SESSION OF PARLIAMENT

Ashburton Guardian, Volume 70, Issue 116, 1 March 1950, Page 4

SESSION OF PARLIAMENT

LABOUR SEEKS EARLY MEETING STATEMENT FROM CAUCUS (RA.) WELLINGTON, Feb. 28. Parliament should be called together at once in the opinion of the Parliamentary Labour Party, members of which met in Wellington to-day. The following statement was issued this evening by the Leader of the Opposition (Mr . P. Fraser): — “The National Party’s statement to electors during the General Election campaign that there was an undisclosed surplus of £47,000,000 in three • years and that therefore their election pledges to reduce taxation, while maintaining full Social Security, could be safely given—compared with the Prime Minister’s financial statement on February 1 that there was a deficit of £28,000,000 and a hint that it might not be possible to fulfil these pledges < —creates an unprecedented political situation.

“The carefully and 'deliberately prepared, but most misleading, statement of Mr Holland on the financial position of the -country should be debated in Parliament without delay so that all people may estimate the value of any attempt at justification by the Government and the replies of Labour members, particularly that df Mr Walter Nash, Minister of Finance in the late Government. Everyone could then thoroughly understand the position and consequently the alarm, consternation, and apprehension caused by the entirely unnecessary and unjustifiable declarations of the Prime Minister will be allayed. Mi* Goosman’s Statement “There are also other grave questions of policy and administration which require examination: the statement of the Minister of Railways (Mr W. S. Goosman), which carries a full threat of greatly increased rail fares and freights, increased bus fares, increased refreshment charges, . and heavily-incfeased rents for railway workers, with the implication that other transport costs will "be correspondingly increased, constitutes a potential menace to our whole ecoomy through increased costs to farmers, industrialists, workers, and consumers. It is of such great moment that the earliest investigation by the people’s representatives in Parliament is essential.

“Rising commodity prices, including foodstuffs, footwear, and other family requirements, and the announced abandonment of price controls on fish, potatoes, and other items by the party , which unconditionally pledged itself to the electors that it would reduce the cost of living constitute a menace to the standard of living of the. masses of the people and should be closely surveyed by Parliament before it is too late to prevent disaster. “The implication in regard to the increase in rents of State rental houses contained in the speeches of several Ministers and the inevitable increase in rents generally through the amendment of the Fair Rents and Land Sales Acts and the loss of protection against eviction constitute a pressing problem for Parliament. < Subsidies and Social Security

“Other urgent and compelling reasons for calling Parliament together include: The abandonment of safeguards against speculation under the Land Sales Act, with resulting higher costs to those buying properties for home and other purposes; the statement by Mr Holland that ‘this pernici-r ous subsidy system must be reviewed,’ which menaces the household budget of every mother and which will, if the action suggested is taken, increase the living costs of all families; uncertainty in regard to the future of Social .Security benefits caused by Ministerial references to .their high cost and to amendments required to cut them down; finally the fact that the accelerated, mounting effects of the Government's proposals, actual and indicated, will bring a further cycle of increasing costs,' with the inevitable consequence of fully justifiable demands for increased wages and salaries. “These matters are of such great and urgent importance that Mr Holland and his colleagues should immediately face Parliament.”