The Guardian And Evening Star, with which is incorporated the West Coast Times. THURSDAY, MAY 12, 1927. A MINISTERIAL SPEECH.

Hokitika Guardian, 12 May 1927, Page 2

The Guardian And Evening Star, with which is incorporated the West Coast Times. THURSDAY, MAY 12, 1927. A MINISTERIAL SPEECH.

The Ministry has broken the long silence of the political interlude between sessions with a public speech well prepared for the occasion. The Minister of Finance seems to have been selected very happily for the occasion to publicly represent the “Silent” .Ministry. The Hon AY. D. Stewart naturally put “the l>est side to London,” and lie accomplished the task with all his native modesty. Of the many political questions of the hour on which the Coates Ministry will have to face Parliament next month. Mr Stewart spoke only of finance—but that after all was the most important of all. the key to the position of all things political. Air Stewart put forward his statement very clearly, and it was not overburdened with a mass of figures. He selected various points upon which the Government had been attacked or criticised . and offered ready replies from his point of view. lion owing has been a great weakness of Reform, even in the good years of finance, and now in the more stringent times, the Government makes its annual demands on London for more loan money. This has been criticised very often. The Government lias had to admit the criticism was justified, but he blames the people for clamouring so regularly and consistently for public expenditure. It would appear that the borrowing policy should rightly be determined bv the Government on equita'" l

lines as to necessities, and not liecause the neople clamour for “expenditure.’ The Government is in its place to judg" ns to the claims for expenditure. when that expenditure is finally authorised, we take it. it is not because the people asked for it. but 1 -~- oause the Government considers the purpose for the expenditure economic

eally sound. To infer that the people make the pace for borrowing is to sug-

gest that the (iovermneut responuett with a "seatier-cash" policy, and not with a financially sound policy. Borrowing must go on lor .sonic time, because the Cuvernmcnt is committed to large outlays for special works extending nvi-r some time, hut while this is so, there arc other aspects ol the financial issue which call lor consideration, particularly now when there is so much (Tenoral stringoncy. tine in particular is the curtailment of general and departmental expenditure to assist in relieving the stringency pervading the Dofiniou. Jest as private individuals companies or local bodies, have to main' cuds meet when funds ate short, so the (iovermneut should he ready to adept economical methods which will afford at least a measure of relief. AYe have to hear in mind that this borrowed money goo- largely ini i sol cent res. where as the money to pnv lor it and nil imnt’Tv to repay it . comes from the country generally. All parts of New Zealand are n it enjoying directly the hem-lit of the expend it tnv on loan iiiaiK-vs. hut all parts am cent ribut ing direell.v to the payments: f <r the loans. It is the misfortune ol Westland that no great nnbiie works arc in hand Imre lo share in s ■mo potion of tho loroigu capital. Instead, the people are taxed ami levied upon to pay lor work's elsewhere. This stag' of affairs becomes more apparent when we liiul so many requests for imnoiiani public works up and down the district refused, often for very flimsy reasons. With matters in this state it is not surprising that folk are critical about the rate of horiowing and the charges lor the public administration, 'the shoe pinches. We have to liear in mind also, that the present Govern.meat Inis raided local revenues, while more is being demanded from the local bodies. The district in that respect has had the worst ol the deal both ways. Naturally the general view of the position is governed by local experiences, more particularly as the situation is not of brief duration. The system of shady and continuous borrowing is adding greatly to the annual burden, and where that is unfairly shared for the reasons already given, the prospects in regard to a continuance of the present policy arc not pleasant. Air Stewart offers what comforts lie can as to the country’s prospects as a whole, for lie believes the country to he sound, and as he is about to receive some six millions to help smooth the running for the financial wheels, lie “can look forward to the future with confidence.” To instill confidence in the people it would have been hotter had he been more declaratory in regard to the policy lie was going to pursue in respect to curtailing general expenditure. It is manifest that must lie done in no haphazard way. The year on his own showing is going to he one of “difficiifTy.” .Something statesmanlike must, ho done to pull through the year with credit to the Dominion.