WELLINGTON TOPICS.

Hokitika Guardian, 8 July 1921, Page 4

WELLINGTON TOPICS.

INEFFIENCY. j THE. BAR TO PROGRESS. (Our Special Correspondent;. WELLINGTON, July G In an address delivered at the Kc.tniy Club luncheon yesterday, Mr ,1. if. A'cEwan, the head of one of Wellington’s big mercantile concents, spoke frankly, almost brutally, of the Dominion’s lack of clliciency. lie spared neither private effort nor public enterprise. Individually and collectively, he declared in effect, the people of New Zealand were sinning in this respect more grievously i than were the peoples ol other countries \ and consequently were lagging behind in j the race between the nations, when they j ought to bo leading the war. Air Ale- j Ewan did not hesitate to enforce his | contention by apt illustrations, drawing \ some of his ‘‘horrid examples” from the public service, where, he said, antiquated systems, feeble administration and the discouragement of enterprise and initiative were reducing men who had started out in life with aspirations and ambitions to one dead level of mediocrity and indifference. His remedy for this alarming state of affairs would he the introduction .of sound business methods into every department of State and the promotion of efficiency by its ready and generous recognition whereever it might be found. THE FIVE MILLION LOAN. The fact that the cable supplied no detailed information in regard to the flotation of Air Alaxsey’s five million loan lias been the subject of a good deal of comment in financial circles here. The man-in-the-street, of course, does not concern himself about such matters. Apparently the Prime Alinister’s colleagues had no more of their chief’s confluence than the public had. That, at any rate, is the assurance of the Acting Minister of Finance. Now, however, il is for all the world to know that the subscriptions amounted to only a little over two millions and that 58 per cent of the loan is being provided by the underwriters. In normal times this response could not he regarded as other than very unsatisfactory. It is a long time since New Zealand last paid as much as li. 1 , per cent for a loan. But the present times are not normal and tile pour subscription is easily explained by the demand for money at Home and the high rates available there. In the circumstances the Dominion need not gmdge the underwriters their substantia! commission. THE FINANCIAL STRINGENCY.

Sir Francis Bell gives no encouragement at all to the idea that the flotation of the loan will relieve materially both public ami private finance. Air Massey’s locum tenons wishes no such idea to get abroad. The amount of the loan and the manner in which it lias been received by investors at Home, lie says quite candidly, justify no hope of the Government greatly enlarging its public works expenditure nor of the banks providing all the money the public needs. The greatest economy still will have to be exercised and none l lint absolutely necessary expenditure undertaken. Commitments in connection with hydro-electrie development and railway plant and material will absorb at least two inillons and it is doubtful if thi' Public Works Fund will he able to refund to the Consolidated Fund any of the money by wliioli it lias Iveen assisted during the last year or two. Again there is the curious fact that .Ministers here have no information from their absent chief as to the proposed allocation of the money. DEARTH OF HOUSES.

One of the anomalies brought about in Wellington by the existing industrial and financial conditions is a dearth of houses and a slump in the building trade. It has been stated that 3000 or 1000 additional houses are required in the city to properly accommodate the increased population and yet achiteets and builders are complaining they have nothing to do. This is not solely on account of tho financial stringency. Aloney is exceedingly scarce just now. and houses cannot he built without money. But the extravagant demands of workmen and the high prices of material are as much responsible, at.least, as is the scarcity of money for the existing state of affairs. Building seems tin absolute necessity, for which the capital ought to be found, but circumstances hitvc made it a positive luxury and lenders are offering it no encouragement. h looks as il for some time yet many Wellington citizens will have to put up with unsuitable accommodation and exorbitant rents.