WELLINGTON NOTES.

Hokitika Guardian, 2 July 1924, Page 1

WELLINGTON NOTES.

PARTIES AND POLITICS

(Special to “Guardian”.)

WELLINGTON, June 30.

I’ar.liatneut has opened, a dull speech has been duly delivered by tlie Govern-or-General and th 6 three parties have met in caucus. Tlie official (reports of these meetings.give the impression that, “everything in the garden lis lovely.” The truth, however, is never given with any exactitude for none of the parties wish to stir their dirty linen. The position is not so comfortable as we are led to believe. 'I heio are dissensions of sorts ill all camps, hut the Labour Party comes nearest to harmony. It is the best disciplined party and is at present flushed with the fever of expectancy, lias not Labour won in Britain, in .South Africa, in South Australia and in A ictoria, and therefore is it not reasonable to suppose that Labour will win in New Zealand? It is this pleasurable expectancy that is exciting the Labour members of Parliament who are decidedly active and aggressive and arc hurling all kinds of political missiles at the Reform Government. According to some wise heads in Wellington the pendulum is swinging away from Reform, and will pass over Wilford’s head and stop at Holland unless a new party, acceptable to the democracy, interposes between Massey and Holland. Is that new party in sight? If it is in sight will it possess the character to command the confidence of tlie people ? Who can tell? But one tiling is obvious. If a new and vigorous party is not forthcoming New Zealand will lie under the rule of a Labour Government obsessed with economic fads.

LABOUR’S DILIGENCE. The leading men in the Labour Party are close students of politics, and latterly they hate taken to making an analytical examination of public finnnc, for which they deserve to be commended, for if there is one thing more than another in respect to which people are ignorant and apathetic it js with regard to the national finance. The Labour Party in scrutinising the Treasury accounts have come upon a remarkable point. In the financial year ended March 31. 1923, the ocount disclosed a, surplus of about C 1,313.000. and a critical examination of the various accounts shows that the Discharged Soldiers’ Account paid £.>1(1.000 by way of interest on advances from the Consolidated Fund. For the financial year just ended there was a .surplus of £1.812,(XX), but an examination of the detailed accounts discloses tlie fact that no interest was Oollocated from the Discharged Soiidiers’ Account. Naturally the Labour Party wanted to know why this omission occurred. The explanation given by the Minister of Finance was that the amount was left with the Discharged Soldiers’ Account to prevent the necessity of borrowing for that account. A very plausible excuse, but Why was it not done ill the previous year? The true explanation is that tiig Finance Minister was alarmed at the magnitude of his surplus and ‘-ought to minimise by this little trick of hook-keening.

FINANCE SYSTEM FAULTY. It is contended here by men competent to express an opinion that the system of accounting and financing that, obtains with the New Zealand Treasury is not merely laulty but -vicious Jiir iL encourages extravagance and imposes unnecessary burdens on the taxpayers. Finance is made the plaything of parties, and we have ooine to regard the Consolidated Turn! as a sot t of Pandora’s Box and to foster this folly the taxpayers are bled white by tin* Treasury. The national finance should be above party, it should be the object of jealous cure by all parties and especially by tlie great body ol taxpayers. Tlie keynote to the extravagance in our national finance is the surplus. It is accounted a political achievement for the Finance Minister to produce a surplus and Air Massey has liuilt up a kind of reputation, with bis successive surpluses, but he lias gone just a little too far in the past year. These surpluses, whether they are huge, substantial or small come out of the pockets of the people, and this year’s surplus whittled away as it lias been is equal to about 2G.s per bead <T the entiie poiiulatiou. men. women and children. Surely this is not sound financing or fair financing. Tlie only way to put an end to this vicious system is to deprive the Minister of Finance and the Treasury of all power for dealing with the surplus. The surplus should bo applied to a reduction of debt as it is in Britain. That is the solution of the extravagance problem.