THE FINANCIAL STATEMENT AS

New Zealand Tablet, Volume XIII, Issue 10, 26 June 1885, Page 5

THE FINANCIAL STATEMENT AS

SUMMARISED BY THE COLONIAL TREASURER

1. That the operations of last year on the ordinary revenue and expenditure account left a credit balance of £20,000,

2. That the public works expenditure amounted last year to £1,336,000, and that, taking into account the million and a half loan, there was, at the end > of March last, about two millions to begin this year with ; taking the advance outstanding in the hands of officers as cash.

3. That the negotiation of cur loans has proved very satisfactory, and that for the last million, and a half we received more than did the Governments of Victoria, Queensland, and South Australia tor loans floated at about the same time. 4. That the Act of last session, dealing with loan conversion and with the Sinking Fund, has proved a great success, aad is free from suspicion of having adversely effected the credit of the Colony ; that through conversion effected under its authority we have already been able to pay off £71,000 of debentures created the first year to represent the growing accretions of the Sinking Fund.

5. That the financial machinery of the Westport and Greymouth Harbour Acts has proved successful.

6. That the Government highly appreciate the services of the Loan Agents and of the Bank of England. 7. That the Customs revenue requires to be revised because of the satisfactory facts that it has become effected by the diminished consumption of spirits, apd by the increased local productions of dutiable articles.

8. That it be adjusted on the principle that while the primary object is to serve fiscal purposes, and whilst we by no means commie ourselves to State Protection, we should not be unmindful of the services the tariff may render to local production. In this connec- ' tion, I may mention that after I had settled the tariff, I said to Mr. Seed, the Secretary to the Department, of whose ability hon. members are well aware : " Describe to me briefly what you consider ' to be its pbaracter." Long as I have detained the committee, I must ask leave to read Mr. Seed's reply. The principles which have been ' kept in view, as far as practicable, in considering the proposed alterations in the Customs tariff have been " that the various articles named therein should be clearly and explicitly described, so as to secure absolute uniformity in the levying of the duties at the several Custom Houses in the Colony ; that moderate revenue-producing and not prohibitionary duties shall be imposed on all articles which can be produced or manufactured in the Colony ; that raw materials used in manufacture, and special articles required for manufacturing purposes which cannot at present be produced in the Colony at moderate cost, should be exempted from duty'; that all free goods should be specifically enumerated, and that unenumerated goods should be liable to ad valorem duties."

9. That the succession duties be increased, but still be kept less than they are charged in Great Britain,]and that the present exemptions be retained.

10. That the stamp duties be increased in one particular, that of duties on conveyances, whilst precaution should be taken to guard the revenue from ingenious efforts to impair it. 11. That we cannot afford to part with population, and mast recognise that the several classes of the community should help each other.

12. That roads and bridges construction is essential for opening up country, but that we cannot continue to throw the whole cost of it on borrowed money. That the local bodies must manage their own affairs, and have a finance on which they can depend. 13. That for this purpose the consolidated revenue shall bo charged with a fixed subsidy for 25 years.

14. That .to localise the direct taxation in districts in which it is raised would not answer the conditions required to be met, as it would leave the least provided for the bodies that most want help. 15. That the division should be made on a carefully considered self-adjusting scale.

16. That special assistance should be given to the Goldfields Committee.

17. That manufactures are essential to the wealth of the country.

18. That we must attend to, and put to the best uses, the great resources the Colony possesses in its forests and fisheries.

19. That we should introduce a moderate and gradual system of Civil Service classification.

20. That the Property .tax should be altered, so as to effect a compromise between its advocates and the advocates for a Land tax and an Income tax, and that for tbis year it shall be fixed at $d. 21. That we should pay off £50,000 at least of the £150,000 deficiency of 1883-84. 22. That after that provision and the provisions for subsidies to local bodies, and for the increased cost of departments and education, a surplus of £32,000 will remain, which will be subject to reduction" by suplementary votes.

23. That we should not allow the favour in which our loans are held in the London markeb to induce us to borrow more than we consider to be wise.

24. That we should endeavour to fall into a system under which ' we should reduce borrowing for indiscriminate purposes. 25. That we should have three classes of railways in future-"' Main Trunk, District, and Forest Railways, the last to be charged to the State forests, and. half the annual charges of the District Railways to be borne by the districts benefited.

26. That the expenditure upon permanent defence should be charged to loan. 27. That we should authorise a loan for £1,000,000, to be issued next year, to serve up to the end of the financial year 1886-87 ; that £250,000 of this loan should be for defence, £60,000 for immigration £200,000 roads and bridges, £100,000 for the purchase of Native lands, and £400,000 for railways.

28. That we attach great importance to giving sufficient induce- » ment to private capitalists to construct the East and West Coast and Nelson railways. 26. That, to meet the demand for cheaper money for land improvements and for loans to local bodies, we will submit a Mortgage Debenture Bill, which will embody the system which has been found to work advantageously in Great Britian, without entailing any liability on the State.