ECONOMY C0MMISSION

Hokitika Guardian, 15 February 1922, Page 1

ECONOM Y COM MISS ION

the geddes economy report,

AUSTRALIAN AND N.Z. CABLE ASSOCIATION.

LONDON, Feb. 13. Speaking in the House of Commons, .Mr A listen Chamberlain announced that the Admiralty memorandum criticising the Geddes Economy Report bad been circulated pursuant to a general derision by the Government, who thought it was desirable that the House should possess this information, as well as that in the Geddes report. ASQUITH’ 8 CRITICISM. (10VERNMENT WASTE. LONDON Feb. 13. In the debate on the Address-in-Re ply. Mr Asquith moved an amendment accusing the Government of extravagance, and calling for a reduction in the crushing burden of taxation Mr Asquith remarked that, although he would not say that the Geddes’ Committee had not done useful work, lie was still of the opinion that, its appointmen had been unsound in pnncple, and it- amounted to a delegation to an outside and irresponsible body of the functions to ho discharged by the Treasury. , 'Hie Admiralty Hoard’s counterblast, said Mr Asquith, accused the Geddes Committee of gross ignorance and abiect incompetence, and it looked as though the Admiralty memorandum was only the advance guard of a procession of similar documents from the other departments of State. Referring to the Geddes reductions proposed for the Army, Navy and Air Services, the Liberal Lender complained that the personnel of the Army was 30,000 in excess of that at pre-war days. Tlcl cost of the war office was £1,300,000 compared with £457,000 pre-war, despite the fact that an armed camp in Europe had practically disappeared. THE WASTED MILLIONS.

In the course of his speech in the House of Commons, Mr Asquith condemned as ill judged the parsimony in the Education expenditure. He said “Our present position is mainly due to wasted millions on ill conceived and vacillating policies.’’ MINISTERIAL REPLY. Sir Robert Horne, in reply, said Mr Asquith quite ignored a most important factor in the expenditure, namely, the war debt, which was responsible for nearly half the usual expenditure. It represented 3s in the £ income tax. The Treasury' asked for £113,000,000 reduction, not because that sum was being wasted, but because the country simply could not face swfh a, heavy bill. He denied there was any surrender of the Treasury authority liv the appointment of the Geddes Committee, which had not any responsibility for the Treasury policy. The latter was entitled to consult whatever expert advice was available. No Chancellor could afford to give the time to produce such a report. Large reductions must be made, either along the lines of the Committee’s reoommenda-

tions, or on some other principles, but it was perfectly obvious that all the recommendations could not be accepted in tlieir entirety, as difficult and grave questions of policy were involved. When the estimates were forthcoming, it would he found that reductions to be made amounting to £40,000,000 were not entirely due to the Geddes report, but to Government’s own investigations. Some reductions had been effected in the British army which never had been based on the size of thei European armies, but on the responsibilities of the British Empire. The British finances had always been tlie admiration of the world. It was one of the greatest factors in the maintenance of European civilisation. LABOUR’S VIEW. Mr dynes stated the curtailment in the payments for heatlli and education would ulimately be no saving.. The preventing of children from going to school before they were six years old would be absolutely cruel to both the children and their parents.

Mr A. Chamberlain, winding up the debate, said the Government could not delegate to a committee a, decision for which the Ministers were responsible. Tlie Government was responsible for the safety of the country nnd for peace throughout the Empire. With every desire to find reason for accepting the Geddes recommendations, there were considerations whereof the Geddes Committee could not be the judges. Mr Asquith’s amendment was negatived by 241 to 92.