MR. THORN DEFENDS LABOUR POLICY

Chronicle (Levin), 4 July 1946, Page 7

MR. THORN DEFENDS LABOUR POLICY

-Press Association

ADDRESS-IN-REPLY DEBATE

By Telegraph—

WELL1XUT(L\, ■> uiy .5. Despite attenipts w Jiicli litul been iuade to underniine publie contidence in it, tlie Bank of Xew Zealaud liad been suecessfully administered sinee it \vih liationalised last year and today il had iiioi'o deposils and more accounts tlian bcfore tlie Goveniment took it over, said Mr. J. Thorn (Thames) wlien uioving tlie Address iu Reply in tlie Hou.se tonight. Tliis faet, declared Mr. Tliorne, was proof of tlie people \s eonlidence not only in tlie Bank of Kew Zealand liut alsu in Ihe (lovernuienl rospousible for its adniinistration. Through its control of tlie Reserve Bank and Bank of Xew Zealand, the / vernment eould mobilise inniien.se re- \ rees for great liatioual projeets and for tlie liiaintenanee of full enijiloymenl. Tlie Keserve Bunk had heen inlinnitely as.soeiated uith the eontrol of tlie Boniinion's slerling balaneos in Londou which now stood at aboul £80,000, 000. Hxchnnge eontrol in conjunction uilli the imjiort seleetifm poliey had prevented a repetitirm of the lO.'i.S raid ou the Bondon exrhsuige funds. The result had been tliat ihe Go\ ernnient had been able to repay loans iis tliey niatured. Duriug ihe present year the Government had re dueed Xew Zealand 's eivil loan in debtedness in London by £29,2 lO.Ottu and sinee it took o!li-e in 1935 had paid Olf loans doniieiled iu London and Austrulia totulling £ t\22ll.(KHi. Tliis Governiiient was the only (tovernnieio in tlie history of Xew Zealand to reduee Xew Zealand 's external indebted ness. The Governiiient had iilso paid bark the wliole of the nionev borrowcd from the I'nited Kingdom under a liieniorandiuii of securitv to linance the

overseas operations of tlie Xew Zealand forees in the reeent war. ITider tliis head £(i0,s:!4,000 had, been repaid with the result thiit, at the end of the war. Xew Zealand did not ow e oue penny abroad iis the result of the war. A1 lngetlier Ihe Goveniment had diseharged eivil and war loans totalling j about £1 10,00(1,000. Exchange and ini])ort eontrol had j eiialded us to expaiul Xew Zealand iu- I dustries uithout which \ve would liave been in a »rnver situation duriug tio' wai'. Wc eould liot aehieve full mu ploynient in Xew Zealand without ex ehnnge eontrol and iniport seleetiou. "Wero we to depeud solely ou priniarv ]iroduetion lialf of our eliildren would • liave to eniigrato ea>di year on leaving sehool to obtain einplovnient. lmport and exchange eontrol would remain in a cardinal place in the Government's policy. said Mr. Tliorne. Mr. Thorn elainied tliat ihe guaranteed priee liad broueht dairy faruiers stability aud eertaiutv of a good in eoine wliieli tliey had uot jtreviouslv known. Honsing Position. I The eeusus returns shuwed tliat, despite the liousing problem w liieli un- , doubtedlv existed, tlie people of Xew Zealand weri' bi'tter lioused today than in lO.'hi wlien the last eeusus was takou ; The Go\ eriiinent had pnndiaseil nearlv 5(1,000 seetions and ereeled 2n,72i houses with many more now in eourse of ereetion. OI' tlie eonipieted liouses all exeepl about .5000 had huon Imiil duriug or sinee the war under iner«"isingly ilillieult eondit ions. Sinee 1935 tlie Go\ eriiinent liad niade loan nmuuy available to 19, 29b families eitlier In Imild or to buy tlieir ow n houses. Tliere weie 11,410 peoiile who borrowcd froin tlie Stale Advances to Imild and

7s29 borrowed to buy houses already built. Tliat iiioaiit tliat the Governiiient, eitlier by Statc rental liousing or liv loans of Stale inoney, had solved the liousing problont for more tinui 40,000 fauiiiies — and liad done tliat wlien iu- \ oi ved in a war lasting six years. lneluded in tliat niimber were 10,000 exmore ieenien and in addition 2000 othei's had been settled ou the land. Tlie present aim of the Govermnent was to l>uild up to 12,000 houses yearly for three years ancl when that was done the liousing prohlem would not he one to cause any Govermnent anxiety. Mr. Thorn said expansion in industry duriug the Governiiient 's reign had been l reineudous. 1 n 1935 the.re wero 70, Otu) workers in factories and in 1944 tliere were lls.000 who were receiving *iu w ages £l.*!,2o!l.()00 and £34,o00,000 i espect i vely. Iu ihe sauio period tlie totiil wages and salaries received was £H5,7(HM)(K) and £190,000,000. " It is that suni wliieli the Tories have in niind when tliey say thero is too inucli inuney about and tlien advocate didint ion, '' said Klr. Thorn. Klr. Thorn said the-Goveniment soeial >ecuritv programme had transfornied tlie living conditions of thousands of people. "Tlie Opposition will aftirtn that ai'ler all we liave done we have brouglit disaster to the eounlry," said -Mr. Thorn. "Tliey will say libcrty has been seurdied, freedoin ptiralysed and the population is writliiug in tonnent under the heel of a Labour Governiiient Gestapo. ' ' The Uouse rose at 10.11 p.m. and will resuine at 2.."5t) ]>.ni. toinorrow.