. Unemployment provided for. Extensive development of hydro-electric works. Loan redemptions, and renewals, £7,741,055. Customs revenue and excise, £5,554,334. Tariff arrangement with Australia. Land-tax receipts, £1,637,816. Income-tax receipts, £6,002,987. Stamp revenue, £3,444,504. Totalizator-tax, £515,248. Bank-note tax, £227,080. Amusements-tax, £103,815. Post and telegraph revenue, £2,748,481. Railway revenue, £6,600,000. Savings-bank deposits, £29,125,907. Total War-loan Certificates sold, £4,619,983. Total Post office Investment Certificates sold, £229,673. Machine printing telegraph installed. Rural mail-delivery extended. Waste lands developed and subdivided. Soldiers' privileges extended to South African War veterans. Kauri gum purchased, £38,600. Advances authorized to 20,392 discharged soldiers, £20,409,571. Modern dredge equipment for swamp-drainage. £3,000,000 increased value of drained swamp lands. Total value of exports for year, £43,794,883, including agricultural products, £39,236,528. Reduction in price of Nauru and Ocean Island phosphate. Financial assistance granted by the Repatriation Department to 58,622 men, amounting to £2,197,956. Block of sulphur-bearing land purchased in North Island. Publications Committee established. Expenditure on education services, £3,526,000. Defence Department reorganized. Saving of £50,000 per annum in contract for supply of small-arms ammunition. Centralized control of motor transport. War pensions paid since 1915, £7,335,044. Co-ordination of all pensions and annuities with Pensions Department. Total contributors National Provident Fund at 31st December, 1921, 21,713: Funds, £632,653. Total cost-of-living allowances paid to Public Service annuitants, £137,461. Native Department reorganized. Native lands purchased by Crown, totalling 1,089,084 acres. State advances to settlers, workers, and local authorities during the year, £1,921,965. Subsidies to Hospital Boards paid, 1921-22, £471,711. Native Trust Office inaugurated. Westport Harbour vested in the Crown. Greymouth Harbour Board finances placed on satisfactory footing. Mediation, in respect of dairy-farmers' mortgages. £5,000,000 5-per-cent. loan floated at par. Transfer of New Zealand Consolidated Stock (London issue) from London to New Zealand, registers provided, for. Reduction of free-of-income-tax securities. Interest, £17,161, earned through investment of surplus cash balances of Public Account. Total dividend from Bank of New Zealand for year 1921-22, £112,500, or 12f per cent, on amount (£875,000) invested.
LI
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Co-ordination of buying and control of stores and supplies. Total savings and economies effected in Departments and under special Acts, £2,352,863. Savings in interest and sinking-fund charges, £436,800. < ESTIMATES AND PROPOSALS. Consolidated Fund— Estimated revenue, £26,250,000. Estimated expenditure, £27,938,215. Revenue to be supplemented by £2,000,000, excess Customs duty reserve. £l ,250,000 to be transferred to works and development capital accounts. Expenditure to be further reduced. Loan for public works. Continued provision for unemployment. Backblocks to be developed. J lydro-electric development to be accelerated. Land settlement to be actively promoted. Primary and secondary industries to be stimulated. Further extension of telephone system. Additional wireless-telegraph facilities to be provided. Estimated savings as result of improved control of stores and supplies, £200,000. Conversion of free-of-income-tax securities. • Improvement in the system of sinking funds in connection with the public debt. Provision for additional post-office accommodation. Cost of departmental printing and publications to be reduced. £350,000 to be provided for school buildings. Transfer of £3,000,000 to Loans Redemption Account. Increased contribution for naval defence. Investigation of pension systems in general. Stabilization of Superannuation Funds. Redemption of Death Duty Stock. Reduction of public debt by £5,000,000. Funding of Imperial advances made during war, £27,532,164. Development of reproductive irrigation schemes. Progressive work on important lines of railway now under construction. Further increase in value of national assets by swamp-drainage operations. Representation at British Empire Exhibition. Savings and economies operating and in hand, £1,676,000. Establishment of Rural Credit Associations. Estimated credit balance at 31st March, 1923, £4,343,152. CONCLUSION. I think I can claim, and with reason, that the outlook for the present financial year is very much better than was the case at the corresponding date in 1921. It is true that since then there has been a serious drop in revenue, but there has also been a decrease in departmental expenditure. The withdrawal of part of the bonuses which were agreed to and provided for in 1920 and preceding years as against the increased cost of living has naturally caused a certain amount of dissatisfaction, but I am glad to be able to express the opinion that the great majority of those in the Public Service realize that the burdens which the State is carrying at present are too heavy, and must be reduced if within a reasonable time we are to get back to normal prosperity. .Economy and industry must be the watchword of the citizens of this country for a considerable time to come. So far as industry is concerned, there is little to find fault with. Undoubtedly the war and the aftermath of the war have had a very unsettling effect, but the manner in which most of the people of this country have gone back to work is beyond all praise, and this result is shown in the steadily increasing volume of our exports. It should be the duty of all concerned to reduce the prices of commodities required in New Zealand,
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and to reduce the cost of production wherever possible so as to enable us to compete successfully in the markets of other countries, and at the same time bring down the cost of living in this country. There is no royal road to prosperity, and there is only one way, and that is the way of industry and co-operation. In a crisis such as that through which we are passing, every citizen must be prepared to do his share of the work and carry his share of the burden. No other method will bring complete success. In a country like New Zealand, with its good soil, good climate, and industrious population, and the best markets in the world ready to receive its products, a financial depression, however severe it may be, cannot last for long. With the steady application of those qualities which I believe NewZealanders possess in an unusual degree the time must come, and soon, when the depression will pass away as mist disappears before the morning sun.
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TABLES TO ACCOMPANY THE FOREGOING STATEMENT. I'agc. Table No. I.—Ahstract on Receipts and Expenditure of the Financial Year ended 31st Maroh, 1922. She Parliamentary Paper 8.-l (Part I). Table No. 2.—The Public Debt on 31st March, 1922. See Parliamentary Paper 8.-l (Part II). Table No. 3.—The Debt transferred to the New Zealand State Advances Office at 31st March, 1922. See Parliamentary Paper 8.-l (Part II). Ta files Nos. 4 and 4a.—Statements of the Estimated Liabilities of TnE Consolidated Fund outstanding on 31st March, 1912 to 1922 inclusive .. .. .. .. .. ..2,3 Tables Nos. 5 and 5a. —Statements of the Estimated Liabilities of the Public Works Fund and other Accounts outstanding on 31st March, 1912 to 1922 inclusive .. .. .. 4, 0 Table No. o.—Statement showing the Total Ways and Means of the Public Works Fund and the Total Net Expenditure to 31st March, 1922 .. .. .. .. .. 7, 8 Table No. 7.—Estimated Expenditure of 1922-23, compared with the Actual Expenditure of 1921-22 8 Table No. B.—Estimated Revenue of 1922-23, compared with the Actual Revenue of 1921-22 .. 9 Table No. 9. —Statement showing the Amount charged to "Unauthorized" in EAon Financial Year from Ist July, 1875, to 31st March, 1922 .. .. .. .. .. 9 Table No. 10. — R,eturn of Subdivisions of Rural Freeholds tn New Zealand from Ist April, 1912, to 31 st March, 1922 .. .. .. .. .. .. .. ..10 Table No. ll.—Statement showing the Financial Position of the Dominion on the 3Lst March, 1922, compared with the 31st March, 1921 .. .. .. .. .. ..10-15 Table No. 12.—Statement of Assets held, and Capital Expenditure, as acatnst the Puiiltc Debt on the 31st March, 1922 .. .. .. .. .. .. ..16-18 Table No. 13.—Economies and Savings in the Puhltc Service .. .. .. .. ..18-22 Table No. 14. —Statement showing Advances for War and other Purposes received from Imperial Government to 3lst March, 1922 .. .. .. .. .. ..22 Table No. 15.-Increased Financial Burdens .. .. .. .. .. .. ..23
I—B. (3.
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2
Table No. 4. Statement of the Estimated Liabilities chargeable on the Consolidated Fund (Revenue Account) outstanding on the 31st March, 1912. 1913, 1914, 1915, 1916, 1917, 1918, 1919, 1920, and 1921.
31st March, 1912. ', Slst March, 1913. 31st March, 1914.! 31st March, 1913. 31st March, 1916. 31st March, 1917. 31st March, 1918. I II 31st March, 1919. 1 31st March, 1920. j 31st March, 1921. Revenue Account. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. Permanent Appropriations, — Civil List .. .. .. 230 18 2 208 6 9 227 16 9 ' 143 19 6 3,200 0 0 84 0 4 Under special Acts of the Legislature .. .. .. 3,372 10 3 2,518 4 6 14,937 0 0 8,614 13 4 15,508 6 8 1,012 14 10 Pensions .. .. .. .. .. 68 11 8 , .. 72 13 11 £ s. d. £ s. d. 208 6 9 227 16 9 ! 2,518 4 6 14,937 0 0 68 11 8 : £ s. d. £ s. d. 143 19 6 3,200 0 0 8,614 13 4 15,508 6 8 72 13 11 £ s. d. 84 0 4 1,012 14 10 £ s. d. 53 14 4 £ s. d. ! 23 8 5 £ s. d. £ s. d. ; 148 4 5 2,351 0 0 270 9 3 2,746 0 0 312 8 4 4,738 18 10 498 2 0 7,168 0 5 594 0 6 ! | 3,603 8 5 2,726 11 3 15,233 8 5 8,758 12 10 j 18,781 0 7 1,096 15 2 2,726 11 3 15,233 8 5 8,758 12 10 | 18,781 0 7 7,910 5 4 1,096 15 2 2,675 3 7 3,081 16 9 : 5,237 0 10 Annual Appropriations, — Legislative Departments .. 74 15 11 103 11 4 152 2 1 246 11 0 400 3 9 83 15 1 Departments of Minister of Pinance .. .. .. 427 16 8 182 7 5 592 14 6 397 4 6 393 7 8 1,588 14 2 Post and Telegraph Department 63,981 0 0 58,83119 10 63,566 5 6 79,466 10 8 63,474 0 0 65,245 4 7 Working Railways .. ..'172,451 00 150,514 0 0 136,909 0 0 157,575 0 0 113,679 0 0 129,112 0 0 Public Buildings, Domains, and ("1,96115 11 3,487 6 1 1,719 8 6 9,195 0 0! 6,281 0 0 4,964 0 0 Maintenance of Roads .. ( 5,472 0 0 3,516 0 0 6,099 0 0 6,156 0 0 1 3,435 0 0 5,877 0 0 Justice Department*.. .. 5,973 6 0 12,178 15 11 8,884 4 8 6,707 6 9 7,044 0 1: 6,863 4 1 Mines Department .. .. .. 6111 2 8,658 17 6 6,846 13 11 Internal Affairs Department .. 11,31112 2 10,968 16 10 19,064 12 2 14,655 17 5 : 10,791 15 6 119,572 3 3 Defence Department.. .. 6,648 6 0 12,958 10 5 7,055 15 5 25,369 5 11:20,408 19 1 7,792 13 9 Customs Department .. 1 2 „ 60 lg g g gg? 6 w 1 U1 16 4 1 2g4 % 1 1 24g 16 g 3 3 - 0 16 g Marine Department ....)' ' ' Labour Department .. .. 255 3 6 .. 869 0 7 465 17 10 570 4 3 890 3 8 Lands Department .. .. 6,170 12 3 11,385 5 3 4,065 19 9| 2,625 5 2 1,695 8 10 1,914 19 2 Agriculture Department .. 11,716 11 4 10,403 7 0 8,420 0 0 3,134 0 0 6,500 0 0 4,060 0 0 Education Department .. 850 0 1 8,877 16 11 2,402 10 6:13,862 8 2 41,060 0 0 20,332 0 0 Valuation and Electoral Departmentsf 103 11 4 152 2 1 246 11 0 400 3 9 83 15 1 182 7 5 592 14 6 397 4 6 393 7 8 1,588 14 2 58,831 19 10 63,566 5 6 79,466 10 8 63,474 0 0 65,245 4 7 150,514 0 0 136,909 0 0 157,575 0 0 113,679 0 0 129,112 0 0 3,487 6 1 1,719 8 6 9,195 0 0 ! 6,281 0 0 4,964 0 0 3,516 0 0 6,099 0 0 6,156 0 0 I 3,435 0 0 i 5,877 0 0 12,178 15 11 8,884 4 8 6,707 6 9 7,044 0 1 \ 6,863 4 1 61 11 2 8,658 17 6 6,846 13 11 j 10,968 16 10 19,064 12 2 14,655 17 5 10,791 15 6 I 19,572 3 3 12,958 10 5 7,055 15 5 25,369 5 11 ; 20,408 19 1 7,792 13 9 2,927 6 10 1,447 16 4 1,234 2 1 1,248 16 8 3,350 16 3 869 0 7 465 17 10 570 4 3 890 3 8 11,385 5 3 4,065 19 9 ! 2,625 5 2 1,695 8 10 1,914 19 2 10,403 7 0 8,420 0 0 3,134 0 0 6,500 0 0 4,060 0 0 8,877 16 11 2,402 10 6 I 13,862 8 2 41,060 0 0 20,332 0 0 955 12 1 7,707 16 7 81,067 19 6 136,976 0 0 114,463 0 0 10,227 2 6 20,796' 2 2 17,292 7 6 958 6 5 30 10 9 1,818 11 1 33,827 13 6 10,991 11 11 51,929 0 9 88,463 0 0 174,127 0 0 125,012 17 6 170,311 5 10 262,551 0 0 40S,363 0 0 11,131 0 0 | 20,400 0 0 16,078 0 0 8,691 10 8 8,136 17 9 20,884 18 10 1,300 0 0 2,455 0 0 33,587 10 3 16,115 9 8 32,599 12 3 20,288 9 10 5,637 7 1 6,396 0 9 5,144 0 5 6,118 14 9 2,283 12 7 4,082 11 0 1,057 3 8 1,104 15 3 8,016 0 0 14,196 0 0 447 3 1 362 3 "8 1,343 11 2 2,998 17 4 828 12 3 4,528 0 5 50,173 0 0 2,061 0 0 14,988 0 0 18,585 0 0 4,122 0 0 11,616 0 0 1,243 15 1 ! 1,470 15 6 641 13 8 290,054 16 3 286,396 18 0 269,907 7 6 327,937 3 5 1276,981 15 10 j271,646 14 0 286,396 18 0 269,907 7 6 327,937 3 5 |276,981 15 10 271,646 14 0 319,003 19 8 1446,825 6 9 510,418 1 2 702,736 17 5 Services not provided for .. 82 10 1 Totals .. .. 293,740 14 9 289,123 9 3 J285,140 15 11 ,336, 69S 16 3 295.762 16 5 272,743 9 2 82 10 1 87 1 0 5 16 6 1321,766 4 3 449,907 3 6 515,655 2 0 710,652 19 3 * Native Includes Department. t Previous to 1918-19 Valuation Department "was included in Lands Department and Electoral Department was included in Internal Affairs Department.
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3
Table No. 4a. Statement of the Estimated Liabilities chargeable on the Consolidated Fund (Revenue Account) outstanding on the 31st March, 1922. REVENUE ACCOUNT. Permanent appropriations— £ s. d. Civil List ... .. .. .. .. .. .. .. 232 10 1 Under Special Acts of the Legislature .. .. .. .. .. 37, 6G9 6 0 Pensions .. .. • .. .. .. .. .. .. 412 12 4 Annual appropriations— Legislative Departments .. .. .. .. .. .. 3,855 16 8 Treasury Department .. .. .. .. .. .. .. 35 18 10 Land and Income Tax Department .. .. .. .. .. 1,969 12 7 Stamp Duties Department . . .. .. .. .. .. 91 12 10 National Provident and Friendly Societies Department ... .. .. 1,884 0 0 Working Railways .. .. .. .. .. .. .. 182,645 0 0 Post and Telegraph Working-expenses .. .. .. .. .. 115,335 0 0 Public Buildings .. .. .. .. .. .. .. 4,882 0 0 Government Domains .. . . .. .. .. .. .. 122 0 0 Maintenance and Improvement of Roads .. .. .. .. .. 6,360 0 0 Native Department . . .. . . .. .. .. .. 186 5 9 Department of External Affairs .. .. . . .. .. .. ■ 444 0 0 Department of Industries and Commerce .. .. .. .. .. 34,586 11 7 Department of Justice .. .. . . . . .. .. .. 779 12 6 Supreme and Magistrates' Courts . . .. . . .. .. .. 951 9 9 Prisons Department .. .. .. .. .. .. .. 2,746 11 2 Police Department .. .. .. .. .. .. .. 7,299 13 10 Cook Islands .. .. .. .. .. .. .. .. 604 0 0 Mines Department . . .. .. .. .. .. .. 1, 350 0 0 Department of Internal Affairs . . .. .. .. .. .. 5,922 5 4 Audit Department . . . . .. .. .. .. .. 233 10 8 Printing and Stationery .. .. .. .. .. .. .. 9,745 19 10 Mental Hospitals .. .. .. .. .. .. .. 11,714 8 9 Department of Health .. .. .. .. .. .. 32,218 9 4 Naval Defence .. .. .. .. .. .. .. .. 21,044 0 0 ' New Zealand Military Forces and Cadets .. .. .. .. .. 6,920 9 2 Aviation .. .. .. .. .. .. .. .. 169 810 Rifle clubs .. .. 121 19 0 Customs Department . . .. .. .. .. .. .. 517 0 8 Marine Department .. .. .. .. .. .. .. 3,970 0 2 Department of Labour .. .. .. .. .. .. .. 2,302 2 1 Department of Lands and Survey .. .. .. .. .. 5,835 4 8 Valuation .. .. .. .. .. .. .. • .. 2,113 5 7 Electoral - 192 11 2 Agriculture 12,693 0 0 Tourists 3,671 7 2 Education Department .. .. .. .. .. .. .. 25,963 3 4 Total .. .. .. .. .. .. .. £549,791 19 8
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4
Table No. 5. Statement of the Estimated Liabilities chargeable on the Public Works Fund outstanding on the 31st March, 1912. 1913, 1914, 1915, 1916, 1917, 1918, 1919, 1920, and 1921.
31st March, 1912. 31st March, 1913. 31st March, 1914. 31st March, 1915. 31st March, 1916. 31st March, 31st March, 31st March, 31st March, 31st March, 1917. 191S. 1919. 1920. 1921. Annual Appropriations — £ s. d. Public Works, Departmental .. 283 19 3 Railways .. .. .. .. 622,761 12 2 Development of Water-power .. 56,157 9 1 Irrigation and Water-supply Public Buildings .. .. .. 176,855 6 3 Lighthouses, Harbour-works, and Har-bour-defences .. .. .. 722 19 6 Tourist and Health Resorts .. 880 17 6 Immigration .. .. .. 3,595 6 10 Roads .. .. .. .. 219,069 0 0 Development of Mining Telegraph Extension .. .. 111,372 0 0 Contingent Defence Lands Improvement .. .. 148 15 2 Plant, Material, and Stores.. Electric Supply £ s. d. £ s. d. 566 16 8 105 17 1 255,340 3 0 287,777 3 10 80,910 10 11 235,148 17 9 527 9 8 945 13 9 1,791 0 0 4,889 0 0 162,25811 6 226,114 16 4 1 192 4 9 171,297 1 0 2351665 16 3 55 0 0 1,240 18 2 203 16 1 £ s. d. 1,930 0 0 417,718 0 0 175,040 13 11 133 14 7 1,642 0 0 250,195 0 6 499 12 2 247,113 17 4 28S 15 1 399 7 4 £ s. d. I 710 0 0 293,522 0 0 188,640 8 11 53 0 0 1,217 0 0 £ s. d. £ s. d. £ s. d. 1,316 0 0 691 0 0 973 0 0 233,271 0 0 150,492 0 0 229,396 19 9 1,424 0 0 68l' 0 0 1,360 0 0 150,934 14 8 117,774 10 4 71,646 3 6 ... _ . . 140 7 8 55 17 9 190 0 0 70 0 0 4,250 0 0 £ s. d. £ s. d. 869 0 0 240,240 0 0 S18,593 0 0 4,322 0 0i 3,257 0 0 64,969 2 7 112,903 14 9 .. _ J 49 5 6 187 4 10 2,182 1 4 174,220 0 0 116,564 0 0 129,710 0 0 156,409 0 0 304,313 0 0 393,226 0 0 682 0 0 266,273 0 0 463,842 17 6 11,468' 0 0 3411 8 7,801 0 0 10,887 11 6 15,907 0 0 112 10 6 509 18 11 321 4 1 2,980 0 0 13.962 0 0 38,621 0 0 372 0 0 .. 72,898 0 0 138, 69S 0 0 .. •- .. 1,191,847 5 9 Services not provided for .. .. 122 0 0 673,932 10 11 992,098 5 10 1,094,961 0 11 677,666 0 7 506,932 12 10 424,833 18 6 519,256 7 4 954,071 7 51933.433 19 1 .. Totals .. .. .. 1,191,969 5 9 673,932 10 11 992,098 5 10 1,094,961 0 11 677,666 0 7 506,932 12 10 424,833 18 6 519,256 7 4 954,071 7 51,933,433 19 1
8.—6
5
Table No. 5—continued Statement of the Estimated Liabilities chargeable on the undermentioned Separate Accounts outstanding on the 31st March, 1912, 1913, 1914, 1915, 1916, 1917, 1918, 1919, 1920, 1921, and 1922.
31st March, 1912. 31st March, 31st March, 31st March, 1913. 1914. 1915 31st March, 1916. 31st March, 1917. 31st March, 1918. 31st March, 1919. 31st March, 1920. 31st March, 31st March, 1921. 1922. £ s. d. Aid to Water-power Works Account Discharged Soldiers Settlement Account Education Loans Account Electric Supply Account Government Accident Insurance Account .. 606 14 4 Government Life Insurance Account .. 412 11 10 Hauraki Plains Settlement Account .. 1,861 3 1 Housing Account Irrigation and Water-supply Account Kauri-gum Industry Account Land for Settlements Account .. .. 2,977 3 9 Land for Settlements Account (Discharged Soldiers Settlement Account) Land for Settlements Account (Opening up Crown Lands for Settlement Account) .. 9,582 0 0 National Endowment Account .. .. 4,687 5 8 Native Land Settlement Account .. 429 10 0 Nauru and Ocean Islands Account Public Service Superannuation Fund Account Railways Improvements Account.. .. 132,486 0 0 Railways Improvement Authorization Act 1914 Account Rangitaiki Land Drainage Account .. 889 3 8 Scenery Preservation Account .. .. 102 2 3 State Advances Account.. .. .. 389 0 11 State Coal-mines Account State Eire Insurance Account .. .. 8S4 1 7 State Forests Account .. .. .. 600 19 8 Swamp Land Drainage Account Telegraph Extension Account Waihou and Ohinemuri Rivers Improvement Account .. .. .' 9,902 5 6 Waimarino Bush-fire Relief Account War Expenses Account^ Wellington-Hutt Railway and Road Improvement Account .. .. .. 7,600 0 0 £ s. d. £ s. d. £ s. d. 132,162 1 4 34,964 0 6 12,919 0 0 293 8 10 313 16 5 279 1 4 1,256 11 0 447 19 0 645 6 6 163 7 10 45 15 7 165 3 9 50 0 0 200 0 0 6,740 0 0 188 8 11 1,195 19 0 3.385 13 7 3,452 5 4 £ s. d. £ s. d. > £ s. d. 22,861 0 0 28,778 0 0 3,168 12 9 " '.'. 18,603 0 0 315 18 4 140 18 3 218 12 9 366 9 0 347 11 0 253 1 0 100 17 7 143 16 7 130 4 3 3,705 0 0 1,354 5 0 737 18 10 2,525 6 5 2,452 0 0 I .. 311 9 11 £ s. d. £ s. d. £ s. d. £ s. d. '.'. '.'. 9,510 0 0 1,691 13 7 16,673 0 0 102,991 0 0 355,636 0 0 299,214 0 0 191 10 10 273 9 10 210 13 397 5 10 459 18 0 677 14 10 600 1 6 3,740 12 9 371 4 1 118 4 8 4,210 16 10 7,544 5 8 1,630 19 2 8,477 4 7 1,808 8 3 3,761 1 11 165 5 6 515 18 8 525 18 9 982 8 0 9,396 0 0 13,566 0 0 14,362 0 0 2,732 18 3 468 0 0 4,862 0 0 2,559 10 11 2,567 17 10 1,294 8 9 103,233 0 0 j 63,669 0 0 310 13 4 344 5 7 117 19 1 76 8 9 .. 131 6 0 470 8 8 899 0 0 331 3 11 10,707 3 7 2,044 15 10 711 18 4 1,507 9 2 819 16 5 390 4 6 183 10 7 286 10 1 8,050 1 1 8,215 18 0 4,558 0 0 596,709 15 1 < 7,777 0 0 3,679 0 0 200 0 0 5,843 0 0 9,874 0 0 3,177 0 0 1,680 0 0 1,105 11 7 433 1 6 16 16 0 215,792 0 0 97,296 0 0 34,692 0 0 115 16 0 29 0 0 413 11 3 361 0 0 362 8 8 572 8 5 10,000 0 0 .. 10,000 0 0 1,071 12 7 1,068 15 2 18 13 5 153 9 11 .. 124 12 10 60 18 11 267 0 11 16,138 5 4 283 C 0 6,298 0 0 8,066 0 0 916,436 0 3,415,111 0 0 5,415,000 0 0 i 175 ,2 5 1,564 15 5 1,281 19 2 14,594 6 10 192 13 0 4,253 0 0 6,584 0 0 12.150 14 11 673 7 0 1,426 9 1 2,717 9 1 22,870 0 0 296 3 9 15,734 8 3 20,096 0 0 7,388 0 0 11,768 0 0 189 7 10 459 4 5 1,081 0 6 2,767 15 1 29 3 11 483 11 0 290 14 0 707 19 11 615 9 2 622 15 10 11,000 0 0 17,800 0 0 22,000 0 0 22,200 0 0 85 9 0 313 13 3 18 10 4 77 16 3 59 17 5 .. 5,066 10 1 4,485 12 2 310 8 2 163 7 11 683 10 2 3,453 6 7 4,853 0 0 500 0 0 1,877 0 0 5,298 0 0 2,695 17 10 3,948,625 0 0 2,216,349 0 0 603,000 0 0 724,278 6 1
8.—6
6
m m Table No. sa. Statement ok the Estimated Liabilities chargeable on the Public Works Fund outstanding on the 31st March, 1922. Annual appropriations— £ g, d. Public Works, Departmental .. .. .. .. . . .. 562 0 0 Railway-construction .. .. ... .. .. .. .. 371,746 0 0 Additions to Open Lines ~ .. .. .. .. .. 84.656 0 0 Public Buildings, General .. .. .. .. .. ... 33,773 0 0 Courthouses .. .. .. .. .. .. .. .. 214 0 0 Prisons .. .. .. .. .. .. .. .. 1,601 0 0 Police-stations .. .. .. .. .. .. .. .. 912 0 0 Postal and Telegraph .. .. .. .. .. .. 17,098 0 0 Agricultural .. .. .. .. .. .. .. .. 82 0 0 Mental Hospitals . . . . ~ .. .. .. . . 1,982 0 0 Hospitals and Charitable Institutions .. .. .. .. .. 1,281 17 4 Timber-supply .. .. .. .. .. .. .. .. 1,734 0 0 Lighthouses .. .. .. . . . . .. . . .. 550 0 0 Tourist and Health Resorts .. .. .. .. .. .. 78 1 4 Roads, Ac. .. .. .. .. .. .. .. .. 210,609 0 0 Roads on Goldfields .. .. .. . . .. .. .. 600 0 0 Telegraph Extension .. .. .. .. .. 385,109 0 0 Lands, Miscellaneous . . .. .. .. .. .. . . 1,926 1 9 Irrigation and Water-supply .. .. .. .. .. .. 4,591 0 0 Plant, Material and Stores .. .. .. .. .. 24,498 0 0 Total .. .. .. ..£1,143,603 0 5
7
8.—6
Table No. 6. STATEMENT showing the Total Ways and Means of the Public Works Fund and the Total Net Expenditure to the 31st March, 1922.
WAYS AND MEANS. £ s. d. Loans :— Immigration and Publio Works Loan, 1870 .. .. Immigration and Publio Works Loan, 1873 Immigration and Publio Works Loan, 1874 .. .. General Purposes Loan Aot, 1873 .. .. .. New Zealand Loan Act, 1876 .. .. .. .. New Zealand Loan Aot, 1877 .. .. .. .. New Zealand Loan Act, 1879 New Zealand Loan Aot, 1882 Now Zealand Colonial Inscribed Stock Loan Act, 1882 .. North Island Main Trunk Railway Loan Aot, 1882 New Zealand Insoribod Stock Act, 1917, — Finance Act, 1919, Section 5 Aid to Publio Works and Land Settlement Aot, 1921 New Zealand Loan Act, 1884 New Zealand Loan Aot, 1886 District Railways Purchasing Acts, 1885 and 1886 New Zealand Loan Aot, 1888 Native Land Purohase Aot, 1892 Lands Improvement and Native Lands Acquisition Aot, 1894 Aid to Public Works and Land Settlement Act, 1896 Aid to Publio Works and Land Settlement Amendment Act, 1897 . . Aid to Publio Works and Land Settlement Amendment Act, 1898 .. Aid to Publio Works and Land Settlement Act, 1899 Aid to Publio Works and Land Settlement Aot, 1900 Aid to Publio Works and Land Settlement Act, 1901 Aid to Publio Works and Land Settlement Aot, 1902 Aid to Public Works and Land Settlement Aot, 1903 Aid to Publio Works and Land Settlement Act, 1904 Aid to Publio Works and Land Settlement Act, 1905 Aid to Public Works and Land Settlement Act, 1906 Aid to Publio Works and Land Settlement Act, 1907 Aid to Public Works and Land Settlement Act, 1908 Aid to Publio Works and Land Settlement Act, 1909 Aid to Publio Works and Land Settlement Aot, 1910 Aid to Publio Works and Land Settlement Aot, 1911 Aid to Public Works and Land Settlement Act, 1912 Aid to Public Works and Land Settlement Act, 1913 Aid to Publio Works and Land Settlement Aot, 1914 Aid to Publio Works and Land Settlement Act, 1921 Finance Act, 1909 Finance Act, 1915, and New Zealand Loans Act. 1915 Finance Act, 1916 Finanoo Aot, 1917 Finanoe Act, 1918 (No. 2) Finance Act, 1919, Sootion 5 .. Finance Act, 1920, Section 15 .. Finance Aot, 1921, Section 10 .. Post and Telegraph Aot, 1908 Midland Railway Petitions Settlement Acts, 1902 and 1903 Paeroa-Waihi Railway Aot, 1903 Waikaka Branch Railway Aot, 1905 Wellington and Manawatu Railway Purchase Act, 1908 Appropriation Aot, 1912 Irrigation and Water-supply Act, 1913 £ s. d. 4,000,000 0 0 2,000,000 0 0 4,000,000 0 0 750,000 0 0 750,000 0 0 2,200,000 0 0 5,000,000 0 0 3,000,000 0 0 250,000 0 0 1,000,000 0 0 600,000 0 0 191,740 0 0 1,500,000 0 0 1,325,000 0 0 479,487 7 11 1,000,000 0 0 149,700 0 0 500,000 0 0 1,000,000 0 0 250,000 0 0 500,000 0 0 1,000,000 0 0 1,011,600 0 0 1,250,000 0 0 1,750,000 0 0 997,690 0 0 750,000 0 0 1,000,000 0 0 989,700 0 0 1,000,000 0 0 1,250,000 0 0 1,000,000 0 0 1,750,000 0 0 1,500,000 0 0 1,748,900 0 0 1,750,000 0 0 3,000,000 0 0 1,963,550 0 0 1,250,000 0 0 2,000,000 0 0 1,000,000 0 0 850,000 0 0 2,500,000 0 0 150,000 0 0 2,500,000 0 0 2,673,111 10 11 200,000 0 0 150,000 0 0 75,000 0 0 50,000 0 0 1,000,000 0 0 15,000 0 0 100,000 0 0 68,070,478 18 10 Receipts in Aid: — Amount transferred from Consolidated Fund Contributions of Canterbury Province for Railways .. .. Proceeds of Railway Material handed over to Cook County Counoil Stamp Duties to 31st December, 1876 .. Transfor from Confiscated Lands Liabilities Account Receipts under Section 16 of the Reserves and other Lands Disposal and Publio Bodies Empowering Act, 1912 Special Receipts under Section 9 of the Railways Construction Aot, 1878 Special Reoeipts under the Ellesmere Lako Lands Acts, 1888 and 1893 Speoial Reoeipts under the Railways Authorization and Management Aot, 1891 .. .. .. .. .. .. | Special Receipts under the North Island Main Trunk Railway Loan Application Act, 1886 .. .. .. .. Sinking Funds released 10,805,000 0 0 56,000 0 0 4,963 7 A 264,657 16 4 19,963 1 3 21,890 4 5 60,616 3 0 57,013 15 5 2,257 1 9 114,550 19 6 506,819 19 3 11,913,732 8 8 £80,584,211 7 1 «
8.—6
8
Table No. 6 — continued. STATEMENT showing the Total Ways and Means of the Public Works Fund and the Total Net Expenditure to the 31st March, 1922— continued.
Table No. 7. Estimated Expenditure of the Ordinary Revenue Account for 1922-23, compared with Actual Expenditure of 1921-22.
Expenditure on- NET EXPENDITURE. Immigration Publio Works, Departmental Railways, including Surveys of New Lines I loads Land-purchases Development of Mining Telegraph Extension Public Buildings Lighthouses, Harbour Works and Defences Contingent Defence Rates on Native Lands Thermal Springs Tourist and Health Resorts Lands Improvement Plant, Material, and Stores Charges and Expenses of raising Loans Coal-minos Interest and Sinking Fund Payment to Midland Railway Bondholders Irrigation and Water-supply Timber Supply, Sawmills, &c. £ s. d. 2,507,270 15 7 1,817,406 14 6 40,735,641 1 3 13,111,959 14 3 2,001,738 9 4 885,805 8 4 5,000,420 15 4 8,035,602 17 7 1,175,553 7 5 1,086,052 3 5 68,671 16 10 14,599 13 2 304,180 17 7 157,840 2 9 435,638 4 4 1,427,537 18 10 10,835 8 0 218,500 0 0 150,000 0 0 332,892 5 1 16,369 3 11 £ s. d. Balance on 31st March, 1922,— Cash in the Public Account Imprests outstanding 26,346 1 3 403,330 8 4 80,154,528 17 6 429,682 9 7 £80,584,211 7 1
Estimate for 1922-23. Differ ■ences. Actual for 1021-22. Increase. Decrease. Revenue Account. £ 29,884 8,442,278 4,401,999 £ £ 53 Permanent Charges,— Civil List Intorest and Sinking Fund Under special Acts £ 29,831 8,983,104 4,013,754 540 ] 826 388^245 Annual Appropriations,— Legislative Departments Treasury Department.. Land and Income Tax Department Stamp Duties Department National Provident and Friendly Societies Department .. Working Railways Department Post and Telegraph Working Expenses Public Buildings Government Domains Maintenance and Improvement of Roads Maintenance of Irrigation Works Native Department Department of External Affairs Department of Industries and Commerce .. Department of Justice Supremo and Magistrates' Courts Prisons Department Crown Law Onioe Police Department Cook Islands Pensions Department .. Mines Department Department of Internal Affairs.. Audit Department Publio Service Commissioner's OfFieo Printing and Stationery Mental Hospitals Health Department Naval Defence Dofenoe Department Customs Department Marine Department Department of Labour Department of Lands and Survey Valuation Department Electoral Department Department of Agriculture Tourist Department Education Department Services not provided for 13,026,689 63,901 31,106 63,022 80,181 21,785 6,164,000 2,349,268 101,915 4,815 59,468 2,250 20,945 18,756 31,530 40,291 91,127 78,324 5,927 403,560 20,521 119,801 35,600 268,904 24,793 8,312 218,344 301,736 221,473 256,656 317,616 108,507 126,305 35,762 193,666 42,353 84,548 253,312 71,792 2,569,354 12,874,161 73,843 41,103 00,533 101,415 24,935 6,473,234 2,448,688 109,092 4,513 62,280 1,295 22,802 21,478 157,518 45,875 101,219 79,545 0,021 411,050 15,406 138,734 47,076 367,002 21,685 8,801 230,178 269,199 223,388 303,517 415,450 136,475 151,695 35,762 215,672 55,278 6,295 ' 275,170 80,943 2,580,562 2,156 M89 "302 "955 5^115 540,826 388,298 9,942 9,997 21,234 3,150 309,234 99,420 7,177 2^812 1,917 2,722 125,988 5,584 10,092 1,221 94 7,190 18,933 11,476 98,158 3] 108 "549 11,834 82J687 1,915 46,861 97,834 27,968 25,390 22 ] 006 12,925 78,253 21,864 15,151 11,208 2,156 1,044,308 '14,911,526 15,833,075 122,759 Total oxpendituro 663,585 1,432,606 663,585 For comparison with last year's expenditure deduct Printing and Stationery reoeipts now orodited to revenue 27,938,215 28,707,236 769,021 208,125 240,398 Totals 27,730,090 28,406,838 730,748
9
8.—6
Table No. 8. Estimated Revenue of the Consolidated Fund (Ordinary Revenue Account) for 1922-23, compared with the Actual Revenue of 1921-22.
Table No. 9. Statement showing the Amount charged to "Unauthorized" in each Financial Year from 1st July, 1875, to 31st March, 1922.
2—B. 6.
Actual for 1921-22. Diffei •ences. Estimate for 1022-23. Increase. ! Decrease. I Ordinary Revenue Account. Customs Beer Duty Stamp and Death Duties Postal and Telegraph Land-tax Inoome-tax Railways Registration and other Fees Marine Miscellaneous Territorial Revenue National Endowment Revenue.. Departmental and othor Receipts £ 5,160,000 650,000 2,726,000 2,766,000 1,500,000 4,100,000 7,200,000 147,000 52,000 1,400,000 202,000 105,000 242,000 £ 5,095,436 458,898 3,444,504 2,748,481 1,637,816 6,002,987 6,683,236 146,548 51,849 1,410,478 200,697 102,481 143,596 £ 64,561 191,102 17^519 £ 718,504 137,816 1,902,987 516,764 452 151 1,303 2,519 98,404 10!478 892,778 2,769,785 892,778 Total 26,250,000 28,127,007 1,877,007
Financial Yeah. Consolidate Services not provided for. sd Fund.—Revenue Account. Other Accounts. Excess of Votes. Total. j Public Works Fund. TOTAI,. 1875-76 1876-77 .. 1877-78 1878-79 1879-80 1880-81 1881-82 1882-83 1883-84 1884-85 1885-86 1886-87 1887-88 .. 1888-89 1889-90 1890-91 1891-92 1892-93 1893-94 1894-95 1895-90 .. 1896-97 1897-98 1898-99 1899-1900 1900-1901 1901-1902 1902-1903 1903-1904 1904-1905 1905-1906 1900-1907 1907-1908 1908-1909 1909-1910 1910-1911 1911-1912.. 1912-1913.. 1913-1914.. 1914-1915 1915-1916.. 1916-1917 1917-1918.. 1918-1919 1919-1920 1920-1921 1921-1922.. £ s. d. 13,167 4 8 18,397 17 1 19,079 12 6 11,413 16 1 5,818 9 9 6,151 13 9 3,899 16 3 4,473 15 8 7,293 9 9 5,981 17 8 9,337 11 2 14,887 19 7 7,303 17 10 3,521 18 2 4,412 5 3 10,610 1 0 2,288 3 2 1,741 7 10 2,350 7 0 8,985 3 7 22,422 16 10 3,188 17 7 2,258 19 7 3,305 15 11 11,187 13 8 26,367 18 6 3,836 7 0 9,027 5 4 3,344 11 0 0,215 4 8 8,570 10 7 4,989 9 1 4,133 3 3 14,127 8 1 15,324 5 7 10,427 9 4 20,332 3 1 2,506 15 0 4,730 15 8 109,512 12 4 30,865 10 2 41,600 17 4 17,909 4 7 13,519 17 3 77,149 13 2 108,498 19 2 2,455 13 7 £ s. d. £ s. d. £ s. d. 19,195 17 1 32,363 1 9 3,155 9 2 13,398 7 0 31,796 4 1 3,490 6 1 58,709 17 2 i 77,789 9 8 653 6 5 47,466 4 5 58,880 0 6 3,938 14 8 18,466 2 1 24,284 11 10 1,005 3 10 37,825 6 6 43,977 0 3 13,443 11 3 38,474 18 9 ; 42,374 15 0 13,590 6 10 64,631 0 2 | 09,104 15 10 12,343 2 2 45,284 2 6 ' 52,577 12 3 9,003 18 7 39,039 17 11 45,021 15 7 7,163 15 3 47,106 10 3 56,444 1 5 13,965 10 1 38,117 13 5 I 52,455 13 0 0,212 10 7 42,104 15 10 49,408 13 8 27,821 16 11 35,157 16 5 38,679 14 7 13,506 2 8 43,257 1 0 47,669 6 3 23,631 7 1 76,778 5 11 87,388 6 11 5,459 18 11 21,026 16 4 23,314 19 6 9,183 10 6 28,283 15 11 30,025 3 9 4,754 17 10 7,376 7 4 9,726 14 4 522 12 2 9,148 0 5 18,133 4 0 1,890 7 5 16,229 5 9 38,652 2 7 16,995 9 9 24,195 2 9 27,384 0 4 24,720 3 6 39,314 13 4 41,573 12 11 4,743 17 10 36,468 0 10 39,773 16 9 2,304 8 10 60,652 13 7 ! 71,840 7 3 j 62,788 3 2 i 89,156 1 8 j 662 7 7 68,866 1.0 9 72,702 17 9 253 8 10 101,076 10 4 '110,103 15 8 200 0 0 47,775 11 4 51,120 2 4 2,248 0 0 22,109 12 2 | 28,324 16 10 13,547 11 7 52,385 3 7 ' 60,962 0 2 I 23,956 9 10 28,559 0 2 33,548 15 3 12,867 10 8 37,713 8 11 41,846 12 2 429 9 0 50,890 5 1 ! 65,017 13 2 15,257 11 1 '23,100 14 0 I 38,424 19 7 3,500 7 0 27,200 14 6 37,628 3 10 1,009 9 7 62,950 14 7 83,282 17 8 860 5 4 115,428 2 5 117,934 17 5 63 15 0 80,228 10 11 84,959 6 7 I 137 5 8 68,004 2 1 177,510 14 5 | 853 3 5 47,222 13 9 78,088 3 11 14,742 5 9 100,454 9 0 148,055 6 4 34,852 5 5 48,886 8 7 66,795 13 2 26,010 17 11 66,701 19 8 80,221 16 11 362,295 0 5 139,444 13 7 1,239 5 4 392,596 5 9 501,095 4 11 1,750 12 6 105,902 14 10 108,418 8 5 I 2,982 1 6 £ s. d. 63,875 11 8 2,197 4 5 22,009 14 0 32,179 1 1 17,090 9 9 34,133 17 3 2,217 9 8 8,137 17 11 31,741 17 10 872 0 11 6,465 17 5 28,633 10 8 30,407 2 3 18,633 2 10 12,287 18 10 7,097 19 9 7,594 1 2 11,149 14 2 1,335 12 11 330 8 1 33,245 2 4 7,051 0 8 53,648 14 0 8,222 10 0 7,990 18 7 17,518 3 7 6,955 4 10 12,837 3 6 9,584 9 11 31,862 8 3 19,965 16 2 55,556 14 10 80,170 3 3 16,041 15 7 11,638 18 8 ! 12,833 7 5 4,982 8 7 73,404 8 3 16,671 3 3 8,189 3 10 2,363 3 9 6,636 4 1 7,693 0 5 11,07214 6 168,745 11 6 !292,233 1 i £ S. d. 99,394 2 7 37,483 14 7 100,452 10 1 94,997 10 3 42,386 5 5 91,554 8 9 58,182 11 0 89,585 15 11 93,323 8 8 53,057 11 9 76,875 8 11 87,302 0 3 107,637 12 10 70,819 0 1 83,588 12 2 99,946 5 7 40,092 11 2 45,929 15 9 11,584 19 5 20,353 19 6 88,892 14 8 59,161 4 6 99,966 4 9 50,300 10 1 79,831 5 10 107,336 12 10 79,911 11 5 123,140 19 2 62,952 18 9 73,734 16 8 104,884 6 2 101,973 0 9 122,446 4 5 96,916 19 10 53,564 5 3 51,471 0 10 89,125 11 7 191,403 0 8 101,767 15 0 186,559 1 8 95,193 13 5 189,543 15 10 100,499 11 6 80,221 16 11 451,756 13 5 671,591 8 11 403,033 11 3
B— 6
10
Table No. 10. Return of Subdivisions of Rural Freeholds in New Zealand.
Table No. 11. Statement showing the financial position of the Dominion on the 31st March, 1922, as compared with the 31st March, 1921 :— [Note. —The term "liabilities" in these tables includes expenditure on public works for which contracts had been signed or material ordered on the 31st March, 1922 ] CONSOLIDATED FUND. £ Balance on 31st March, 1921 .. .. .. . . 8,59.1,209 Liabilities on 31st March, 1921 .. .. . . 710,653 Balance on 31st March, 1922 .. .. .. 7,531,367 Liabilities on 31st March, 1922 .. .. .. .. 549,792 STATE FORESTS ACCOUNT. £ £ Balance on 31st March, 1921 . . . . . . 9,537 Unexhausted authority for raising loan .. . . .. 310,000 319,537 Liabilities on 31st March, 1921 .. . . . . .. 5,066 Balance on 31st March, 1922 .. .. .. 9,377 Unexhausted authority for raising loan .. .. .. 223,219 232,596 Liabilities on 31st March, 1922 .. .. . . 4,486 STATE COAL-MINES ACCOUNT. £ £ Balance on 31st March, 1921 .. .. .. . . 48,293 Unexhausted authority for raising loan . . . . 55,000 103,293 Liabilities on 31st March, 1921 .. .. . . . . 22,000 Balance on 31st March, 1922 .. .. .. .. 55,191 Unexhausted authority for raising loan . . . . 55,000 110,191 Liabilities on 31st March, 1922 .. .. . . . . 22,200
Subdivision under BnMlrtalnn nnil» Hin Subdivision by Freeholders. the L an d for ISements Act. Tc Subdivision by I °~ is O 5 o . ill III fc te fcli under lements let. Subdf Land foi ivision ui it Settlen nder the aents Act. Toi tal Subdi\ dsions. o c ci a) -21? Area £ n o S3 & 9 i 3 <-> £ ; sS^ III 111 disced of. ill || Area. ||| f | Area. ||| Area. ii pi p a §5 H3 11 Is fcf CO [ Area. *3 $ H C4 51 At I® CQ Area. From To Acres. Acres. Acres. 1/4/12-31/3/13 . 837 1,981 400,509 10 87 11,354 19 322 128,329 866 1/4/13-31/3/14 1,291 3,199 416,051 4 27 4,182 16 276 144,546 1,311 1/4/14-31/3/15 885 2,055 404,115 6 37 3,279 10 130 18,374 901 1/4/15-31/3/16 582 1,070 201,115 1 5 374 10 158 51,158 593 1/4/16-31/3/17 694 1,108 184,799 .. nil .. 15 165 58,334 709 1/4/17-31/3/18 643 1,096 194,572 1 6 1,545 16 222 35,891 660 1/4/18-31/3/19 753 1,227 207,983 .. nil .. 12 248 32,674 765 1/4/19-31/3/20 1,519 2,622 616,210 64 4.16 219,259* 1,583 1/4/20-31/3/21 1,724 3,046 565,653 .. .. .. 60 474 114,711* 1,784 1/4/21-31/3/22 932 1,446 228,336 15 145 17,047* 947 From To 1/4/12-31/3/13 . 837 1,981 1/4/13-31/3/14 1,291 3,199 1/4/14-31/3/15 885 2,055 1/4/15-31/3/16 582 1,070 1/4/16-31/3/17 694 1,108 1/4/17-31/3/18 043 1,096 1/4/18-31/3/19 753 1,227 1/4/19-31/3/20 1,519 2,622 1/4/20-31/3/21 1,724 3,046 1/4/21-31/3/22 932 1,446 Acres. 11,354 4,182 3,279 374 19 16 10 10 15 16 12 64 60 15 322 276 130 158 165 222 248 416 474 145 Acres. 128,329 144,546 18,374 51,158 58,334 35,891 32,674 219,259* 114,711* 17,047* 866 1,311 901 593 709 660 765 1,583 1,784 947 2,390 3,502 2,222 1,233 1,273 1,324 1,475 3,038 3,520 1,591 Acres. 540,252 564,779 425,708 252,647 243,133 232,008 240,607 835,469 680,304 245,383 1,545 Totals .. 9,860 18,850 3,419,353 22 162 20,734 237 2,556 820,323 10,119 Totals .. 9,860 18,850 20,734 237 2,556 820,323 10,119 21,568 4,260,410 Ordinary Crown land selected under settlement conditions during the ten years ending tho 31st March, 1922 Native land vested in the Maori Land Boards disposed of for closer settlement during the nine yoars ending tho 31st Marob, 1922 7,727 1,589,088 454 167,078 Grand total made availablo for oloser settlement during ten years ended the 31st March, 1922 29,749 6,016,576 Note.—Subdivisions of Native land not vested in the Maori Land Board but disposed of lease are not included in the above return. ly way of sale or * Disposed of to discharged soldiors under the Discharged Soldiers Settlement Act.
8,—6.
Table No. 11 — continued. SCENERY PRESERVATION ACCOUNT. £ £ Balance on 31st March, 1921 .. .. .. .. 2,901 Unexhausted authority for raising loan .. .. 6,000 8,901 Liabilities ( on 31st March, 1921 .. .. .. .. Nil. Balance oh 31st March, 1922 .. .. .. .. 3,113 Unexhausted authority for raising loan .. .. 11,000 14,113 Liabilities on 31st March, 1922 .. .. .. .. 29 NAURU AND OCEAN ISLANDS ACCOUNT. £ Balance on 31st March, 1921 . . . . .. .. .. 28,172 Balance on 31st March, 1922 . . . . . . . . .. 24,884 Liabilities on 31st March, 1922 .. .. .. .. 22,870 PUBLIC WORKS FUND. £ £ Balance on 31st March, 1921 .. .. .. .. 489,489 Unexhausted authority for raising loan .. .. .. 3,060,000 3,549,489 Liabilities on 31st March, 1921 .. .. .. .. 1,933,434 Balance on 31st March, 1922 .. .. .. .. 429,682 Unexhausted authority for raising loan .. .. 2,844,710 3,274,392 Liabilities on 31st March, 1922 .. .. .. .. 1,143,603 RAILWAYS IMPROVEMENTS AUTHORIZATION ACT 1914 ACCOUNT. . £ £ Balance on 31st March, 1921 .. . . . . . . 7,206 Unexhausted authority for raising loan. . .. .. 2,487,510 2,494,716 Liabilities on 31st March, 1921 .. .. .. .. 7,388 Balance on 31st March, 1922 .. . . . .. 1,904,166 Unexhausted authority for raising loan.. .. .. 458,310 2,362,476 Liabilities on 31st March, 1922 .. .. .. .. 11,768 WAIHOU AND OHINEMURI RIVERS IMPROVEMENT ACCOUNT. £ l Balance on 31st March, 1921 .. .. .. .. 27,751 Unexhausted authority for raising loan.. .. .. 82,000 109,751 Liabilities on 31st March, 1921 .. .. .. .. 1,877 Balance on 31st March, 1922 .. .. .. .. 16,294 Unexhausted authority for raising loan .. .. .. 34,000 50,294 Liabilities on 31st March, 1922 .. .. .. .. 5,298 ELECTRIC SUPPLY ACCOUNT. (Formerly Aid to Water-power Works Account.) £ £ Balance on 31st March, 1921 .. .. .. .. 1,079,533 Unexhausted authority for raising loan .. .. 8,973,490 — 10,053,023 Liabilities on 31st March, 1921 .. .. .. .. 355,636 Balance on 31st March, 1922 .. .. .. .. 2,171,117 Unexhausted authority for raising loan .. .. 7,010,990 — 9,182,107 Liabilities on 31st March, 1922 .. .. .. .. 299,214
11
8.--6
12
Table No. 11 — continued. CHEVIOT ESTATE ACCOUNT. £ Balance on 31st March, 1921 .. .. .. .. .. 160,712 Balance on 31st March, 1922 .. .. .. . . . . 173,840 ' NATIONAL ENDOWMENT ACCOUNT. £ Balance on 31st March, 1921 . . . . .. . . .. 102,481 Liabilities on 31at March, 1921 . . . . . . . . Ml. Balance on 31st March, 1922 .. .. .. .. ~ 97,465 Liabilities on 31st March, 1922 .. .. .. .. Nil. LAND FOR SETTLEMENTS ACCOUNT. £ £ Balance on 31st March, 1921 . . . . . , . . 373,756 Authority for raising loan .. . . . . . . 500,000 873,756 Liabilities on 31st March, 1921 . . . . . . . . 526 Balance on 31st March, 1922 .. .. ~ '.'. 383,138 Unexhausted authority for raising loan . . . . . . 500,000 883,138 Liabilities on 31st March, 1922 .. . . . . 982 NATIVE LAND SETTLEMENT ACCOUNT. £ £ Balance on 31st March, 1921 .. . . .. . . 90,693 Unexhausted authority for raising loan.. . . .. 500,000 590,693 Liabilities on 31st March, 1921 .. . . .. .. 1,426 Balance on 31st March, 1922 .. .. .. .. 40,446 Authority for raising loan .. .. .. . . 500,000 540 446 Liabilities on 31st March, 1922 .. .. .. .. 2,717 LAND FOR SETTLEMENTS ACCOUNT. (Discharged Soldiers Settlements Account.) £ £ Balance on 31st March, 1921 .. .. .. .. 173,146 Authority for raising loan .. . . .. .. 1,000,000 1,173,146 Liabilities on 31st March, 1921 .. .. 1,565 Balance on 31st March, 1922 . . . . . . . . 10,903 Authority for raising loan .. .. .. .. 1,000,000 1,010,903 Liabilities on 31st March, 1922 .. .. ..' .. 1,282 LAND FOR SETTLEMENTS ACCOUNT. (Opening up Crown Lands for Settlement.) £ £ Balance on 31st March, 1921 .. .. .. 18,035 Unexhausted authority for raising loan .. . . 250,000 268,035 Liabilities on 31st March, 1921 .. .. .. .. 4,253 Balance on 31st March, 1922 .. .. .. .. 42 Authority for raising loan .. .. .. .. 250,000 250,042 Liabilities on 31st March, 1922 .. .. .. . . 6,584
13
8.—6
Table No. ll—continued. HAURAKI PLAINS SETTLEMENT ACCOUNT. £ £ Balance on 31st March, 1921 .. .. .. .. 9,378 Unexhausted authority for raising loan. . . . .. 100,000 109,378 Liabilities on 31st March, 1921 .. .. .. .. 4,211 Balance on 31st March, 1922 .. .. .. .. 8,348 Unexhausted authority for raising loan .. .. .. 58,000 66,348 Liabilities on 31st March, 1922 .. .. .. .. 7,544 RANGITAIKI LAND DRAINAGE ACCOUNT. £ £ Balance on 31st March, 1921 .. . . .. .. 4,822 Unexhausted authority for raising loan . . .. .. 70,000 74,822 Liabilities on 31st March, 1921 .. .. .. 1,081 Balance on 31st March, 1922 . . .. .. .. 2,370 Unexhausted authority for raising loan.. .. .. 90,000 92,370 Liabilities on 31st March, 1922 .. . . . . .. 2,768 WORKERS' DWELLINGS ACCOUNT. £ Balance on 31st March, 1921 .. .. .. .. .. 52,100 Balance on 31st March, 1922 .. .. .. .. .. 52,100 HOUSING ACCOUNT. £ £ Balance on 31st March, 1922 . . . . . . . . 15,346 Unexhausted authority for raising loan. . .. .. 1,000,000 1,015,346 Liabilities on 31st March, 1922 .. .. .. .. Nil. STATE ADVANCES ACCOUNT. £ £ Balance on 31st March, 1921 .. .. .. .. 177,246 Loan-money to receive .. .. .. . . 900,000 Unexhausted authority for raising loan .. .. .. 3,250,000 4,327,246 Liabilities and commitments on 31st March, 1921 .. .. 615 Balance on 31st March, 1922 .. .. . . .. 156,932 Unexhausted authority for raising loan . . . . .. 3,250,000 Loan-money to receive .. .. .. .. 485,000 3,891,932 Liabilities and commitments on 31st March, 1922 .. .. 623 LOANS TO EMPLOYERS FOR WORKERS' DWELLINGS ACCOUNT. £ £ Balance on 31st March, 1922 . . . . . . .. 130 Unexhausted authority for raising loan. . .. • . . 250,000 250,130 Liabilities on 31st March, 1922 .. .. .. .. Nil. WAR EXPENSES ACCOUNT. £ £ Balance on 31st March, 1921 . . . .. . 3,424,283 Unexhausted authority for raising loan .. .. .. 5,161,930 8,586,213 Liabilities on 31st March, 1921 . . .. . . 603,000 Balance on 31st March, 1922 . . . . . . . . 3,710,439 Unexhausted authority for raising loan . . . . . . 4,467,360 8,177,799 Liabilities on 31st March, 1922 .. .. .. .. 724,278
8.—6
14
Table No. 11 — continued. WAIMARINO BUSH-FIRE RELIEF ACCOUNT. £ Balance on 31st March, 1921 . . .. .. . . .. 41,479 Liabilities on 31st March, 1921 .. .. .. ~ Nil. Balance on 31st March, 1922 .. .. .. .. .. 39,518 Liabilities on 31st March, 1922 .. .. .. .. Nil. MINING ADVANCES ACCOUNT. £ £ Balance on 31st March, 1921 .. .. .. .. 1,696 Unexhausted authority for raising loan.. .. , 50,000 -— 51,696 Liabilities on 31st March, 1921 .. .. .. .. Nil. Balance on 31st March, 1922 .. .. .. .. 552 Unexhausted authority for raising loan .. .. .. 50,000 50,552 Liabilities on 31st March, 1922 .. .. .. .. Nil. KAURI-GUM INDUSTRY ACCOUNT. £ £ Balance on 31st March, 1921 .. .. .. .. 7,418 Unexhausted authority for raising loan .. .. . . 22,000 29,418 Liabilities on 31st March, 1921 .. .. .. . . Nil. Balance on 31st March, 1922 .. .. .. .. 1,945 Unexhausted authority for raising loan .. .. .. Nil. 1,945 Liabilities on 31st March, 1922 .. , . .. Nil. FRUIT-PRESERVING INDUSTRY ADVANCES ACCOUNT. £ £ Balance on 31st March, 1921 .. .. .. .. 2,382 Unexhausted authority for raising loan .. .. .. 40,000 42,382 Liabilities on 31st March, 1921 .. .. .. .. Nil Balance on 31st March, 1922 .. .. .. .. 1,229 Authority for raising loan .. .. .. .. 40,000 41,229 Liabilities on 31st March, 1922 .. .. .. .. Nil. DISCHARGED SOLDIERS SETTLEMENT ACCOUNT. £ £ Balance on 31st March, 1921 .. .. .. .. 3,478,454 Unexhaused authority for raising loan .. .. .. 1,760,696 5,239,150 Liabilities on 31st March, 1921 . . .. . . . . Nil. Balance on 31st March, 1922 .. .. .. .. 832,755 Unexhausted authority for raising loan.. .. .. 1,222,320 2,055,075 Liabilities on 31st March, 1922 ~ .. .. .. Nil. DISCHARGED SOLDIERS SETTLEMENT LOANS ACT 1920 DEPRECIATION FUND ACCOUNT. £ £ Balance on 31st March, 1921 . . .. . . . . 50,000 Unexhausted authority for raising loan .. .. Nil. — 50,000 Liabilities on 31st March, 1921 .. .. .. Nil. Balance on 31st March, 1922 . . .. .. .. 101,775 Unexhausted authority for raising loan .. . . Nil. 101,775 Liabilities on 31st March, 1922 .. .. .. Nil.
15
B—6
Table No. 11—continued. SWAMP LAND DRAINAGE ACCOUNT. £ £ Balance on 31st March, 1921 .. .. . . .. 29,057 Authority for raising loan .. .. .. .. 150,000 179,057 Liabilities, on 31st March, 1921 . , . . . . .. 683 Balance on 31st March, 1922 .. .. .. .. 18,222 Unexhausted authority for raising loan . . .. 150,000 168,222 Liabilities on 31st March, 1922 . , . . , . . . 3,453 COLD-STORAGE ADVANCES ACCOUNT. £ £ Balance on 31st March, 1921 . . . . . . . 22,819 Unexhausted authority for raising loan .. . . 149,250 — 172,069 Balance on 31st March, 1922 .. .. . . . . 36,533 Unexhausted authority for raising loan .. .. 149,250 185,783 EDUCATION LOANS ACCOUNT. £ £ Balance on 31st March, 1921 . . . . . . . . 55,429 Unexhausted authority for raising loan .. .. 1,730,000 1,785,429 Liabilities on 31st March, 1921 .. .. .. . . 9,510 Balance on 31st March, 1922 . . .. .. . . 9,598 Unexhausted authority for raising loan .. .. 1,962,420 . 1,972,018 Liabilities on 31st March, 1922 .. .. .. .. 1,692 FISHING INDUSTRY PROMOTION ACCOUNT. £ £ Balance on 31st March, 1921 . . .. . . . . 96 Unexhausted authority for raising loan .. .. 25,000 ——— 25,096 Liabilities on 31st March, 1921 .. .. . . .. Nil. Balance on 31st March, 1922 .. .. .. .. 1,289 Unexhausted authority for raising loan . . .. 25,000 26,289 Liabilities on 31st March, 1922 .. .. .. .. Nil. WESTPORT HARBOUR ACCOUNT. £ £ Balance on 31st March, 1922 . . . . .. .. 5,510 Unexhausted authority for raising loan .. .. Nil. < 5,510 Liabilities on 31st March, 1922 . . .. .. .. Nil. HUNTER SOLDIERS ASSISTANCE TRUST ACCOUNT. £ £ Balance on 31st March, 1922.. .. .. 183 Unexhausted authority for raising loan .. .. Nil. 183 Liabilities on 31st March, 1922 .. .. .. .. Nil. RESERVE FUND ACCOUNT. £ Balance on 31st March, 1921 .. .. .. .. 2,000,000 Liabilities on 31st March, 1921 .. .. .. .. Nil. Balance on 31 st March, 1922 .. . . . . . . .. 2,000,000 Liabilities on 31st March, 1922 .. .. ... .. Nil.
8.—6
16
Table No. 12. Statement of Assets held, and Capital Expenditure, as agatnst the Public Debt on the 31st March, 1922, together with Supporting Schedules. Liabilities. Public debt— £ £ Ordinary .. .. .. .. .. .. 115,255,102 State advances .. .. .. .. .. .. 12,619.950 • 127,875,112 War .. .. .. .. .. .. .. 81,843,543 Discharged-soldiers settlement (including purchase of estates) .. 9,335,730 91,179,273 i 219,054,385 Less raised for redemption of loans maturing 1922/23 .. .. .. 157,870 £218,896,515 Assets. £ Sinking funds accrued (Schedule I) .. .. .. .. .. .. 10,655,394 Investments of cash balances of the Public Account* (Schedule II) .. .. .. 11,402,894 Bank of New Zealand shares, nominal value .. .. .. .. .. 1,125,000 Reserve Fund securities, at cost .. .. .. .. .. .. 2,000,000 New Zealand Consols—lnvestments and cash .. ~ .. .. .. 475,992 State advances, mortgages, and investments .. .. .. .. .. 13,529,851 Advances made by Treasury (Schedule III) .. .. .. .. .. 1,286,346 Cash in Public Account* .. .. .. .. .. £5,451,405 Cash in hands of officers of the Government* .. .. .. 1,006,212 6,457,617 Less outstanding liabilities 31st March, 1922 .. .. .. 2,811,015 3,646,602 44,122,079 Total amount expended for railways, public buildings, telegraphs, Native lands, harbours, lighthouses, housing, electric development, &c, to 31st March, 1922 (Schedule IV) f85,989,788 Crown lands —Estimated value (including settlement lands and education reserves) . . 25,750,000 State forests —Estimated value of forests, reserves, plantations, and nurseriesj . . 37,909,875 Excess of liabilities over assets .. .. .. .. .. .. 25,124,773 §£218,896,515 Sinking Funds accrued : Schedule I. £ Public Debt Extinction Act, 1910 .. .. .. .. .. 2.313,330 War loans (Finance Act, 1918 (No. 2), section 6) .. .. .. .. 3,451,107 Local Bodies' Loans Act, 1908. . .. .. .. .. .. .. 799,601 Naval Defence Act, 1909 .. .. .. .. .. .. .. 931,429 War and defence loans .. .. .. .. .. .. .. 192,691 New Zealand Loans Act, 1863 .. ... .. .. .. .. 2,207 State advances debt .. . . . . . . .. . . . . . . ], 663,537 State Coal-mines Act, 1908 .. .. .. \. .. .. 24,580 Westport Harbour loans .. .. .. .. .. .. 261,200 State Advances Act, 1913, section 26- - Land for settlements .. .. .. .. .. .. .. 996,457 Native-land settlement .. .. .. .. .. .. .. 11,977 Local authorities .. .. . . .. .. . .. . . 6,497 Guaranteed mining advances .. .. .. .. .. .. 781 £10,655,394 Investments of Gash Balances of Public Account : Schedule 11. £ Ordinary Revenue Account .. .. .. .. .. .. .. 2,359,183 State Coal-mines Account . . * .. .. .. .. .. .. 20,000 Railways Improvement Authorization Act, 1914, Account .. .. .. .. 1,826,000 Electric-supply Account .. .. .. .. .. .. .. 2,104,460 Cheviot Estate Account .. .. .. .. .. .. 170,140 Workers' Dwellings Account .. .. .. .. .. .. .. 52,100 Waimarino Bush-fire Relief Account .. .. .. .. .. .. 37,000 War Expenses Account .. .. .. .. .. .. .. 3,498,001 Land for Settlements Account .. ... .. .. .. .. 316,400 National Endowment Account .. .. .. .. .. .. 72,000 Discharged Soldiers Settlement Account . . . . . . .. . . 662, 470 Discharged Soldiers Settlement Loans Act, 1920, Depreciation Fund Account .. 100,000 Cod-storage Advances Account .. .. .. .. .. .. 32,690 Loans Redemption Account .. .. .. .. .. .. .. 152,450 £11,402,894 * Does not include local bodies or deposits funds. f This does not include £18,920,325 (Sohedule V) expended on indirectly productive services, such as roads, immigration, &C, shown in table. % Valuation not complete. § Stores and supplies on hand not inoluded in assets.
17
8.-G
Table No. 12 — continued. Advances made by Treasury : Schedule 111. £ Fishing industry promotion .. .. .. .. .. .. .. 4,286 Mining .." .. .. .. .. .. .. .. ... 35,128 Fruit-preserving .. .. .. .. .. .. .. .. 71,981 Kauri-gum .. .. .. .. .. .. .. .. .. 75,000 CWd storage.. .. .. .. .. .. .. .. .. 92,087 Loans to employers r or workers' dwellings .. .. .. .. .. 3,620 Silver and bronze coin .. .. .. .. .. .. .. 2,525 Samoa (loan) .. .. .. .. .. .. .. .. 77,000 To other Governments .. .. .. .. .. .. ~ 50,527 Repatriation (advances outstanding 31st March, 1922) .. .. .. .. 874,192 £1,286,346 Total Amounts expended to 31st March, 1922 : Schedule IV. £ Railways (including unopened lines and assets taken over from provinces) .. .. 44,309,754 Public buildings .. .. .. .. .. .. .. .. 8,635,603 Telegraph extension .. .. .. .. .. .. .. .. 5,000,427 Purchase of Native lands (Native Land Settlement Acoount) .. .. .. 1,920,200 Lighthouses, harbour-works, &c. .. .. .. ~ .. .. 1,175,553 Discharged soldiers settlement .. .. .. .. .. .. .. 19,777,680 Electric-power supply and development.. .. .. .. .. .. 1,637,407 Nauru and Ocean Islands .. .. .. .. .. .. .. 600,000 Housing .. .... .. .. .. .. .. .. 776,564 Scenery-preservation .. .. .. .. .. .. .. .. 154,000 Hauraki Plains settlement .. .. .. .. .. .. .. 392,000 Rangitaiki land-drainage .. .. .. .. .. .. .. 360,000 Swamp-land drainage .. . . .. .. .. .. .. .. 223,000 State coal-mines .. .. .. . . .. .. .. .. 227,600 Westport Harbour works, railway, dredging plant, &c.—Estimated value of assets taken over .. .. .. .. .. .. .. .. .. 800,000 £85,989,788 Indirectly Productive Services : Schedule V. £ Roads .. .. .. .. .. .. .. .. .. 13,111,960 Immigration.. .. .. .. .. .. .. .. .. 2,507,271 Tourist and health resorts .. .. .. .. .. .. .. 304,181 Development of mining .. .. .. .. .. .. .. 885,805 Roads to open up Crown lands .. .. .. .. .. .. 1,360,548 Lands-improvement .. .. .. .. .. .. .. .. 157,846 Waihou and Ohinemuri Rivers improvement .. .. .. .. .. 243,453 Irrigation and water-supply .. .. .. .. .. .. .. 332,8 ( ,>2 Timber-supply, sawmills, &c. .. .. .. .. .. .. .. 16,369 £18,920,325
3—B. 6.
8.—6,
18
Table No. 12— continued. Assets held as against the Public Debt on 31st March, 1922. Gross public debt ... ... ... ... ... ... ... £219,054,385 Less amount raised for redemption of loans ... ... ... • ... 157,870 £218,896,515
Allocation of Gross Public Debt for Financial Year 1921-22. Total, £219,054,385.
Table No. 13. Economies and Savings in the Public Service. Since Ist April, 1922, Departments have been requested to furnish returns showing — (1.) The total amount saved from the Ist January to the 31st March, 1922, as a result of the first deduction from the cost-of-living increase or bonus under the Public Expenditure Adjustment Act, 1921-22. The saving is shown separately in respect of the permanent and temporary staff under each departmental vote or account. (2.) The savings resulting from economies effected in specified items of expenditure during the financial year 1921-22. The savings in salaries or wages of permanent staff, temporary assistance, and in " other charges " are shown separately under the different votes or accounts.
19
8.—6
(3.) Amounts by which cost-of-living increases or bonuses are reducible for the nine months from Ist July, 1922, to 31st March, 1923, by the second reduction under the Public Expenditure Adjustment Act, 1921-22. (4.) Additional revenue or credits accruing from adjustment of fees and methods of collection, &c. The figures supplied by the various Departments are set out in the following tables :—
(1.) (2 12.) (3.) > r, SB .B 6 » , ■■ a S a .3 S (M <U fct, r> (-, as p- £ o5 ■*£ ..-r> ,E Actual Savings f January to 31st Ma as Result of First in Cost-of-living J from 1st Savings effected fi [arch, 1922, specified Items dur Production ended 31st 1 from Econo: iring Financ Maich, 192! imics in cial Year Increase. Per- Tommanent porary Staff. Staff. Salaries and Wages. ,., , , Per- TemTotal. , manent porary Staff. Staff. Other Charges. Total. CONSOLIDATED FUND. £ £ Under Special Acts .. 2,550 £ £ £ 2,550 ! .. £ 414,163 £ 414,163 £ 687 Annual Appropriations. VoTK. 5,385 6,938 1,239 . 285 4,550 5,226 875 480 933 1,227 335 Legislative .. .. 253 148 Treasury .. . . 272 30 Land and Income Tax .. i 510 : 35 Stamp Duties .. .. 720 ' 16 National Provident and .1.61 j 67 Friendly Societies Working Railways .. 38,000 14,000 Post and Telegraph Work- 26,354 1,903 ing-expenses Public. Buildings .. 187 j 825 Government Domains .. 30 i 195 Maintenance and Improve- 100 i 100 merit of Roads Native .. .. 302 18 External Affairs .. 26 Industries and Commerce 136 Justice . . . . 88 ! 10 Supreme and Magistrates' 805 Courts Prisons .. .. 1,020 59 Crown Law .. . . 115 Police .. .. .. 4,705 j Cook Islands .. .. 113 Pensions .. .. 369 149 Mines .. .. .. 208 62 Internal Affairs . . .. 1,553 812 Audit .. .. .. 480 42 Public Service Commis- 85 sioner's Office Printing and Stationery .. 1,125 286 Mental Hospitals .. 3,181 Health .. .. 1,613 1,484 Naval Defence .. .. 14 I N.Z. Military Forces and 2,792 88 Cadets Aviation .. .. 21 Non-effective Services Rifle Clubs .. .. .. Customs .; .. 1,246 5 Marine .. .. 824 74 Labour .. .. 355 14 Lands and Survey .. 2,449 142 Valuation .. .. 461 56 Electoral .. . . 11 Agriculture .. .. 2,209 472 Tourists .. .. j 526 234 Education .. ..25,101 21.6 401 751 802 302 391 848 545 285 736 j 1,614 2,101 228 .. 145 52,000 98,000 35,440 28,257 .. 20,045 1.012 , 3,273 710 225 200 320 884 256 26 90 136 1,209 441 98 682 805 1,215 1,079 1.150 275 115 4,705 113 518 1,015 4.145 270 313 2,868 2,395 7,178 4,181 522 792 1,482 85 90 835 5,081 92,730 28,671 14 1,503 70 7 342 29.008 12 115 226.170 48,716 3,983 1,154 90 3,153 682 1,215 1,495 5,167 3,523 40,367 2,286 205 65,000 53,229 2,085 150 606 514 41 124 192 1,417 1,615 22 7,368 131 744 370 3,824 752 135 1,411 1.020 3,181 3,097 110 695 14 2,880 28,191 896 3,400 28,445 4,420 29,250 2.349 5,955 4,100 30 3,624 70,913 100,000 21 .. 700 6,364 444 174 173 1,783 3,738 550 600 7,064 444 174 1,347 3,872 4,628 3,045 2,482 36 1,251 1,024 .150 898 1,726 363 369 446 444 2,591 1,288 1,207 51.7 659 1,223 11 2,681 1,400 1,475 760 2,378 57 25,317 5,424 637 2,009 1,486 661 4,273 763 34 3,675 1.301 29.387 13,177 4,254 8,850 16,052 6,689 14,911 I : Totals, Consolidated Fund ,121,070 21,572 J 142,642 162,598 81,586 7 720,801 < 964,985 202,539 Note, —Against No. 2 column there arc mere •cases in other items due to norma: al expansion n of si rvict is.
8.—6
20
Table No. 13— continued.
■(!.)■ (2.) (3.) i Actual January t as Result m Cost-( Savings from 1st ;o 31st March, 1.922, of First Reduction of- living Increase. Savings effected from Economies in specified Items during Financial Year ended 31st March, 1922. Salaries and Wages. ! S 3 9 o .a on S i-» s pi ,| SmSf.X a S rf, rn m ,9 $*>*•£, Permanent Staff. Temporary j Total. Staff. **■ Tem - o2SJ TotaL menent porary ° Staff. Staff'. 1 1 PUBLIC WORKS FUND. Vote. Public Works, Departmental Railway-construction Additions to Open Lines .. Tourist and Health Resorts Immigration Roads, &c. Telegraph Extension Contingent Defence Lands, Miscellaneous Irrigation and Water-supply £ 2,648 50 2,550 £ 248 11,500 850 20 6 6,100 738 £ 2,896 11,550 3,400 20 56 6,100 738 £ £ £ £ 1,045 1,045 26 3,000 3,026 I £ £ £ 1,045 26 3,000 £ 3,544 18,659 4,250 50 90 5,580 2,250 1,914 1,91.4 16 16 1,914 16 830 '830 285 Totals, Public Works Fund 5,298 20,292 25,590 26 5,975 6,001 26 5,975 34,658 OTHER ACCOUNTS. State Forests State Coal-mines Railways Improvement Authorization Act Acct. Waihou and Ohinemuri Rivers Improvement Electric Supply Land for Settlements Opening up Crown Lands Land for Settlements, Discharged Soldiers Settlement Account Native Land Settlement . . Hauraki Plains Settlement Rangitaiki Land Drainage Housing Swamp Land Drainage . . War Expenses Account, General War Expenses Account, Repatriation 394 184 450 19 14 65 150 330 1,350 550 408 249 600 330 .1,350 19 550 2.598 91 ■ • 200 1128,240 24 238 785 315 131,038 24 329 785 315 1,639 266 750 1,050 4,605 7 1,725 16 10 26 ' 198 198 475 500 37,094 113 142,000 40 120 29 149 309 475 500 93.1 35,854 113 22,000 120,000 70 53 1,507 1,560 1,1.48 25 320 345 10,730 7,118 17,848 322 Totals, Other Accounts 1,261 4,325 5,586 3,196 33,861 293,662 330,719 11,622 DEPARTMENTS OUTSIDE PUBLIC ACCOUNT. Public Trust Native Trust Government Life Insurance State Fire Insurance State Advances Public Service Superannuation Fund Totals, Outside Departments 2,113 44 569 364 210 34 39 13 2,152 44 582 364 240 34 14,443 3,305 370 306 9,718 236 12,360 156 ■86,521 392 3,305 370 1,594 3,163 90 848 585 392 60 30 1,282 6 3,334 82 3,416 18,424 11,236 | j 12,522 j i 42,1.82 5,138
8.—6
21
Table No. 13— continued. 4. Additional Revenue accruing prom Adjustment of Fees and Methods of Collection, etc. £ Treasury Department .. .. . . .. .. .. 500 Stamp Duties Department .. .. .. .. .. .. 20,850 Postal and Telegraph Department . . .. . . .. . . 22,000 Native Department .. .. .. . . .. . . 8,832 Mines Department .. .. .. .. .. .. 135 Internal Affairs Department .. .. .. .. .. 6,51.0 Health Department .. .. .. .. .. .'. 10,250 Defence Department . . . . . . .. .. .. 597 Valuation Department .. .. .. . . .. .. 412 Department of Agriculture .. .. .. .. .. .. 1,513 Tourist and Health Resorts Department . . . . . . .. 500 Total, Consolidated Fund .. .. .. ..£72,099
SUMMARY OK TABLES. (1.) Total amount saved during the three months, January, February, and March, 1922, as a result of the first deduction from the cost-of-living increase or bonus under the Public Expenditure Adjustment Act, 1921-22 :— ' ' remanent temporary , v . , Staff. Staff. lotal - Consolidated Fund— £ £ £ Special Acts.. .. .. .. .. .. 2,550 .. 2,550 Administrative and Revenue Departments .'. .. 26,238 5,365 31,603 Railways .. .. .. .. .. .. 38,000 14,000 52,000 Postal and Telegraph .. .. .. .. 26,354 1,903 28,257 Defence .. .. .. .. .. .. 2,827 88 2,915 Education .. .. .. .. ._. ..25,101 216 25,317 Total, Consolidated Fund .. .. .. 121,070 21,572 142,642 Public Works Fund .. .. .. .. .. 5,298 20,292 25,590 Other Accounts .. .. .. .. .. .. 1,261 4,325 5,586 Total, Publio Account .. .. .. 127,629 46,189 173,818 Departments outside Public Account .. .. .. 3,334 82 3,416 Total .. .. .. .. .. 130,963 46,271 177,234 Equivalent to annual saving of £752,936. (2.) Savings resulting from economies in specified items during financial year ended 3ist March, 1922:— „ . " remanent temporary Other ~, , Staff. Staff. Charges. ioUL £ . £ £ £ Consolidated Fund : Annual appropriations .. 162,598 81,586 720,801 964,985 Public Works Fund ~ .. .. .. .. 26 5,975 6,00.1. Other Accounts .. .. .. ... 3,196 33,861 293,662 330,719 Total, Public Account .. .. 165,794 115,473 1,020,438 1,301,705 Departments outside Public Account .. .. 18,424 11,236 12,522 42,182 Total .. .. .. 184,218 126,709 1,032,960 1,343,887
8.—6
22
Table No. 13 — continued. (3.) Estimated amounts by which cost-of-living increases or bonuses are reducible for the nine months, Ist July, 1922, to 31st March, 1923, by the second reduction under the Public Expenditure Adjustment Act, 1921-22 :— Consolidated Fund — £ £ £ Special Acts .. .. .. .. .. 687 Administrative and Revenue Departments .. .. 50,54-6 i Railways .. .. . . .. .. . . 65,000 Postal and Telegraph .. .. .. ..53,229 Defence .. .. .. .. .. .. 3,690 Education .. .. .. .. .. 29,387 Total, Consolidated Fund .. .. —202,539 Public Works Fund .. .. .. .. .. 34,658 Other Accounts .. .. .. .. .. 11,622 Total, Public Account .. .. .. 248,819 Departments outside Public Account .. .. .. 5,138 Total .. .. .. .. £253,957 Equivalent to annual saving of £338,609. Total saving due to Public Expenditure Adjustment Act, 1921-22, by first and second reduction in all services at annual rates :— £ First deduction .. .. .. 752,936 Second deduction .. .. .. 338,609 £1,091,545 (4.) Additional revenue accruing from adjustments of fees and methods of collection, &c. ;— Consolidated Fund .. .. .. .. .. .. £72,099
Table No. 14. Statement showing Advances for War and other Purposes received from the Imperial Government to the 31st March, 1922, the Capital Liabilities, and Annual Interest payable thereon.
Authorizing Acts. advanced Capital Liabilities. £ £ s. d. 2,000,000 1,168,421 1 0 898,989 18 0 2,000,000 2,067,410 19 0 3,200,000 3,232,323 4 7 4,000,000 1 ,,600,000 0 0 2,526,300 0 0 710,000 747,308 8 5 Bate of Annual Interest Interest. Payable. For war purposes — Public Revenues Amendment Act, .191.4 (section 8) PerCent. £ s. d. 3.1 40,894 11 8 4| 40,454 10 JO 81,349 5 0 Public Revenues Amendment Act, 1915 (section 5) 4.V 5~ 5 5 145,454 10 10 80,000 0 0 126,315 0 0 37,368 8 6 Finance Act, .1916 (section 35) 7,910,000 j 8,105,991 13 0 5 389,137 19 4 236,842 2 0 4,500,000 4,736,842 2 1 War Purposes Loan Act, 1917 (section 2), and War Purposes Loan Act, 1917 (No. 2) 1,530,000 3,300,000 1,530,000 0 0 3,300,000 0 0 5 76,500 0 0 5f 177,375 0 0 ; ; 253,875 0 0 4,830,000 4,830,000 0 0 Finance Act, 1918 (section 10) 51 354,750 0 0 0,600,000 6,600,000 0 0 Total for war purposes 25,840,000 26,340,244 14 1 1,315,954 0 10 L<'or redemptions—■ New Zealand State-guaranteed Advances Acts, 1909-10— Advances to settlers Advances to workers 1,745,000 1,762,626 5 3 325,000 328,282 16 6 44 79,318 3 8 4J 14,772 .14 6 Aid to Public Works and Land Settlement Act, 1910 Land for Settlements Act, 1908.. Naval Defence Act, 1909 2,070,000 2,090,909 I 9 94,090 18 2 189,100 37,400 953,500 191,010 2 0 37,777 15 6 963,131 6 3 4 1 8,595 9 0 4,} 1,700 0 0 4* 43,340 18 2 Total for redemptions .. ., 3,250,000 3,282,828 5 6 147,727 5 4 Grand totals 29,090,000 j 29,623,072 19 7 1,463,681 12 2
23
8.—6
Table No. 15. Increased Financial Burdens. Comparisons in Expenditure, Pre- and Post-war Years. Country. 1914. 1921. The United Kingdom .. .. .. .. .. £197,492,969 £1,039,728,000 United States of America .. .. .. .. .. $700,254,489 $5,517,110,000 Dominion of Canada .. .. .. .. .. £26,184,670 £74,192,299 Union of South Africa .. .. .. .. .. £17,662,014 £25,695,584 Australian Commonwealth (Federal expenditure only) . . .. £21,740,423 £64,624,087 Australian States — New South Wales .. .. .. .. .. £17,701,851 £34,476,892 Victoria .. .. .. .. .. .. £10,594,551 £19,043,197 Queensland .. .. .. .. .. .. £6,962,516 £12,591,201 South Australia .. .. .. .. .. £4,604,129 £7,543,640 West Australia .. .. .. .. .. £5,348,303 £7,476,291 Tasmania .. .. .. .. .. .. £1,162,514 £2,189,157 Dominion of New Zealand .. .. .. .. .. £11,825,864 £28,068.730 Note. —In comparing the Australian increases with those of New Zealand it should be remembered that the expenditure by the State Governments has to be added to that of the Federal Government to make the comparison a fair one, the functions of government being divided between the State and the Federal Governments in Australia, while in the Dominion they are all discharged by the one Government. Compared with 1914 the expenditures of the Federal and State Governments of Australia rose from £68,113,287 to £147,944,465—that is, by £79,831,178. Per Capita Expenditure Increases, Australian States, 1914-1921. The following table shows the increase in the expenditure of the several Australian States, together with their proportionate share of the Commonwealth Government's expenditure, which must necessarily be shown in any comparison between the expenditure by the Government of this country and that of the Australian States, which divide the functions of government with the Commonwealth, whereas in this Dominion they are all discharged by the one Government: —
By Authority : W. A. €!. Skinner, Government Printer, Wellington.—l 922.
! State. I 1914. 1921. Increase. New South Wales— State expenditure Federal expenditure £ s. d. 9 12 8 3 3 5 £ s. d. 16 9 9 11 16 10 £ s. d. 6 17 1 8 13 5 Queensland — State expenditure Federal expenditure 12 16 1 28 6 7 15 10 6 10 12 7 3 3 5 16 14 9 11 16 10 6 2 2 8 13 5 West Australia — State expenditure Federal expenditure 13 16 0 28 11 7 14 15 7 17 13 4 3 3 5 22 12 0 11 16 10 4 18 8 8 13 5 South Australia — State expenditure Federal expenditure 20 16 9 34 8 10 13 12 1 10 11 1 3 3 5 15 7 2 11 16 10 4 16 1 8 13 5 Victoria— State expenditure Federal expenditure 13 14 8 3 3 3 6 8 5 27 4 0 12 7 11 11 16 10 13 9 6 4 4 3 8 13 5 Tasmania— State expenditure Federal expenditure 11 7 1 24 4 9 12 17 8 6 17 5 3 3 5 10 5 9 11 16 10 3 8 4 8 13 5 New Zealand 10 0 10 22 2 7 12 1 9 10 4 2 23 10 0 13 5 10
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Bibliographic details
FINANCIAL STATEMENT (In Committee of Supply, 15th August, 1922.) BY THE RIGHT HONOURABLE W. F. MASSEY, P.C., MINISTER OF FINANCE., Appendix to the Journals of the House of Representatives, 1922 Session I, B-06
Word Count
36,605FINANCIAL STATEMENT (In Committee of Supply, 15th August, 1922.) BY THE RIGHT HONOURABLE W. F. MASSEY, P.C., MINISTER OF FINANCE. Appendix to the Journals of the House of Representatives, 1922 Session I, B-06
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