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Straight Talking To The Labour Government

( Nr,Z,P.A-

-Reuten

Covyright)

Received Monday, 7.0- p.m. LONJDON, Feb. 16. "Tlie reasons that have broug-ht the British to- beggary, are less lilcely to be rcmembered than the; iact that the-y are beggars. An old soldier showing his medals on> a street eorner is an object for pi.ty and not respect," says The . Eeonomist in a leading article ' headed "On The Rocks". •The Eeonomist says it is plain .that, despite recent cuts in expenditnre, nmeh more must be done. No one will critieise the (lo.veniment for wanting/ to build better* houses, sehools and hospitals bui the faet must -be faced that tlu provision of these things is adding to> Britain's insolveney by direct ing labour and materials from the export dri:ve. '"It is. not usual to add a bathI'oo.m to a house just as receivers AvaJk in," remarks. Ihe journal. 11 asks, whether in view of the star. facts.of the posit.ion, Britain can afford £200,000,000 on (lovernment expenditnre . overseas, fn eluding the feeding of unproductive mouths in the forces or whether 500,000 c.ivil servants should not be diverted to industry forthwith to Step up production. The Eeonomist says the writiin has been on the wall since January o.r February 1947 but despite this the (lovernment has "gone on its Micawberish Avay" waiting for s'omething to turn up. Afr. Daitoi was happy with his "balancey budget" and Mr. Morrison declared that no further saerifices would be demanded from the people. "Today, with the gap wide open and no prospect of filling it froiu British resources, even Sir Stafford Cripps' realisnf" may be too late," the artiele continues. "If the British had been made to realise in 1945 that in many ways the problems of reconstruction racing them were no less urgent than those facing say Poland, they might have set to work as the Poles have done but, cradled in illusions, they have advanced in their erisis like somnambulists. If. the present attitude of the diffcrent classes of society cannot be mobilised into something - more than the collective and disgruntled selfishness they show today, the British will be L'orced to i'ace their suprenie economic crisix without the only assets itpoii whieh they can still . draw — their political balance, their deep natural unity and their phenomenal staying power." The Eeonomist says that these statements may be contested by claiming as Sir Stafford Cripps has done; that the Marshall plan Avill give Britain the necessary ttme to reeover. "Herein lies precjsely the danger," it concludes. "Continual borrowing can have the same elfect as continual drinking. The borrowcr's, like the drnnkard's, sense of reality tends 'o fade. Britain has already had an. American loan, a Canadian loan and will have a South Afriean loan. All have been necessary, but a 11 have helped to mask IToih ttie* ("lOverinnent and people alike, the country's tfue economic straits. • The standarcl of living has been maintained, reserves cuteu up and expenditnre undertaken on a seale quite out of accord with Britain's true economic position. AVhat guarantee is there chat the Marshall plan may not be used in the same way?" i

Permanent link to this item

https://paperspast.natlib.govt.nz/newspapers/CHRONL19480217.2.24.1

Bibliographic details

Chronicle (Levin), 17 February 1948, Page 5

Word Count
519

Straight Talking To The Labour Government Chronicle (Levin), 17 February 1948, Page 5

Straight Talking To The Labour Government Chronicle (Levin), 17 February 1948, Page 5

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