The Globe. THURSDAY, JULY 13, 1876.

Globe, Volume VI, Issue 645, 13 July 1876, Page 2

The Globe. THURSDAY, JULY 13, 1876.

We have already pointed out that the untruthfulness of the statement made by several of our contemporaries, that according to the financial proposals of the Government the laud fund is to be placed to the credit of the general revenue of the colony, and is to be used to diminish in various ways the expenditure to which the colony has pledged itself in connection with the policy of Abolition. That position

appears now to be abandoned. Our contemporary, the Lyttelton Times, after a few days reflection, is satisfied that the land fund is to be localised, and to remain chargeable with the cost in case of deficit, of railways within that district. This, we are informed, is so far satisfactory, and fully vindicates the position he has taken in the matter —“ the land fund for the “ district.” It is pleasant to find our contemporary open to conviction, and that a change has come over his dream on this question. Only a few days ago he was quite hysterical over the attempt of the Colonial Government to lay hands on the land fund, but now that he has grown calmer he has discovered that no such attempt has been proposed. It is true that in those districts which at present do not possess a land fund, their requirements are to be met out of advances from the Consolidated Fund ' against future land revenue. It is also very probable that those advances will never be met in the manner indicated, and that they will either be converted into the permanent debt of the colony or taken out of current revenue. This is all no doubt true. But there is nothing new about it. It is not a result of Abolition, as has been maintained in some quarters. The same process has been going on for years under the present system. The poor provinces have always been existing on the rest of the jcolony, getting advances, on one pretext or another, which are never repaid. It was hoped that Abolition would put an end to such financial feats. But we are afraid not. The land fund difficulty has been too much for Ministers. In order to satisfy the Middle Island, they have been forced to perpetuate the provinces, in the shape of provincial districts, and thus to localise the land revenue. But, in securing this fund to the Middle Island districts, Government cannot allow those parts of the colony which are not possessed of such a fund, to go without tha ordinary means of government. The interest on the Auckland loans, and on their share of the public works expenditure, must be paid. Education must bo provided for. There is no use of our shutting our eyes, to this fact. The Colonial Government cannot allow Canterbury and Otago to expend money on all sorts of, expensive luxuries, while our fellow-colonists in Auckland are without schools to educate their children, or are sunken in abject poverty for want of communication between one district and another. If we are to remain a united colony, money must be found out of the consolidated revenue for these purposes, if there is no land fund out of which it is to be paid. The proposal of the Government may be a clumsy trick to enable Ministers to tide over the session. We admit that the Government have shown want of courage in not boldly facing the question at once. If the consolidated fund, is not able to bear the charge of tile interest on the public debt of the colony, if it cannot provide the means for carrying on education ; if the land fund of one part has to be called upon to contribute to the above purposes, then it is clear that we must go on adding to the public debt, to find revenue for the landless districts, or the land fund must be made colonial revenue. If, we say, the land fund of the Middle Island must be called on to contribute towards necessary colonial expenditure, —the payment of interest and the maintenance of education, —it is plain that an equal sum must be provided, for those districts which do not possess such a fund. But this necessity does not result from Abolition; the proposed changes do not affect the question in any way (oxceptthat by Abolition the total expenditure of the colony must be reduced),and the money would have to be found whether the provinces were abolished or not.