HOUSE OF REPRESENTATIVES.

Manawatu Herald, 7 August 1894, Page 2

HOUSE OF REPRESENTATIVES.

FIIIDA*, AUGUST 3. The Speaker took the chair at 2.80 p.m. The following Bills wore read a first time : — Charitable Aid Boards Special Empowering Bill; Kirikirf Native ScHddl Site Bill: Captain Russell, resuming the financial debate, said Mx Montg6mery had said that he would not support any loans which meanfc increased taxation*;. But $eiiibers should recollect that every loan imposed further taxation on the people. It was an axiom that all taxation must inevitably fall upon the weakest of the people, and further borrowing, .meant. further^taxation for the poorest of the community. Sir Robert Stout had done more for the causa of Liberalism than had baen done by all the men on the Government benches put together. It would appear tiidt notwithstaadiiig their profession's of self-reHdiice aiid non Borrowing, the Government had increased the public debt every year by £741,143. He believed that while the Premier did not understand the, Budget; the Treasurer did not u'dclerstfiricT the true principles of finance. The conversion of the half million Imperial guaranteed 4 per cent loan, meant that the Colony wag saddled with £G16,000 a year for ever and ever, with £21,560 of interest to pay. all that the Ministry might liave a little money to Jingle itl their pockets.; Regarding the bankirig legislation; There was grave doubt as to whether they had done wisely in this matter, The evidence. given before the Committee of the Legislative Council showed that of the million., £500,000 was td be Used to pay off the debentures of the Assets Company, and the remaining £500,000 to strengthen the gold reserve. The Colony, he pointed out, was involved not only in the Bank of New Zealand, but also in the proper solution of the Assets Company. He was afraid, though he could not withold his consent to the Bill a few days ago, that that was not the only Bill they would have to pass. He suggested that the Minister of Lands should propound a scheme by which he could acquire for settlement some of the estates of the Assets Company. There was another important fact, notwithstanding that they had lately given to the Bank two millions of money, the Colonial Treasurer was causing the land tax to be collected four months before the ordinary time. The Minister -of Lands- said Captain Russell had stated that Sir Robert Stout was a Liberal. He had made that discovery only a fortnight ago. The policy of pur«^ chasing land for settlement was no^ new thing. It was a policy of the late Mr Ballance. The Government had taken up 9118 acres last year under the Land for Settlements Act, without any extra cost for surveying or roading, all this being charged to the account, and the total amount was £89,117 ; and on this land they had settled H8 low pie settlers. The proposal to expend £250,000 in the purchase of Native lands was no new thing. The only item of borrowing was that of £250,000 for making roads and bridges ; and he maintained that it would be impossible to carry on these, very necessary works unless they hadithis money. No money would be more • reproductive than that spent in opening up the country by roads and bridges. The cheap money scheme would give as great satisfaction throughout the Colony as Anything ever done by this. House. The statement that the Atkinson Government had settled more Una fide settlers than were placed on the land by the present Ministry was in* correct. There was a difference of 865 in favour of the present Government. It had been said that the Government should have acquired land in the neighbourhood of the large towns.. They had endeavoured to do that, and the cheapest land they could get anywhere was near Christohuroh at a price of £60 per acre. That would mean, at 5 per. cent interest, a rent of £3 per acre per annum. That might! be suitable for building allotments, but he thought-b:on. members would agree with him that it would never do for settlement purposes. He denied the assertion of Sir Robert Stout that the present Government were departing from their policy by the new proposals. It was true that they were asking for more money for land settlement," bat there .was no change in the land policy. -As to the assertion of the Opposition that the Bank of New Zealand had coma as a surprise to the Ministry, the Government knew for twelve months that the Bank was not strong, but if they had gone about the country - 1 proclaiming that, what would have • been the result ? Th|y would have brought the very crisis they were endeavouring to avoid. Mr Earnshaw deolared himself entirely opposed to the Budget proposals. They meant borrowing from beginning to end. The Government had deliberately added to the public debt. He urged that it was true Liberialism to remove the duties on the necessaries of life, and

he strongly ejected therefore to, the $uty oh fruit; tie also maihtajnea that the {joverhment oMght to. have dealt with' the Jiriff. He would vote jigiiriat the .Budget as a whole, because he believed it to be a pernicious system of borrowing, diametrically opposed to the true interests of the working men. Messrs Collins, Wilson and Pinkerton also spoke, fttid Mr Lawry fcboW tjie adjournment. t THe Hotisie rbsli at J. 2.20 jf.tii;