The Guardian And Evening Star, with which is in corporated the West Coast Times. THURSDAY, APRIL 14, 1827. THE BRITISH BUDGET.

Hokitika Guardian, 14 April 1927, Page 2

The Guardian And Evening Star, with which is in corporated the West Coast Times. THURSDAY, APRIL 14, 1827. THE BRITISH BUDGET.

Thk British budget disclosed, as was announced in advance, an enormous deficit. .Mr Churchill, the Chancellor of the Exchequer, had to face the Commons with a panacea for the ills the United Kingdom had fallen heir to, by reason of the prolonged coal .strike. It was an ordeal of no light nature. | It might have overburdened many I .Mr Churchill appears to have emerged triumphant. His keenest critics, the ex-Chancellors, discussed the budget speech with pleasantries, making humorous allusions to the manner in which Mr Churchill had succeeded in presenting a case, which even if it did call for strictures, did not ensure a vote of no-confidence. Instead, lie was accorded a vote of thanks, and was congratulated on his “courage and audacity” in facing the position as lie did. This praise Irom the ex-Labour Chancellor was no mean compliment. Nor was that of the cxLiberal Chancellor that he (Mr Churchill) was “the merriest tax collector since itobin Hood,” while bis budget was “extraordinarily ingenious and audacious.” No doubt, when the statement by the Chancellor is considered in cold print, there will he much occasion for criticism. Already there is the light and airy statement that the budget seeks to raid Peter in order to avoid raiding Paul. That is the ingenius side of the issue. But Mr Churchill had to do something, and one thing he lias done, is to-swing the axe of economy. Some departments are to go—surplus departments which can l>e spared without disrupting the administration. In addition. the civil service is to be overhauled. and surplus officials parted with. This retrenchment is necessary where economies are forced upon the Government, and it is well to see the Chancellor have the courage to take that step. It is an example for other Countries which are drifting ‘financially, and one of the causes is the overstaffing of the administrative side of the Government. New taxes, too. have to be applied to the situation. To achieve this, as the London Times points out, “fhe main expedients on

which Mr Churchill relics do credit to ins skill in discoloring sources o! revenue without increasing the duties on necessary articles of consumption. The finest aspect of the situation is the splendid solvency ol Great Blitain. As Mr Chun hill pointedly pm it: “Fugland had not advanced as rapidly as some nations, but still she was advancing. 11.-c economic vitality and financial strength though strained were unimpaired.' And we know Britain is paying her way and helping other countries to pay their way. the discharge ol her obligations to the Cnited .States is an outstanding example of the British financial character, and a tribute to her probity. Britain had arranged for certain, credits from the Cnited States as a hacking if required. That hacking "its not required. and not used, and now the obligation to retain it as financial backing is not necessary. In. finance Britain hits achieved great results, and the fact that the position is buoyant enough to drop three hundred million dollars in the contingent credits for emergency, and at the same time provide for a. cut in the local expels dil.ure of many millions and raise thirty-eight millions by increased revenue, is proof enough that Britain has the resources to continue wielding Lite world’s financial sceptre. The monetary position of the Old Land must he a great source ol sat isl act ion all round the Empire. It. is pleasing, despite the plight of the country over the greater part of last year through the crass stupidity of the prolonged coal strike, to realise that the country has the recuperative powers to meet .so dire an emergency. Such financial straits as now have to he met, should he a lesson never to incur so great, a liability again through a stupid strike. But madness ii l that direction is ever recurring. The cost of the last groat strike has been enormous. as Great Britain is now learning from the story of its budget.