B.—No. 2.

I also place before the Committee a comparison between the receipts during 1869-70 and 1870-71 :— 1869-70. 1870-71. £ s. d. . £ a. d. Customs Duties, Seizures, &c. ... ... 808,418 2 3 ... 732,130 2 1 Bonded Warehouses ... "'...' .., 4,607 6 3 ... 4,229 11 3 Stamp Duties '■::.<■"■< ... ... ... 62,410 15 6 ... ' 55,621 1 5 Post Office ... .. ... ... 47,883 12 4 ... 43,086 15 0 Telegraph... ... .... . ... ... , 17,473 19 10 ... 22,545 16 4 Miscellaneous, viz.:— Judicial Pees and Fines ... ...31,160 19 3 31,099 IS 8 Begistration of Land, Deeds, &c. ...19,240 12 10 19,234 7 7 Issue of Crown Grants ... ... 6,614 14 5 7,638 18 6 Marine Act, Light Dues, &c. ...6,181 4 5 5,706 15 8 Fees, Sundry Acts ... ... 6,254 13 6 5,338 14 11 Incidental Eeceipts ... ... 8,114 7 10 8,732 9 5 . : 77,566 12 3 ■ — 77,751 4 9 Total of Tears ... ... 1,018,360 8 5 ... 935.364 10 10 Difference between Eeceipts of 1869-70 and 1870-71 ... ... ... £82,995 17 7 Honorable Members will observe from these two sets of figures, that not only did the revenue of last year show a decrease as compared with the estimate, but that there was a decrease as compared with the actual receipts during 18G9-70 —in fact, that there has been a general falling off in the revenue. But let me say, that much as the Government deplore this falling off, they disclaim any responsibility in connection with it. The Estimates for last year were carefully framed. More than once during the Session the attention of the House was called to the condition of the country; and it was urged as a reason for hastening on the measures for the construction of Public Works, and the promotion of Immigration, that, because of the existing state of things, something in the nature of a resumption of the almost suspended colonization was imperatively called for. The Government did not anticipate the immediate event of so large a reduction in the revenue. But the evidence wiaich that reduction supplied is, amongst other things, proof, if proof be necessary, of the wisdom of the Assembly in giving immediate effect to the proposals for largely increasing the population by means of immigration, and for developing the resources of the country by opening up main lines of communication, and for the same purpose supplementing, by means of grants-in-aid, the local taxation of outlying districts. I might detain you very long by commenting upon the various causes of the depression which has overtaken the country ; but if I did so, I should be dealing with a subject with which many honorable Members are familiar, and with the features of which some honorable Members possess a more intimate acquaintance than myself. Causes of a varied nature contributed to reduce the price of one of the chief productions of the Colony; and, unquestionably, the ill effects of that reduction made themselves felt in every branch of trade and manufacture. I speak of the fall in the price of wool; and it is gratifying to be able to congratulate the Committee upon the remarkable rise in the price of that article which has recently taken place. The reduction in the value of property, the comparative suspension of public works throughout the country, and, to some extent, the reduction in the expenditure for Defence purposes, must be included in the contributing causes to which I have referred. I will not say that they exerted a depressing influence; but they assuredly had the effect of limiting expenditure, and therefore of reducing one particular branch of receipts —the Customs duties. It may, indeed, be urged that a reduction in the Customs receipts is not necessarily an indication of an unhealthy state, since it may be attributable, not to privation consequent upon reduced means, but rather to frugality, resulting from a desire to accumulate wealth; or the reduction may be regarded as following, wholly or in part, on a larger use of local productions. But I will not trouble the Committee by discussing to what extent, if at all, habits of frugality, or a growing appreciation of the productions of the Colony, may be credited with effects which have certainly resulted in lessening the receipts of Customs. The Government are of opinion that, viewing all the 2

I ) ' And £82,995 17s. 7d. less than rerenue of ■ 1869-70. I

i ■ G-overnment deplore the falling-off; but disclaim respousii bility. t

■ ! State of the country . urged last Session as reason for resuming i colonization.

. Falling off of revenue proof of wisdom of the Assembly last Session, in giving immediaie effect to Colonizing Policy. :

Various causes contributed to reduction of revenue.

Falling off in Customs not necessarily prool' of unhealthy con--1 dition. ; i i i t

5

FINANCIAL STATEMENT.