THE BRITISH BUDGET.
Sir, —There are some points of interest which your leader dealing with the British Budget could not ill its spaco limit adequately note. I refer to tho domestic imports, or such duties as must bo borno by every household. Tlie duty on sugar alono will raise the prico from 3Jd. to id., and bring in per annum £11,700,000 —nearly t.welvo millions sterling. Then tea, cocoa, coffee, chicory, and dried fruits have had tho duties . increased all . round by fifty por cent. These duties will yield five millions sterling per annum more to tho British Treasury, and may be said to represent tho British housewives' tontribution to"" the .fighting funds of the Empfre. Nearly 17 millions is a largo sum to draw out of the pockets of the common people. Then the users of tobacco will contribute another five millions a year to the Exchequer by the increased duty. Other domestic duties are imposts upon clocks and' watches, musical instruments and hats, by which Britain's "fixed principles" of political economy nave been completely upset. But beers and spirits have been passed over because the Chancellor deemed it prudent not to tax these commodities any more. "Beer was very heavily taxed by my predecessor," observed Mr. M'Kenna., "and tho reasons given by him for not adding to the duty on spirits still hold good to-day." Tho Prohibitionist in the House of Commons, Mr. Leif Jones, regretted that there was no extra taxation upon spirits. He held that beer, was over-taxed relatively to spirits, "and there was evidence that people were being driven from tho consumption of beer to the consumption of spirits," and there had been, Mr. Jones added, an increase of eight millions in six months in the country's drink bill compared with the previous year. There is not much in tteifc criticism, for it does not necessarily follow that becauso a nation's drink bill increases the consumption lias increased, for the increased duty may account for more than all the difference. The real danger was noted by a leading Liberal newspaper, the "Daily News," when it said: "There is now no room for doubt that the recent overtaxation of beer as opposed to spirits has converted a substantial proportion of beer drinkers into spirit drinkers. 'Diat is a social step backwards of the gravest character." Thus it is apparent that unequal taxation of any commodity may change the public liking for suoli a commodity, and it may be concluded that the_ users of all taxed domestic commodities will seek cheaper articles to obtain_ tho same results. What outstands in Sir. M'Kenna's great War Budget is the fact that tiio Working and middle classes are being called upon to make tho greatest sacrifices in purse and standard of living to help defeat tho mad oppressor of Europe, who would exterminate the British people if ho could —man, woman, and child. Tlie sacrifices tho people at Homo aro malting, and the immunity that is comparatively the lot of New Zealand, is tho lesson your admirable leader read to our people, and it is one that cannot be too deeply impressed—l am, etc., ECONOMIST.
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Dominion, Volume 9, Issue 2612, 6 November 1915, Page 12
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524THE BRITISH BUDGET. Dominion, Volume 9, Issue 2612, 6 November 1915, Page 12
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