MR LANG’S LEGACY

Hokitika Guardian, 15 November 1927, Page 1

MR LANG’S LEGACY

HIGHER '(TAXATION. SYDNEY, Nov. 3. Jt is a very,good thing for the Premier (All- Bavin) that he did not. in one of those weak moments which overcome most politicians, commit himself and his Party to a reduction of taxation during the recent elections campaign, for on assuming office lie has found himself very much like old Alothor Hubbard. He has found the Treasury cupboard hare—barer, indeed, than he had anticipated, if taxation is not increased by the- now Government, the incidence of it is almost certain to be reviewed in some form or other. In the next three years, for example, loans falling due total from £12.000,000 to 015,000,000. at much higher rates than formerly. It will take £30.000.000 or C40.C00.090 in the next few years to carry out such works ns the llarlioui- Bridge, the City Railway, and the electrification ol railways. And, in face of a disquieting financial problem generally, the Railway Commissioners are crying out for increased freights and faros. This demand. which was made on the late Government as far hack as June, but which was pigeon-holed, was one of tlio first of AIF Bavin’s shocks on becoming Premier and Treasurer. This financial year the Railway Commissioners have to meet additional charges totalling roughly £1.728.0(10. The public of course, will have to foot the bill. They would have had to pay more for train and tram fares before this, but were mercifully saved by the humane Railways Act. which prevents the Commissioners front increasing fares without executive authority, and the late Government obviously did not want to give them that authority just before an election. The public will also have to pay tor the loss this year of £1.240.448 on 52 lionpaying railway lines, a loss which, the Commissioners think, should, in part, at least. lie lxirne by consolidated revenue and not he an incubus round their necks. Altogether. Air Bavin’s lot. like that of the policeman, is not going to be an entirely happy one since lie has to find money and cannot produce it by the magic touch of the philosopher’s stone.