REFORM PARTY

Hokitika Guardian, 18 February 1931, Page 3

REFORM PARTY

AN OFFICIAL STATEMENT. (By Telegraph—Per Press Association) WELLINGTON, February. 17. Tiie following statement- dins been banded to the press;by Mr A. E, Alander, Dominion General Secretary of the Reform Party, as a reply to the recent pi'onouncemeiit by tae Leader of the Labour Party, Mr H. E. Holland: “The statement which has been made by .Air 11, E. Holland, M.P., oil bcluili ol the Labour Party is one which calls for outspoken comment. Referring t<> the Prime .Minister’s recent declaration of ins Government’s change of policy, Mr Holland says that ‘there has never been in the history of any country such a wholesale dishonouring of election pledges!” But surely. Air' Holland should be the last man in New Zealand to reproach the Government on that account, in view of what has occurred in the |>ol i ti. a I life of New Zealand during the past t"'o years. We. may recall tho actual pledges that were made by the United Party in its election manifesto of 1928. There was the pledge to borrow £70,009,009 at It per cent-., and to re-leiul £00,000,009 iu the formal advances to workers and settlers at l:| per cent. Did Air Holland and the Labour Party say anything about a ‘wholesale dishonouring of election pledges’ when that pledge was. broken ? No, Air Holland and Lhe Labour Party continued to applaud a ml-to support the-United Government. Then we remember that the United Party pledged itself to- a ‘ic.osion of the income tax scale reducing' the maximum amount,’ and aim ill t': e Labour Party made iio protest, when lhat pledge was broken. “There was another election pledge by tlu* United Party to ‘foster secondary industries by subsidy rattier than a protective tariff,’ and once again Air Holland and bis friends supported the United Government in raising the tariff and thus increasing the cost, ol living with never even a bint that they disnpnrovod ol the Government’s breaking its election pledge

“Finally, although the United 'Party’s official (Je tion manifesto declared specifically that ‘the Territorial system will be maintained,’ it was Mr Holbvnd hi Pi self who actually boasted ■of having, forced the Government ‘under pressure from the Labour Party’ to act in a manner exactly contrary to the manner in which it was pledged to- act. “In the face of these and many similar filers, Mr Holland is very unwise now' to begin censuring tile Government so late in the day for breaking its‘Mention pledges. The plain truth is t-bht in 1928. the Reform Party foreseeing our present difficulties (y lib'll were bound to fellow Britain’s adont ion of polb-v of deflation), went to the country with a policy of making preparation in advance to meet bad weather which was coming. Mr Coates and bis colleagues believed that a serious crisis could he averted and that 'readjustments would be made without undue stress'or hardship, provided only flint the Government acted prudently in taking all possible precautions before a storm arrived, and then dealing 'with the situation as it developed. “But the general election of 1928 resulted in the defeat of this policy of shortening sail and preparing for bad ’weather. A new United Government was elected on a programme ot heavv borrowing and extravagant expenditure. AYitli the .support of Air Holland’s Labour Party for two years, this policy of reckless extravagance has been onrsued for two years, (he situation has been giowing rapidly worse, and both the United Government and the Labour Party has refused to recognise the fact, hut have instead done everything possible to aggravate and intensify the difficulties of the situation. As late as May. 1930. at Parnelll by-eiectiion, Air Forbes himself deelareef the. finances, ol tho Dominion were in a tiro-roughly satisfactory state although even at that, time he already had seen - a Treasury report which he subsequently issued, and which showed that ' a shortage-.-of £3.000,000 was to he anticipated: For the remainder of t,hat--year, the Government continued- spending' money lavishly 'in. construction- of- new railways and in relief, works (at 10s lid a day). As late as July last it seemed impossible to make cither the Government or the Labour Party realise that the dominion was on the verge of a serious economic crisis. E-vcn on the 19th. July, 1930, Air H. E. Holland was scoffing and encouraging the Government to scoff at the idea that there was any considerable fall in export values, and saying: ‘1 do not believe Air D Jones was right in stressing as serious the financial position of the country. Both gentlemen declared that the country’s exports had fallen considerably. Well have they? After such exhibition of his lack of acquaintance with actual conditions in the country,. Afr H. E;. Holland should he silent for a very long while. On iOtli. October, 1930, just, before Parliament closed, Mr Coates again ernnlntically drew attention, to the. development of a serious crisis. ‘1 do-, not wish t-i appear as an alarmist,” he declared, ‘but I do think it is the duty of every right-thinking person to IWp hard fa.ts. T am afraid people generally do not even vet realise th n gravity of the situation.’ But even Own, in October last, it was impossible to ehe-k the Government in it' <-.>reer of ovtrive:;anee. or to.make it fa--e a s'-rious situation which • vu‘ i-mvi'lv d“Vcl(ioim>\ It was not "'ltd i'-.- last d iv of th° last s ( 'sslcn of P:vli incut that the T.-honr Partv ‘t.f'tt- ..! iouiid on x he Govcrmneni,’ re-

fusing to support it further. I lien, abandoned by the- Labour Party, the Government was liee at last to listen to reason, though more months elapsed before- any action was taken to'cope with the situation which every week was becoming more difficult. On the 21st. January, following a conference if the Reform Party, -Air Coates made an explicit public statement of measure- which in the judgment, of the Reform Party were urgently necessary. ■This statement was. issued the day after Air Forbes returned to New Zeaian.!, and it cannot be otherwise thru satisfactory to the Reform Party to note that, although there are some divei gencies and some important omissions, yet many of the suggestions proffered by Mr Coates have now been •adopted by the Government^ “if Air Holland cares to describe (.his as ‘an unumditioiiial |surreii(K-i to Air Coates and the Holorm Party, .hat is a matter upon which, iie to .vliimi the Government surrendered lor two previous years, may bo ielt to judge. 8-o Inr as the* E-eloriu I aity is ■onecrued there has never been any irascibility of doubt as to the: line it .vould take. Air -Coates has stated again and again that if and whenever the Government might be persuaded to do tlv rigli thing, it could rely upon the assistance of the Reform ’arty, in passing all measures whlli vore j n the real interests of the people as a whole, and calculated to help the Dominion to emerge from the ■ resent crisis ” CITY COUNCIL. FOLLOWS OOYERXAI ENT LEAD. .. . . QHR?STCHUR CH. Fell. 16. The City Council to-night, decided, by a majority of one, to reduce the salaries ; of ■ its officers.. • Tho new scale s to operate from April Ist. The following recommendations of the Finance Committee were agreed to: J hat as ■ Hie economic conditions o' the. Dorn in ion call for a naLural reduction in the (o-sts of government, a reduction of salaries be mad 0 to operate ns from April Ist.. 1931 ; and that where the Council is paying wages and allowances in excess of award rates, the award rate he reverted to as from pril Ist.. 1931.