THE BUDGET.

Hokitika Guardian, 3 August 1917, Page 4

THE BUDGET.

(Per Favor of government).

(Condensed)

Mr, Malcolm,—Since I submitted to honourable members the Budget of rgid-i? the great war has, unfortunately, continued with u.n-r abated and, indeed, increased intensity. It is therefore my duty to: reyieAy' th# financial .aspect tb£ past year’s operations, covering a period of unprecedented conditions, and to suggest for the consideration of honourable, members proposals ‘tomeet the increased financial requirements jor the year 1917-18. revenue; and. expenditure.

The revenue and expenditure for the year. 1916-17' as compared with the previous finaheial year are as. follow:—1917, £18367.547; 1916, £'14,510,137 ; increase £3,857,410. Expenditure for the year ended 31st March, was: 1917, £14,058,770; 19.16, £i?,493.i°7; increase, £1,565.663. PUBLIC WORKS FUND. Balance brought forward on Ist April, 1916, £f.293,.i,pg : v receipts. £1,800,447 expenditure, under appropriation, £1,278,922,'.; balance'at '3lst March, 1917. £5?bstiREDEMPTIONS and renewals. Apart from our obligations to the imperial Government for war expenses, referred to in another paragraph, the total d.eb,t falling due during the year amounted to £1,859,040, and of this amount £466,040 was renewed. loans falling due. The loans falling due during the secen years ending with the year 1924 are as follow: —l9lß, £ 3.363.356; 1948*, £1,168,521 ;.i9 r 9 £1,765,865; 1920, £3,767.945; x 9 £10,105,457; 1922; £6,171,790; 1923, £761,650; 1924, £2,124,306. TREASURY. As evidence that the work of this Department has increased both in volume and- importance, I may mention that the amount paid into the credit of the Public Account during tlje financial year immediately preceding the Avar aggregated £17,000,000, while’the total lodgments for last year exceeded £50,000,000. _ p During the year just ended loan and fniaiicigl operations of an unprecedented character were- undertaken. Over £11,000,c00 of the Dominion War Loan of £16,000,000 was raised in New Zealand, at a net cost of -A per cent; only,, which is considerably below the cost of raising loans in the London market.

The average cost of raising the last three loans in London prior to the AA’ar was 3.j-per cent, and the average cost of raising- the two loans in New Zealand during the war ivas three eighths of one pound per cent. IMPORTS AND exports’.

The comparative figures showing the values of imports and exports for the financial years 1915-16 and 1916-17 are as under Financial Year Imports Exports £ £ 191516 22,917,437 33,781,711 1916-17 26,162,706 30,538,460 Had all the shipping space required been available it is ptftssible that • the value ot exports for 19x6-17 would have equalled that of the previous year. It is well known that large quantities of cheese, butter, tallow, frozen meat, and other : produce have had to be held over through lack of ships. land-tax and income-tax. j The pet receipts for the past year' amounted to L 4,975,244, made up of | laud-tax L7iß,riß, income-tax L4,2G2,i2G, and compared ..with the collection, for the previous year show an increase of L2,,584,769, r. A NO-TAX

The land-tax receipts cqnVpar d with those of i9is-16 show a decrease of L 335,238, which is accounted for by the abolition ofthetixon mortgages, ' The comparison is as follows : L Receipts i9iG-i7 ... v ”... 7i3,i 18 „ i9i>-iG ... ••• 1,041,356 Decrease ... ... 385,238-INCOME-TAX The income-tax receipts compared with those of i9xs-iG show an ini crease of 1x2,870,0,07. The compari* son is £.s follows : L Receipts i9t6-x7 . . .. 4,*262,i26 „ i9is-i6 .. .. i,892,ii9 Increase .. ~ 2,87Q,0Q7 VytU.IC HEALTH

The necessity ot conserving child - life to meet the ravages caused by the war has. received attention. The birth-rate continues to, show a regrets table decline, and though this is partially compensated for, by our low death-rate the position cannot be regarded as satisfactory. Possibly

“That coin js \yeh spent-which saves you ten.”—Proverb. You will . save much expense and annoyance by preventing a cough or cold with the timely aid of Baxter’s Lung Preserver. A big boule of this famous preparation costs only Is lOd. An occasional dose will vitalize your system, and ward off colds * and bronchial affections. Keep a bottle, handy during the present changeable weather. Baxter’s Lunfr, preserver is unique in. its healing and soothing qualities—gives iqqnediate relief in cases of sore throat, tickling cough, bronchitis etc. Pleaaanf to take, good for young »®d fid.

economic causes are responsible .to some extent, but! fear the real causes are to be ( found elsewhere. n The care of our sick and wounded soldiers on their return from'the front lias been satisfactorily provided: for in the general hospitals, as well as at the QpjiValescent Idomes at. Rotorua, Hamner, Devoupprt, Lowry Bay, &c. To meet the cases of tubercular disease arising opt of Avar service tfie Consumptive 'Sa r atorium at Te Waikato, Cambridge), has been enlarged, and the Otaki Sajiatorinpi has. been, o\:er from, tho. Wellington. I.f.ospital Board and enlarged. Soldiers snfferr Jug from neurasthenia. andj shell-shock 'are specially treated at Karitane (Puketeraki), and the Wolfe Home, Avondale. Numbers of discharged soldiers snfprir.g from A recurrence of illness caused by war service have also been ti eated. ■ POST AND TELEGRAPH DEPARTMENT,

The amount of revenue collected during the year was Li,8[5,558. It includes the war tax of 4d on each article of postal matter excepting newspapers, ■ and, the 2d war. tut on telegrams, STAMP- PPARTNENT The revenue frorn this Department still , shows an upward tendency. During the last seven or eight years it has increased considerably each year ; prior to that period the revenue approximated half a million perannum, whereas this year the amount collected Avas Li,099,035, as, against Li, 470,307 last year, an increase of 1ia5,728. Tho re\’enue from the totalisator. due to the increased duties under the Finance Act and the additional investments by' the public during the year, shows a marked increase—viz, from Lr 79,047 in i9is *H> to L25i,430 in i9io-i7.

The bank . note tax has, owing to th,e Avit ( hdrawal otgoldcpiij frqjpi circulation and the legalising of banknotes, increased by approximately 2-5 per cent. i r .l’hc fii-.-fc must not he overlooked that if the shipping facilities do not sopu return to normal conditions a considerable fall in the stamp »evenue from stamp duties may bo expected, LAND REVENUE The gross revenue received from Crown and endowment lands during the year, amounted to Li,24i,3GG. The amounts outstanding at the close of the year \verg L2- r>,478-post-ponements of rental and \ L22.8i5 ordinary arrears. LAND FOR SOLDIERS - During the year ended 3lst March, i9i7, twenty-five settlements were purchased with a view to settling thereon soldiers Avbo have been discharged from active service. Eighteen of the ettlemehts have been subdivide d and offered for selection, and the .majority of the sections have been allotted. In addition, 20i,2i0 acresof Crown and settlement lands have been subdivided and oflered # to discharged men. The total area proclaimed as available for selection by discharged soldiers to date; 31st March, 1917) is- 337,961 .acres, comprising 712 holdings. ■ ; Up to 31st March, 1917, 384 discharged soldiers and mejnbers of -the Expeditionary Force have been placed on holdings, the total area allotted being 309,092 acres.

The majority of the soldier settlers readily adapt themselves to their new occupation—in fact, tlie success of some of the settlements is already assured. The settlers are doing well, and improving their holdings with the aid of Government advances. '

financial assistance to soldiers

I ; Up to the 31st March last ad- ' vances amounting to £62,421 were? ! authorised to 199 soldier-settlers. ! Of this sum £30,316 was advanced to 143 men. The advances were made under thq Discharged Soldiers’ Settlement Act, 1915, for the purpose of enabling buildings to be erected, bushfelling, fencing, aqd ploughing to be done ; and in addition assistance has been given to purchase stock, comprising cattle, sheep, horses and pigs, also seed oats, wheat and potatoes. Grassseed and fencing-wire haye been purchased in hulk- and distributed to many of these settlers in accordance with their requirements, and the value thereof secured by mortgage. All advances are secured by first mortgage, and bills of sale given against chattels as collateral security. Great care is. exercised tp see that sufficient security is pro-, videcj before... tlfe iuqney is advanced,

Under tlie Act authority is given to raise £IOO,OOO for the purpose of making advances to discharged soldiers ; but as £62,421 was committed at the 31st March, and further heavy requests are likely to be made during the year, the borrow-ing-powers under the Act will have to be substantially increased. To relieve the fiuqqcial strain upon men seryipgtyith the Expeditionary Forces, or who ha\V been discharged froip active service, ?e----missions of rent, amounting to £5,311, have been provided, "and to . meet cases duriqg the cqyreut yeqr I estimate that abppt £10,500 will be required. land eqr ordinary settlers. Owing to large areas of suitable lands being set aside for disposal to

discharged soldiers the total area offered for general application during the year was restricted to small, rough, or isolated areas, and education y and other reserves. In addition, considerable areas land opened in previous years and remaining unselected are available for public selection. AGRICULTURE.

* The agricultural industry, covering pastoral, dairying, and horticultural Operation, lias continued tp maintain its position ns an impfiriupt fftpt‘9 l ’ in the prosperity of the Dominvon. Agricultural products have again proved the leading feature of our ex ports notwithstanding the fact that a large amount of produce, which would under normal conditions hn\'e been exported during the year, still remains in store owing to .- lack of shipping facilities. STATE ADVANCES OFFICE. This important Department of the State is still continuing its operations, although the lending Board has since the war hega.u found it necessary to restrict the amounts which can be lent ta any., one local authority Or dividualSTATEMENT SHOWING TOTAL ADVANCES. £ Aclvqnces to settlers ... 17,240,300 Advances tq Advances to local bodies 2,841,140 £2^,428,835

DEFENCE DEPARTMENT. The \A r ar expenditure for the year ended 31st March, 1917, amounted to £14,344,523,.inc1uding pay of cost of transport, supplies, relief moneys, and &U niaipfenance or other charges in connection with the Avar, as well as the administrative -’expenses of the National Efficiency Board, Munitions and SnpAlits Board, Soldiers’ Financial Assistance Board, anej. Discharged Sqldiprskfnfm'matiQii Pepartment. The total war expenditure up to the 31st March, 1.917, with advances outstanding, amounted to £23,337,475 If tfie present rate of reinforcements is maintained it is estimatpd a sum of £.2 1,000,000 will be required for the financial year 1917-18. ' SAMOAN ADMINISTRATION. The health of the garrison con. tinues good, and the number of troops employed if reduced to the lowest minimum consistent with safety. Reinforcements for this garrison are drawn mainly from men just over the age qf eqlk-mept iq the Expeditionary Forcp. WAR RELIEF FUNDS, in addition to the contributions in nionev and kind, it is estimated that t]ie total funds raised by the pitriotic societies to 31st March, 1917, amount to £2,095,931. . , HOARD OF TRADE. The Board of Trqde, constituted under the Cost of Living Act, 1915, has carried out important duties during the year. Its operations haA’e resulted in a considerable saving of expense to consumers of commodities which are in common use. IVhere it appeared necessary and the common interest demanded it,tnaxi mum prices have been fixed by regulations under tfie Begnlafion of Trade and Commerce Act. It will be seen from the report of the Board, which will be presented tp Parliament shortly, that, according to reliable official statistics, the scale of food-prices in New Zealand is loAver than that obtaining in

in the. other countries mentioned in the report.

Comprehensive in formation-has been obtained by the Board for the Government ns a result of its investigations into the prices of butter, wheat, i flour, bread, and petrol. The serious rise in meat-pieces over, pre-war rates iq several fqwqg iq New Zeqjaqd was made-the subject of special inquiry. Prices were steadied, qnd in some towns controlled, by allowing butchers to draw their supplies from stocks of meat which were being held, for the Imperial Government. In Auckland, where meat-pvipps were comparatively higher than in other centres, two meat-depots were opened under State control. The saviffg to conSuiners effected by the operation of these depots, ftntftbp nieat gqpstioq generally, will be fnlly dealt with in the Board’s report above referrod to. PENSIONS’ ' ’ The gross payments made under tho Ppqsions Apt, 013, through the Post QlffPP dqring the yeqy "were as follows ■ ' £ Oldrage pensions ... ... 480,229 \yidows’ ppnsiqns... ... 38,016 Military pensions (Maori Wav only) 45,678 0 Total ' £563,918 . These figures show increases over the fjprps of !a9t yeftV of £390 for old-age pensions and £1,659 fqr widows’ pensions, with ft decrease on account of military pensions of £2,600, making a net decrease in all of £sl. Payments of miners’ pensions under tjip Miqgrs’ Phthisis /Act- 19J5,

totalled £B,Q6|i. The number of widows’ and miners' pensions represent increases of i iMf and 118 respectively oyer the figu*J| of the preyipus year. . \y£R VERSIONS. The claims for war pensions dealt with from the passing of the War Pensions Act in August, 1915, to the 31st March, 1917, total 7,337, made

tip of 4,677 frpm discharged soldiers and 2,660" from dependents of deceased and djsabled soldiers. These have been dealt iwith as follows :

- FROZEN MEAT * The handling of frozen meat began ou the 3rd March, i9i-5 ; the total sljiprrifip!s amounted' to _i.3j8.748 quarters beef, 5,279,405 carcases mutton, 6.928,023 carcases lamb ; ai.d the payments Li5;800,70i. The pnpes which hid bepn current from the date of the inception of the scheme were increased as from' the 20th Octc>ber,i6r6, as follows : Mutton and lamb, '7-8d per pound increase-; ipeef, id per ppuud increase.

The numner of insulated steamers despatched during the twelve months ended 31st March 'last was Seventysix, cqmpared with pig ty-Qne for tjie previous year. SHKEP-3KINS AND JUDES * V The purchase of sheep-skins and hides commenced P,P the Ist Fekruayy, i9x7. The numlier of sheep-skins purchased was 2x3,202, at a cost of L 60,883. Hides and calf-skins are being valued, purchased, am:] shipped for the Injpprial Government- N > tnnsaetionS had taken place up to the 31st Marcli, i9i7. /

WOOL -- Eqrly, ip November, jfiifi, ]he Imperial Government advised 'that it proposed to requisition a!l \Vool comprising the New Zealand i9i6-i7 c]ip,and after consultation citjx representative grqwers and Qth'o* perspps connected \vith the woql industry a price was agreed upon which represented nil advance of 55 per cent on pre-war prices. The remits of the operations from the ist Ilepemhev, ;fii6,4np to the 3ist Mapch, * iQj7, were : Total numr ber of bales valued, 42x,388 ; number of bales shipped, 2 1 9,030 ; number of bales, paid for, 399,529 ; total payments made, L9,3i5;924. I -CgBESE ■ The luraqgc-mclit entered into with the Imperial Government under which one-third of the production of chpese for the season 1915-l0 ; was made available for pixrposes Was ’completed , pp tbp Ist October, 1 9 r 6. The quantity shipped was 1 89,502 crates, and the total payi nients Loi 7,748. • On - the 16th .Tapuary, iifi7, the export pf ch ese was, prohibited, and -arrangements were made with the factories for the purchase on, behalf of, the Imperial Government of all first-grade and second-gi’ade cheese -available for export ; the price was fixed at 9id per pound for first-grade and o]d per pound for second-grade cheese. Satisfactory arrangements for payment of the cheese and for storage wpre niade with the Imperial Gpvernmept. During the 101(5—17 SflftSPn tfef shipments totalled 153)845 crates, and the payments £1,547,408. ; - Owing to (jjie/shortage of shipping facilities in the early part of the season Very heavy accumulations ofWlieego resulted, and it became necessary to keep much pf the. supply- in stores wlfich were move or less unsuitable for the purpose..- To meefe this difficulty special, representations wore-mode to the Inir porial government through the Bight. Hon, the Prime Minister, with the result that largo shipments wera provided for during March and April, 1917. As a' means of checking any possible risk of deterioration ,arrangements have been ' entered into with the overseas shipping companies under which the 1 cheese is now being carried at a reduced temperature, • .

GENERAL. , , , The purchase of schcelifce started on the 20th September 1915,; 350 tons were shipped, for which .£(57,480 was paid. ; 1 : The total payments made to producers on behalf of the, Imperial Govcrfimcnt from the 3rd March 1915, .to the 31st .March 1917, amounted £ 27,8519;116.

" - ‘ V . Soldiers’ Bej leddents 1 Pensions for 12 Claims. Claims. months fpul upends .. i. 1,0Q3 2,075 Temporary pensions 3,19* 258^, Declined 436 259 Adjourned .. • -10 10 On jiand 34 58 Total . .. 4,677 2,660