WAR FINANCE.

Manawatu Standard, Volume LX, Issue 135, 8 May 1940, Page 6

WAR FINANCE.

In his reference to financing- New Zealand’s war effort, when interviewed at Auckland this week, the Prime Minister had nothing to add to what has already been said by the Minister lor Finance. In the current financial year the cost has been estimated at £33,000,000, of which £20,000,000' will be required overseas and will be available, from the British Government as loan money. This leaves £13,000,000 to be found in New Zealand. Special war taxation imposed' last September is estimated to produce £3,500,000 this year, so that approximately £9,500,000 must be raised by “various means,” which the Prime Minister said may include “soms additional taxation and the tapering off of certain public works and other expenditure that will have no detrimental effect.” Mr Fraser’s reference was practically on all fours with what the Finance Minister had to say last month, except in one important point. The former made no mention of a loan, whereas the latter included borrowing as a means of raising the nine and a half millions. So far only general statements have been made and the financial year is getting on. Parliament is still several weeks from being- assembled and the public, who should by now have more comprehensive details of the Government’s proposals, no doubt will have to wait until these are brought before the House. The British taxpayer knows his commitments, if not for the whole fiscal .year then for a considerable portion of it. and the Australian war Budget, the third Budget actually presented in this financial year which ends in June, but which covers the financial year 1940-41, has made the Australian taxpayer also aware of his obligations. There should be no delay once Parliament assembles on the Government’s part in giving the public the fullest information on its proposals, in which economies must have a material place.