THE BRITISH BUDGET.

Rangitikei Advocate and Manawatu Argus, Volume XXXIV, Issue 9433, 1 May 1909, Page 5

THE BRITISH BUDGET.

, TO RAISE SIXTEEN MILLIONS.

MANY NEW TAXES

United Press Association.— By ElaoTelegraph.—Copyright. London, April 30. There was a crowded House, except in the Strangers’ Gallery. Mr Lloyd-George spoke for four and a half hours. He claimed that the increased expenditure had been substantially incurred with the unanimous assent of all parties. The growth of temperance had added considerably to the financial difficulties. The Government had to find £l6 600 000, which would leave a ' surplus of £488,000.. It was proposed to meet the deficiency by reducing the contribution to the Sinking Fund by three millions. The income tax on earned incomes below £2OOO would remain at 9d, below £3OOO Is, above £3OOO 18 2d, with a further super tax of 6d on incomes over £SOOO. The . income tax changes would yield 9ifc millions. Is was expected that the super tax in the following year alone would yield £2.300,0C0. based on the amount by which an income exceeds £3OOO. A sum of £3,850,000 would *be • raised by the revision of the estate duties, and £650.000 by the increase of stamp duties on share transactions. Motors are to be taxed from 40s to 40 guineas according to horse-power, doctors’ bars paying half taxes, motor cycles £l, and petrol 8d a gallon, gwith a rebate of to commercial oars. Motor taxes would yield £600,000, which is to be spent on the improvement of roads. The Budget proposes that the State take 20 per cent. of f the unearned increment of land, payable at death and When the land is sold. A further in the £is pnt on the capital value of undeveloped land and ungofcten minerals, also in the £ on mining royalties. Ten percent, reversion dnty Is made on the benefit accruing at the termination of leases. Land taxes will produce' half a million. ■An increase of 8d per lb on manufactured tobacco would yield £1,900,000; an increase of 3s 9d per gallon on spirits would yield £1,600,000; the revision of liquor licenses and a uniform percentage on the annual valne would produce £2,600,000. Mr Lloyd-George suggested that the whisky duties would justify an increase of per glass

retail. The Government fa considering industrial insurance compulsory, self-contributing, and State-aided, while preserving the existing benefit societies. It is proposed next year to give pensions to (workhouse septuagenarians.

Incomes under £SOO will be granted an abatement of £lO per child for children under 16. Mr Lloyd-George concluded by stating that the greater part of the cost of the Dreadnoughts would fall next year if the. contingent ships were built. The naval bill was gigantic, but nevertheless the Government did not intend to avoid its obligations. Their failure to do so would not be Liberalism, but, lunacy; but it would be an act of the greatest unwisdom to throw away eight millions, as we cannot £build a navy against nightmares. The increased yield of his new taxes would make the necessary provision for the navy next year possible without resort to the vicious expedient of a loan. Mr John Redmond and other Irishmen strongly opposed the Budget, particularly the spirit duties. ' The Hfmse agreed to the spirits, tobacco and, petrol duties by 281 votes to 120. Lobby opinion emphasises that a vast complexity characterises the introduction of several Budgets in one. The Radicals believe that Mr Lloyd George is under-estimating the revenues desiring that the new taxes in the next budget may show an unexpected surplus.

HOWL FROM THE TORY PARTY.

Mr Austen Chamberlain said that the Budget was so detailed that immediate criticism was impossible. It might serve the purposes of an electoral manifesto, but . it would take three Parliaments to pass the legislation necessary for its full achievement. It would make bonds dearer, and other securities transferable on delivery would be raised 10s to 20s per cent, of their nominal value, but the bonds issued by Colonial Governments would remain at balf-a-orown per cent. The Times declares that the deficit has to he covered at the cost of the wealthy and the fairly well-to-do. The doctrine of social ransom has never before been carred quite so far.

The Times opines that the Stamp duties will operate very disadvanwitSi hankers, who will he paralysed in respect to raising oolonia and corporation loans. Such loans, it is expected, willbe obtained hy New York hankers in future. The Daily Mail says the Budget is plundering the middle classes and shows that freetrade finance has hopelessly broken down. ' The Standard says that the Ministers have flang away vast revenues from coal, sugar, and tea, and are ‘ now without the courage to recant. ' The Manchester Guardian voices the opinion that Mr Lloyd-George has vindicated the elasticity of-freo- ,, trade finance. The Chronicle says it is a bold jßadget, hut a had speech wearied

the Commons. Mr Lloyd-George was so anxious that a sketch of the future developments of the Liberal policy became a political manifesto. ■ r AFFORESTATION AND AQRI-. OUeTURE. TAX ON MOTOR OARS. Received May A. B * s a - m> London, April 30. The Budget includes a sum of £200,000 to promote afforestation, and a similar'sum for anew agricultural development department, and £IOO,OOO for labour exchange buildings. The rebate on petrol is three halfpence, not a halfpenny in the case of commercial vehicles. It is stated the tax represents £7 16a on a taxicab per annum, £ls 12s on a motor bus. Private oars hereafter will pay twice to twenty times the former license.