BRITAIN’S BUDGET

Hokitika Guardian, 15 April 1930, Page 5

BRITAIN’S BUDGET

OUTSTANDING FEATURE

(British Official’ Wireless.)

(Received this day at 9.40 a.m.) LONDON, April 14

The outstanding feature of Mr Snow den’s Budget speech is that the in come tax siandaid is increased sixpence.

Increases in income tax and supertax will yield 3K millions sterling this year.

Death duties are increased to fifty per cent. Super tax on large incomes is increased by a graduated scale by 3d ■to Is 6d.

Safeguarding was allowed to lapse but the .McKenna duties are retained. The delivery of the steedi took one hundred minutes.

Air Snowden toyed with the key of the Budget box, awaiting the end of a long series of questions. He then produced from the box a speech typed by himself. It was heard tor the most part in silence.

A TENSE HOUSE

LONDON, April 14.

There was in the House to-day more than the ordinary tenseness that precedes a Budget. It was Air Snowden’s second Budget hut last time the task was easy but this time he is faced with a deficit. Not only was the floor but all the galleries were crowded. Something drastic: was expected. Secrets were so earefuly guarded that usually well informed circles were ignored. Would Snowden show himself a hold imaginative Chancellor? Would he rise above his party? These were questions which were uppermost when Snowden entered the House at 3 30. Instantly a wave of sympathy went out to him. His spinal affliction gives him much pain and makes him walk slowly and stiffly. The Chancellor is universally liked and when he entered walking with the aid of 2 sticks Conservatives were willing at heart to cheer with his Labour supporters. Snowden spoke for an hour and three-quarters. He passed through the ordeal wonderfully. As, a physical effort the lucidity of his exposition of the speech was admirable. As the Budget was at once provocative, eommonnhee, mechanically, efficient, uninspired drastic but an unimaginative one a great surprise was the reimposition of 6d on income tax. Few speculators took this into consideration. Across the gloomy landscape of increased taxation, Snowden cast few fitful gleams of humour. A shout of jubiliation followed the announcement of the retention of the McKenna Duties.

“Take care,” retorted Snowden grimly “I may change my mind yet before Parliament is finished,”

Mr Lloyd George and Mr Churchill warmly congratulated the Chancellor when he resumed his sent.

DELIVERED BY MR 'SNOAVDEN,

DEFICIT OF 14) MILLIONS.

(Received this /dav at noon A RUGBY, April 14,

Mr Snowden made his Budget statement this afternoon to the House of Commons, which was crowded in every part. t He said the financial year ending March 31st closed with an actual deficit of £14,500,000, instead of the surplus of £4,000,000. The revenue fell short of the estimate by £11,750,000. There were deficiencies in spirits duty of over £1,400,000 and on beer duty of nearly £I,SCO,OOO Sugar duty was nearly £1,600.000 short. On the other hand tobacco duties continued to show their good record yielding a surplus of £2,800,000. llncome tax yielding £237,500,000. was £2.000,000 below the estimates though it showed an advance on the yield of the previous year. If various changes in the rate of the tax were taken into account, so far therefore as income tax,' might be taken as a barometer of the nation’s prosperity, one was entitled at least to say that industry as a whole had continued to hold its own.

The surtax was £1,500,090 below •■the estimates. Stamp duties owing to the decline in Stock Exchange transaeions fell short of the estimate by the large sum of £5,250,000. With regard to expenditure, Mb Snowden said the Ministry of Labour required a supplementary estimate of nearly £7,750,000. On other services there was a saving of about £1,000,(XX). It was thus that the total expenditure exceeded the estimates bj £6,750,000. Mr Snowden estimated the total expenditure for the current year at <>182,(00,0)0. He estimated the revenue on the basis of existing taxation at £139,750,000. The difference which lie had to make good was over £42,000,000. % Mr Snowden announced changes of taxation by which he proposed tn raise this amount. The standard rate of income tax would be incieasecl by 6d to 4s 6d in the £l. Small incomes however would still pay only c>s on the first £250 of taxable income as at present, so that three-quarters of the income tax payers would not be affected.

The surtax would lie increased. 1 lie increase in the internal rate oi surtax would from fid to Is in the £l. On income in excess of £o0.(O) a \eai would be from 6s to 7s Gd. With regard .to death duties -be proposed to amend the existing seen' by increases of from 1 to 20 per cent on c states from £120,000 to £2SO,(XX) onwards and to increase the scale gradually from £250,000 to reach a rate of 50 per cent on estates of £2,000,000. Tiie dulv on beer would be increas-