WHY SHOULD LAND BE TREATED DIFFERENTLY?

Chronicle (Levin), 21 October 1948, Page 8

WHY SHOULD LAND BE TREATED DIFFERENTLY?

Press Association)

Mr. Holyoake Attacks Labour Poiicy v . «

(Per

WELLINGTON, Oct. 20. Hon. G. F. Sk-iimer, moving the second reading of the Servicemen 's Settlement and Land Saies Amendment B.ill in the House of Repreaentatives, said land saies committees, since tlie Act was passed in 1943,. had dealt with the transfers of 168,090 urban and 25,261 rural properties. In the year ended March 31, 1948, the committees dealt with 36,170 urban and 5482' rural cases Lndieating that property saies wero being well maintained although tliere had been a slight decline. The average delay involved in the transactions was four to five weeks but there had been considerable savings to purehasers. Mr. Sktnner said that since the Act was passed, committees had ordered 6099 reductions in prices for fann properties effecting a total reduction of £2,390,138. Reductions for urban property transfers totalled 53,234 representing a reduction of £7,085,657. Mr. Gposman: WiJl the Minister say that was all justicef Mr, Bkinner said tlic purehasers of urban and rural properties had been suvod neurly £9,000,000 by the operation of the Act. Mr. Doidge: Ilas the Minister any idea liow much has been passed under the table? Mr. Bkinner said the Government was anxious to see justice done to the vendors but he was frankly uiore euncerne'd aliout the people going on to farms than those going off them. Under the epmpulsory elauses of the1 Act. 351 properties had been taken. Their total area was 217,195 acres but in al] 721 propVrties liad been taken under the Act for the settlement of exservicemen. This ineluded properties acquired by negotiution. Of thc land a>-quifed, 1172 single units liad now beeti pennanently settled and 756 wero oji hand. The Lands Departinent was disposing of properties as rapidly as they could be developed to the leve! at wljicb an ex-serviceman would be able to muke a reasonable living. The sole purpose oi" the amcndinent was to e«able more land to be bought for the settlement of ex-ser\icenien. Of 15,766 uien who had stated their interest in settlement on the land, 6880 had been settled. iueluding 757 who took no reliabilitation assistanee. A number had uot pursued their applieations but 5411 graded moa still awaited settlement, an indication of how essential it was to oblain land as soon us possibie to meet their needs. Advances to those alroaily assiateiJ on to land totalled £321,000,000. Tlie settlement of ex-servicemen, tliough less rapid tlmn lie would like, was proeeeding as salisfactorily as in other countries. The total cost of land saies conimitlees and tlie Court had averaged abou' £3 2s 6d j>er case, The administrat ion of the Act to date had cost just over £500,000. Mr. Bkinner said the real worth of the Act lay not only in actual reducy tions effocted in prices but also in the stabilisation of property prices which liad been acliieved since it.was passed. He knew of no cases wherc the ureus relaiued by owners of property, hau uot been ampJe for their requirements. He did not. think any inember of the Upposition could criticise tlie Bill on the ground that it brought Crown land into its orbit. "It covers all Crown land," said Mr. ykinner, replying to an interjection by Mr. Broudfoot. Settlement Retarded. Mr. K. J. Holyoake (Pahiatua) said Ihe settlement of ex-servicemen was not a party political question but it was oncumbcnt upon members in the Jlouse to reaso/i out the difiiculties and suggest remedies for any defects in the settlement scheme. By stabilising land prices so rigidly, the' tTOvernment had retarded thc settlement of ex-service uien. It had been said by tlie Minister of Lands previously that by the end oi tive years after the war the greal majority of ex-servicemen would have

been settled on the land. While the scheme was generous, it was moviug too slowly and leading to a sense of frustration to these who were still awaiting settlement, Tlie Minister had given tigures relating to the number of properties disposed of and the amouut saved by purehasers but it had to. be remembered that wliat was oue umu's gain was auother niaxi 's loss. Iiis advice was that the avei'age cost of cases whicli came before land saies committees and the court, was more tlian £20 and on top of that the cqst of the committees — £92,000 this year — had to be considercd. It was now six years since the settlement of ex-servicemen on the land began. There were 15,568 men graded foi farfiiing, 12,697 of whom were graded A. A total of 77S of the latter group had withdrawn tlieir applieations — Ire did not know if thc reason was because tliey were heartbroken and frustrated or because they had just given up hope. Mr. Holyoake said that of the 11,919 grade A men, 6500 had been settled under all lieadings but on the waiting list today .there were still 5411 grade A men and 1800 grade B men who would soon beeome grade A, aud 670 grade C men, which made a total of 7881 men who would be wanting farms iu the near f,uture. . yoldiers were settled at. n faster rate after the First World MTiir. Mr. Baxter: They were well settled before they went on to the land. Mr. Ilolvoake adniitted that mistakes were made but it was a slur on those men who had beeome excelleut farmers to jeer at soldier settlement after tlie iirst war. in 21 years after the First World War a total of 9743 men was settled eompared witli 5751 in tliree years after the end of the Be eond World War. Could the Minister be satislied with the present rate of pro gre.ss ? There were two questions which could be asked — would more compulsion secure more land for soldier settlement? Was more inducement aecessary to get farmers to sell their land? Exservicemen would be the first to say that property owners should have a fair deal. Very little progress was being made in the settlement of Government developed hlocks. Perhaps this was because the Government knew the terriiic costs involved in developing land and knew it was cheaper to take land i'rom someone else. The inevitable result of paying for land at 1942 values with inflated money, the income from which would be treated as imearned income, was that oid men were stopping on the i'anns, the farms were detenoratmg, not so much food was bemg produced and ex-servicemen were not being settled as fast as they should be. The Government, since it had lntroduced stabilisation, had raised all prices except that of property. Why should property be treated in a different manner? -Mr. Holyoake said, hoiho radieal changes wero necehsary if the spoedy soltleiueiit of soldiers o v. the Jaud was to be acliieved. If more Jaud was to be seeurod it was obvious that there must be a more altractivo price olt'ered for it. Mr. Kearins: Land is only worth wliat it will produce. Mr. Broadfoot: Thc money is uot worth its face value. Mr. Holyoake said a more eijiiitable system was necessary to preveut uiulcrtablo transactions. If we failed to fiiul I some means of conqiensating jiropertv owners for the dovaluation of money since 1942, we would not get suilicieni properties by voluat-ary transactions to nxeet tlie needs of ex-sorvicomen and otliers who were queueing up for land. Mr. Holyoake asked why there should be compulsion only in regard to the taking of land. Tlie Government did not apply the same principle to owners of chain stores, garages, transpoit services or other husinesses. A farm was a going concern yet farmers were obliged to sell at rigidly lixed prices whereas in other husinesses some account was taken of gooawill and other factors. If the Government persisted in its present course it would meet with the hostility of all landowners instead of their cooperation which was vital to the successful settlement of ex-seiwicemen.