The Dominion. SATURDAY, AUGUST. 20, 1910. THE PREMIER'S.PROPHECY.

Dominion, Volume 3, Issue 900, 20 August 1910, Page 4

The Dominion. SATURDAY, AUGUST. 20, 1910. THE PREMIER'S.PROPHECY.

What was in some respects the most interesting speech of the session was. delivered by the Prime Minister last evening, in -moving the second reading • of the Public Debt Extinction Bill; Sir Joseph Ward apparently has not been idle_ during his absences from Parliament this week, for. it was quite evident that a great deal of the matter in his speech" was of recent preparation; certainly some of it had not been at his elbow when the Budget paragraph on the Sinking Funds proposal was written. Much of the" speecn covered, old. and familiar ground. The reproductive nature of a large part of the- public debt; the necessity which has existed for developmental work requiring borrowed capital to carry it out; the present need for. a continuance of that work of opening up the re- , sources of the country. But these commonplaces were merely the preliminary flourishes leading up to the more important" declaration which Sir Joseph was; to make. When that declaration came members appeared uncertain how Ho take it—whether to be amused or to regard it seriously. Yfit it is probable that Sir Joseph Ward was never more sorious in discussing a political question in Parliament. He announced, and it was plain that he had weighed his words, that the time would come, in New Zealand when borrowing would cease! That that time was not very distant, and to support his opinion he had had compiled statistics showing all the future requirements of the Dominion in the way of railways, roads, bridges, telegraphs, telephones, public buildings, etc. These he solemnly read over to »the House," and mem- ; bers no doubt found the list highly, interesting, as well as diverting. But not only did Sir Joseph enumerate all the large undertakings ahead of the country, \but he specified approximately the date when they would be completed—or at least the approximate date when borrowing would cease. It would be superfluous/perhaps, to add that j,hat date is beyond the period during which the Ward Government can in the ordinary course of events hope to continue on the Treasury benches." . . ■ .* This happy time when the Minister for Finance of the day will not require to worry about the London money-lender is fixed for , fifteen years hence—l92s or thereabouts.Docs any sane man or woman,believe that in fifteen years' time all the railways enumerated by the Prime Minister will be completed? We think not. That there is a possibility of, and a necessity for, tapering off borrowing no one disputes. That this could be done without prejudice to the interests of the country has been our contention since this paper was first ostablished; But the speediest and the soundest way to bring .this state of things about is to make a start by cutting off the enormous waste in Me cost of government and bj?

applying the money eo saved to purposes which will relievo substantially the necessity for the heavy borrowing which has been indulged in, and which will , continue so long as the Ward Government remains in office. The figures which Silt Joseph Ward has gone to such pains to compile in support of his forecast, interesting though they may be, are merely designed to delude and fool the public. They .prove nothing, and least of all do they afford reason for the belief that future borrowing will be restricted to the sum stated by the PnuiK ■ Minister or that there will be no further borrowing beyond the period stated. Rather will they have the effect of arousing fresh demands from the various districts mentioned as being marked down for future railway works, and so increase the pressure upon the Government from the idifferent constituencies' concerning which Ministers are so prone to' complain But for the fact that we believe the Piujie Minister really thought ho was advancing an argument to support his delusive and distrusted Sinking Funds scheme, we should have regarded the dragging forth of his railway construction anticipations as a shallow election trick. The truth of the matter is that the Government .is very hard pressed over its Sinking Fund proposals, and when the Ward Government is ■ hard pressed it either backs down or attempts to obscure the issue. It is now attempting to obscure an issue. Later it may back down. We should have liked to have exposed the juggling under which Sie Joseph Ward claims that only £11,392 will be required to be taken. each year from the Consolidated Fund for Sinking Fund purposes, but space will-not permit us to do this on the present occasion. Any member, however, who will take the trouble to read the Budget may see how the Piume Minister has contradicted himself.