How The Money Goes

Sun (Auckland), Volume II, Issue 494, 25 October 1928, Page 6

How The Money Goes

MR. POTTER EXPLAINS CABINET’S EXPENDITURE The impossibility of increasing pensions or workers' benefits was stressed by Mr. V. H. Potter, who said last evening that every halfpenny of the country's money was wisely expended and used for necessities. Dealing with persistent hecklers in masterly fashion, Mr. Potter, Reform candidate for Eden, addressed a large, crowd at the Gordon Road Hall, Mount Eden, last evening. The building was packed, and many, not being able to gain admission, stood on the steps in the. rain. “It must be understood,” said Mr. Potter, “that no increased pensions payments can be made or free health treatment paid for unless we increase taxation which is definitely contrary to the Government’s policy.” The candidate declared that no increased grants could be expected in those departments at present, as every penny the Government spent was for necessities. Any additional sums would have to come out of the taxpayers’ pockets. The national debt had been decreased 12 per cent, in nine years, excluding the war debt, the country was paying interest on £271,000 only. The income tax was the smallest in the Empire, and, even then, nearly a fifth of the £IO,OOO-a---year man’s salary was taken. The candidate did not consider it wise to penalise such men further, as it was to New Zealand’s advantage to have them within her shores. The greatest calls for money the Government had to meet were State Advances, Advances to Settlers, Pensions and Superannuation, Post and Telegraph, Health and Agriculture. It was no use calling, for further favours. No Government could reduce the expenses in those departments, and the electors could be assured that the Reform Government was spending its money with an eye to everyone’s welfare. It was admitted that 55,000 farmers in the Dominion were paying neither land nor income tax, but the Government was of the opinion that such money should be spent by the farmer in improving the soil and buying phosphates. Large sums were being spent on the development of New Zealand’s hydroelectric potentialities, which had been described by experts as the best in the world. In concluding, Mr. Potter assured the electors that the Prime Minister and his Government could be trusted to spend the country’s money in the best possible manner for everyone. A vote of thanks and confidence was passed, an amendment expressing noconfidence in the present Government being lost substantially on a show of hands. Mr. A. Bryden presided.