The Guardian And Evening Star, with which is incorporated the West Coast Times. THURSDAY, APRIL 29, 1926. A FOREIGN DEBTOR.

Hokitika Guardian, 29 April 1926, Page 2

The Guardian And Evening Star, with which is incorporated the West Coast Times. THURSDAY, APRIL 29, 1926. A FOREIGN DEBTOR.

Somk definite action by France towards the repayment of her debt to Britain has heen patiently awaited for long past, and the report that arrangements have been made for certain payments thnt can be included in Air Churchill’s Budget will be welcomed, says the “ Lyttelton Times,” by the heavily taxed ratepayer in Great Britain. During the years of war a stream of money flowed from Britain, not only for her own needs, but also for the needs of her allies. Without it nothing on earth could'have prevented collapse within the first twelve months, while her seapower, which kept the seas cleiv for the transport of food and men, was a further enormous charge that Britain shouldered alone. Not only did she lend her wealth, but she also taxed

herself to the uttermost, confident in

the national honesty of peoples to whom she lent, that they in turn would face their obligations at the close of tho war and repay what they had borrowed for their very existence. Measuring the honesty of other nations by her own high standard, Britain never imagined that for so many years she would be penalised for undertaking financial responsibilities that saved the Allies from catastrophe. After spending as much per head as any three of the Allies, including the United Stales, she has had to face, since the war ended, unparalleled taxation and widespread commercial depression. Despite all this, Britain was the first of the Allies to fluid her her debt to America. Had the Motherland played tho game of postponement with tho same dexterity as that practised by her own creditors, she might in the end have gained better terms. But that was not the British way. Having entered into an agreement to discharge her debt to America, Britain made a generous offer to the Allies to accept from them annua! payments which would have been sufficient to relieve tbc British taxpayer of the burden due to the flotation of loans in America on their behalf. Since the signing of the Peace Treaty the British authorities have had to pay large sums on account of loans negotiated for other countries. It has been computed that had France and Italy made an effort to meet the interest charges, the income tax in Britain could liav’o been lowered substantially some years ago. The delay in funding the debts has caused much irritation, and it will he a. good thing if an arrangement can be reached which will justly redistribute the burden.