FINANCIAL STATEMENT (In Committee of Ways and Means, 3rd, July, 1923.)

Appendix to the Journals of the House of Representatives, 1923 Session I-II, B-06-part02

8.—6

INDEX.

PACIE. Accumulated Surpluses .. .. .. .. .. .. .. .. iii Advances to Discharged Soldiers .. .. .. .. .. .. . . x Advances, State .. .. .. .. .. .. .. .. . . xv Agriculture .. .. .. .. .. .. .. .. .. xii Amusement-tax .. .. .. .. .. .. .. .. .. viii Balance-sheets: Departmental .. .. .. . . .. .. .. xx Balances on 31st March, 1923 :— Consolidated Fund .. .. .. ... .. .. .. .. iii Public Works Fund .. .. .. .. .. .. . .. v Bank-note Tax . . .. .. .. .. .. .. .. . . viii Bank of New Zealand : Dividends .. .. .. .. .. .. .. .. .. xxv New Shares .. .. .. .. .. .. .. .. .. \\\ Beer Duty .. .. .. .. .. .. .. .. .. vi British War Loan Stock .. .. .. .. .. .. .. .. v Conclusion .. .. .. .. .. .. .. .. xxxi Consolidated Fund : — Estimated Expenditure, 1923-2-1 .. .. .. .. .. .. xxvii Estimated Revenue for 1923-24 .. .. .. .. .. .. xxvii Expenditure for 1922-23 compared with 1921-22 .. .. .. .. ii Result of Year's Operations .. .. .. .. .. .. * .. iii He venue Decreases .. .. .. .. .. .. .. .. ii Revenue for 1922-23 compared with 1921-22 .. .. .. .. .. i Revenue Increases .. .. .. .. .. .. .. .. i Contribution to Naval Base .. .. .. .. .. . . xiv Conversions .. .. .. .. .. .. .. .. .. xx Cook and Nine Islands .. .. .. .. .. .. .. .. xx Cost of Living .. .. .. .. .. .. .. .. .. xxv Customs :— Revenue, 1922-23 .. .. .. .. .. .. .. .. vi Beer Duty .. .. .. .. .. .. .. .. .. vi Estimated, 1923-24 .. .. .. .. .. .. .. .. vii Death Duty .. .. .. .. .. .. .. .. .. viii Debt Reduction .. .. .. .. .. .. .. .. .. xxiv Defence Department: — Defence .. .. .. .. .. .. .. .. .. xiii Naval Defence .. .. .. .. .. .. .. .. xiv Repatriation .. .. .. .. .. .. .. .. .. xi War Expenditure .. .. .. .. .. .. .. .. xiii Departmental Balance-sheets .. .. .. .. .. .. .. xx Department of Health .. .. .. .. .. .. .. .. xv Discharged Soldiers Settlement .. .. .. .. .. . . .. x Dominions Progress .. .. .. .. .. .. .. .. xxvi Economies .. .. .. .. .. .. .. . . .. iii Education Department: — Education .. .. .. .. .. .. .. .. .. xiv Teachers' Superannuation Fund.. .. .. .. .. .. .. xviii Estimates: — Expenditure, 1923-24 .. .. .. .. .. .. .. xxvii Revenue, 1923-24 .. .. .. .. .. .. ... .. xxvii Result for Year 1923-24 .. .. .. .. .. .. .. xxvii Estimates and Proposals .. .. .. .. .. .. .. .. xxx

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2

Expenditure: — page. Expenditure, 1922-23, compared with previous Year .. .. .. .. ii Estimated for 1923-24 .. .. .. .. .. .. .. .. xxvii Public Works . . .. .. .. .. .. .. .. .. iv Exports and Imports .. .. .. .. .. .. .. .. vi Finance: Treasury .. .. .. .. .. .. .. .. xxi Five-per-cent. British War Loan Stock .. .. .. .. .. .. v Flood Relief .. .. .. .. .. .. .. .. .. xxvi Four-million Loan, 1923 .. .. .. .. .. .. xxi Free-of-income-tax Securities .. .. .. .. .. .. .. xx iMinded Debt .. .. .. .. .. .. .. .. .. xxii Government Insurance Department .. .. .. .. .. .. ~ xvii Health Department .. .. .. .. .. .. .. .. xv Sousing .. .. .. .. .. .. .. .. .. .. xvi Immigration .. .. .. .. .. .. .. .. .. xiii imperial Debt; Funded .. .. .. .. .. .. .. .. xxii Imperial Securities, Profit on .. .. .. .. .. .. .. v Imports and Exports .. .. .. .. .. .. .. .. vi Income-tax Receipts .. .. .. .. .. .. .. ~ vii Inland Revenue Department .. .. .. .. .. .. .. vii Inscribed Stock domiciled in London .. .. .. .. .. .. xxi Insurance on Public Buildings .. .. .. .. .. .. .. xx Insurance, State Fire .. .. .. .. .. .. .. .. xvii. Interest bearing Investments .. .. .. .. .. .. .. iv Land-tax Receipts .. .. .. .. .. .. .. .. ~ vii Laud-settlement .. .. .. .. .. .. .. .. .. j x Loans: — L 923 Loan .. .. .. .. .. .. .. .. ~ xxi Falling due .. .. .. .. .. .. .. .. ~ xx j v Redemptions and Renewals .. .. .. .. .. .. ~ v Maori War Pensions .. .. .. .. .. .. .. ._ xv j Miners' Pensions .. .. .. .. .. .. .. .. ti xv j National Providenl Fund .. .. .. .. .. .. ~ .. xvii Native .. . . . . .. .. .. .. . , ~ _ _ xviu Native Land Settlement .. .. .. .. .. .. .. ti xv jjj Nauru and Ocean Island Phosphate.. .. .. .. .. ~ .. x ii Naval Base, Contribution to .. .. .. .. .. .. x j v Naval Defence .. .. .. .. .. .. .. .. .. x j v New Zealand Inscribed Stock domiciled in London .. .. .. .. ~ xx j Old-age Pensions .. .. .. .. .. .. .. .. , xv ; Penny Postage . . .. .. .. .. .. ~ ~ ; x Pensions .. .. .. .. .. .. .. ~ ~ _ xv j Permanent Charges 1922-23 compared with 1921-22 .. .. .. ~ .. ;j Phosphates, Supply of .. .. .. .. .. .. ~ __ x jj Post and Telegraph Department .. .. .. .. .. ~ v ;jj Profit on Imperial Securities .. .. .. .. .. , v Progress of Dominion .. .. .. .. .. ~ it _ xxvi Proposals for Year, Summary of .. .. .. ~ . ( xxx Public Debl .. .. .. - .. .. .. ~ . xx jj Public Debt Reduction .. .. .. .. .. tj __ xxiv Public Service Superannuation Fund .. .. .. .. ~ xviii Public Trust Office .. .. .. .. .. .. ,_ xv jjj Public Works Department .. .. .. .. .. it j v Public Works Fund .. .. .. ~ .. ti v Railway Department .. .. .. .. .. ~ v jjj Railways Superannuation Fund .. .. .. .. ~ , _ xviii Redemptions and Renewals .. .. .. .. .. _ v Reduction of Taxation .. .. .. .. ~ ~ g- xxvi Reduction Public Debt .. .. .. ~ ~ ~ ~ xxiv Repatriation . . .. .. .. ~ ~ _ _ x j

8.—6.

3

PACK Heserve Fund in London .. .. .. .. .. .. ~ .. xxv Result of Year's Operations .. .. .. .. .. .. .. iii Results, 1922-23, Summary of .. .. .. .. .. .. .. xxvii Revenue: — Consolidated Fund, 1922-23 .. .. .. .. .. .. .. i Customs—Estimated, 1923-24 .. .. .. .. .. .. .. vii Total estimated, 1923-24 .. .. .. .. .. .. .. xxvii Samoa .. .. .. .. .. .. .. .. .. xix Savings in Departmental Exj)enditure .. .. .. .. .. .. ii Savings through Investments from Surpluses .. .. .. .. .. .. iv Sinking Funds .. .. .. .. .. .. .. .. .. xxiii Soldiers :— Pensions .. .. .. .. .. .. .. .. .. xvii Repatriation . . .. .. .. .. .. .. .. .. xi Stamp and Death Duties .. .. .. .. .. .. .. .. vii State Advances Office .. .. .. .. .. .. .. .. xv State Fire Insurance .. .. .. .. .. .. .. .. xvii State Guarantee .. .. .. .. .. .. .. .. .. xxv Stores Control Board .. .. .. .. .. .. .. .. xx Superannuation Funds: — Public Service .. .. .. .. .. .. .. .. xviii Railways .. .. .. .. .. .. .. .. .. xviii Teachers' .. .. .. .. .. .. .. .. .. xviii Surplus for Year 1922-23 .. .. .. .. .. .. i Surpluses accumulated .. .. .. .. .. .. .. .. iv Swamp Drainage Reclamation .. .. .. .. .. .. .. x Tariff Alteration .. .. .. .. .. .. .. .. .. xxv Taxation :— Reduction of .. .. .. .. .. .. .. .. xxvi Amusement-tax .. .. .. .. .. .. .. .. viii Income-tax .. .. .. .. .. .. .. .. .. vii Land-tax .. .. .. .. .. .. .. .. .. vii Totalizator-tax .. .. .. .. .. .. .. .. viii Teachers' Superannuation Fund .. •• .. .. .. .. .. xviii Telephone Rates .. .. .. .. .. .. .. .. .. is Treasury Bills .. .. .. .. .. .. .. .. .. vi Treasury Finance .. .. .. .. .. .. ... .. .. xxi War:— Expenditure .. .. .. .. .. .. .. .. .. xiii Pensions .. .. .. .. .. .. .. .. .. xvii Western Samoa .. .. .. .. .. .. .. .. .. xix Widows' Pens ons .. .. .. .. .. .. .. .. xvi Working Railways .. .. .. .. .. .. .. .. viii Year's Operations, Summary of .. .. .. .. .. .. .. xxvii Year's Surplus .. .. .. .. .. .. .. . • • • i

8.-6

Session 11. 1923. NEW ZEALAND.

FINANCIAL STATEMENT (In Committee of Ways and Means, 3rd, July, 1923.)

Mr. Chairman, — I have the honour to submit the annual statement of the finances of the Dominion as at the 31st March, 1923, and in doing so desire to congratulate the Committee upon the satisfactory position of the Consolidated Fund, Ordinary Revenue Account, which at the end of the year disclosed a surplus of revenue over expenditure amounting to £1,315,683. This gratifying result is attributable to the general improvement in the condition and prospects of the Dominion, brought about principally by the revival of the overseas demand for our produce and by economical administration. Full particulars of the revenue and expenditure will be found in the; tables attached to this statement, and in the published accounts which accompany it. CONSOLIDATED FUND: ORDINARY REVENUE. Revenue. The estimated revenue for the year 1922-23 amounted to £26,250,000, whilst the actual amount received was £27,579,443 or £1,329,443 above the estimate, arid £547,564 less titan that collected during 1921-22. The principal increases were as follow : — £ Customs .. .. .. .. ..936,856 Beer duty .. .. .. .. .. 153,230 Stamp and death duties .. .. .. .. 136,787 The main increase in Customs duty took place during the last five months of the year, and is due to the change made in the tariff in November, 1921 ; to large importations of soft-goods during the March quarter; and to the duty collected on alcoholic liquors and other luxuries. The following increases are attributed to increased rates of duty : Tobacco, cigarettes, &c, £277,738 ; tires for motor-vehicles, £61,135. Increased importations of apparel, drapery, textiles, boots, and silks account for increased revenue totalling £657,724. Another source of increased revenue has been the extra preferential duty levied ott foreign goods ; for example, cotton piece-goods, increase £19,892 ; tools, £9,800 ; sewing-machines and typewriters, £3,580.

i—B. 6.

B.— 6

II

The gross increase in Customs duty amounted to £1,028,869 ; but after deducting decreases due to the change in the tariff and in the revenue collected on spirits, the net excess is £936,856. There was a decrease of £2,267,369 in land and income tax, and in this connection I may explain that in 1920-21 the total tax collected was £9,937,923 ; in 1921-22, £7,640,803 ; in 1922-23, £5,373,434. The income-tax collections are based on the business transactions and assessments thereon for each preceding year, and indicate the course of the post-war depression. When the estimates for 1922-23 were prepared, it was anticipated that there would be a further decrease of £2,040,803. Notwithstanding this, reductions were granted in taxation during 1922-23 amounting to £929,100, so that a, gross drop of £2,969,903 would have eventuated had not the assessments for 1921-22 realized more than was expected. The revenue would thus have been less by £2,969.903, but recoveied to the extent of £702,534, so that the actual decrease was £2,267,369 only. There is a nominal increase of £416,009 in departmental and other receipts, but this is due to an alteration in the system of accounting whereby receipts formerly credited to certain departmental votes are now credited to revenue — a change that ensures closer parliamentary control over the annual appropriations. Expenditure. The total expenditure out of the Ordinary Revenue Account amounted to £26,263,760, being £2,203,078 under the expenditure of the previous year, and £1,851,946 less than the amount appropriated by Parliament. The expenditure under the three main heads was as follows : — £ Civil List and special Acts .. .. .. 4,073,957 Interest and sinking fund charges (including £141,171 paid off debt on account of Imperial funded debt) 8,899,957 Annual appropriations .. .. .. .. 13,289,846 Total .. .. .. .. £26,263,760 Compared with the previous year the decreases are, — £ Civil List and special Acts .. .. .. 357,926 Annual appropriations .. .. .. .. 2,302,831 Gross decrease . . . . . . 2,660,757 Less an increase in the interest, sinking fund, and repayment charges of .. .. .. 457,679 Leaving the net decrease as mentioned above . . £2,203,078 The higher rates of interest aie mainly the reason for the increase of £457,679, but the estimated expenditure under this heading for the current year shows a decrease of £233,782. The decrease in expenditure in annual appropriations and under special Acts, apart from interest and sinking-fund charges, was £2,660,757. The saving; in departmental expenditure are common to nearly all votes, the principal reductions being — £ Post and Telegraph working-expenses .. .. 336,145 Public buildings .. .. .. .. .. 31,217 Defence and Naval .. .. .. .. 222,629 Lands and Survey .. .. .. .. 63,295 Customs .. .. .. .. .. 33,123 Railways .. .. .. .. .. 1,527,053 Education .. .. .. .. .. 65,571 Agriculture .. .. .. .. .. 66,979 Marine .. .. .. .. .. 34,491

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III

Result op the Year's Operations, 1922-23. £ Balance brought forward, Ist April, 1922 .. .. .. .. 7,531,367 £ Revenue .. '.. .. .. .. 27,579,443 Expenditure—Permanent charges and appropriations 26,263,760 Leaving a surplus of .. .. .. .. 1,315,683 Total .. .. .. .. .. 8,847,050 Deduct — Payment to Loans Redemption Account for redemp- £ tion and cancellation of securities .. .. 3,159,960 Transfer to Discharged Soldiers Settlement Depreciation Fund .. .. .. .. 50,000 3,209,960 Balance at 31st March, 1923 .. ..£5,637,090 The year's operations taken in conjunction with the overseas trade figures and banking returns afford proof of the recuperative powers of the country, and of the progress made in the adjustment of the economic situation. Whatever may be said to the contrary, the country is making a speedy recovery, and the upward movement is increasing in strength and confidence. I believe we have reached the end of the period of unrest and uncertainty ; but, although most of our temporary difficulties have been surmounted, conditions are still far from normal, so that continued prudence is necessary. The sound financial position that we have attained should therefore be regarded as affording an opportunity to lighten the burden of taxation and to relieve industry and commerce, rather than an indication that stringent economy and good management may be relaxed. ECONOMIES. Last year when outlining the progress of the economy policy initiated early in 1921 I gave an estimate of further expected savings, and stated that in departmental votes and under special Acts, the gross savings, with other proposed economies, were expected to amount to £4,028,863. The figures for 1922-23 show that, with the savings effected last year, the reduction over the period referred to amounts to £3,735,049, the difference being chiefly due to the fact that the third deduction from the cost-of-living bonus or increase granted to public servants was not made. The scope for effecting economies is limited, and further savings in expenditure at this rate cannot be looked for if the services of the country are to be efficiently maintained and adequate provision made for growing needs ; nevertheless, the practice of strict economy continues to be imposed on Departments. The increased iate-! of interest and expenditure due to normal expansion have made the problem of reducing expenditure and standardizing financial sacrifice extremely difficult, but a net saving of £2,203,078 for the year is a notable achievement. In many cases essential expenditure has had to be postponed or seriously curtailed. Expenditure, however, must be regulated by income, and in the development of our great resources it is necessary that the annual charge should be kept proportionate to the ability of the country to provide the revenue. ACCUMULATED SURPLUSES. The balance of accumulated surpluses brought forward on the Ist April, 1922, amounted to £7,531,367. Included in this sum was £2,129,420 of excess Customs revenue received in 1920-21, which was reserved to meet the anticipated fall in revenue. This reserve was utilized during the greater portion of the year, but when the effect of economy was felt in the reduction of expenditure and the revenue came in, the necessity for this reserve disappeared, and the amount was restored to the Accumulated Surpluses Account.

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IV

It will be observed that £3,159,960 was applied in redemption of securities of a nominal value of £3,160,030, which were cancelled and discharged from the public debt. I propose to apply a further £500,000 to meet redemption of loans maturing during the coming year. Legislation will also be submitted to you authorizing the transfer of to the Public Works Fund, and £100,000 to Education Loans Account for school buildings, thus providing funds for capital expenditure without borrowing. The total interest-bearing investments from the surpluses amount to £17,260,000, giving an annual income of £712,870, which is permanently relieving taxation to that extent. The advantages of applying the accumulated surpluses to capital purposes in preference to borrowing moneys at high rates of interest, will, I think, be recognized by honourable members. Some objection has been taken to the use of the surplus for soldier-settlement purposes, but owing to the embargo on the London market it was practically impossible at the time the money was most urgently required, to float loans on anything like reasonable terms, if at all. The following statement shows how the accumulated surpluses have been applied: — Statement showing how Accumulated Surpluses save been applied. Tii Accumulated surpluses at £ I By Transfers to £ £ 31st March, 1920 .. 17,538,976 ' Discharged Soldiers Settlement AccountSurplus for financial year 11120 21 .. .. .. .. 13,330,000 1920 21 .. .. 6,132,233 1921-22 .. .. .. .. 170,(KX) Surplus for financial year 13,500,000 1922-23 .. .. 1,315,683 Discharged Soldiers Settlement Depreciation Fund Excess Customs revenue Account restored from Ordinary 1020 21 .. .. .. .. 50,000 Revenue Account .. 2,129,420 IH2I-22.. .. .. .. 50,000 1922-23 50,000 150,000 Public Works Fund, L 920 21 .. .. 500,000 Reserve Fund Securities Account, 1920-21 .. 1,200,000 Loans redemption, 1921-22 .. .. 500,011 Loans redemption, 1922-23 .. .. 3,159,960 3,719,971 Ordinary revenue (excess Customs revenue) To balance revenue and expenditure, 1921 22 .. .. .. 271), 831 To provide for estimated shortage in revenue, 1!>22 2.'i .. .. 2,129,420 2,409,251 Balance, 31st March, 1923 .. .. 5,637,090 £27,116,312 £2^1^312 PUBLIC WORKS FUND. The expenditure upon public works amounted to £3,912,886, or £1,548,521 less than the expenditure for the year 1921-22. Full details will be furnished by my colleague the Hon. Minister for Public Works in his annual .statement. The requirements of the. current year should be adequately met by the loan of £3,000,000 recently raised in London and by the transfer of £1,000.000 from the Surplus Revenue. The obligations imposed by the war make it essential that the country should be developed and expanded and its production increased by a progressive policy of works and settlement. To do this it is necessary to provide outside capital, but our borrowing must be confined to directly and indirectly productive purposes, and in view of the increased interest and debt-reduction charges, its extent must be a matter for very careful consideration, if the war debt be considered apart from the ordinary debt, a considerable portion of which provides its own interest, the public debt is- by no means excessive. If the weight of debt has increased during recent years there are normal forces in operation which tend to diminish the burden. Our prosperity depends almost entirely on our primary products, and in the matter of productivity this favoured land continues to show a. wonderful response to all demands.

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V

Statement showing the Position of the Public Works Fund as at 31st March, 1923. £ £ Balance brought forward on Ist April, 1922 .. .. .. 429,682 Receipts — Loan-money : Aid to Public Works and Land Settlement Act, 1921 .. .. .. .. 2,902,420 Transfer from Railways Improvement Authorization Account in terms of section 5, subsection (l), Finance Act, 1922 .. .. .. .. 1,000,000 Other receipts .. .. .. .. .. 22,337 3,924,757 4,354,439 Expenditure — Under appropriations .. .. .. .. 3,850,047 Other expenditure .. .. .. .. 5,562 Charges and expenses of raising loans .. .. 57,276 3,912,885 Balance at 31st March, 1923 .. .. £441,554* * The balance on 31st March, 1923, is made up as follows:— £ Cash in Public Account .. .. .. .. .. 10,859 investments .. .. .. .. .. .. 230,(XX1 imprests in the hands of officers of the Government .. .. 200,695 £441,551 FIVE-PER-CENT. BRITISH WAR LOAN STOCK. The amount of this stock, redeemable at par, but purchased for investment purposes at £95 and held by the different accounts at 31st March, 1923, totalled £2,570,000, nominal value. The price quoted on the market at that date was £102. As the purchase price was £2,441,500, this represents profits on the transaction amounting to £179,900, less accrued interest for four months included in the quotation price, leaving a net investment profit of £137,540, in addition to the interest earned at 5 per cent. Subsequently in 1922-23 loan-moneys amounting to £2,000,000 were temporarily invested in this stock at prices varying from £99j to and sold as required, the balance remaining at 31st March being £130,000. Some of the early sales showed a slight loss, but the net return on this investment of £2,000,000 yielded above 5 per cent., leaving the unsold securities with accrued profits of £3,237. REDEMPTIONS AND RENEWALS. The loans which matured during the year amounted to £9,004,986, to which must be added £8,975 matured loans for which debentures had not been presented up to the 31st March. 1922. making a total of £9,013,961. Of this sum securities amounting to £2,431,695 were redeemed, and £6,576,706 renewed at rates of interest varying from 4 to 5| per cent. In addition to the redemption of securities at maturity as above, other securities totalling £6,034,506 were redeemed as under : — In terms of section 24 of the Finance Act, £ 1921-22 (before maturity) .. .. ..5,893,335 Kundeddebt .. .. .. .. .. 141,171 £6,034,506 making a total ol £8,466,201 redeemed during the year. Securities remaining unpresented at the 31st March, 1923, totalled £5,500.

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VI

TREASURY BILLS. It was not necessary to issue Treasury bills in anticipation of revenue until the Ist November, 1922, and then only to the extent of £250,000. The bills were paid off by the 31st March, and none were outstanding at the end of the financial year. CUSTOMS AND EXCISE. Revenue, 1922-23. Estimated. Am , , ." m | 1 Compared with realized. astimate. £ £ £ Customs .. 5,160,000 6,157,394 997,394 in excess. Excise, beer .. 650,000 612,479 37,521 short. Totals ..£5,810,000 £6,769,873 £959,873 in excess. The new tariff came into operation on the 3rd November, 1921, and, in anticipation of increased duties on spirits and tobacco, merchants had cleared all stocks of these goods from the bonded warehouses. The result was that, during 1922-23, the increased duties on proof spirits amounting to 365. per gallon and to 4s. Bd. per pound on tobacco did not take full effect. More duty was, however, realized than was anticipated, especially during the concluding months of the financial year. A return of duties collected on spirits and tobacco for the eight months ending 31st July, 1922, as compared with the eight months ending 31st March, 1923, shows that the stocks cleared in anticipation of a rise in duty have in a large measure been disposed of. A steady revenue of about £900,000 per annum from spirits and over £1,200,000 per annum from tobacco, as compared with an average of £700,000 on spirits and £950,000 on tobacco before the change of tariff, is expected. The excise beer duty represents a total of 12,655,630 gallons of beer brewed at an average duty per gallon of ll'6ld. The quantity brewed for the previous financial year was 13,669,777 gallons. Imports and Exports. The values of the imports and exports for the past three financial years are as follow: — imports. Exports. £ £ 1920-21 .. .. .. 07,463,2(59 48,219,672 1921-22 .. .. .. 35,986,060 43,794,883 1922-23 .. .. .. 37,112,779 45,548,700 An analysis of the value of goods regarded according to origin shows that the proportion received from Great Britain is 52 - 2 per cent, of the total, as against 48*5 per cent, last year and 51*5 per cent, in 1914. The percentage on the same basis received from the United States was 15 "4, as compared with 11 "6 per cent. in 1914. A comparative return of the value and tonnage of goods according to the countries whence imported during 1922-23 as compared with the three previous years will be of interest.

Value and Tonnage of Imports.

Bril ish Ports. Per Dent. United s >f Anier Kates of Pet Cent. Other Vi rfca. of Count] areign Per Cent. rtes. of Totals. 919-20 .920-21 .921-22 ,922-23 Year. Value. Ton... I J £ 21,915,915 1,031,071 51,840,718 1,500,1 lis 27,897,065 1,234,778 29,000,876 1,309,424 si a.' •3 60 o c Value. f 77 8,080,058 75 11,584,781 -si 8,973,578 83 j 5,380,824 i . & ■3 O — Hi Tons. -gS «S Value. H > 0 H £ 235,219 25 18 2,100,140 388,975 17 19 4,031,770 100,153 17 13 2,115,417 223,985 14 14 2,119,079 iS £2 if Cons, s— * s M , o E" 1 Value. Tons. £ .■12,102.11!) 1,336,840 67,463,269 2,109,707 35,980,000 1,402,051 37,112,779 1,584,117 OS 77 77 80 07,550 7 5 130,53+ 6 0 37,720 6 3 50,708 6 3

8.—6

VII

Estimated Customs Revenue for 1923-24. The usual inquiries have been made from the banks, and from merchants. An optimistic feeling prevails, and there is reason to expect that the imports for the current year will show an increase over those of the year just closed. The increased prices realized for our primary products abroad, and the good prospects for the immediate future, have caused merchants to increase their orders. The extension of the preferential tariff in favour of Great Britain and the reciprocal agreement with Australia are also bound to cause some increase of revenue. The estimate for the financial year 1923-24 is accordingly set down as under : — £ Customs revenue . . . . .. . . 7,000,000 Excise beer .. .. .. .. .. 750,000 Timber export duty and other receipts .. .. 7,000 Total .. .. .. .. £7,757,000 INLAND REVENUE DEPARTMENT. Land-tax. The land-tax receipts compared with those of 1921-22 show a decrease of £96,314. The comparison is as follows : — £ 1921-22 .. .. .. .. .. 1,637,816 1922-23 .. . . . . .. .. 1,541,502 Decrease .. .. .. .. £96,314 This decrease represents portion of the reduced revenue expected as a result of the reduction in the super-tax from 33y to 10 per cent., the balance having been compensated by the increased value of land in districts revised under the provisions of the Valuation of Land Act. The subdivision of large taxpaying properties into smaller and non-taxpaying holdings has been another contributing factor in the reduction. The reduction in the super-tax afforded relief to all land-tax payers, a great many of whom had been compelled to meet the land-tax payment out of capital. Income-tax. As compared with the receipts for 1921-22 the income-tax received in 1922-23 shows a decrease of £2,171,055, as follows : — £ 1921-22 .. .. .. .. .. 6,002,987 1922-23 .. .. .. .. .. 3,831,932 Decrease .. .. .. .. £2,171,055 The decrease in the income-tax is due to the large shrinkage in the income of taxpayers generally, and to the removal of the super-tax of 20 per cent. I have already referred to the fact that the estimated decrease was abated by a business recovery reflecting favourably on the previous year's assessments. Stamp and Death Duties. The net revenue derived from stamp and death duties was £3,581,291, or £855,291 in excess of the estimated receipts.

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VIII

The following table shows the comparison with the previous year : —

The increase in death duty is due to the operation of the provision of the Act of 1921 to charge interest on duty unpaid on the estate of a deceased person after three months from the date of death, which has resulted in the early payment of duty. When the Act came into force on the 22nd December, 1921, there were many estates of persons who died prior to that date in respect of which duty did not become payable until after the 31st March, 1922, so that in the year 1922-23 more than a year's death duty was collected. Portion of the decrease in adhesive stamps is accounted for by crediting Court fees and other fees collected by means of stamps to the respective Departments, under the heading of " departmental receipts." These have hitherto been included in stamp revenue. The estimated revenue for the current year is £3,364,000. WORKING RAILWAYS. The gross receipts from Working Railways amounted to £6,727,802 —an increase of £84,211 on the previous year's figures. The working-expenses amounted to £5,502,497. The net revenue is therefore £1,225,305, representing a return of £3 os. lOd. per cent, on the capital cost. The actual revenue received was £27,802 in excess of the estimate. The improved financial position is the outcome of economies effected during the year. Although there has been a slight improvement in the revenue during the year the Department is still confronted with many difficulties, and the need for exercising rigid economy still remains. The disastrous floods which have recently occurred in Otago and Canterbury will unquestionably have a far-reaching effect on the traffic on the South Island lines for some time to come. The combination of these circumstances make it necessary to be conservative in the matter of estimating the revenue for the ensuing year, which, for that reason, I place the figure at £7,000,000. On the expenditure side provision has to be made for working the OtiraArthur's Pass electric section, and on that portion of the North Auckland line which it is hoped to hand over to the Working Railways during the ensuing year. I anticipate that the expenditure will amount to £6,050,000. POST AND TELEGRAPH DEPARTMENT. The net amount of revenue collected by the Department during the year was £2,705,030. The principal items were—Postages, £1,289,496 ; telegrams, £699,444 ; and telephone-exchange receipts, £595,967. The expenditure totalled £2,112,543. The cash receipts thus exceeded payments by £592,487. This is the largest, surplus in the history of the Department, despite the fact that the period covers two months of the financial year during which reduced rates were in operation.

1022-23. 1921-22. Increase. Deorease. Adhesive stamps Impressed stamps Duty on instruments Death duty Gift duty Company licenses BaiiK-note tax Totalizator revenue £ 72,375 122,597 537,726 1,779,178 50,674 58,1(16 210,577 607,656 137,546 4,856 £ 252,235 209,459 552,043 1,443,313 69,441 54,981 227,079 515,218 103,815 16,890 £ £ 179,860 86,862 14,317 335,865 18,767 3,125 16,502 92,408 33,731 Amusement-tax .. .. * Rates, fines, and miscellaneous .. 12,034 465,129 328,342 328,342 3,581,291 3,444,504 136,787

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IX

Deposits in the Post Office Savings-bank amounted to £26,682,427, and withdraw tils to £27,769,263 —an excess of withdrawals over deposits amounting to £1,086,836. The amount of interest added to depositors' accounts largely exceeds the excess of withdrawals. The amount at the credit of depositors at the 31st March, excluding interest for the year, was £42,754,868. The position is now improving, as, since the, close of the year, the amount of deposits has exceeded the amount of withdrawals. There are 690,790 depositors, and the average for each depositor is £64 4s. 4d. Other business of the Department included the issue of money-orders and postal notes to the total value of £5,020,890, and the payment on the same account of £4,699,767. War-loan certificates redeemed up to the 31st March amounted to £3.349,074. Increased expenditure arising out of war conditions still continues; but, as a result of the successful efforts made to keep down expenditure, the amount asked for this year is £162,000 less than that voted the previous year, although it includes statutory increases in salaries due to the lower-paid officers, and an amount of £25,000 for overtime which previously was compensated for by the allowance of " time off." At the end of the financial year the total number of employees was 8,574 — 7,542 permanent officers, 395 temporary employees, and 037 casual men. The number at the end of the previous year was 8,679—7,657 permanent officers, 429 temporary employees, and 593 casual men. A. reduction of 105 in the total number employed was thus effected during the year. I'knny Postage. On and after the Ist October, 1923, the penny-postage system will be reestablished within the Dominion, to all parts of the British Empire. I estimate that the loss of revenue by so doing will be in the vicinity of £250,000. But, in view of the buoyancy of trade at the present time, the loss should be of a temporary nature only, for there will be a large increase in the volume of correspondence posted, which before very long will bring the revenue up to the original level. The loss in revenue during the unexpired portion of the present financial year will be about £125,000. Telephone Eates. Honourable members are aware that the question of amending the telephone charges has been under discussion for some time. The whole matter has received the consideration of the Government, and it has been decided to bring the amended charges into operation on the; same date as the reintroduction of penny postage — namely, the Ist October next. In order that honourable members and the public generally may be able to see at a glance the effect of the amended charges, I have included in the Budget tables a statement illustrative of the position. It will be observed that the rates decided upon mean a fairly substantial reduction on those at first proposed ; and I am hopeful that, with a full year of the increased revenue, the Telephone Branch will be self-supporting. The profits of the Postal Branch, which in the past have been supporting the Telephone and Telegraph Branches, can now be handed back to the public as a concession by way of penny postage, to which I have already referred. LAND-SETTLEMENT. The demand for virgin lands has been restricted, only sections in favourably situated localities being taken up. The Government is continuing to offer all available lands for general application, in most cases with preference to discharged soldiers. During the year a total area of 29,588 acres was set apart for selection by discharged soldiers, principally in the North Auckland and Hawke's Bay Districts. Proclamations setting apart 46,546 acres of Crown land and 3,812 acres of settlement bind for discharged soldiers were revoked in order to open these lands for public selection, owing to the reduced demand by discharged soldiers. The total area set apart for selection by discharged soldiers to the 31st March, 1923, was 1,397,339 acres, a, large proportion of which has since been made available for general application.

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257,924 acres, subdivided into 416 holdings, and comprising mostly scattered Crown, settlement, and national-endowment sections, were offered for selection ; whilst, excluding miscellaneous leases, some 380,000 acres of Crown, settlement, and national-endowment lands and reserves, subdivided into 903 sections, were taken up during the same period, the miscellaneous leases covering 101,000 acres in 463 holdings. The area available for settlement is 508,403 acres, and 401,742 acres are under survey at the present time. Preparations are also being made for the surveys of a total additional area of 485,598 acres. SWAMP DRAINAGK RECLAMATION. Engineering surveys and investigations of various swamp areas in Westland have been completed for the information of settlers. These, though not extensive in area, are promising propositions. Construction works have been undertaken on an area of Crown land at Harihari, Westland, and the proclamation of further districts under the Swamp Drainage Act arc awaiting the consent of the owners of the various alienated areas. Operations at the major works at Kaitaia, Hikurangi, Hauraki Plains, Rangitaiki Plains, and Waihi are being vigorously pushed on. 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 : — Authorized. Advances made. Section 6, Discharged Soldiers Settlement Act, £ £ 1915: Advances on current account: — 4,732 returned soldiers .. .. .. .. 4,237,159 4,168,236 Section 2, Discharged Soldiers Settlement Amendment Act, 1917 : Advances towards purchase of farms, market gardens, orchards, and discharge of mortgages : — 5,489 returned soldiers .. .. .. .. 8,860,082 8,843,192 Section 2, Discharged Soldiers Settlement Amendment Act, 1917 : Advances towards purchase and erection of dwellings and discharge of mortgages thereon : — 11,363 returned soldiers .. .. .. .. 8,180,980 7,959,275 21,584 returned soldiers .. .. .. .. £21,278,221 20,970,703 £ Repayments of principal . . . . . . .. 2,173,113 Transfers to Realization and other accounts —Securities in course of realization .. .. .. 173,430 Transfers to Property Account—Securities bought in by Department on default of mortgagors .. 523,783 2,870,332 Balance on mortgage. . . . . . £18,100,371 The gross receipts for the year amounted to £1,431,353. Of this sum £716,667 represents repayments of advances, while receipts in respect of interest and sundries total £714,686." Although prices obtained for primary products improved considerably the proceeds were insufficient to enable all soldiers to fully overtake the arrears that had accumulated during the period of low prices. In order to afford relief, postponements of instalments were granted where the circumstances appeared to warrant such. At the end of the year the amount outstanding on the Postponement Account was £67,165. Arrears in respect of interest and principal payments amounted to £541,125. A substantial reduction has been made in the arrears carried forward from previous years, due principally to the improved prices of butter, wool, lamb, &c. Further reductions might have

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been made, but it was considered advisable to reinvest a large portion of the proceeds either in the direction of further improving soldiers' properties or acquiring more suitable stock. Out of the receipts from the sales of farmproduce, &c, approximately £275,000 was readvanced. With a view to adjusting, if possible, the position of soldier settlers who suffered from the economic depression, Inquiry Boards have been set up for each land district. Their reports are now coming to hand, and as a result legislation will be submitted during the present session to give effect, as Jar as possible to the recommendations made by the Boards. The most critical period appears to have passed. The crisis, however, disclosed those men who would never, under any circumstances, have become successful, and their replacement by more suitable and more experienced men is taking place. During the year loans amounting to £868,650 were authorized to 915 soldiers, of which £425,125 were granted to 532 soldiers for the erection of dwellings, the balance being principally in the direction of advances on current account to aid in improving and stocking lands that have been purchased privately, or in respect of vacant Crown and settlement lands that have been selected : these represent new transactions. In addition to the sums authorized as above— namely, £21,278,221 — he amount of £3,058,050 has been borrowed for the purchase of lands for the Discharged Soldiers Branch of the Land for Settlements Account, and rents, recoveries, &c, amounting to £44,379 were accounted for last year. There are also other lands acquired in the Land for Settlements Account which have been proclaimed for dischargedsoldier purposes, of the value of £2,514,000, and from the Native Land Settlement Account, valued at £500,000. The capital therefore provided from all sources for discharged-soldier settlement totals approximately £26,148,000. Up to the 31st March the large sum of £8,000,000 had been advanced out of this account to soldiers for housing purposes, but further applications for loans to purchase or erect dwellings for residential purposes must now be dealt with by the State Advances Office, which, in view of the liberal provision made for housing, should suffice to meet requirements. Applications to finance purchases of farms or to discharge, mortgages are now considered only from invalided men who were previously unable to take advantage of the scheme, but who have sufficiently recovered to take up small farms. New applications for loans on current account will be jeceivable from such applicant; a 5 have made their own financial arrangements to purchase land, or who take up Crown or settlement land or abandoned farms, but this cannot be continued indefinitely, and after a date to be subsequently fixed no further applications can be received. Additional advances on current account, for development of farms or to stock areas developed, may be granted up to the maximum as recommended by Land Boards, and the system of readvancing against credits from sales of stock, produce, &c, will be continued in terms of the regulations, but will cease when the occupiers are sufficiently well established to carry on without State aid. REPATRIATION. The benefits under the Repatriation Act ceased to apply to other than tubercular or other seriously disabled soldiers after the 31st December, 1922. Up to that date assistance had been rendered to 63,108 discharged soldiers at a total cost of £2,329,992. The following figures indicate the number assisted, the nature of the assistance given, and the cost: —

Nature of Assistance. Number assisted. Amount. I ! Loans— Business Furniture, tools, &c. Grants — Training, sustenance, &c. Transportation Unemployment sustenance Placed in employment Totals 6,366 15,915 7,538 3,498 1,123 28,668 £ 1,160,536 758,626 397,619 7,634 5,577 63 108 2,329,992

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Recoveries have been good, the amount received up to the 31st March, 1923, being £1,260,545, or 65 per cent, of the total advanced. At that date 5,661 loans had been entirely repaid. To the end of the financial year 1922 23 losses had been made in 240 cases, the average loss being £70. AGRICULTURE. The improvement in the prices obtained for agricultural products has been well maintained, and mutton, butter, and cheese prices show a decided increase up to the end of the financial year. The total value of produce exported was £42,248,751, or 93 per cent, of the value of all exports, which totalled £45,548,700. Mutton and lamb are in good demand on the Home market, but the prices offered for beef are still unsatisfactory. There has been a substantial increase of 706,605 in. the total number of sheep in the Dominion, from 22,222,259 to 22,928,864, the principal increase being in the North Island. The output of dairy-produce has this season shown a greater increase than during any previous year. Sixty thousand tons of butter and 63,000 tons of cheese were exported, a record which establishes this Dominion as the greatest exporter of butterfat in the world. Despite the unstable markets, prices were fortunately higher at the time when our heaviest shipments were arriving than in the same period of the preceding year. Indications point to an extension of the industry during the present year if prices remain profitable, especially in some districts not hitherto associated with dairying. The values of dairy-products exported are —Butter, £10,324,569 ; cheese, £5,484,417 ; dried milk, £264,085; condensed milk, £27,555; sugar of milk, £10,639: totalling £16,111,265. The total fruit area in commercial orchards throughout the Dominion is approximately 30,000 acres. Some 108,314 cases have been exported this season under a Government guarantee of lis. per case, which covers expenses, and arrangements have been made for the shipment of a further 25,000 cases before the export season closes. The following figures show the quantities of fruit exported during the last three years : — Export Season. Number of Cases. 1920 .. .. .. .. 34,585 1921 .. .. .. .. 52,024 1922 .. .. .. .. 120,493 The beekeeping industry is steadily extending. The honey-export figures for the last three years are as follows :—• Cwt. Value. £ 1921 .. .. .. 7,633 30,962 1922 .. .. .. 8,542 31,943 1923 .. .. ..10,605 43,032 The estimated area sown in wheat in 1922-23 is 285,000 acres, and in oats 385,000 acres, a decrease in both cases when compared with the previous year. The estimated yield per acre of wheat is 30-48 bushels, and of oats 39-50. The net expenditure under the Department was £208,197, being £66.97!) less than in 1921-22. Nauru and Ocean Island Phosphate. An important increase in the demand for phosphate fertilizers has taken place, the importations of Nauru and Ocean Islands phosphate rock for 1922-23 totalling 51,430 tons, an increase of 16,337 tons over 1921-22. The more extensive use of phosphates will, of course, mean a resultant increase in production. A large plant for the crushing of phosphate rock and the manufacture of phosphate manures was recently completed in the South Island, making five large works in operation, three being located in Auckland, one near Chris tchurch, and one close to Dunedin.

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IMMIGRATION. During the past year assisted immigration, under the nominated policy, has progressed satisfactorily. A total of 6,737 migrants have arrived at a cost to the Dominion of £12 per head. Special facilities have been offered to fanners, farm labourers, and all skilled artisans required for secondary Industries. Under the authority of the Empire Settlement Act, 1922, the Imperial Government may co-operate with flit 1 Government of any of His Majesty's Dominions in—(1) Development or land-settlement scheme, or (2) assistance with passages, initial allowances, special training or otherwise. Although it has been deemed advisable that applications for land from our own soldiers and settlers should be- dealt with first, a satisfactory agreement has been made with the British Government undei which passage rates for intending emigrants have been reduced from £26 per adult to £18 per adult, and all children under the age of twelve years free. This agreement more than favourably compares with Great Britain's agreements with other parts of the Empire, and it is anticipated that upon its renewal at the Ist July, 1923, further substantial reductions will be made to —(1) Married men with families, and (2) children ami juveniles under the age of nineteen years. This should be the means of attracting increased numbers of immigrants to our shores, and of making our total per annum not less than ten thousand. The two main objects of the Government in the scheme which has been adopted are —(1) That only the very best type of immigrant shall be assisted to the Dominion, and (2) that on arrival they are assured of work and accommodation. DEFENCE. 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 ending 31st March. 1923, amounted to £285,113, or £43,517 less than the amount appropriated. This result has been obtained by the exercise of the strictest economy and by dispensing with the training-camps for the year. WAR EXPENDITURE. The gross expenditure from the vote " War expenses " for the past year was £642,968. This included £179,434 for the medical treatment of returned soldiers for war disabilities; £41,711. for transport adjustments; £35,387 for war graves in New Zealand and abroad, and battlefield memorials in Prance; £7,392. war gratuities; £20,000, refund to War Office for Hour and bread subsidy paid on behalf of New Zealand troops in the United Kingdom ; £190,729 for repatriation assistance and expenses ; and £168,315 for other miscellaneous war expenditure. After .allowing for recoveries for sale of surplus stores, £49,204; sale of medical stores, £33,812 ; repayments of repatriation loans and expenses, £308,608 ; and other miscellaneous credits, £84,545, there remained a net expenditure of £166,799. The estimated net expenditure for the current year is £534,863, in which provision is made to meet New Zealand's liability to the Imperial shipping liquidation for transport charges totalling approximately £500,000. The delay in settling this item is due principally to the huge amount of work handled by the Imperial Shipping Liquidation Department, which in the latter stages of the war controlled practically Ihe whole of the Empire's shipping. Every effort is being made to expedite settlement, which it is anticipated will be effected during the current year. Of the £3,000,000 earmarked for war-ioan-redemption purposes, £1,046,740 has already been transferred and expended in the purchase and cancellation of securities, and this process continues. A balance of £1,750,000 at present forms part of £2,000,000 made available for State Advances, including housing purposes, and can be issued when required. When the relative transactions are completed the war debt will be reduced to that extent. The time has almost arrived when the War Expenses Account can be closed. It is my intention that any unexpended balances, and capital repayments, should be devoted to the reduction of the war debt, and, if necessary, legislation will be introduced to give effect to this intention.

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NAVAL DEFENCE. The expenditure on naval defence for the financial year amounted to £293,244, made up as follows : — Permanent charges — Naval Defence Act, 1909 11.M.5. " New Zealand "— £ £ Interest .. .. .. ..77,081 Repayment of funded debt .. .. 4,938 82,019 Annual appropriation — Vote, Naval Defence (" Philomel " and " Chatham ") 211,225 £293,244 The time has arrived when we should participate to a greater extent in the naval defence of the Empire and assume a share of the burden which it entails. I propose, therefore, to ask honourable members this year to increase the total appropriation for naval defence to £500,000. This amount will include the workingexpenses provided for within the vote and a sum not exceeding £100,000 as a contribution towards the cost of establishing a naval base at Singapore. This base will be of more value to Australia and New Zealand than to any other British countries in the Pacific. The " Chatham " will in the near future be exchanged for an up-to-date oilburning light crusier. The Admiralty have emphasized the necessity for the provision of oil-fuel reserves in the dominion —independent of commercial stocks, which, moreover, are practically non-existent at the moment—before oil-burning cruisers are sent to the South Pacific. An item, therefore, has been placed on the estimates for the erection of a 5,000-ton oil-tank at Devonport, as Auckland has proved to be eminently suitable as a repairing and storing base for a small squadron. Items appear in the estimates for effecting certain necessary improvements in the facilities afforded by the repair base at Auckland and of the establishments there. A further item of £5,000 has been inserted with a view to relieving the British Government of the subsidy which they have been paying continuously since 1909 under agreement with the Auckland Harbour Board for the payment of £150,000 over a period of thirty years, as under that agreement New Zealand now derives the greatest benefit in the docking and repair of naval vessels. I may add that the Imperial Naval authorities prefer the system of local expenditure in operation in New Zealand to any direct contributions; and even with regard to the cash contribution towards the cost of a naval base at Singapore, may prefer that the difference between the current expenditure and the proposed total appropriation of £500,000 should be used for strengthening the defences of our ports. EDUCATION. The expenditure from Government sources on education services during the past financial year has been as follows : — Votes from Consolidated Fund — £ Department of Education .. .. .. 2,514,991 Special Acts .. .. .. .. 90,393 Teachers' Superannuation Fund .. .. 68,000 Primary-education reserves revenue .. .. 103,293 National-endowment revenue .. .. .. 66,610 Education loans for buildings, &c. .. .. 351,378* Public Buildings Fire Insurance Fund . . . . 8,542 £3,203,207

* Does not include cost of raising loans, £10,598.

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The amounts expended from endowment revenue received by the governing bodies of University colleges and secondary schools, amounting to £83,000, should be added to this, making a total expenditure from public sources of £3,286,000, as compared with £3,526,000 in 1921-22. The saving is accounted for chiefly by the reductions in the cost-of-living increase and other economies. The financial position litis been such that the Government has been compelled to exercise the greatest care in all its expenditure, but no essential service connected with education has been unduly curtailed, and the various activities have been maintained. The pressing need for increased school accommodation has received the earnest consideration of the Government, and since 1918-19 the sum of £1,698,304 has been expended for this particular purpose. The expenditure is very largely in excess of the pre-war rate, as for the five years ended 31st March, 1915, the capital expenditure, for school buildings, &c, amounted to £564,389. Where possible preference has been given to claims for primary schools. For many of these schools there has been an insistent demand for more liberal staffing and better building accommodation, and gradually effective steps are being taken to meet this demand. In schools where increased staffing has been shown to be necessary to avoid unduly large classes authority has been given for the appointment of additional assistants. In all cases where overcrowding has been acute the Government has provided grants for buildings, and is continuing its efforts to overcome the shortage of buildings. For the information of honourable members I have included in the attached tables a statement which sets out the enormous increase in the cost of education since 1911-12, and from which it may be seen that this important national service has not been neglected. I have arranged to provide an increased sum for school-building purposes in this year's finance by the transfer of £100,000 of the accumulated surpluses to the Education Loans Account. DEPARTMENT OF HEALTH. The amount appropriated last year for hospitals and charitable aid was £425,000, but owing to the fact that subsidies were claimed more promptly than usual the expenditure slightly exceeded the estimate. The amount required for the current year is £420,000, the actual maintenance, requirements of Hospital Boards again showing a slight reduction. There is an increase, however, in the capital requirements, and, as maintenance charges are the ultimate result of the capital expenditure, Hospital Boards should use the greatest prudence in embarking upon any but absolutely essential capital expenditure. The net expenditure of the Department in 1922-23 was £4,41.4 less tha.n voted, and an increase of about this amount is required for the current year, due principally to the fact that the war service institutions taken over are being used more for civilian treatment for which the full cost is not now recovered. Steps are being taken in the direction of handing over these institutions to Hospital Boards. STATE ADVANCES OFFICE. The substantial benefit deriv,:d from borrowing money at the low rate of 4| per cent, interest to build houses and acquire homes is of great advantage to those persons desirous of owning their own properties. The Amendment Act of last year, authorizing advances for the purpose of redeeming mortgages at a rate of interest not exceeding 5-J- per cent., is affording settlers much relief, and since October last advances totalling £884,090 have been authorized for this puipose. The Amendment Act of last year also authorized loans on Chattels a.t a rate of interest not exceeding 6| per cent. The applications for advances on this class of security have been fairly numerous, and a considerable number of loans has already been granted.. The new business for the year was as follows : — Number. Amount. £ Loans granted to settlers . . .. .. 2,149 1,211 ,635 Loans granted to workers .. .. .. 1,754 878,150 Loans granted to local authorities .. .. 213 478,035 Totals .. .. .. 4,116 £2,567,820

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For the purpose of building houses and acquiring homes a large sum has been advanced during the hist four years. The following is a table of the loans authorized from the Ist April, l!)'l!), to the 31st March, J923: . Number. Amount For housing purposes t To settlers . . .. .. ..4,382 2,256,133 To workers (including Housing Branch) .. 5,801 3,000,939 To release mortgages on home properties — To settlers .. .. .. .. 929 380,223 To erect workers' dwellings To local authorities .. .. .. 100 471,735 Tota! .. .. .. .. £6,109,030 In addition to the above it should be noted that £8,000,000 litis been advanced to soldiers for housing purposes out of the Discharged Soldiers Settlement Account. The Advances Office has aided many borrowers and granted to them numerous concessions, which have enabled numbers of settlers to retain possession of their holdings during the difficulties of the last few years. The gradual return to normal conditions, with the advent of improved prices for our primary products, is slowly but surely helping mortgagors to overtake their liabilities and regain their former positions I propose to further extend the operations of the State Advances Office, and to grant larger loans than the law at present allows. The terms and conditions under which advances are made will also be rendered easier for the borrower. The maximum advance that may be granted to a settler is to be increased from three-fifths to 75 per cent, of the value of the security, and the maximum advance that may be obtained by a worker is to be increased from three-fourths to 95 per cent, of the value, of the security in the case of buildings already erected and up to 95 per cent, of the cost of the land, dwelling, and improvements where buildings are to be erected. Loans will be granted for terms not exceeding twenty, thirty, or thirty-six and a. half years, tit the discretion of the Board. PENSIONS. The following payments were made during the year ended 31st March, 1923 : — £ War pensions ~ .. .. .. .. 1,489,392 Old-age pensions .. .. .. .. 755,213 Widows" pensions .. .. .. .. 188,004 Epidemic pensions .. .. .. .. 52,371 Maori War pensions .. .. .. .. 34,110 Miner;;' pensions .. .. .. .. 33,491 Pensions under Civil Service Act, 1908 . . . . 20,937 Military. Pensions under Defence Act, 190!) .. 3,058 Pensions under Judicature Act, 1908 . . . . 2,444 i'olice pensions . . . . . . . . 474 Sundry pensions and annuities .. .. .. 4,344 £2,589,838 From this total is deducted £52,329, representing 128.547 from national endowments on account of old-age pensions, £2,611 from gold duty in respect of miners' pensions, and £21,171 from sundry refunds of all classes of pensions, leaving a net charge against the Consolidated Fund of £2,537,509.

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War Pensions.

The grand total of actual payments made in respect of war pensions to the 31st March, 1923, is £8,824,436. The annual liability of each class of war pension in force at the end of the year is shown in the following table : — J ft Annual Class of Pension. Number. Value. Average. £ £ Soldiers (permanent) . . \ . . . 5,686 279,760 49 Soldiers (temporary) .. .. ..11,892 586,923 49 Dependants (temporary) . . . . . . 908 69,308 76 Widows of soldiers .. .. .. 1,969 210,569 107 Other dependants of deceased soldiers . . 6,005 203,297 34 26,460 £1,349,857 £51 From the Ist July, 1922, the administration of the medical treatment of discharged soldiers was transferred from the Defence to the Pensions Department, and this change has brought about better co-ordination in tfie pensioning and medical treatment of war pensioners. The report of the War Pensions Commission has received careful consideration during the recess, and legislation will be introduced giving effect to the opinion of the Government. This legislation undoubtedly will make conditions easier and better for totally or partially incapacitated returned soldiers. GOVERNMENT INSURANCE DEPARTMENT. The Life Branch of this Department had a successful year. The new business, amounting to £1,286,609, was well above the standard of pre-war years, and the number of policies in force on the 31st December, 1922, being 59,487, represents a total insurance with bonus additions of £17,449,101. The premium and interest income both show satisfactory increases, whilst the ratio of expenses litis been reduced from 21.4 per cent, to 18.3 per cent, as measured against the premium income, and from 13.4 per cent, to 11.4 per cent. as measured against the total income. The total income was £778,915. The funds increased by £196,468 to £5,922,825, an increase which is the largest in the history of the Department. An actuarial valuation of the policies on the books at the end of the year disclosed excellent results. The operations of the Accident Branch have also been successful. Not only does the premium income for the year, £33,348, compare very favourably with that of previous years, but the interest income, £6,109, after deducting taxes, is the highest yet reached. The statutory Reserve Fund amounts to £.115,020 and the Accidents Funds to £21,069, the two together amounting to £136,089. The total assets amount to £169,215. NATIONAL PROVIDENT FUND. The membership of the fund at the 31st December was 22,200, the contribution income £132,000, and the accumulated fund £790,000. The sum of £12,000 was paid in allowances to annuitants and to widows and children. An amount of £39,000 was claimed through the fund by way of maternity allowances —£7,000 to contributors and £32,000 to members of approved friendly societies. STATE EIRE INSURANCE DEPARTMENT. The State Fire Office had another successful year, although heavier losses were sustained than in 1921. The net profit, after providing £20,369 for payment of income-tax, amounts to £46,402, its compared with £39,324 for 1921. The office continues to attract its full share of new business, and a satisfactory increase in premium income was secured. It has also been possible to substantially

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reduce the ratio of working-expenses during the year, the ratio to premium income being 28*86 per cent, for 1922, as compared with 31*07 per cent, for 1921. PUBLIC SERVICE SUPERANNUATION FUND. The total number of contributors to the fund on the 31st March last was 14,992, and the total revenue £573,903, including members' contributions £279,486, interest £121,320, and Government subsidy £172,000. The amount expended during the period was £346,454, which comprised retiring and other allowances £254,676, refund of contributions £83,426, and cost of administration £6,945. The total number of allowances existing at the end of March was 2,258, representing an aggregate annual payment of £224,914. The amount invested on the 31st March last was £1,799,041. The above figures relate, to the period of fifteen months ended 31st March, 1923, the financial year of the fund having been changed by statute. Thus the amount shown as Government subsidy represents two annual payments each of £86,000. GOVERNMENT RAILWAYS SUPERANNUATION FUND. This fund amounted on the 31st March, 1923, to £584,219, an increase of £40,688 for the year. The revenue received during the year amounted to £230,689, made up of contributions £126,967, interest £26,175, and Government subsidy £75,000. The expenditure from the fund amounted to £178,470, including retiring-allowances amounting to £143,331. TEACHERS' SUPERANNUATION FUND. Under section 54 of the Finance Act of last year the financial year, previously closing on the 31st December, was extended to the 31st January. The folio ving figures tire therefore for a period of thirteen months —from the Ist January, 1922, to the 31st January, L 923. This fund amounted on the 31st January, 1923, to £779,636, an increase of £97,859 for the thirteen months. The amount invested was £736,348. The revenue for the period was £216,934, including contributions £100,192, interest £45,042, and Government subsidy £71,583 (thirteen months at £43,000 per annum, as provided under the Act, together with the additional £25,000 voted last year.) The expenditure was £119,075, including retiring-allowances £100,131, and refund of contributions £16,357. NATIVE. The earnings of the Native Land Court and Maori Land Boards were £13,914, as against £13,002 in the previous yetjr. 51,523 acres of Native land, at a cost of £160,099, have been purchased from the Native owners on behalf of the Crown, the gross area acquired since 1910 b:ing 1,298,723 acres, at a total cost of £3,012,191. Included in the land so acquired are areas purchased for the European tenants. Among these purchases is included the Native owners' interests in the Taumarunui Native Township, for the purpose of giving the tenants the freehold. Good progress was made with regard to this township, a sum of £69,785 having been disbursed to the Natives, while the purchase of the interests of the Native owners in the Te Kuiti Native Township is also in hand. PUBLIC TRUST OFFICE. On the 31st March, 1923, the value of estates and funds under the control of the Public Trustee amounted to £28,904,798, an increase of £3,407,019 for the year. Exclusive of office premises and plant, the investments held on the 31st March, 1923, on behalf of the Common Fund and on behalf of estates and funds

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the moneys of which are specially invested, amounted to £16,426,324, made up as follows :— £ Mortgages .. .. .. .. .. 10,527,505 Local bodies'debentures .. .. .. 4,511,416 Government securities .. .. . . . . 952,589 Land Settlement Finance Act debentures .. 50,192 Fixed deposits with banks .. .. .. 4,014 Private debentures and shares in companies .. 2,979 Overdrafts by way of advances to estates and to beneficiaries .. . . .. .. 307,077 Properties acquired by foreclosure .. . . 70,552 £16,426,324 Of this total the sum of £2,441,404 represents advances made during the year, as follows : — £ Mortgages .. .. .. .. 1,275,659 Government securities .. .. .. .. 209,868 Focal bodies'debentures .. .. .. 955,877 £2,441,404 Tn addition, investments valued at £1,799,041 were held by the Public Trustee on behalf of the Public Service Superannuation Fund, making the total investments £18,225,365. The position of mortgagors improved very much during the year, and a considerable reduction was made in the amount of outstanding interest. In the previous year concessions by way of interest allowed on funds on deposit amounted to £57,500. In view of the improved results of the present year's working it is proposed to grant further concessions to estates and beneficiaries, firstly by reducing the commission charged for certain classes of estates, and secondly by waiving all special fees in connection with the administration of estates, so that the commission rates fixed will be the sole charge for administration. WESTERN SAMOA. The revenue of the territory has been well maintained, but is still insufficient to meet the expenditure which is considered necessary in the discharge of the mandate obligations, particularly in respect of education and medical services. An additional grant of £2,000 is provided to meet the deficit of 1921-22. The trade results for the year have been satisfactory. The statistics which will be included in the third Mandate Report show that whereas in 1919 and 1920 the imports into Samoa exceeded the exports, the latter for the year 1922 exceeded the imports by over £82,000. The tonnage and value of copra, the principal product of the group exported, last year, are also the highest on record for any one previous y ear - The educational and medical services are being steadily extended. The value and completeness of our medical organization and equipment at Apia has been recognized by the London School of Tropical Medicine, which has offered to co-operate with the Administration in tropical medicine research by sending at its own charge one of its experts in tropical diseases, together with a laboratory assistant, to work with our medical staff. The Government has gratefully accepted this generous offer, from which great good not only to our own Native peoples but to the inhabitants of all tropical countries may be confidently expected. The Samoan Observatory has completed another year of valuable scientific work. The results are now ready for publication. Arrangements have also been made for the Observatory to undertake the duty of receiving all daily weather

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reports from Pacific stations (Suva, Tahiti, Tonga, Rarotonga, Pago Pago, Ocean Island, Norfolk Island, and Noumea) issuing storm-warnings, recording and checking meteorological statistics, and publishing the results. This service is entirely practical, and must be of incalculable benefit to shipping in the Pacific. COOK AND NIUE ISLANDS. The trade and revenue of the islands during the year have shown a gratifying improvement, and all indications for the future are most encouraging. The estimated expenditure from the consolidated revenue for the coming year will be £5,000 less than last year. INSURANCE ON PUBLIC BUILDINGS. On the 31st March the balance at credit of the Government Fire Insurance Fund, established in 1913 for the purpose of rebuilding or renovating public buildings destroyed or damaged by fire, was £46,825 —an increase of £3,075 as compared with the balance at the end of the previous year. As usual, the principal amount paid over is in respect of school buildings, amounting to £8,542, whilst only £715 was paid over for other buildings, the total claims on the fund last year being £9,257. The annual contribution of £10,000 was paid over by the Treasury, and interest amounting to £2,332 was credited to the fund by the Public Trustee. STORES CONTROL BOARD. The Stores Control Board, under the chairmanship of the Minister of Public Works, was constituted on the sth May, 1922. The object of the Board is to improve the methods of purchasing the large quantities of stores required by Government Departments, and for this purpose it is vested with the purchase, control, and disposal of all Government stores. In the past each Department arranged its own purchases, with the natural result that when stores of the same class were required Departments came into competition with each other, thus hardening the market and tending to raise prices. Under the present system Supplies and Tenders Committees, consisting of trained buying officers, have been established in the principal centres to arrange for the purchase of stores. These committees meet weekly to consider requisitions for stores. Tenders or quotations are then called for the combined requirements of all Departments, thus securing the benefits of bulk buying and eliminating interdepartmental competition. Considerable economies have been effected, and many thousands of pounds saved to taxpayers. These results have been achieved practically without addition to staffs. The standardization of stores commonly used by all Departments is being undertaken. The preliminary inquiries make it certain that large savings can be effected by standardizing materials and equipments. Some general contracts available to all Departments have also been arranged. This policy will be gradually extended, but the present unstable markets are not favourable to its rapid development. DEPARTMENTAL BALANCE-SHEETS. Departmental balance-sheets for the past year in commercial form will be submitted to honourable members during the session. These balance-sheets are proving valuable aids in the, direction of economy, and their preparation has undoubtedly brought about closer control and improved administration. FREE-OF-INCOME-TAX SEC URITIES. Conversions during the year totalled £2,261,820, whilst applications totalling approximately £700,000 are under action. The original securities had a currency running to 1941, but the Government has the right to redeem the converted stock on or after the Ist September, 1927. In addition to these conversions, redemptions and renewals of maturing loans amounting to £1,682,515 have been made, whilst purchases of stock and cancellation in terms of section 24 of the Finance Act, 1922, totalling £839,440 (including

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stock tendered for tax-payments, £84,700), and death duties stock redeemed, £107,670 —a total gross reduction in free-of-income-tax securities of £4,891,445 for the year. Purchases of stock at market rates have been made at prices that more than set off the interest charges on the money used for the purpose, so that converted stock means an increase in the assessment of taxable interest. The total value of these securities issued —viz., £51,733,405 —has therefore been reduced considerably, the balance outstanding at the 31st March, 1923, amounting to approximately £44,000,000, and it is hoped to effect a further reduction. NEW ZEALAND INSCRIBED STOCK DOMICILED IN LONDON. I have completed negotiations for a reduction in the charges made by the Bank of England for the management of New Zealand inscribed stock registered in the books of the bank in London. This matter has been under consideration since 1913-14, but owing to the outbreak of war the proceedings were necessarily deferred. The bank has reduced its charges from £350 per million of stock- inscribed to £300 per million, with effect from 1913, and has refunded £30,676 ; but against this there is a claim for no less than £14,383 by way of Imperial income-tax which lam endeavouring to have remitted. The bank's charges for issuing new loans have also been reduced from ss. per cent, to 2s. 6d. per cent. The charge of £300 per million in London compares unfavourably with the cost in the New Zealand Treasury of managing stock inscribed in New Zealand, which is about £140 per million. The charges of some of the private banks in London are as low as £150 per million. lam going into the question, however, and hope to make such arrangements as will effect a further reduction. 1923 Loan. In order to maintain capital expenditure at the necessary standard a loan of £3,000,000 for public works was raised in London. In addition £1,000,000 has been borrowed for redemption in part of loans maturing in London, making a total issue of £4,000,000. This loan was floated in JVlay and issued at £92, rate 4 per cent., and was well received, being oversubscribed, the lists closing three days before the time specified. The loan runs to 1943 with the option for redemption ten years earlier, and the flat rate is therefore £4 6s. lid. per cent., or if not redeemed until 1943 the cost is £4 12s. 7d. per cent. As illustrating the excellent terms to the Dominion on this issue the following comparison of recent loans is given : —

I had the option of accepting the rate of £98 at 4-| per cent., but in view of the desirability of establishing a 4-per-cent. basis decided to adopt that rate, which works out slightly to our advantage in interest charges. The judgment exercised in deciding the date of issue on the advice tendered to me is well justified by the results, as within a few days the market hardened, an Indian loan at 4| per cent, bringing only £90. The success of the issue was most favourably commented upon by London financial critics, who expressed their appreciation of the sound position of our finance. The, terms of the loan are considered to have initiated an improvement for colonial loans in general, and to further exemplify the fact that the credit, of New Zealand stands high in the financial world.

Dale;. Boj rower. a i. t i ''ate per Amount ol Loan. ,, ,' Cent. Bate maturing. Issued at Return per Cent. t £ 4,000,000 5 2,000,000 5 5,000,000 5 15,000,000 4 6,000,000 4i 4,000,000 4" 20,000,000 45 I Ian. 23 Feb. 6 Feb. 23 Mar. 24 April 20 Mav 7 Ma v 11 New South Wales South Australia Victoria British Government New South Wales New Zealand GovernmentIndian Government 1932 12 1932 42 1932-42 1931 33 1935-45 1933-43 1950-55 £ S. d. 98 10 0 99 0 0 99 10 0 94 10 0 94 0 0 92 0 0 90 0 0 £ s. d. 5 2 6 5 1 8 5 0 10 4 14 3 4 19 3 4 12 7 5 2 11

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FUNDED DEBT. The funding of our debt to the British Government has now been completed under a memorandum of agreement dated 6th September, 1922. The Acts under which the funded loans were originally issued, together with the amounts, are as under : — Public Revenues Amendment Act, 1914 (section 8) — £ War expenses .. .. .. .. 2,067,411 Public Revenues Amendment Act, 1915 (section 5) — War expenses .. .. ... .. 8,105,992 Finance Act, 1916 (section 35), (War expenses) .. 4,736,842 War Purposes Loan Act, 1917 .. .. .. 4,830,000 Finance Act, 1918 (section 10), (War expenses) .. 6,600,000 Naval Defence Act, 1909 .. .. .. 963,131 Aid to Public Works and Land Setth ment Act, 1910 191,010 Land for Settlements Act, 1908 .. .. . . 37,778 « £27,532,164 The funding was carried out on an annuity basis of 6 per cent., the total payment each year being £1,651,930. Interest is at the rate of £4 19s. 5-88 d. per cent., the balance of the (5 per cent, going to reduction of the debt. The first half-yearly payment of £825,965 was made to the British Government on the Ist December, 1922, calculated as follows: — £ Half-year's interest at £4 19s. 5 ; 88d. per cent. . . 684,794 Balance —repayment of principal .. .. .. 141,171 £825,965 Under the agreement the amount of £27,532,1 64 will be automatically discharged from the public debt in about thirty-six years. The amount payable for amortization in 1923-24 is £292,964, and will gradually increase per annum as the interest-payment reduces on the lessening debt. An important condition of the agreement with the British Government is that the whole or any part of the funded debt may be redeemed at any time. PUBLIC DEBT. The gross public debt as at the 31st March, 1923. was £218,953,324, compared with £219,054,385 at the 31st March, 1922. Therefore I am in the pkasirg position of being able to announce that on the transactions for the year the debt has been decreased by £101,061. This decrease is due to the fact that while the amount raised for public works, electric supply, land-settlement, and other purposes totalled £8,365,140, loans aggregating £8,466,201 were redeemed, £5,225,386 being provided by cash and the balance by the issue of fresh debentures. The amount of £8,365,140 was raised for the following purposes :— Public Works Fund— £ General Purposes Account .. .. .. 2,902,420 Waihou and Ohinemuri Rivers Improvement Account .. . . . . . . 60,000 Electric Supply Account .. .. .. 514,470 Education Loans Account . . . . . . 595,920 Discharged Soldiers Settlement Account .. .. 304,435 Native Land Settlement Account .. . . . . 255,235 State Forests Account .. .. .. .. 214,188 Land for Settlements —Discharged Soldiers Settlement Account .. .. .. .. .. 164,000 Hauraki Plains Settlement Account .. .. 88,000 Rangitaiki Land Drainage Account .. .. 60,900 Swamp Land Drainage Account .. . . .. 45,000

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£ Samoan Loan .. .. .. .. .. 10,000 Scenery Preservation Account . . . . . . 9,000 Mining Advances Account .. .. .. 6,000 Amount raised for stamp duty on transfers not yet allocated to accounts (held in Deposits Account— Loan Stamp Duty Account) . . . . . . 5,250 5,234,818 For redemption of loans . . .. .. .. 3,130,322 Total raised .. .. ..£8,365,140 The amount of £8,466,201 was paid off from the Redemption Fund and surplus revenue, as follows : — Transfers from— £ Ordinary Revenue Account .. .. .. 3,160,030 (for funded debt) .. 141,171 El ectric Supply Account .. .. .. 500,000 Land for Settlements Account .. .. 250,100 Discharged Soldiers Settlement Account .. 45-,210 Cold Storage Advances Account . . . . 38,000 War Expenses Account .. .. .. 1.046,740 Sinking funds set free .. .. .. 57,000 Debentures redeemed by issue of securities in redemption . . . . . . .. 3,227,950 £8,466,201 The gross debt as it now stands may be subdivided as under : — £ Ordinary public debt .. .. .. .. 116,067,273 Discharged soldiers settlement .. .. .. 9,759,216 War debt .. .. .. .. .. 80,503,885 State Advances debt .. .. .. .. 12,562,950 £218,953,324 The debt at the 31st March, 1923, was held as under :— . Cross Amount. Annual Interest Charge. Held in— £ £ New Zealand .. .. 106,125,566 4,654,56!) Australia .. .. 2,159,490 94,648 London.. .. .. 110,668,268 4,808,167 £218,953,324 £9,557,384 Annual sinking fund .. .. 762,002 Repayment of Imperial debt .. 292,964 Total.. .. .. .. £10,612,350 Of the annual charge, £1,954,359 will be recouped to the Consolidated Fund from trading and investment accounts. The sink ng funds accrued are— £ Public Trustee .. .. .. .. 7,201,126 State Advances .. .. .. .. 4,365,060 Ordinary Revenue Account .. .. .. 2,207 State Coal-mines Account .. .. .. 29,532 Commissioners of Public Debt Sinking Funds .. 281,332 £11,879,257

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In connection with the £27,532,164 owing to the British Government now permanently provided for on an annuity basis, it is of interest to note that this provision, together with the sinking funds of £4,160,066 held by the Public Trustee, has had the effect of bringing the war debt for which future provision requires to be made down to approximately £49,000,000. Advantage was taken of the low rate of interest ruling in London to ksue temporary securities for £1,000,000 at 3 per cent, with a currency of about nine months, the proceeds being used to redeem 4|-per-cent. securities outstanding. I have already arranged for renewals totalling £500,000 at a lower rate- —namely, £2 2s. 6d. These transactions represent a saving of approximately £20,000 in interest charges for the year. This, together with the reduction in the charges for management of stock and loan issues in London, and the handsome profits derived from investments in British securities, indicates the success which has attended the direction and control of our London finance. On the Ist January, 1923, loans amounting to £500,000 matured in Australia, and were met by the issue and sale of redemption securities for that amount. Honourable members will find attached a table which sets out the tangible assets of the State, totalling £195,000,000, made up of expenditure on railwayconstruction, public buildings, telegraphs, &c. ; £68,000,000; sinking funds, investments, advances, &c, £59,000,000; Crown lands, settlement lands, &c, value, £30,0(t0,000 ; and State forests, &c, £38,043,000. It is safe to state that with stable financs and good management in detail most of them will, with the continued prosperity of the country, substantially increase in value and productive power. PUBLIC DEBT REDUCTION. I have previously referred to the public debt sinking funds and the desirability, in view of our increased indebtedness, of establishing a systematic process of debtreduction, in place of the present method of accumulating sinking funds that are not available for redemption purposes when required Honourable members will be asked to provide facilities for the purchase or redemption and cancellation of suitable securities before or at maturity out of a debt-repayment fund account. By this means I expect to effect not only a saving in interest and sinking-fund charges, but at the same time an annual reduction of debt. There will be no interference with the. sinking funds already accrued. These I propose should be capitalized, and the interest thereon, together with the annual contribution, applied directly to the reduction of the debt.

LOANS FALLING DUE.

Loans falling due during the seven years ending with the year 1930 are as follows : —

I have completed the necessary arrangements to meet our liabilities both in London and New Zealand for the current year, but honourable members will see from the table that there are heavy redemptions or renewals within the next two years.

Year ending 31st March. London. Australia. New Zealand. Total. .924 925 926 .927 .928 929 .. 930 .. 4 £ 1,747.200 338,100 £ 3,300 12,200 £ £ 7.798.365 9,518.865 11,272,797 11.623,097 15,695,351 15,695,351 4,012,980 4,957,180 4,763,126 5,884,126 3,940,050 3,940.050 2.048,570 32.143.098 1,000 1,000,000 943,200 121,000 30,094,528 33,180,828 1,079,700 49,531,239 83,791,767

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RESERVE FUND IN LONDON. In 1907 the sum of £800,000 was, under the authority of the Reserve Fund Securities Act, borrowed from the Post Office and remitted to London for the purchase of gilt-edged securities, to be held in reserve for the purpose of hypothecation should occasion arise. The debentures issued in New Zealand, which had been renewed from time to time, were repurchased from the Post Office during the year, cancelled, and discharged from the public debt, the Loans Redemption Account having been provided with the necessary funds by the inclusion of £800,000 in the amount transferred from surplus revenue for reduction of debt. The Reserve Fund now stands clear of all liability at £2,000,000 profitably invested, and is a most valuable aid to our London finance. BANK OF NEW ZEALAND. The following dividends were received from the Bank of New Zealand for the year 1922-23:— "A" Preference shares (£500,000) .. 50,000 " B " Preference shares (£625,000) .. 62,500 £112,500 In conformity with the powers conferred by section 12 of the Bank of New Zealand Act, 1920, the Bank has announced the intention of making a fresh issue of 1,125,000 shares available to shareholders, and the Government has the option of taking up 375,000 shares, or one-third of the new issue. This option will be exercised, thus bringing the Government holding up to 1,500,000 shares. This will be a very profitable investment. For the ten years ended 31st March, 1923, the Bank had, exclusive of the £375,000 bonus shares issued in 1920, contributed £3,754,947 to the State by way of dividends and taxation, including bank-note composition. THE STATE GUARANTEE. Since the close of the war numerous requests have been made that the State should guarantee the financial activities of local bodies and other semi-public institutions, and thus assume liabilities for which it is not responsible, except perhaps beyond ensuring the proper allocation of the moneys to the purpose for which they were authorized to be raised. The State guarantee in connection with the loans of local bodies has been very sparingly used, as I was advised by our Financial Agents in London that the issue of such guaranteed loans had a detrimental effect upon our credit, for the reason that they were regarded as forming part of the indebtedness of the Dominion. COST OF LIVING. The cost of living has shown little movement during the past twelve months, and appears to have steadied after the sharp fall in 1921. This factor was taken into consideration by the Government in deciding that the third deduction authorized to be made on the Ist January last by the Public Expenditure Adjustment Act should not be made, while at the same time the improved state of the finances lessened the urgent necessity for further reductions. TARIFF ALTERATION. It has already been announced that a resolution will be brought down abolishing the duty on tea in bulk from British Dominions, and reducing the duty on tea in packets, and on foreign tea by 3d. the pound all round ; this will mean a remission of duty amounting to £112,590 per annum if the calculation is based on the figures for the year 1922. In addition, it is also proposed to make a few adjustments or alterations to the tariff of 1921. One of these will deal with the recently established glass-bottle industry. The other few alterations will be of minor importance.

iv—B. 6.

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TAXATION. It has always been recognized by me that the retention of the admittedly high taxation necessitated by the war is pressing on enterprise and retarding development, and is one of the factors in the increased cost of living. Financial pressure, however, has been such that I have not been able to afford relief to anything like the extent I believe to be necessary, although last year landand income-tax concessions amounting to £929,100 were granted. With the improvement that has taken place I am pleased to announce that in conformity with the policy of the Government further substantial reductions will be made this year, including the remission of income-tax on land which was imposed for war purposes and in addition to the ordinary land-tax. After making allowance for the increased expenditure on account of pensions, subsidies, interest on public debt, as well as for the increases in salaries and wages due to the increased cost of living, it is intended to get back as soon as possible to the rates of taxation which were in operation prior to the war. Conditions have altered to such an extent that the whole system of taxation requires revision. I am considering legislation which is designed to ensure a more equitable distribution of the burden, but in view of the necessities of the situation I have thought it better to concentrate on reductions that will give immediate relief and at the same time afford recognition of the economic principle that each taxpayer should contribute according to his ability.* Considerable adjustment has, however, been taking place, and the taxation per head of the population, including Maoris, has fallen from £17 14s. 4d. in 1921 to £11 17s. Bd. at the 31st March, 1923. FLOOD RELIEF. Honourable members will be asked to ratify my action in providing financial assistance to those settlers who suffered loss in the recent floods, particularly in the South Island. The machinery of the State Advances Office and the Valuation Department is being employed, and on the receipt of satisfactory reports, which are furnished by applicants who require assistance, advances are being made on easy terms, and at the comparatively low rate of 5 per cent, interest, to enable settlers to carry on their farms. PROGRESS OF THE DOMINION. Notwithstanding that during the past decade the Dominion has been passing through crises of various kinds more severe and trying than any before experienced in its history, a general survey of the period 1912-13 to 1922-23 proves conclusively that most satisfactory progress has been made in all the normal activities of New Zealand. No better evidence that the country has been wisely and carefully guided through these trying times is wanted than that afforded by the figures set out in the table attached. It will be seen that during the period the population, including Natives, has increased by 213,709, or 19 per cent. The total trade, which per head of population is the highest in the world, increased by £37,514,849, or 83 per cent. Exports of frozen meat increased 37 per cent, in volume and 115 per cent, in value; wool by 71 per cent, in volume and 67 per cent, in value; butter by 196 per cent, in volume and 333 per cent, in value; cheese by 101 per cent, in volume and 179 per cent, in value. The total exports of the Dominion for the year ended 31st March, 1913, were £23,047,296, while for the year ended 31st March, 1923, they were no less than £45,548,700, an increase of £22,501,404, or 98 per cent. This is a splendid testimony to the productive power of New Zealand. The well-being of the people has been promoted by the greatly improved social services which have been provided through the increased subsidies for education, public health, and free pensions to which I have already referred. Greater facilities have also been provided through the Post and Telegraph Department: there are now 4,300 more miles of telegraph and telephone lines than in 1913, being an increase of 30 per cent, during the period, while the telegraph and telephone wire in use increased by no less than 189,601 miles, or 213 per cent. In 1913 there were 32,252 telephone subscribers, while in 1923 the number is 82,459, an increase of 50,207, or 156 per cent. Continued attention has been paid to the need for opening up the country and improving the means of communication in country districts. The annual Government expenditure on roads and bridges in 1913 was £337,585, while in 1923 it amounted to £643,156, an increase of £305,571, or 91 per cent.

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It will also be seen that, whilst carefully managing the country's affairs, with due regard to the health and comfort of the people, the Government has not overlooked the necessity for developing the waste spaces of the Dominion. During the decade 164 miles of water-races have been constructed for irrigation purposes, representing an increase of 198 per cent, on that previously in existence. The area of land drained in connection with the swamp-drainage operations of the Government was increased from 30,010 to 172,358 acres, an increase of 142,348 acres, or 474 per cent. ESTIMATE OF REVENUE, 1923-24. I estimate the revenue under the main heads of each of the important Departments at, — £ Customs .. .. .. .. .. 7,000,000 Beer duty .. .. .. .. .. 750,000 Stamp and death duties .. .. .. 3,364,000 Post and telegraph .. .. .. .. 2,488,000 Land-tax .. .. .. .. .. 1,300,000 Income-tax .. .. .. 3,500,000 Railways .. .. .. .. .. 7,000,000 Registration and other fees .. .. .. 167,000 Marine .. .. .. .. .. 81,000 Interest on public moneys .. .. .. 1,287,000 Local Bodies' Loans Act, 1908, section 76.. .. 22,000 Rent of buildings .. .. .. .. 20,000 Tourist and Health Resorts .. .. .. 40,000 Miscellaneous .. .. .. .. .. 27,000 Territorial .. .. .. .. .. 201,000 National endowment .. .. .. .. 128,000 Departmental and other receipts.. .. .. 594,000 Total .. .. .. .. £27,969,000 ESTIMATED RESULT FOR THE YEAR. £ Revenue .. .. .. .. .. 27,969,000 Expenditure .. .. .. .. .. 27,277,644 Available for supplementary estimates .. .. £691,356 For the convenience of honourable members I append a summary of the results of the year 1922-23, and the estimates and proposals for 1923-24. RESULTS, 1922-23. Consolidated Fund— Ordinary Revenue Account — £ Revenue .. .. .. .. .. 27,579,443 Expenditure .. .. .. .. ..26,263,760 Excess of revenue over expenditure .. .. .. £1,315,683 Revenue in excess of estimate, £1,329,443. Expenditure below that of previous year, £2,203,078. Transferred to Loans Redemption Account, £3,159,960. Balance forward at 31st March, 1923, £5,637,090. Economies effected since 1921, £3,735,049. Accumulated revenue surpluses reduced by transfers to— £ Discharged Soldiers Settlement Account .. .. 13,500,000 Soldiers Depreciation Fund Account .. .. 150,000 Public Works Fund .. .. .. .. 500,000 Reserve Fund, London .. .. .. .. 1,200,000 Loans redemption .. .. .. .. 3,719,971 Total .. .. .. .. .. £19,069,971

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Total amount of interest-bearing investments of surplus revenue, £17,260,000; earnings, £712,870. Public-works expenditure, £3,912,886. Accrued profit on investments in British War Loan 5-per-cent. Stock, £140,777. Loans matured, redeemed, and renewed, £9,004,986. No Treasury bills outstanding. Gross Customs and excise revenue, £6,769,873. Increase over estimate in Customs and excise, revenue, £959,873. Exports, £45,548,700. Imports, £37,112,779. Inland Revenue Department — £ Land-tax .. .. .. .. 1,541,502 Income-tax .. .. .. .. .. 3,831,932 Stamp and death duties .. . . .. 3,581,291 Total .. .. .. .. .. £8,954,725 Land- and income-tax concessions, amounting to £929,100. Working railways— £ Receipts .. .. .. .. .. 6,727,802 Working-expenses .. .. .. .. 5,502,497 Net revenue .. .. .. .. £1,225,305 Earned on capital cost, £3 os. lOd. per cent. Post and Telegraph — £ Receipts .. .. .. .. .. 2,705,030 Expenditure .. .. .. .. .. 2,112,543 Excess of receipts .. .. .. .. £592,487 Post, Office Savings-bank — Number of depositors, 690,790. Amount at credit, £42,754,868. Average each depositor, £64 4s. 4d. War-loan certificates redeemed to 31st March, 1923, £3,349,074. Land-settlement — Total area offered for settlement to 31st March, 1923, 1,397,339 acres. Total Native lands purchased, 1922-23, 51,523 acres. Discharged Soldiers Settlement Account — Advances authorized during year, £868,650. Total advances authorized, £21,278,221. Repayments, &c, £2,870,332. Arrears of payments reduced. Instalments postponed where circumstances warranted relief. Gross receipts, 1922-23, £1,431,353. Total capital provided for discharged soldiers settlement purposes, £26,148,000. Repatriation — Number assisted, 63,108. Advanced, £2,329,992. Repayments, £1,260,545, or 65 per cent. Assistance continued to disabled soldiers. Agriculture— Total value of produce exported, £42,248,751, or 93 per cent, of total exports. Record export of cheese, 63,000 tons, valued at £5,484,417. Record export of butter, 60,000 tons, valued at £10,324,569. Area sown in wheat, 285,000 acres. Improved prices for agricultural products maintained. Number of sheep in Dominion increased by 706,605, from 22,222,259 to 22,928,864. Increased demand for Nauru phosphates. Immigration —Satisfactory agreement with British Government; passage rates reduced from £26 to £18 per adult. Defence expenditure New Zealand Military Forces, £285,113.

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XXIX

War expenses —Net expenditure during year, £166,799. Naval Defence expenditure—£293,244. Education expenditure, £3,203,207; increased school accommodation provided; expenditure on school buildings since 1918-19, £1,698,304. £429,444 paid in subsidies to Hospital and Charitable Aid Boards. State Advances — Advanced during year, £2,567,820. Advanced during four years to 31st March, 1923, £6,109,030. Pensions paid during year, £2,589,838. Annual liability for war pensions, £1,349,857. Medical treatment of discharged soldiers undertaken by Pensions Department. Government Life Insurance— New business for year, £1,286,609. Total insurance, £17,449,101. Total income, 1922, £778,915. Accumulated funds, £5,922,825, largest yearly increase in funds. State Fire Insurance — Increased profit; reduced expense ratio : Net profit, £46,402. National Provident FundContributors, 22,200. Maternity allowances paid, £39,000. . Funds, £790,000. Public Service Superannuation Fund— Revenue for year, £573,903. Expended, £346,454. Investments at 31st March, 1923, £1,799,041. Railways Superannuation Fund— Revenue for year, £230,689. Expended, £178,470. Investments, £584,219. Teachers' Superannuation Fund — Revenue (13 months), £216,934. Expended (13 months), £119,075. Investments, £779,636. Public Trust Office investments increased to £16,426,324. Western Samoa —Improved trade. Improvement in system of purchase and control of stores. Free-of-income-tax securities outstanding reduced by £4,891,445 during year. Cost of management of New Zealand Inscribed Stock, London, reduced; refund of £30,676 obtained. Bank of England charges for issuing new loans reduced from ss. to 2s. 6d. per cent. 1923 loan of £4,000,000 successfully floated at 4 per cent, issued at 92; high credit of Dominion endorsed by London financial circles. Funding of debt (£27,532,164) to British Government completed on 6 per cent. annuhty basis. Public debt: Gross debt at 31st March, 1923, £218,953,324-- £ Ordinary .. .. .. .. .. 116,067,273 Soldiers .. .. .. .. .. 9,759,216 War .. .. .. .. .. .. 80,563,885 State Advances .. .. '.. .. 12,562,950 Total .. .. .. .. £218,953,324 War debt reduced, £1,279,658. £ Loans redeemed (including war debt) .. 8,466,201 Total loans during year .. .. .. 8,365,140 Net decrease in debt during year .. .. £101,061 Sinking funds accrued, £11,879,256. Tangible assets of State, £195,000,000. £1,000,000 obtained at 3 per cent, by the issue of temporary securities for redemption purposes, with a saving of interest for the year of £20,000.

8.—6

XXX

Reserve Fund securities cleared of liability of £800,000. Third deduction from the cost-of-living increases not made. Taxation per head of population reduced from £17 14s. 4d. in 1921 to £11 17s. Bd. in 1923. Ten years' progress of the Dominion — Increase in— Population, 19-23 per cent. Total trade, 83 per cent. Total exports, 98 per cent. Frozen meat (volume), 37 per cent. Frozen meat (value), 115 per cent. Wool (volume), 71 per cent. Wool (value), 67 per cent. Butter (volume), 196 per cent. Butter (value), 333 per cent. Cheese, (volume), 101 per cent. Cheese (value), 179 per cent. New telegraph and telephone lines, 30 per cent. Telephone subscribers, 156 per cent. Roads and bridges expenditure, 91 per cent. Swamp-land areas reclaimed, 474 per cent. ESTIMATES AND PROPOSALS. Consolidated FundOrdinary Revenue Account — £ Estimated revenue .. .. .. ..27,969,000 Estimated expenditure .. .. .. .. 27,277,644 Available for supplementary estimates .. . . .. £691,356 Customs and excise estimated £7,750,000. Land and income tax estimated £4,800,000. Estimated increase in revenue from spirits and tobacco duties, £450,000. Accummulated surpluses to be applied to capital purposes — £ Public works .. .. .. .. .. 1,000,000 Loan redemptions, London .. .. .. 500,000 School buildings (additional) .. .. .. 100,000 Total .. .. .. .. .. £1,600,000 Public works and land-settlement to be actively developed to further production. £4,000,000 to be provided for public works. Provision for working Otira - Arthur's Pass electric: and other new railways. Post and Telegraph reforms and concessions—Penny postage to be introduced ; revision of telephone-exchange rates. Land-settlement policy to be pursued—4ol,742 acres under survey; 485,598 acres to be surveyed. Discharged soldiers settlement—Legislation to be introduced giving effect to reports of Inquiry Boards; applications for advances to be received from invalided men; amended conditions for loans on current account, &c.; additional advances, &c, continued meantime. Swamp drainage to be actively proceeded with. Immigration —Suitable immigrants to be assisted and assured of work and accommodation. £2,000,000 to be held for State advances. Early closing of War Expenses Account —Unexpended balances and capital repayments to be devoted to reduction of war debt. Naval Defence —Increased appropriation to be provided, including grant towards cost of Naval Base at Singapore. State advances — Liberal provision to be made for the purpose of building houses, acquiring homes, and affording relief to borrowers. Advances increased from three-fifths to 75 per cent, of security for settlers. Advances increased from three-fourths to 95 per cent, of security for workers.

8.—6

XXXI

War pensions—lncreased provision to be made by legislation for totally or partially incapacitated soldiers as a result of Special Commission's report. Native-land settlement —Purchase of Te Kuiti Township to be completed. Additional concessions to Public Trust ()ffice clients. Western Samoa — Continued provision for research in tropical diseases and co-operation with London School of Tropical Medicine. Meteorological services to be extended. Gradual reduction of free-of-income-tax securities. Further reduction in London charges for stock management to be sought. Public debt extinction legislation to be introduced providing for more effective method of reduction. Estimated reduction in interest and sinking fund charges, £233,782. Loans falling due (£9,548,865) to be provided for. Payment of £1,651,930 (interest and principal) to British Government for funded debt. Relief to be provided for flood sufferers. Remission of Customs duties —Tea duty to be reduced. Further reduction in land and income tax; income-tax on land to be remitted. 375,000 Bank of New Zealand £1 shares to be purchased at par. Return to pre-war rates of taxation. CONCLUSION. I have not intended to suggest that the Government is entitled to take all the credit for the present prosperity of the Dominion, but at the same time I am justified in claiming that a great measure of the success achieved is the outcome of sound finance, combined with prudent and careful administration. In 1918 the Government was faced with grave responsibilities. Expenditure, owing to causes which, could not be controlled, was increasing at an alarming rate, and its immediate contraction was impracticable because of rising prices and the increased cost of living. It was indeed an onerous and difficult task to undertake the curtailment of expenditure at a time when the whole world had lost its sense of proportion, and had not recovered from the habits of extravagance which developed during a period of lavish expenditure necessitated by war. My anticipations regarding possible economies and charges have been fully realized, and I feel confident that the improvement will continue during the present year, provided our finance rests on the solid basis of efficient and economical management. There are many who, although desirous of economy, press lor increased expenditure in certain directions, but I again point out that the rate of expenditure must be governed by the ability to provide the means. Increased expenditure for social services must be coincident with the growth of the population. Large sums have been found for these purposes during recent years, and the staff of official experts has been, increased. Their work is of great value to the State, although in some instances it embraces matters that were formerly individual responsibilities. I have pride in directing attention to the remarkable progress made during the past ten years, and in the fact that the credit of New Zealand stands so high on the London market where recent loans have been so successfully floated. The proposals I have outlined, both as regards capital and current expenditure, will, if given effect to, tend to promote the settlement of our fertile lands, stimulate production, anil afford encouragement and assistance to an industrious people, while the proposed remission of taxation should afford relief to all classes of the community. The year just ended was an exceptionally good one for the primary producers, and consequently for the country as a whole. Prices for most of our important products have been satisfactory. Production has been well maintained; the quantity and value of our exports have considerably increased, and the result has been a return to prosperity such as very few people expected for some time to come. Much has been done, but there is still much to do, and many difficulties to be overcome.

8.—6

XXXII

In last year's Financial Statement I reminded my fellow-citizens that there was no royal road to prosperity. There is only one way to get there, and that is by work: by each individual and each section of the community putting forth all the energy they possess, and using all the talents with which they have been endowed. Whether my advice reached many of them or not, the fact remains that during the last twelve months the country has been a hive of industry, and the results as shown by the greatly improved position of both public and private finance are exceedir gly creditable to all concerned, and must be looked upon with much satisfaction by the whole population of the Dominion. There is a proverb which says that a house divided against itself cannot stand. I follow that up by saying a country divided against itself cannot prosper. We may have our differences of opinion, but where the country's interests are concerned its citizens should pull together, and aim at making it what nature intended it to be—one of the happiest and most prosperous countries of the British Empire.

8.—6

TABLES TO ACCOMPANY THE FOREGOING STATEMENT.

Page. Table No. I. — Schedules ok New Telephone ('urges for Business and Residential Connections as COMPARED WITH EXISTING CHARGES AND ALTERATIONS ORIGINALLY PROPOSED.. .. 2 Table No. 2. —Revenue fob THU Year ended 31st March, 192.1, compared with the Year ended 31st March, ]!)22 .. .. .. .. .. .. .. .. 4 Table No. 3.—Statement of the Actual Expenditure of the Consolidated Fund (Ordinary Revenue Account) for the Financial Year ended 31st March, 1923, compared with the Year ended 31st March, 1922 ..• .. .. .. .. .. .. r> Tahle No. 4.—Comparative Statement of the Appropriated and Actual Expenditure of the Consolidated Fund (Ordinary Revenue Account) for the Financial Yea.! ended 31st March. 1923 .. .. .. . .. .. .. .. .. (i Table No. s.—New Zealand.—Statistical Comparisons for a Decennial Period .. .. .. 7 Table No G. —Education Expenditure—Total Expenditure on Education out of Public Funds .. 8 Table No. 7—Abstract of Receipts and Expenditure of the Financial Year ended 31st March, 1923. See Parliamentary Paper 8.-l (Part I). Tables Nos. 8 and Sa. —Statements of the Estimated Liabilities of the Consolidated Fund outstanding on 31st March, 1913 to 1923 inclusive .. .. .. .. .. .. 9, 10 Tables Nos. 9 and 9a.—Statements of the Estimated Liabilities of the Public Works Fund and other Accounts outstanding on 31st March, 1913 to 1923 inclusive .. .. ..11,13 Table No. 10.—Statement snowiNG the Total Ways and Means of the Public Works Fund and the Total Net Expenditure to 31st March, 192.1 .. .. .. .. .. 14 Table No. II. —Estimated Expenditure for 1023-24, compared with the Actual Expenditure for 1922-23 .. .. .. .. .. .. .. .. ..10 Table No. 12.—Estimated Revenue for 1923-21, compared with the Actual Revenue for 1922-23 .. Hi Table No. 13. —Statement showing the Amount charged to "Unauthorized" in each Financial Year from Ist .lulv, 1875, to 31st March, 1923 .. .. .. .. .. 16 L'ablis No. It.—Return of Subdivisions of Rural Freeholds in New Zealand from Isr April, 1912, to 3Ut March, 1923 .. .. .. .. .. .. .. ..17 L'able No. 10.—Statement showing the Financial Position of the Dominion on the 31st March, 1923, as compared with the 31st March, 1922 .. .. .. .. ..17-21 Table No. 18. —Statement of Assets held, and Capital Expenditure, as aqaijtst the Public Debt on the 31st March, 1923 .. .. .. .. .. .. ..22-23

I—B. 6.

8.—6

2

Table No. 1. Schedules of New Telephone Charges for Business and Residential Connections as compared with Existing Charges and Alterations originally proposed. No. 1 Class (Multi-office Exchanges of over 3,000 Subscribers). Auckland, Wellington, Christchurch, and Dunedin. Base rate area—approximately 28 square miles, or 3-mile radius.

In addition to the above, provision is made for two-party business connections in same block for £10; two-party residential connections in same cable-box area for £7; and four-party residential connections in same cable-box area for £6.

No. 2 Class (Single-office Exchanges, 1,000 to 3,000 Subscribers). Examples: Wanganui, Hastings, Palmerston North, Hamilton, Gisborne, &c. Base rate area —approximately 20 square miles, or 2½-mile radius.

In addition to the above, provision is made for two-party business connections in same block for £8; two-party residential connections in same cable-box area for £6 ; and four-party residential connections in same cable-box area for £5.

isiness Connectioi IS. Res'i dential Connoc iions. Distance from Central Exchange. Rate originally proposed. Existing Rate. Rate originally proposed. New Rate. Existing Rate. New Rate. \ mile 3 f >> 1 ,, \\ miles if „ 14 ,, o £ 18 18 18 18 18 18 18 18 18 18 18 s. d. 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 £ 15 15 15 15 15 15 15 15 15 15 15 s. d. 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 £ s. d. 9 10 0 9 10 0 9 10 0 10 2 6 10 15 0 11 7 6 12 0 0 12 12 6 13 5 0 13 17 6 14 10 0 j £ 9 9 9 9 9 9 9 9 9 9 9 s. d. 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o 0 o £ s. d. 8 10 0 8 10 0 8 1.0 0 8 10 0 8 10 0 8 10 0 8 10 0 8 10 0 8 10 0 8 10 0 8 10 0 £ s. (I. 6 0 0 6 0 0 6 0 0 6 12 6 7 5 0 7 17 6 8 10 0 9 2 6 9 15 0 10 7 6 11 0 0 2 „ n „ 2j ,, 2f „ <3 3 „

Bi isinese Connections, Rcsii Icntial (Jounce ions. Distance from Exchange. Kate originally proposed. I Existing Rate New Rale. (Klat-rate Table). Rate originally proposed. New Rate. Existing Rate (Flat-rate Table). I mile 3 i " 1 1J miles H „ If „ o £ s. d. 13 0 0 13 0 o 13 0 o 13 0 0 13 0 0 13 0 0 13 0 0 13 0 0 13 0 0 £ s. d. £ s. d. II 0 0 7 0 0 110 0 7 15 0 11 0 0 8 10 0 11 0 0 9 2 6 11 0 0 9 15 0 11 0 0 10 7 6 11 0 0 11 0 0 II 0 0 11 12 6 11 0 0 12 5 0 £ s. d. 8 0 0 8 0 0 8 () 0 8 0 0 8 0 0 8 0 0 8 0 0 8 0 0 8 0 0 £ s. d. 7 10 0 7 10 0 7 10 0 7 10 0 7 10 0 7 10 0 7 10 0 7 10 0 7 10 0 £ s. d. 7 0 0 7 0 0 7 0 0 7 12 6 8 5 0 8 17 6 9 10 0 10 2 6 10 15 0 2 91 2i „

8.—6

3

Table No. 1.— continued Schedules of New Telephone Charges for Business and Residential Connections as compared with Existing Charges and Alterations originally proposed— continued. No. 3 Class (Single-office Exchanges of under 1,000 Subscribers, with unrestricted Attendance). Examples: Blenheim, Cambridge, Carterton, Greymouth, Hawera, Hunterville, Motueka, Oamaru, Piopio, Thames, Nelson, Waipawa, Waipukurau, &c. Base rate area —approximately 12 square miles, or 2-mile radius.

In addition to the above, provision is made lor two-party business connections in same block for £7 ; two-party residential connections in same cable box area for £5 10s. ; and four-party residential connections in same cable box area for £-1 10s.

No. 4 Class (Single-office Exchanges of under 1,000 Subscribers, with restricted Attendance). Base rate area-approximately 12 square miles, or 2-mile radius.

In addition to the above, provision is made for two-party business connections in same block for £6 ; two-party residential connections in same cable-box area for SA 10s. ; and four-party residential connections in same cable-box area for £3 10s.

Bi isiness Connecti< >ns. Residential Conned iions. Distance from Exohange. Rate originally proposed. New Kate. Existing Rate (Flat-rate Table). Rate originally New Rate, proposed. Existing Rate (Flat-rate Table). J mile 8 4 >' 1 » \\ miles l\ ,, If „ £ s. d. 13 0 0 13 0 0 13 0 0 13 0 0 13 0 0 13 0 0 13 0 0 £ S. d. 10 o o 10 0 0 10 0 0 10 0 o 10 0 0 10 0 0 10 0 0 £ s. d. 7 0 0 7 15 0 8 10 0 9 2 6 9 15 0 10 7 6 11 0 0 £ s. d. £ s. d. 8 0 0 7 0 0 8 0 0 7 0 0 8 0 0 7 0 0 8 0 0 7 0 0 8 0 0 7 0 0 8 0 0 7 0 0 8 0 0 7 0 0 £ s. d. 7 0 0 7 0 0 7 0 0 7 12 6 8 5 0 8 17 6 9' 10 0 2 „

Bi isinesa Connections, Now Kate. E * ! f n « Hat'. Residential Connections. Distance from Exchange. Rate originally proposed. Hale ., . ,. • • it at tj * I'.xistmg ong.naliy New Hate. R t proposed. | mile 3 j „ 1 1J miles H „ If „ £ s. d. 9 0 0 9 0 0 90 0 9 0 0 9 0 0 9 0 0 9 0 0 £ s. d. £ s. d. 8 0 0 6 0 0 8 0 0' 6 15 0 8 0 0 7 10 0 8 0 0 8 2 6 8 0 0 8 15 0 8 0 0 9 7 6 8 0 0 10 0 0 £ s. d. £ s. (1. £ s. d. 6 0 0 6 0 0 6 0 0 6 0 0 6 0 0 6 0 0 600 600 600 600 600 6 12 6 600 6 00 7 50 600 600 7 17 6 600 600 8 10 0 z I

8.-o

4

Table No. 2. Revenue for the Year ended 31st March, 1923, compared with the Year ended 31st March, 1922.

Y< ar end( d ill si Marob, 1923. Year ended 31st Marob, Increase. Dcorea.se. 1922. £ Customs .. .. .. .. .. 6.o.".2.292 Beer duty .. .. .. .. .. 612,128 Stamp and death duties . . . . . . 3.581 .291 Postal and telegraph .. .. .. 2,705,030 Land tax .. .. .. ... .. I .511 .502 Income fcas .. .. ,. . . 3,831 .932 Railways .. .. .. .. .. 6,719,864 Registration and other fees .. .. .. 179,033 Marine .. .. .. .. .. 50.579 Miscellaneous— £ Interest on public-moneys I..'102.967 Local Bodies' Loans Ad.' l9os.scc.76 22,575 Rents of buildings .. 20,346 VI,478,845 Tourist and Health Resorts .. 39,823 Miscellaneous .. ■• •• 93,134 J Territorial .. .. .. .. 192. ISC, National-endowment revenue .. .. 95,156 Departmental and other receipts .. .. 559,605* £ £ £ 5,095,136 936.856 - li58.:S9S 153.230 3,444,504 136,787 2,748,481 .. 13,451 1,637,816 .. 96.311 6.002.987 .. 2,171.055 6.6S3.236 36.628 146,548 32,485 51.819 .. 1,270 i 1,410,478 68.367 200.697 .. 8.511 102.181 .. 7,325 I 13.59(1 116.009 1,780,362 2,327.926 1,780,362 Totals .. .. .. .. 27,579,443 28.127,007 .. 517,564 £ * 225,358 Printing Offiea receipts previously oredited to \ 168,722 Suproini'and Magistrate Court fees \ 3,810 Patent Office fees IPrcvi.ai 83,444 Land and Deeds registration fees 9,000 Native Land Court fei J lit),271 Recoveries on account of expenditure of previc /ote Printing and Stationery. sly oredited to Postal and/or Stamp Revenue. his year's. £559,005

5

8.-6

Table No. 3. Statement of the Actual Expenditure of the Consolidated Fund (Ordinary Revenue Account) for the Financial Year ended the 31st March, 1923, compared with the Year ended 31st March, 1922.

Year ended 31st March, 1928. Year etdi (I 31st March, 1922. Increase. Decrease. Permanent appropriations— £ Civil List .. .. .. .. 28,83.", Interest.. .. .. .. .. 7,904,260 Sinking Fund .. .. .. .. 854,526 Reduction of Funded Debl .. .. 141,171 Under special Acts— Miscellaneous .. .. .. 386,032 Butter subsidies .. .. •• 13,161 Subsidies paid to local authorities .. 206,733 Subsidies paid to Hospital Boards .. 429,444 Territorial revenue .. .. .. 16,518 Endowments .. .. .. .. 99,229 Old-age pensions .. .. .. 725,039 Willows' pensions .. .. ,. 187,872 Military pensions .. .. .. 34,110 War pensions .. .. .. .. 1,471,532 Miners' pensions .. .. .. 30,876 Subsidies tp Superannuation Board .. 154,000 Transfer to Electric Supply Account ,. 250,000 Advances to other Governments .. .. 22,693 Westport Harbour Account .. 17,885 £ 29,884 7,390,864 1,051,414 £ £ 513,396 1,051 196,888 141,171 390,849 240,270 200.924 471,711 16,968 107.919 711,500 186,197 37,647 1,722,596 28,855 154,000 4,817 227,109 5,809 •■ 42,267 450 8,720 13,539 1,675 3,537 251,064 2*021 60,533 72,001) 250,000 37,84.0 54,115 12,973,914 12.871. Mil 927, (ill 827,858 Annual appropriations Legislative Departments .. . .• .. 70,091 Treasury Department .. .. ., 33.390 Land and Income Tax Department.. .. 60,268 Stamp Duties Department .. .. 71.851 National Provident and friendly Societies De- 19,992 partment Working Railways .. .. .. 4,946,181 Post, and Telegraph working expenses . . 2,112,543 Public buildings .. .. .. .. 77,875 Government domains .. .. .. 4,470 Maintenance and improvement of roads .. 55,948 Maintenance of irrigation works .. .. 1,345 Native Department .. .. .. 25,685 Department of External Affairs .. .. ,19,332 Cook Islands .. .. .. .. 19,732 Department of Industries and Commerce .. 95,321 Department of Justice .. .. .. 47,300 Supreme and Magistrates'Courts .. .. 95,315 Prisons Department .. .. .. 77,301 Crown Law Office .. .. .. 5,927 Police Departmenl .. .. ,. 377,788 Pensions Department .. .. .. 122,453 Mines Departmenl .. .. .. 26,823 Department of Internal Affairs .. .. 344,783 Audit Department .. .. .. 19,599 Public Service Commissioner's Office .. 7,055 Printing and Stationery .. .. .. *175,551 Mental Hospitals .. .. .. .. 245,206 Department of Health .. .. .. 233,823 Naval defence .. .. .. .. 211,225 Defence.. .. .. .. .. 285,113 Customs Department .. .. .. 103,352 Marine Department. .. .. .. .117,204 Department of Labour .. .. .. .">tt,096 Department of Lands and Survey .. .. 152,377 Valuation .. .. .. .. 36,739 Electoral .. .. .. .. 101,320 Agriculture .. .. .. .. 208,197 Tourists .. .. .. .. 59,647 - Education-.Department •■--.-.-- -.--. —r.- 2,514,991 Services not provided f or .. .. 65,637 13,289,846 73,843 11,103 60,533 101,415 24,935 6,473,234 2,448,688 109,092 1,513 62,280 1,295 22,862 21,478 15,406 157,518 45,875 101,219 79,545 6,021 411,056 138,734 47,076 367,062 21,685 8,861 Cr. 10,220 269,199 223,388 303,517 415.450 136,475 151,695 35,762 215,672 55,278 6,295 275,176 86,943 2,580,562 2,156 50 2,823 4,326 1,425 3.752 7,713 265 26,564 4,943 1,527,053 336,145 31,217 43 6,332 2,146 62,197 5,904 2,244 94 33,268 16,281 20,253 22,279 2,086 1,806 185,771 10,435 23,993 92,292 130,337 33,123 34,491 2,334 63,295 18,539 95,025 66,979 27,296 65,571 63,481 9 ««k km 13,289,846 "15,592,677 365,670 •A , bb», OU1 3,496,359 1,293,281 2,668,501 Total expenditure .. .. ..' 26,263,760 1,293,281 26,263,760 28,466,838 2,203,078 * Receipts amounting to £225,358 lave been credited to re vent: i utilized in reduction of expenditure as in previous years. (Departmental rec;ipts) inet< tead of being

8.—6

6

Table No. 4. EXPENDITURE. Comparative Statement of the Appropriated and Actual Expenditure of the Consolidated Fund (Ordinary Revenue Account) for the Financial Year ended 31st March, 1923.

Diffe rente. Appropriated, 1922-23. Actual, 1922-23. More Less. Permanent Charges— Civil List i nl crest, Sinking Fund Reduction of funded debt Under special Acts £ 29,831 7.720.SI2 1.192,292 £ 28,833 7.901.2(10 854.526 I 11,171 4.015.124 £ 183.IIS £ 998 337.766 4,015,499 141,171 29,625 Annual Appropriations, Legislative Departments Treasury Departtnenl Land and Income Tax Department Stamp Duties Department National Provident and Friendly Societies Department W'orking Railways. . I'ost and Telegraph working-expenses Public buildings Government domains Maintenance and Improvement of roads Maintenance of Irrigation Works Native Department Department of External Affairs (look Islands Department of Industries and Commerce Department of Justice Supreme and Magistrates'Courts Prisons Department Crown Law Office . . Police Department Pensions Department Mines Department. . Department of Internal Affairs Audit Department. . Public Service Commissioner's Office Printing and Stationery Menial I lospilals Department of Health Naval Defence Defence Department Customs Department Marine Department Department of Labour Department of Lands and Survey Valuation Electoral . . Agriculture Tourists Education Department Services not provided for 12.958,434 12,973,914 354,244 338,764 (19.382 32.104 65.770 84,847 22,485 70.091 33,390 60,268 7 I.85 I I 9.992 709 1,286 5.502 9.996 2.493 6.165.921 2.382,037 103,158 1.815 59, 168 2.250 28,504 18,756 22,837 48,150 41,963 91.127 78,324 6.027 405,260 127,496 36.220 363,580 24.893 8,312 220,094 305.558 238.236 257.:350 328,630 111,627 132,290 39,803 205,442 42,353 84,658 251,811 74,229 2,571,505 1.916.181 2.112.513 77,875 I. 170 55.918 1.345 25,685 19,332 19,732 95,321 47,300 95,315 77,301 5,927 377.788 122. 153 26.823 344,783 I'J.599 7.055 175.551 245,206 233,823 211.225 285,113 103.352 117,204 38,096 152,377 36,739 101,320 208,197 59,647 2,514,991 65,637 576 47.171 5,337 4,188 1,219.710 269. 191 25.283 345 3.520 905 2,819 3,105 I ,023 100 27,472 5,043 9.397 18.797 5,294 1.257 44,543 60,352 4,413 46,125 43,517 8,275 15,086 1,707 53,065 5,614 16,662 43,614 14,582 56.514 65,637 15,157.272 13.289,846 141,566 2,008,992 495,810 2,347,756 495,810 Totals 28,115,706 26,263,760 1,851,946

8.—6

7

Table No. 5. New Zealand. —Statistical Comparisons for a Decennial Period.

Dates or Periods. Unit. Statistics (or Increosi e. Item. First Date or Second Date or Period. Period. Numerical. Per Cent. Population (including Maoris) At 31st March, 1913 and 1923 Years ended 31st March, 1913 and 1923 fears ended 31st March, 1913 and 1923 Years ended 31st March, 1913 and 1923 Calendar years 1912 and 1922 Calendar years 1912 and 1922 Calendar years 1912 and 1922 Calendar years 1912 and 1922 Calendar years 1912 and 1922 1911 and 1922 .. 191 I and 1922 .. 1913 and 1923 .. 191 I and 1922 .. 1911 and 1921 .. 1911 and 1921 .. Calendar years 1912 and 1922 no. 1,111,592 1,325,301 213,709 19 Total trade £ 45,009,434 82,524,283 37.514,849 83 Imports £ 21.902,138 36,975,583 15,013,445 08 Exports . . £ 23,047,298 45,548,700 22,501,404 98 Exports ol' wool Exports of frozen meat Exports of butter Exports of cheese Exports of apples and pears. . Ih. £ cut. £ cwt. £ cwt. £ lb. £ 188,361,790 7,105,483 2,573,238 3,909,569 378,117 2,088,809 577.070 1,080,393 589,421 4,979 2,020.171 633,733 24,191.SKI 318,754 71,005 1, 157,129 55,770 I ,053 321,525,502 1I.SS2.103 3,518,004 S.387,408 1,120,200 9,011.551 I.101.196 4,080,850 4,741,322 05,732 3,323,223 1.137,055 22,928,864 384,333 So.SO I 2,807,346 1,289,135 46,816 133,103,772 4,770.980 944,700 1,177,899 742. OS:! 0,952,745 584,128 3,006,457 4,151,901 00,753 1,303,062 503,322 - 1,262,946* 35,579 14,250 1,349,917 1.233,305 t5,7(i:t 71 07 37 115 190 333 101 179 704 1,220 05 79 — 5* 10 20 93 2,212 i,:',ki Cattle Dairy COWS Sheep Pigs Hives of Bees Oul put of honey Exports of honey no. nn. no. no. no. Ih. 10. £ Industrial manufacture— Establishments Employees Wages paid Value of products Value nl land, buildings, machinery and plant Length of telegraph and telephone lines Length of telegraph and telephone wire Telephone subscribers Years ended ;!lsl March, L911 and L922 i At :ilst March, 1913 and I'.I2:i At 31s1 March, 1913 and 1923 At 31st March 1913 and 1923 At 31st March, 1:03 and 1923 Years ended .'list, March, 1913 and 1923 At 31sl March, 1912 and 1922 At :ilst March. I!li:( and 1923 no. no. £ £ £ 2,. 52 I 47,631 ...572,270 31,729,002 I I. 130.355 1,096 111 .(HIS II. 5 111. 975 07,140.209 41,384,219 571 13,437 5,947,706 35,417,267 26,953,864 10 28 107 112 187 miles 11,481 18,785 1,300 80 miles 88,897 278.I9S 189,601 213 no. 32.252 82,159 50.207 156 Railways .. miles 2,851 3,028 177 6 Government expenditure on roads and bridges Government water-races tor irrigation purposes Area of swamp drained by Government £ 337,585 0 13,150 305,571 01 mile:-; 83 247 104 198 acres 30,010 172,358 142,348 474 * Decri ISO.

8.—6

8

Table No. 6. EDUCATION EXPENDITURE. Total Expenditure on Education out of Public Funds, including University, Primary, Secondary, and Higher Education, Technical and Special Schools.

The following amounts were also paid out of the Government Fire Insurance Fund for rebuilding school buildings destroyed by fire : — £ 1916-17 .. .. .. .. ..2,127 1917-18 .. .. .. .. .. 2,658 1919 20 .. .. .. .. ..15,682 1920 21 .. .. .. .. ..16,162 1921-22 .. .. .. .. ..27,108 1922-23 .. .. .. .. .. 8,542 * Net revenue after deduoting expenses md cost of collection.

onsolidated Fund. Loan-mone; of School and lies y: Erection Buildings lidences. Xai ional Endowment Revenue. Administration : r, , T . Revenue V ote, c ... ,.' from Kducation. ,, I o i • j Reserves. Salanos and other Charges.; Subsidies to Teachers' Superannuation Fund. Public Works Fund. Education Loans Account. Total. 1'er Head of Mean Population. Special Acts. I I " £ 89,535 105.000 121,951 122,940 97.972 70,367 63,082 115,656 195,500 244,722 2. 169 £ 1911-12 . 1912 13 . I'll.". 14 . 1914-15 . 1915-16 . 1916-17 . 1917 18 . 1918 19 . 1919-20 . 1920 21 . 1921 22 . 1922-23 . £ 27,257 29,034 27,742 26,128 id.871 58,408 59,362 57,716 79,747 101,972 96,217 90,393 £ 43,656 II.589 50. (181 55.139 64,858 60,180 70.345 76,177 78.988 70,313 7 I.737 66,610 £ £ 1.012,048 53,832 1.084,042 64,173 1,131,756 71.808 1.207,983 70.802 1,329.166 84,390 1,406,264 90,535 1.511.256 90,518 1,602,995 92,095 2,031.825 99.352 2,460,116 100.758 2,580,562 105.1 is 2.511.991 103,293* £ 7.000 17,000 17.000 17.000 17,000 17.000 17,000 13,000 43,000 43,000 13,000 !: 68,000 .£ 1,233,328 1,340,838 1,420,941 1,499,992 I,640,260 1,702,754 I.s|I,563 1,987,639 2,528,412 3,235,452 M. 162,841 3,205,263 £ s. d. 1 3 I 1 4 6 1 5 3 1 6 2 1 8 6 1 9 8 111 5 1 II I 2 1 10 2 11 8 2 13 10 2 8 11 211.571 563.III 361.976

B.- 0

9

2 -B. 0.

Table No. 8. Statement of the Estimated Liabilities chargeable on the Consolidated Fund (Revenge Account) outstanding on the 31st March, 1913, 1914, 1915, 1916, 1917, 1918, 1919, 1920, 1921, 1922, and 1923.

I I I I 31st Marcb, 1913. 31st March. 19H.' 31st March, 1915. ' 31st March, 1916. 31st March, 1917. 31st March, 1918. i 31st March, 1919. 31st March, 1920. 31st March, 1921 31st March, 192-2. 31st March, 1923. ! _ J I Revenue Account. £ s. d. £ s. d. £ s. d. Permanent Appropriations, — Civil List .. .. .. 208 6 9 227 16 9 143 19 6 Under special Acts of the Legislature .. .. .. 2,518 4 6 14,937 0 0 8,614 13 4 Pensions .. .. .. .. 68 11 8 £ s. d. 227 16 9 £ s. d. 143 19 6 I £ s. d. 3,200 0 0 £ s. d. S4 0 4 £ s. d. £ s. d. £ s. d. 53 14 4 23 8 5 2,351 0 0 ' 2,746 0 0 4,738 18 10 270 9 3 312 8 4 498 2 0 £ s. d. £ s. d. 148 4 5 232 10 1 7,163 0 5 37,669 6 0 594 0 6 412 12 4 £ s. d. 185 15 3 27,710 13 0 j 242 15 0 14,937 0 0 63 11 8 8,614 13 4 15,508 6 8 72 13 11 1,012 14 10 2,726 11 3 15,233 8 5 8,758 12 10 2,726 11 3 15,233 8 5 18,781 0 7 1,096 15 2 2,675 3 7 3,081 16 9 5,237 0 10 7,910 5 4 38,314 8 5 28,139 3 3 1 Annual Appropriations, — Legislative Departments .. 1C3 14 4 152 2 1 246 11 0 Departments of Minister of Finance .. .. .. 182 7 5 592 14 6 397 4 6 Working Railways .. .. 150,514 0 0 136,909 0 0 157,575 0 0 Post and Telegraph Department 58,83119 10 63,566 5 6 79,466 10 8 Public Buildings, Domains, , Maintenance of Roads, and ' 3,4S7 6 1 1,719 8 6 9,195 0 0 Maintenance of Irrigation j 3,516 0 0 6,099 0 0 6,156 0 0 Works .. .. .. ( Justice Department*.. .. 12,178 15 11 8,884 4 8 6,707 6 9 Mines Department .. .. 61 11 2 8,658 17 6 6,846 13 11 Internal Affairs Department* .. 10,968 16 10 19,064 12 2 14,655 17 5 Defence Department; .. 12,958 10 5 7,055 15 5 25,363 5 11 Customs Department .. j 6 10 : 1,447 16 4 1,234 2 1 Marine Department .. .. ) ' ' ' Labour Department .. .. " .. 869 0 7 465 17 10 Lands Department .. ..11,385 5 3 4,065 19 9 2,625 5 2 Agriculture Department! •• ! 10,403 7 0 8,420 0 0 3,134 0 0 Education Department .. 8,877 16 11 2,402 10 6 13,862 8 2 Valuation and Electoral Departments|| .. 286,396 18 0 269,907 7 6 327,937 3 5 400 3 9 393 7 8 113,679 0 0 63,474 0 0 6,281 0 0 3,435 0 0 7,044 0 1 10,791 15 6 20,408 19 1 83 15 1 955 12 1 1,588 14 2 ! 7,707 16 7 129,112 0 0 136,976 0 0 65,245 4 7 81,067 19 6 ii™ ° ° n Jl4,463 0 0 0,877 0 0 6,863 4 1 10,227 2 6 19,572 3 3 20,796 2 2 7,792 13 9 17,292 7 6 958 6 5 33,827 13 6 170,311 5 10 88,463 0 0 11,131 0 0 8,691 10 8 33,587 10 3 20,288 9 10 30 10 9 1,818 11 1 3,855 16 8 438 15 10 10,991 11 11 51,929 0 9 3,981 4 3 3,913 12 1 262,551 0 0 40S.363 0 0 182,645 0 0 195,627 0 0 174,127 0 0 125,012 17 6 115,335 0 0 97,079 0 0 20,400 0 0 16,078 0 0 11,364 0 0 14,644 0 0 8,136 17 9 | 20,884 18 10 13,011 13 0 14,463 5 7 1,300 0 0 ! 2,455 0 0 1,350 0 0 1,358 0 0 16,115 9 8 ' 32,599 12 3 59,834 13 11 27,210 18 3 5,637 7 1 6,396 0 9 ; 28.255 17 0 12,339 11 5 1,248 16 8 3,350 16 3 5,144 0 5 6,118 14 9 2,283 12 7 4,082 11 0 4,487 0 10 3,937 6 1 570 4 3 1,695 8 10 6,500 0 0 41,060 0 0 890 3 8 1,057 3 8 1,914 19 2 1,104 15 3 4,060 0 0 8,016 0 0 i 20,332 0 0 14,196 0 0 447 3 1 2,998 17 4 50,173 0 0 18,585 0 0 362 3 8 1,343 11 2 2,302 2 1 752 5 9 828 12 3 4,528 0 5 5,835 4 8 3,122 17 7 2,061 0 0 14,988 0 0 50,950 18 9 9,392 14 7 4,122 0 0 11,616 0 0 25,963 3 4 22,520 4 5 1,470 15 6 641 13 8 2.305 16 9 3,052 7 11 •• .. j 1,243 15 1 276,981 15 10 271,646 14 0 319,003 19 8 446,825 6 9 510,418 1 2 702,736 17 5 511,477 11 3 409,851 19 6 Services not provided for Refunds of Revenue .. .. ! ' 87 1 0 5 16 6 3,873 0 0 ■■ Totals .. .. 289,123 9 3 285,140 15 11 336,695 16 3 336,695 16 3 295,762 16 5 272,743 9 2 1321,766 4 3 449,907 3 6 1515,655 2 0 710,652 19 3 549,791 19 8 441, S64 2 9 I | * Includes Native, External Affairs, Prisons, and Poliee Departments, and Cook Islands. | Includes Naval Defence. § Includes Industries and Commerce and Tourists Departments, eternal Affairs Department. t Includes Audit, Printing anil Stationery, Public Service Commissioner's Office, Mental Hospitals, and Health Departments. Previous to 1918-19 Valuation Department was included in Lands Department and Electoral Department was included in

8.—6

10

Table No. Ba. Statement of the Estimated Liabilities chargeable on the Consolidated Fund (Revenue Account) outstanding on the 31st March, 1923. REVENUE ACCOUNT. 1023, Permanent appropriations— £ s. d, Civil List .. .. .. .. .. .. .. .. 185 15 3 Under Special Acts of the Legislature .. .. .. .. .. 27,710 13 0 Pensions .. .. .. .. .. .. .. ~ 242 15 0 Refunds of RevenueTerritorial .. 263 7 10 Stamp Duties .. .. .. .. .. .. .. .. 3,609 1 2 Registration and other fees— Factories Act, 1908 .. .. .. .. .. .. 0 11 0 Annual appropriations— Legislative Departments .. .. .. .. .. .. 438 15 10 Treasury Department .. .. .. .. .. .. .. 330 11 4 Land and Income Tax Department .. .. .. .. .. 1,665 6 9 Stamp Duties Department .. .. .. .. .. .. 739 14 0 National Provident and Friendly Societies Department .. .. .. 1,178 0 0 Working Railways .. .. .. .. .. .. .. 195,627 0 0 Post and Telegraph Working-expenses .. .. .. .. .. 97,079 0 0 Public Buildings .. .. .. .. .. .. .. 9,083 0 0 Government Domains .. .. .. .. .. .. .. 106 0 0 Maintenance and Improvement of Roads .. .. .. .. .. 5 ]*328 0 0 Maintenance of Irrigation Works.. .. .. .. .. .. 127 0 0 Native Department .. .. .. .. .. .. .. 843 1 6 Department of External Affairs .. .. .. .. .. .. 33 0 0 Cook Islands .. .. .. .. .. .. .. .. 920 0 0 Department of Industries and Commerce .. .. .. . . .. 595 14 1 Department of Justice .. .. .. .. .. .. .. 1,509 14 5 Supreme and Magistrates' Courts .. .. .. .. .. 986 16 4 Prisons Department .. .. .. .. .. .. .. 3,595 4 0 Police Department .. .. .. .. .. .. .. 6,575 9 4 Mines Department .. .. .. .. .. .. .. 1,358 0 0 Department of Internal Affairs .. .. .. .. .. .. 5,196 13 10 Audit Department .. .. .. .. .. .. .. 439 11 4 Public Service Commissioner's Office .. .. .. .. .. 76 4 10 Printing and Stationery .. .. .. .. .. .. 4,324 7 5 Mental Hospitals ".. .. .. .. .. .. .. 10,377 19 0 Department of Health .. .. .. .. .. .. .. 6,796 1 10 Naval Defence .. .. .. .. .. .. .. 6,134 0 0 Defence Department .. .. .. .. .. .. .. 6,205 11 5 Customs Department .. .. .. .. .. .. .. 874 18 0 Marine Department .. .. .. .. .. .. .. 3,062 8 1 Department of Labour .. .. .. .. . . . . . . 752 5 9 Department of Lands and Survey .. .. .. .. .. 3,122 17 7 Valuation .. .. .. .. .. .. .. .. 2,043 13 0 Electoral .. .. .. .. .. .. .. .. 1,008 14 11 Agriculture .. .. .. .. .. .. .. .. 7,638 6 5 Tourists .. .. .. .. .. .. .. .. 1,158 14 1 Education Department .. .. .. .. .. .. .. 22,520 4 5 Total .. .. .. .. .. .. .. £441,864 2 9

B-6

11

Table No. 9. Statement of the Estimated Liabilities chargeable on the Public Works Fund outstanding on the 31st March, 1913, 1914, 1915, 1916, 1917, 1918, 1919, 1920, 1921, 1922, and 1923.

31st March, 31st March, 31st March, 31st March, 1913. 1914. 1915. 1910. 31st March, 31st March, 31st March, 1917. 1918. 1919. 31st March, 31st March, 1920. 1921. 31st March, 1922. 31st March, 1923. Annual Appropriations — £ s. d. £ s. d. £ s. o. £ s. d. Public Woiks, Departmental .. 566 16 8 105 17 1 1,930 0 0 710 0 0 Railways .. .. .. .. 255.340 3 0 287,777 3 10 417,718 0 0 293,522 0 0 Development of Water-power Irrigation and Water-supply Public Buildings .. ".. .. 80.910 10 11 235,148 17 9 175,040 13 11 188,640 8 11 Timber-supply, &c. Lighthouses, Harbour-works, and Har-bour-defences .. .. .. 527 9 8 945 13 9 133 14 7 53 0 0 Tourist and Health Resorts .. 1,791 0 0 4,889 0 0 1,642 0 0 1,217 0 0 Immigration Roads .. .. .. .. 162,258 11 6 226,114 16 4 250,195 0 6 174,220 0 0 Development of Mining .. .. .. 1,192 4 9 499 12 2 Telegraph Extension .. .. 171,297 1 0 235,665 16 3 247.113 17 4 11,468 0 0 Contingent Defence .. .. .. 55 0 0 288 15 1 Lands Improvement .. .. 1,240 18 2 203 16 1 399 7 4 34 11 8 Plant, Material, and Stores.. .. .. .. .. 7,801 0 0 Electric Supply £ 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 0 681' 0 0 1,360 0 0 150,934 14 8 117,774 10 4 71,640 3 6 140 7 8 55 17 9 190 0 0 70 0 0 4,250 0 0 116,564 0.0 129,710 0 0 156,409 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 £ s. d. £ s. d. 869 0 0 240,240 0 0 818,593 0 0 4,322 0 0 3,257 0 0 64,969 2 7 112,903 14 i49 5 6 187 4 10 2,182 1 4 304,313 0 0 393,226 0 0 682 0 0 266,273 0 0 463,842 17 6 72,898 0 0 138,698 0 0 £ s. d. 562 0 0 456,402 0 0 4,591 0 0 56,943 17 4 1,734 0 0 550 0 0 78 1 4 211,209 0 0 385,109 0 0 1.926 1 9 24,498 0 0 £ s. d. 513 0 0 261,910 0 0 3,512 0 0 93,346 0 C 141 0 0 3,918 0 0 493 0 0 257,731 0 0 360,027 0 0 1,202 0 0 16,136 0 I) - -7T77- TTTTrr^TT". „„. „„. „ .." "T^ . 998,929 0 0 673,932 10 11 992,098 5 10 1,094,961 0 11 677,666 0 7 Services not provided for .. 992,098 5 10 1,094,961 0 11 677,666 0 7 506,932 12 10 424,833 18 6 519,256 7 4 506,932 12 10 424,833 18 6 519,256 7 4 954,071 954,071 7 51933,433 19 11 7 5 1933,433 19 11,143,603 0 5 .,143,603 0 5 Totals .. .. .. 673,932 10 11 j 992,098 5 10 1,094,961 0 11 677,666 0 7 992,098 5 10 1,094,961 0 11 677,666 0 7 506,932 12 10 424,838 18 6 519,256 7 4 954,071 506.932 12 10 424,838 18 6 519,256 7 4 954,071 7 5 1,933,433 19 1 1 7 5-1,933,433 19 11,143,603 0 5 ,143,603 0 5 998,929 0 0 I I i

8.-6

12

Table No. 9— continued Statement of the Estimated Liabilities chargeable on the undermentioned Separate Accounts outstanding on the 31st March, 1913, 1914, 1915, 1916, 1917, 1918, 1919, 1920, 1921, 1922, and 1923.

I 31st March, 31st March, 1913. 1914. 31st March, 1915 31st March, 1916. 31st March, 1917. 31st March, 1918. 31st March, 1919. 31st March, 1920. 31st March, 31st March, 1921. 1922. 31st March, 1923. i £ s. d. £ s. d. £ s. d. Aid to Water-power Works Account .. 132,162 1 4 34,964 0 6 12,919 0 0 Cheviot Estate Account Discharged Soldiers Settlement Account Education Loans Account Deposits Account (Education Reserves Amendment Act, 1914).. Electric Supply Account Government Accident Insurance Account .. 293 8 10 : 313 16 5 279 1 4 Government Life Insurance Account .. 1,256 11 0 447 19 0 j 645 6 6 Hauraki Plains Settlement Account .. 163 7 10 45 15 7 165 3 9 Housing Account Irrigation and Water-supply Account .. 50 0 0 200 0 0 6,740 0 0 Kauri-gum Industry Account .. .. .. .. 188 8 11 Land for Settlements Account .. .. 1,195 19 0 3,385 13 7 : 3,452 5 4 Land for Settlements Account (Discharged Soldiers Settlement Account) .. Land for Settlements Account (Opening up Crown Lands for Settlement Account) .. 9,396 0 0 13,566 0 0 14,362 0 0 National Endowment Account .. .. 2,732 18 3 468 0 0 4,862 0 0 Native Land Settlement Account .. 2,559 10 11 2,567 17 10 1,294 8 9 Native Trustees Account Nauru and Ocean Islands Account Public Service SuperannuationPund Account Railways Improvements Account.. .. 103,233 0 0 63,669 0 0 Railways Improvement Authorization Act 1914 Account Rangitaiki Land Drainage Account .. 310 13 4 344 5 7 117 19 1 Scenerv Preservation Account .. .. 76 8 9 .. 131 6 0 State Advances Account.. .. .. 470 8 8 899 0 0 331 3 11 State Coal-mines Account .. .. 10,707 3 7 2,044 15 10 State Fire Insurance Account .. .. 711 18 4 1,507 9 2 819 16 5 State Forests Account .. .. .. 390 4 6 183 10 7 286 10 1 Swamp Land Drainage Account ... Telegraph Extension Account i Waihou and Ohinemuri Rivers Improvement Account .. .. .. 8,050 1 1 8,215 18 0 4,558 0 0 Waimarino Bush-fire Relief Account War Expenses Account .. .. .. .. .. 596,709 15 1 Wellington-Hutt Railway and Road Improvement Account .. .. .. 7,777 0 0 3,679 0 0 200 0 0 Westport Hart our Account £ s. d. 22,861 0 0 .. 315 18 4 366 9 0 100 17 7 3,705 0 0 1,354 5 0 2,452 0 0 5,843 0 0 3,177 0 0 1,105 11 7 . £ s. d. £ s. d. £ s. d. £ s. d. £ s. d. 28,778 0 0 3,168 12 9 '.'. '.'. '.'. 9,510 0 0 18,603 0 0 16,673 0 0 102.991 0 0 355,636 0 0 140 18 3 218 12 9 191 10 10 273 9 10 210 1 3 347 11 0 253 10 459 18 0 677 14 10 600 1 6 143 16 7 130 4 3 371 4 1 118 4 8 4,210 16 10 1,630 19 2 8,477 4 7 737 18 10 2,525 0 5 1,808 8 3 3,76l' 1 11 .. 311 9 11 165 5 6 515 18 8 525 18 9 175 2 5 1,564 15 5 9,874 0 0 .. 14,594 6 10 192 13 0 4,253 0 0 1,680 0 0 433 16 16 16 0 12,150 14 11 673 7 0 1,426 9 1 £ s. d. £ s. d. .. 393 2 2 1,691 13 7 144 6 11 582 13 3 299,214' 0 0 344,075 0 0 397 5 10 322 5 5 3,740 12 9 2,010 13 7 7,544 5 8 4,078 17 11 982 8 0 5 1 11 1,281 19 2 826 4 8 6,584 0 0 83 3 2 187 0 0 2,717 9 1 1,879 12 11 268 7 4 22,870 0 0 515 1 3 296 3 9 363 11 1 •• -• 215,792 0 0 115 16 0 97,296 0 0 34,692 0 0 15,734 8 3 20,096 0 0 7,388 0 0 29 0 0 413 11 3 189 7 10 459 4 5 1,081 0 6 29 3 11 362' 8 8 572 8 5 290 14 0 707 19 11 615 9 2 10,000 0 0 11,000 0 0 17,800 0 0 22,000 0 0 1,068 15 2 18 13 5 85 9 0 313 13 3 18 10 4 124 12 10 i 59 17 5 .. 5,066 10 1 60 18 11 267 0 11 310 8 2 163 7 11 683 10 2 16,138 5 4 6,298 0 0 | 8,066 0 0 4,853 0 0 500 0 0 1,877 0 0 2,695 17 10 3,415,111 0 0 5,415,000 0 0 3,948,625 0 0 2,216,349 0 0 603,000 0 0 11,768 0 0 16,603 0 0 2,767 15 1 956 5 9 483 11 0 27 17 4 622 15 10 2,635 12 8 22,200 0 0 14,540 0 0 77 16 3 4,485 12 2 4,032 4 5 3,453 6 7 3,408 19 4 361 0 0 10,000 0 0 I 1,071 12 7 153 9 11 283 0 0 5,298 0 0 11,004 0 0 916,436* 0 724,278 6 1 579,976' 7 2 .. '. 498' 2 1 1 | I I i_ i I _i_ _l_

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13

Table No. 9a. Statement of the Estimated Liabilities chargeable on the Public Works Fund outstanding on the 3 Ist March, 1923. 1923. Annual appropriations— £ s. d. Public Works, Departmental .. .. .. .. .. .. 513 (I 0 liailway-construction .. .. .. .. .. .. 173,190 0 0 Additions to Open Lines .. .. .. .. .. .. 88,720 0 0 Public Buildings, General .. .. .. .. .. .. 1,734 0 0 Courthouses .. .. . . .. .. .. .. .. 264 0 0 Prisons .. .. .. .. .. .. .. .. 1,499 0 0 Police-stations .. .. .. .. .. .. .. .. 1,731 0 0 Postal and Telegraph .. .. .. .. 86,059 0 0 Agricultural .. .. .. .. .. .. .. .. 1.3 0 0 Mental Hospitals .. .. .. .. .. . . .. 1,099 0 0 Hospitals and Charitable Institutions .. .. .. .. .. 947 0 0 Timber-supply, Sawmills, &c. .. .. .. .. .. .. 141 0 0 Lighthouses .. .. .. .. .. .. .. .. 1,359 0 0 Harbour Works.. .. .. . . .. .. .. . . 2,559 0 0 Tourist, and Health Resorts .. .. .. .. .. .. 493 0 0 Roads, &c. .. .. .. .. .. .. .. .. 252,492 0 0 Roads on Goldfields .. .. .. .. .. .. .. 5,239 0 0 Telegraph Extension .. .. .. .. .. .. 360,027 0 0 Lands, Miscellaneous .. .. .. .. .. .. .. 1,202 0 0 Irrigation and Water-supply .. .. .. .. .. .. 3,512 0 0 Plant, Material and Stores .. .. .. .. .. .. 16,136 0 0 Total .. .. .. .. .. .. .. £998,929 0 0

8.—6

14

Table No. 10. STATEMENT showing the Total Ways and Means of the Public Works Fund and the Total Net Expenditure to the 31st March, 1923.

WAYS AND MEANS. Loans:— Immigration and Public Works Loan, 1870 Immigration and Public Works Loan, 1873 Immigration and Public Works Loan, 1874 General Purposes Loan Act, 1873 New Zealand Loan Aot, 1876 New Zealand Loan Aot, 1877 New Zealand Loan Act, 1879 New Zealand Loan Act, 1882 New Zealand Colonial Inscribed Stook Loan Act, 1882 North Island Main Trunk Railway Loan Aot, 1882 New Zealand Loan Act, 1884 New Zealand Loan Aot, 1886 District Railways Purchasing Acts, 1885 and 1886 New Zealand Loan Act, 1888 Native Land Purchase Aot, 1892 Lands Improvement and Native Lands Acquisition Act, 1894 Aid to Public Works and Land Settlement Act, 1896 Aid to Public Works and Land Settlement Amendment Act, 1897 .. Aid to Public Works and Land Settlement Amendment Act, 1898 .. Aid to Public Works and Land Settlement Aot, 1899 .. Aid to Public Works and Land Settlement Aot, 1900 Aid to Publiu Works and Land Settlement Act, 1901 Aid to Public Works and Land Settlement Aot, 1902 Aid to Publio Works and Land Settlement Act, 1903 Aid to Public Works and Land Settlement Act, 1904 Aid to Publio Works and Land Settlement Act, 1905 Aid to Public Works and Land Settlement Aot, 1906 Aid to Public Works and Land Settlement Act, 1907 Aid to Publio Works and Land Settlement Act, 1908 Aid to Public Works and Land Settlement Act, 1909 Aid to Public Works and Land Settlement Aot, 1910 Aid to Public Works and Land Settlement Act, 1911 Aid to Public Works and Land Settlement Act, 1912 Aid to Public Works and Land Settlement Act, 1913 Aid lo Publio Works and Land Settlement Act, 1914 Aid to Public Works and Land Settlement Act, 1921 Finance Act, 1909 Finance Act, 1915, and New Zealand Loans Act, 1915 Finance Act, 1916 Financo Act, 1917 Finance Aot, 1918 (No. 2) Finance Act, 1919, Seotion 5 .. Finance Act, 1920, Seotion 15 .. Finance Act, 1921, Section 10 .. Post and Telegraph Act, 1908 .. Midland Railway Petitions Settlement Acts, 1902 and 1903 Paeroa-Waihi Railway Act, 1903 Waikaka Branch Railway Act, 1905 Wellington and Manawatu Railway Purchase Act, 1908 .. Appropriation Act, 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 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 5,058,179 2 10 1,250,000 0 0 2,000,000 0 0 1,000,000 0 0 850,000 0 0 2,500,000 0 0 750,000 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 £ I ft 17'J OOl s. d. ;<j 1 a 71 71,573,368 1 8 RaoHipTS 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 Transfer from Confiscated Lands Liabilities Account Reoeipts under Seotion 16 of tho Reserves and othor Lands Disposal and Public Bodies Empowering Aot, 1912 Special Receipts under Section 9 of the Railways Construction Act, 1878 Special Receipts under the Elleamore Lake Lands Acts, 1888 and 1893 Special Reoeipts under the Railways Authorization and Manago ment Act, 1891 Special Receipts under tho North Island Main Trunk Railway Loan Application Aot, 1886 Sinking Funds released 11,805,000 0 0* 56,000 0 0 4,963 7 4 264,657 16 4 19,963 1 3 21,890 4 5 I 60,616 3 0 58,316 4 4 2,257 1 9 114,550 19 6 506,819 19 3 12,915,034 17 2 £84,488,402 18 10 * £1,000,000 transferred through mediuui of Railways I.nprovemo: Urms of section 5, subsection (1) of Finance Aot, 1922. it Authorization Ao: 1914 Account in

15

8.—6

Table No. 10 — continued. STATEMENT showing the Total Ways and Means of the Public Works Fund and the Total Net Expenditure to the 31st March, 1923— continued.

Table No. 11. Estimated Expenditure of the Ordinary Revenue Account for 1923-24, compared with Actual Expenditure for 1922-23.

Expenditure on- NET EXPENDITURE. Immigration Public Works, Departmental Railways, inoluding Surveys of New Lines Roads 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-mines Interest and Sinking Fund Payment to Midland Railway Bondholders Irrigation and Water-supply Timber Supply, Sawmills, &c. Motor Transport Service £ s. d. 2,597,742 6 7 1,928,643 5 9 42,843,328 8 3 13,759,721 8 8 2,061,738 9 4 883,921 15 2 5,502,001 11 3 8,891,421 3 10 1,184,102 8 3 1,087,290 13 0 08,671 16 10 14,599 13 2 309,615 18 2 184,050 9 4 415,930 6 3 1,489,937 2 5 10,835 8 0 218,500 0 0 150,000 0 0 391,023 8 4 81,098 17 8 22,079 9 11 £ s. d. 84,040,849 0 2 Balanoe on 31st March, 1923,— Cash in the Public Aocount Imprests outstanding Investment Account ., ., ,, 10,859 7 7 200,091 11 1 230,000 0 0 441,558 18 8 £84,488,402 18 10

Estimate (or 1923-24. Actual (or 1922-23. Differences. Increase. Decrease. Revenue Account. I £ 28,250 7,660,111 71:1,502 292,562 8,767,861 Permanent Charges,— Civil List Interest Sinking Fund Reduction of Funded Debt Under special Acts £ 28,833 7,904,200 854,526 141,171 4,045,124 £ £ 583 244,149 141,024 151,391 j 277,763 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 Improvomont of Roads Maintenance of Irrigation Works Native Department Department of External Affairs Cook Islands Department of Industries and Commerce Department of Justico Supreme and Magistrates' Courts Prisons Department Crown Law Ollice Police Department Pensions Department Mines Department Department of Internal Affairs.. Audit Department Public Service Commissioner's Oltice Printing and Stationery Mentnl Hospitals Health Department Naval Defence Defence Department Customs Department Marine Department Department of Labour Department of Lands and Survey Valuation Department Electoral Department Department of Agriculture Tourist Department Kducation Department Services not provided for 12,461,786 63,035 32,858 53,717 80,104 21,-193 6,050,000 2,220,590 100,205 5,052 65,000 3,000 30,078 20,789 17,587 76,020 45,882 90,758 78,937 5,982 399,118 104,816 35,951 819,489 19,981 7,810 190,682 294,086 243,008 388,699 838,344 111,909 119,132 37,768 188,886 40,555 9,021 21 I,858 66,678 2,687,880 12,973,914 70,091 33,390 60,268 74,851 19,992 1,910,181 2,112,543 77,875 4,470 55,948 1,345 25,685 19,332 19,732 95,321 47,300 95,315 77,301 5,927 377,788 122,453 26,823 344,788 19,599 7,055 175,551 245,200 233,823 211,225 285,113 103,852 117,204 88,096 152,377 86,789 101,3 II 208,197 59,047 2,514,991 85,687 151,391 i 5'253 1,501 1,103,819 108,047 22,330 582 9,052 1,655 4,393 1,457 1,443 1,636 55 21,330 9,128 382 755 15,131 48,880 9,215 127,474 53,231 8,617 1,928 31,009 9,816 -. 86,661 I 7,031 j 122,389 1,764,230 663,519 7,056 532 6,551 2,145 19,301 1,418 17,607 25,314 '' 328 92,299 05,037 238,218 14,815,858 13,289,840 1,915,621 901,737 Total expenditure 1,915,621 901,737 127,277,644 26,268,760 1,013,884

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16

Table No. 12. Estimated Revenue of the Consolidated Fund (Ordinary Revenue Account) for 1923-24, compared with the Actual Revenue for 1922-23.

Table No. 13. Statement showing the Amount charged to "Unauthorized" in each Financial Year from 1st July, 1875, to 31st March, 1923.

Estimate (or 1923-24. Differences. Actual for 1922-23. Increase. Decrease. Ordinary Revenue Account. Customs Beer Duty Stamp and Death Duties Postal and Telegraph Land-tax Income-tax Railways Registration and other Fees Marine Interest on Public Moneys Local Bodies' Loans Act, 1908, Section 76 Rents of Buildings Tourist and Health Resorts Miscellaneous Territorial Revenue National Endowment Revenue.. Departmental and other Reoeipts £ 7,000,000 750,000 3,304,000 2,488,000 1,300,000 3,500,000 7,000,000 167,000 81,000 1,287,000 22,000 20,000 40,000 27,000 201,000 128,000 594,000 £ 6,032,292 612,128 3,581,291 2,705,030 1,541,502 3,831,932 6,719,864 179,033 50,579 1,302,907 22,575 20,340 39,823 93,134 192,186 95,150 559,605 £ £ 967,708 137,872 I 217,291 217,030 241,502 331,932 280,136 12,033 30,421 .. - 15,90,7 575 346 177 ' 66,184 8,814 ' 32,844 ! 34,395 1,492,867 1,102,810 1,102,810 Total 27,969,000 27,579,443 389,557

Consolidated Fund.—Hkvenue Account. Financial Year. Othkr Accounts. SerV v i id e ed n ( O 0 t r Pr °" Exce88 of Vote8 ' Tota1 ' Public Works Fund. Total. 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 .. 1895-96 .. 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 .. 1915-1910 .. 1916-1917 .. 1917-1918.. 1918-1919.. 1919-1920 .. 1920-1921 .. 1921-1922 .. 1922-1923 .. £ s. d. I £ s. d. £ s. d. £ s. d. 13,167 4 8 ! 19,195 17 1 32,363 19 3,155 9 2 18,397 17 1 13,398 7 0 31,796 4 1 3,490 6 1 19,079 12 6 58,709 17 2 77,789 9 8 653 6 5 11,413 16 1 47,466 4 5 58,880 0 6 3,938 14 8 5,818 9 9 18,406 2 1 24,284 11 10 1,005 3 10 6,151 13 9 37,825 0 6 43,977 0 3 13,443 11 3 3,899 16 3 38,474 18 9 42,374 15 0 13,590 6 10 4,473 15 8 64,631 0 2 69,104 15 10 12,343 2 2 7,293 9 9 45,284 2 6 ' 52,577 12 8 9,003 18 7 5,981 17 8 39,039 17 11 45,021 15 7 7,163 15 3 9,337 11 2 47,106 10 3 56,444 1 5 13,965 10 1 14,337 19 7 38,117 13 5 52,455 13 0 6,212 16 7 7,303 17 10 42,104 15 10 49,408 18 8 27,821 16 11 3,521 18 2 35,157 16 5 38,679 14 7 13,506 2 8 4,412 5 3 43,257 1 0 , 47,669 0 3 23,631 7 1 10,610 1 0 70,778 5 11 87,388 6 11 5,459 18 11 2,288 3 2 21,026 16 4 23,314 19 6 9,183 10 0 1,741 7 10 28,283 15 11 30,025 3 9 4,754 17 10 2,350 7 0 7,376 7 4 i 9,726 14 4 522 12 2 8,985 3 7 9,148 0 5 18,133 4 0 1,890 7 5 22,422 16 10 16,229 5 9 38,652 2 7 , 16,995 9 9 3,188 17 7 24,195 2 9 27,384 0 4 ' 24,726 3 6 2,258 19 7 39,314 13 4 41,573 12 11 4,743 17 10 3,305 15 11 36,408 0 10 39,773 16 9 2,304 8 10 I 11,187 13 8 60,652 13 7 71,840 7 3 26,367 18 6 62,788 3 2 89,156 18 662 7 7 3,836 7 0 68,866 10 9 72,702 17 9 253 8 10 9,027 5 4 101,070 10 4 '110,103 15 8 200 0 0 3,344 11 0 47,775 11 4 51,120 2 4 ] 2,248 6 6 6,215 4 8 22,109 12 2 28,324 16 10 ' 13,547 11 7 8,576 16 7 52,385 3 7 60,902 0 2 23,956 9 10 4,989 9 1 28,559 0 2 : 33,548 15 3 12,867 10 8 4,133 3 3 37,713 8 11 41,846 12 2 429 9 0 14,127 8 1 50,890 5 1 65,017 13 2 15,257 11 1 15,324 5 7 23,100 14 0 38,424 19 7 3,500 7 0 10,427 9 4 27,200 14 6 37,028 3 10 1,009 9 7 20,332 3 1 02,950 14 7 83,282 17 8 860 5 4 2,500 15 0 115,428 2 5 117,934 17 5 I 03 15 0 4,730 15 8 80,228 10 11 84,959 6 7! 137 5 8 103,512 12 4 68,004 2 1 177,516 14 5 | 853 3 5 30,865 10 2 47,222 13 9 78,088 3 11 14,742 5 9 41,600 17 4 100,454 9 0 148,065 0 4 34,852 5 5 17,909 4 7 48,886 8 7 66,795 13 2 20,010 17 11 13,519 17 3 66,701 19 8 80,221 16 11 77,149 13 2 362,295 0 5 439,444 13 7 1,239 5 4 108,498 19 2 392,596 5 9 501,095 4 11 1,750 12 0 2,455 13 7 105,962 14 10 108,418 8 5 2,982 1 0 65,687 7 9 76,710 6 9 142,397 14 6 I 754 10 10 £ s. d. 03,875 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 6 7,990 18 7 17,518 3 7 6,955 4 10 12,837 3 6 9,584 9 11 31,862 8 3 19,905 10 2 55,556 14 10 80,170 3 3 16,641 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 11,072 14 6 168,745 11 6 292,233 1 4 41 4 2 £ s. d. 99,394 2 7 37,483 14 7 100,452 10 1 94,997 16 3 42,386 5 5 91,554 8 9 58,182 11 6 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 16 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 6 186,559 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 3 143,193 9 6

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Table No. 14. Return of Subdivisions of Rural Freeholds in New Zealand.

Table No. 15. Statement showing the financial position of the Dominion on the 31st March, 1923, as compared with the 31st March, 1922 :— [Note.. —The term " liabilities " in these tables includes expenditure on public works for which contracts had been signed or materia] ordered on the 31st March, 1923.] CONSOLIDATED FUND. £ Balance on 31st March, 1922 .. .. .. .. .. 7,531,367 Liabilities on 31st March, 1922 .. .. .. .. 549,792 Balance on 31st March, 1923 . . .. .. .. .. 5,(137,090 Liabilities on 31st March, 1923 .. .. .. .. 441,864 STATE FORESTS ACCOUNT. £ £ Balance on 31st March, 1922 .. .. .. .. 9,377 Unexhausted authority for raising loan. . . . . . 223,21!) 232,596 Liabilities on 31st March, 1922 .. .. .. .. 4,486 Balance on 31st March, 1923 .. .. .. .. 179,789 Unexhausted authority for raising loan. . .. .. 13,219 193,008 Liabilities on 31st March, 1923 .. .. .. .. 4,032 STATE COAL-MINES ACCOUNT. £ £ Balance on 31st March, 1922 .. .. .. .. 55,191 Unexhausted authority for raising loan.. .. .. 55,000 — 110,191 Liabilities on 31st March, 1922 .. .. .. .. 22,200 Balance on 31st March, 1923 . . . . . . .. 30,345 Unexhausted authority for raising loan. . . . .. 55,000 85,345 Liabilities on 31st March, 1923 .. .. .. .. 14,540

3 -B. 6.

Subdivision under anhrtivlaim. nni1>r the Subdivision by Freeholders. the Settlement | Act. Tl O-p OgO O _ „; O S ' O« „! o 9 ! ° ~ w M«6C h 1-eJtll M ,2 P.rtbCM.2 oi c a oi™V, Area gjccojw & a p a x oi a a ||| HI disposed C. p| f$ Area. || Area. jfe Subdiv Si oi a a •S'Shj an" 'ision by I o S o q>!22-t-J _o S or Is a So j Total Subdivisions. 01 fl a ! 01 <» -2'5'-3 ■§'> Arml - S°w 11 CO From To Acres. Acres. Acres. 1/4/12-31/3/13 837 1,981 400,569 10 I 87 11,354 19 322 128,329 86f 1/4/13-31/3/14 1,291 3,199 416,051 4 I 27 4,182 16 276 144,546 1,311 1/4/14-31/3/15 885 2,055 404,115 6 I 37 3,279 10 130 18,374 901 1/4/15-31/3/16 582 1,070 201,115 1 5 374 10 I 158 51,158 59: 1/4/16-31/3/17 694 1,108 184,799 .. , nil .. 15 163 58,334 70'. 1/4/17-31/3/18 643 1,096 191,572 1 6 1,545 16 222 35,891 66( 1/4/18-31/3/19 753 1,227 207,933 ..nil .. 12 248 32,674 70.' 1/4/19-31/3/20 1,519 2,622 616,210 64 416 219,259* 1,58! 1/4/20-31/3/21 1,724 3,046 565,653 .. .. .. 60 474 114,711* 1,78< 1/4/21-31/3/22 932 1,446 228,336 15 145 17,047* 941 1/4/22-31/3/23 732 1,149 170,300 2 18 888* 73' Totals .. 10,592 19,999 3,589,653 22 162 20,734 239 2,574 821,211 10,85! From To 1/4/12-31/3/13 1/4/13-31/3/14 1/4/14-31/3/15 1/4/15-31/3/16 1/4/16-31/3/17 1/4/17-31/3/18 1/4/18-31/3/19 1/4/19-31/3/20 1/4/20-31/3/21 1/4/21-31/3/22 1/4/22-31/3/23 837 1,291 885 582 694 643 753 1,519 1,724 932 732 1,981 3,199 2,055 1,070 1,108 1,096 1,227 2,622 3,046 1,446 1,149 A iirno 866 2,1190 540.252 1,811 3,502 564,779 901 2,222 425,768 593 1,2:13 252,647 709 1,273 243,133 660 1,324 232,008 70fi 1,475 240,607 1,583 3,038 835,469 1,784 3,520 680,364 947 1,591 245,383 734 1,167 171,188 Totals 10,592 19,999 10,853 22,735 4,431,598 Ordinary Crown land selected under settlement conditions during the eleven years ending the 31st March, 1923 Native land vested in the Maori Land Boards disposed of for oloser settlement during the eleven years ending the 31st Maroh, 1923 ng the .. 8,327 1,604,775 Rlcvcn ateven 455 167,096 Grand total made available for oloser settlement during eleven years ended the 31st Maroh, 1923 years .. 31,517 6,203,469 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 soldiers under the Discharged Soldiers Settlement Act.

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Table No. 15— enntinued. STATE COAL-MINES SINKING FUND ACCOUNT. £ Balance on 31st March, 1923 .. .. .. .. .. 24,980 Liabilities on 31st March, 1923 . . . . . . .. Nil. SCENERY ('RESERVATION ACCOUNT. £ £ Balance on 31st March, 1922 .. .. .. .. 3,113 Unexhausted authority for raising loan.. .. .. 11,000 ■ 14,113 Liabilities on 31st March, 1922 .. .. . . . . 29 Balance on 31st March, 1923 . . . . . . .. 4,140 Unexhausted authority for raising loan. . . . . . 2,000 6,140 Liabilities on 31st March, 1923 . . .. . . . . 28 NAURU AND OCEAN ISLANDS ACCOUNT. £ Balance on 31st March, 1922 .. .. .. .. .. 24,884 Liabilities on 31st March, 1922 .. .. .. .. 22.870 Balance on 31st March, 1923 .. .. .. .. .. 16,395 Liabilities on 31st March, 1923 .. .. .. .. 515 PUBLTC WORKS FUND. £ £ 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 Balance on 31st March, 1923 .. .. .. .. 441,554 Unexhausted authority for raising loan. . . . . . 4,000,920 __ 4,442,474 Liabilities on 31st March, 1923 .. .. .. .. 998,929 RAILWAYS IMPROVEMENTS AUTHORIZATION ACT, 1914, ACCOUNT. £ £ 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 Balance on 31st March, 1923 .. .. .. .. 850,530 Unexhausted authority for raising loan. . .. .. 1,458,310 2,308,840 Liabilities on 31st March, 1923 .. .. .. .. 16,603 WAIHOU AND OHINEMURI RIVERS IMPROVEMENT ACCOUNT. £ £ Balance on 31st March, 1922 .. .. .. .. 16,294 Unexhausted authority for raising loan.. . . . . 34,000 50,294 Liabilities on 31st March, 1922 .. .. .. .. 5,298 Balance on 31st March, 1923 .. .. .. .. 15.143 Unexhausted authority for raising loan.. .. .. 124,000 139,143 Liabilities on 31st March, 1923 .. .. .. .. 11,004 ELECTRIC SUPPLY ACCOUNT. £ £ 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 Balance on 31st March, 1923 . . .. . . . . 1,952,919 Unexhausted authority for raising loan.. .. .. 6,506,990 —— 8,459,909 Liabilities on 31st March, 1923 . . . . . . .. 344,075

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19

Table No. 15 — continued. CHEVIOT ESTATE ACCOUNT. , £ Balance on 31st March, 1922 .. .. .. .. 173,840 Balance on 31st March, 1923 .. .. .. .. .. 189,067 Liabilities on 31st March, 1923 . . . . . . .. 393 NATIONAL ENDOWMENT ACCOUNT. Balance on 31st March, 1922 .. .. .. .. .. 97,465 Liabilities on 31st March, 1922 .. . . . . .. Nil. Balance on 31st March, 1923 .. .. .. .. .. 11l ,357 Liabilities on 31st March, 1923 . . . . . . .. 187 NATIONAL ENDOWMENT TRUST ACCOUNT. £ Balance on 31st March, 1923 . . .. . . .. .. 1,400 Liabilities on 31st March, 1923 . . .. .. .. Nil. LAND EOR SETTLEMENTS ACCOUNT. £ £ Balance on 31st March, 1922 .. .. .. .. 383,138 Authority for raising loan .. .. . . . . 500,000 883,138 Liabilities on 31st March, 1922 . . . . .. . . 982 Balance on 31st March, 1923 .. .. .. .. 120,597 Unexhausted authority for raising loan .. .. .. 1,000,000 — 1,120,597 Liabilities on 31st March, 1923 . . . . .. .. 5 NATIVE LAND SETTLEMENT ACCOUNT. £ £ Balance on 31st March, 1922 .. .. .. .. 40,446 Unexhausted authority for raising loan .. .. .. 500,000 540,446 Liabilities on 31st March, 1922 .. .. .. .. 2,717 Balance on 31st March, 1923 .. .. .. .. 30,210 Authority for raising loan .. .. .. .. 500,000 530,210 Liabilities on 31st March, 1923 .. .. .. .. 1,880 LAND FOR SETTLEMENTS ACCOUNT. (Discharged Soldiers Settlement Account.) !•£ £ Balance on 31st March, 1922 .. .. .. .. 10,903 Authority for raising loan .. . . . . 1,000,000 — 1,010,903 Liabilities on 31st March, 1922 .. .. .. .. 1,282 Balance on 31st March, 1923 .. .. .. .. 10,725 Authority for raising loan .. .. .. .. 1,000,000 — —- 1,010,725 Liabilities on 31st March, 1923 .. . . . . .. 826 LAND FOR SETTLEMENTS ACCOUNT. (Opening dp Crown Lands for Settlement.) £ £ Balance on 31st March, 1922 . . .. .. . . 42 Unexhausted authority for raising loan .. . . . . 250,000 250,042 Liabilities on 31st March, 1922 . . . . . . . . 6,584 Balance on 31st March, 1923 .. . . .. . . 481 Authority for raising loan .. .. .. .. 250,000 250,481 Liabilities on 31st March, 1923 .. .. .. .. 83 LAND ASSURANCE FUND ACCOUNT. £ Balance on 31st March, 1923 .. .. .. .. .. 74,231 Liabilities on 31st March, 1923 .. .. ■ .. . . Nil.

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Table No. 15— continued. HAURAKI PLAINS SETTLEMENT ACCOUNT. £ £ Balance on 31st March, 1922 .. .. .. .. 8,348 Unexhausted authority for raising loan . . . . . . 58,000 66,348 Liabilities on 31st March, 1922 .. . . .. .. 7,544 Balance on 31st March, 1923 .. .. .. .. 9,049 Unexhausted authority for raising loan . . .. . . 70,000 79,049 Liabilities on 31st March, 1923 .. .. ~ .. 4,079 RANGITAIKI LAND DRAINAGE ACCOUNT. £ £ Balance on 31st March, 1922 .. .. .. .. 2,370 Unexhausted authority for raising loan . . .. .. 90,000 92,370 Liabilities on 31st March, 1922 .. .. .. .. 2,768 Balance on 31st March, 1923 .. .. .. .. 4,892 Unexhausted authority for raising loan . . . . . . 29,100 33,992 Liabilities on 31st March, 1923 .. .. .. .. 956 WORKERS' DWELLINGS ACCOUNT. £ Balance on 31st March, 1922 .. .. .. .. .. 52,100 Balance on 31st March, 1923 .. .. . . .. . . Nil. STATE ADVANCES ACCOUNT. i; £ Balance on 31st March, 1922 .. .. .. .. 156,932 Unexhausted authority for raising loan . . .. .. 3,250,000 3,406,932 Liabilities and commitments on 31st March, 1922 .. .. 623 Balance on 31st March, 1923 .. .. .. .. 427,361 Unexhausted authority for raising loan .. .. .. 3,250,000 3,677,361 Liabilities and commitments on 31st March, 1922 .. .. 2,636 LOANS TO EMPLOYERS FOR WORKERS' DWELLINGS ACCOUNT. £ £ Balance on 31st March, 1922 . . .. .. . . 130 Unexhausted authority for raising loan .. .. .. 250,000 — 250,130 Balance on 31st March, 1923 . . . . .. .. 277 Unexhausted authority for raising loan .. .. .. 250,000 250,277 WAR EXPENSES ACCOUNT. £ £ 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 Balance on 31st March, 1923 .. .. .. ..2,508,973 Unexhausted authority for raising loan .. .. .. 4,467,360 6,976,333 Liabilities on 31st March, 1923 .. .. .. .. 579,976 GENERAL PURPOSKS RELIEF ACCOUNT. £ Balance on 31st March, 1923 . . . . . . .. . . 34,801 Liabilities on 31st March, 1923 .. .. .. .. Nil. MINING ADVANCES ACCOUNT. £ £ Balance on 31st March, 1922 .. .. .. .. 552 Unexhausted authority for raising loan. . . . . . 50,000 50,552 Liabilities on 31st March, 1922 .. .. .. . . Nil. Balance on 31st March, 1923 . . .. . . .. 2,618 Unexhausted authority for raising loan. . .. .. 50,000 — 52,618 Liabilities on 31st March, 1923 .. .. .. .. Nil.

21

8.—6

Table No. 15— continued. KAURI-GUM INDUSTRY ACCOUNT. £ £ Balance on 31st March, 1922 .. . . .. . . 1,945 Unexhausted authority for raising loan. . . . . . Nil. 1,945 Liabilities on 31st March, 1922 . . .. . . . . Nil. Balance on 31st March, 1923 .. .. .. .. 2,089 Unexhausted authority for raising loan. . . . . . Nil. 2,089 Liabilities on 31st March, 1923 . . .. • . . . . Nil. DISCHARGED SOLDIERS SETTLEMENT ACCOUNT. £ £ Balance on 31st March, 1922 .. .. .. .. 832,755 Unexhausted authority for raising loan. . . . 1,222,320 2,055,075 Liabilities on 31st March, 1922 . . . . . . . . Nil. Balance on 31st March, 1923 .. . . . . . . 355,782 Unexhausted authority for raising loan. . . . . . 923.120 1,278,902 Liabilities on 31st March, 1923 . . . . . . . . Nil. DISCHARGED SOLDIERS SETTLEMENT LOANS ACT 1920 DEPRECIATION FUND ACCOUNT. £ Balance on 31st March, 1922 .. .. .. .. .. 101,775 Balance on 31st March, 1923 .. .. .. .. .. 155,939 MAIN HIGHWAYS ACCOUNT.—REVENUE FUND. £ Balance on 31st March, 1923 . . .. .. .. . . 121,413 Liabilities on 31st March, 1923 .. .. .. . . Nil. SWAMP LAND DRAINAGE ACCOUNT. £ £ Balance on 31st March, 1922 .. .. .. .. 18,222 Authority for raising loan .. .. .. .. 150,000 168,222 Liabilities on 31st March, 1922 .. .. .. .. 3,453 Balance on 31st March, 1923 .. .. .. .. 3,714 Unexhausted authority for raising loan.. . . . . 150,000 -— 153,714 Liabilities on 31st March, 1923 .. .. .. .. 3,409 EDUCATION LOANS ACCOUNT. £ £ 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 Balance on 31st March, 1923 .. .. .. .. 243,626 Unexhausted authority for raising loan.. .. .. 2,126,970 2,370,596 Liabilities on 31st March, 1923 .. .. .. .. 144 WESTPORT HARBOUR ACCOUNT. £ Balance on 31st March, 1922 . . .. .. .. .. 5,510 Liabilities on 31st March, 1922 .. .. .. . . Nil. Balance on 31st March, 1923 .. .. .. .. .. Nil. Liabilities on 31st March, 1923 .. .. .. .. 498 HUNTER SOLDIERS ASSISTANCE TRUST ACCOUNT. £ Balance on 31st March, 1922 .. .. .. .. .. 183 Balance on 31st March, 1923 .. .. .. .. .. 1,371 RESERVE FUND ACCOUNT. £ Balance on 31st March, 1922 .. .. .. .. .. 2,000,000 Liabilities on 31st March, 1922 .. .. .. .. Nil. Balance on 31st March, 1923 .. .. .. .. .. 2,000,000 Liabilities on 31st March, 1923 .. .. .. .. Nil.

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22

Table No. 16. Statement of Assets held, and Capital Expenditure, as against the Public Debt on the 31st March, 1923, together with Supporting Schedules. Liabilities. Public debt— £ £ Ordinary .. .. .. .. .. .. 116,067,273 State advances .. .. .. .. .. .. 12,562,950 . — 128,630,223 War .. .. .. .. .. .. .. 80,563,885 Discharged-soldiers settlement (including purchase of estates) .. 9,759,216 90,323,101 Gross Public Debt .. .. .. .. .. .. ..218,953,324 Less raised for redemption of loans maturing 1923/21- .. .. .. 50,020 £218,903,304 Assets. £ Sinking funds accrued (Schedule I) .. .. .. .. .. .. 11,879,256 Investments of cash balances of the Public Account* (Schedule II) .. .. .. 7,855,364 Bank of New Zealand shares, nominal value .. .. . . .. .. 1,125,000 Reserve Fund securities, at cost .. .. . . . . .. .. 2,000,000 New Zealand Consols —-Investments and cash .. .. .. .. .. 475,91)2 State advances -Mortgages and investments .. .. .. .. .. 13,977,288 Advances made by Treasury (Schedule III) .. .. .. .. .. 19,238,326 Cash in Public Account* .. .. .. .. .. £4,802,173 Cash in hands of officers of the Government* .. .. .. 528,634 5,330,807 Less outstanding liabilities 31st March, 1923 .. .. . . 2,124,610 2,906,197 59,457,423 Total amount expended for railways, public buildings, telegraphs, harbours, lighthouses, housing, electric development, &c, to 31st March, 1923 (Schedule. IV) .'. .. f68,1 19,223 Crown lands—Estimated value (including settlement lands, Native lands, and education reserves) .. .. .. .. .. .. .. .. 29,775,000 State forests—Estimated value of forests, reserves, plantations, and nurseriesj .. 38,043,026 Samoian Crown Estates Estimated value of late enemy property taken over in Samoa pending complete valuation .. .. .. .. .. .. 500,000 Total assets .. .. .. .. .. .. .. .. 195,894,672 ftxoess of liabilities over assets .. .. .. .. .. 23,008,632 §£218,903,304 Sinking Funds accrued : Schedule I. £ Public Debt Extinction Act, 1910 .. .. .. .. .. .. 2,633,386 War loans (Finance Act, 1918 (No. 2), section 6) .. .. .. .. 4,160,066 Local Bodies' Loans Act, 1908.. .. .. .. .. .. .. 799,601 Naval Defence Act, 1909 .. .. .. .. .. .. .. 973,343 War and defence loans .. .. .. .. .. .. .. 192,691 New Zealand Loans Act, 1863 .. .. .. .. .. .. 2,207 State advances debt .. .. .. .. .. .. .. .. 1,731,674 State Coal-mines Act, 1908 .. .. .. .. .. .. .. 29,532 Westport Harbour loans .. .. .. .. .. .. .. 281,332 State Advances Act, 1913, section 26 — Land for settlements .. .. .. .. .. .. .. 1,056,139 Native-land settlement .. .. .. .. .. .. .. 11,977 Local authorities .. .. .. .. .. .. .. .. 6,497 Guaranteed mining advances .. .. .. .. .. .. -811 £11,879,256 * Does not include local bodies or doposits funds. t This does not inolude £19,759,612 (Schedule V) expended on indirectly productive services, such as roads, immigration, &c, shown in table, t Valuation not complete. § Stores and supplies on hand not included in assets.

8.—6

23

Table No. 16 — continued. Investments of Cash Balances of Public Account, : Schedule 11. £ Ordinary Revenue Account .. .. .. .. .. .. .. 1,212,919 State Forests Account .. .. .. .. .. .. .. 106,844 State Coal-mines Account .. .. .. .. .. .. .. 10,000 Publio Works Fund (General Purposes Account).. .. .. .. .. 230,000 Railways Improvement Authorization Act 1914 Aooount .. .. .. .. 806,000 Bleotrio-supply Account .. .. .. .. .. .. .. 1,803,758 Cheviot Estate Account .. .. .. .. .. .. .. 181,640 Native Land Settlemenl Account .. .. .. .. .. .. 20,000 Genera] Purposes Relief Account .. .. .. .. .. .. 27,500 Education Loans Account .. .. .. .. .. .. .. 233,800 War Expenses Account .. .. .. .. .. .. .. 2,475,663 Land Assurance Fund Accounl .. .. .. .. .. .. 65,890 Main Highways Account Revenue Fund .. .. .. .. .. 110,000 Land for Settlements Account .. .. .. .. .. .. 29,350 National Endowment Account .. .. .. .. .. .. 82,000 Discharged Soldiers Settlement Aooount .. .. .. .. .. 250,000 Discharged Soldiers Settlement Loans Act 1920 Depreciation Fund Account .. 150,000 £7,855,364 Advances made by Treasury : Schedule 111. £ Fishing industry promotion .. .. .. .. .. .. .. 3,424 Mining .. .. .. .. .. .. .. .. .. 45,431 Fruit-preserving .. .. .. .. .. .. .. .. 57,287 Kauri-gum .. .. .. .. .. .. .. .. .. 75,000 Cold-storage .. .. .. .. .. .. .. .. .. 71,219 Loans to employers or workers' dwellings .. .. .. .. .. 3,620 Silver and bronze coin .. '.. .. .. .. .. • .. 470 Samoa (loan) .. .. .. .. .. .. .. .. 87,000 Toother Governments .. .. .. .. .. .. .. 63,238 Repatriation (advances outstanding 31st March, 1923) .. .. .. .. 731,266 Discharged-soldiers settlement (balance on mortgage) .. .. .. .. 18,100,371 £19,238,326 Total Amounts expended to 31st March, 1923 : Schedule IV. £ Railways (including unopened lines and assets taken over from provinces) .. .. 46,471,077 Public buildings .. .. .. .. .. .. .. .. 8,891,421 Telegraph extension .. .. .. .. .. .. .. .. 5,502,002 Lighthouses, harbour-works, &c. .. .. .. .. .. .. 1,184,102 Touiist and health resorts' .. .. .. .. .. .. .. 309,616 Electric-power supply and development.. .. .. .. .. .. 2,172,01 d Nauru and Ocean Islands .. .. .. .. .. .. .. 600,000 Housing .. .. .. .. .. .. .. .. .. 792,495 Hauraki Plains settlement. .. .. .. .. .. .. .. 480,000 Rangitaiki land-drainage .. .. .. .. .. .. .. 420,900 Swamp-land drainage .. .. .. .. .. .. .. .. 268,000 Siate coal-mines .. .. .. .. .. .. .. .. 227,600 Westport Harbour works, railway, dredging plant, &c.—Estimated value of assets taken over .. .. .. .. .. .. .. .. .. 800,000 £68,119,223 Indiiectlu Productive Services : Schedule V. £ Roads .. .. .. .. .. .. .. .. .. 13,759,721 Immigration .. .. .. .. .. .. .. .. .. 2,597,742 Development of mining .. .. .. .. .. .. .. 883,922 Roads to open up Crown lands .. .. .. .. .. .. 1,438,898 Lands-improvement .. .. .. .. .. .. .. .. 184,050 Scenery-preservation .. .. .. .. .. .. .. .. 163,000 Waihou and Ohinemuri Rivers improvement .. .. .. .. .. 310,162 Irrigation and water-supply .. .. .. .. .. .. .. 391,023 Timber-supply, sawmills, &c. .. .. .. .. .. .. .. 31,094 £19,759,612

Authority : W. A. G. Skinner, Government Printer, Wellington.—l 923.