UNITED AND REFORM JOIN FORCES

Rotorua Morning Post, Volume 1, Issue 23, 19 September 1931, Page 5

UNITED AND REFORM JOIN FORCES

("Post" Special Commissioner).

DECISION FOLLOWS INTER-PARTY ECONOMIC INQUIRY STATEMENT BY PRIME MINISTER

WELLINGTON, Friday. The following statement was made in the House of Representatiyes this afternoon by the Prime Minister, the Right Hon. G. V/. Forbes:— , [' ;:g, "I desire to inform the House that the information given to the Special Economic Committee, which has been sitting for the past few weejcs, has disclosed the necessity for immediate action being taken in regard to the finances of the Domioion. "I am therefore pleased to announce that, as a result of conferences between representatives of the Opposition and the Government parties in the House, it has now been agreed to form a Coalition Government f rom the two parties. "It is not possible for me to make a fuller statement at this stage, but I hope to be in a position to inform the House of the details and final arrangements on Tuesday next. "I have deemed it my duty as Prime Minister to take Parliament and the country into my confidence ,at the earliest possible moment in this very important matter."

The leaders of three political parties in the House of Representatives. The Reform Party led by Mr. Coates has decided to join the United Party led by Mr. Forbes in the formation of a coalition Government for the purpose of dealing with grave financial difficulties with which the Dominion is confronted. The Labour Party, led by Mr. Holland, has decided to diss'ociate itself from this latest development.