Labour Embarrassed

Sun (Auckland), Volume III, Issue 919, 12 March 1930, Page 9

Labour Embarrassed

COAL LEW REJECTED MacDonald Ministry Defeated BRITAIN'S INDUSTRIAL PROBLEMS THE British Labour Government last evening suffered defeat on a Conservative amendment to the Coalmines Bill by 282 votes to 274. The Government was earlier attacked by the Liberal Leader, Mr. Lloyd George, on the question of unemployment, and officials of the Liberal Party stated subsequently that the period of ignoring the Government’s relation to unemployment was definitely at an end.

United P.A. —By Telegraph—Copyright Reed. 11.35 a.m. LONDON, Tuesday. i The Labour Government suffered defeat tonight when a Conservative amendment deleting a levy on behalf of exports from the Coal Mines Bill was carried by 252 votes to 274. Sir Herbert Samuel asked how the Government could go to Geneva and ask to abandon all subsidies on exports when they themselves were taxing the Home manufacturer by increasing the price of coal in order to give a subsidy which would enable foreign manufacturers, who were competing with him, to get his fuel cheaper. Sir Philip Cunliffe-Lister: There is no merit in the levy. The coal owners could make their own arrangements and subsidise a particular class of coal without an element of compulsion. In dealing with the critical stage of the Coal Mines Bill this evening of four, and possibly five, amendments to clause 2—which contains provisions setting up a central scheme for regulating the production, supply and sale of coal by the owners —the Government is likely to be faced with the combined strength of both sections of the Opposition. The first amendment, however, moved on behalf of the Liberals by Mr. Clement Davies, and the object of which was to ensure that “the provision should not apply to coal or coke for export,” was rejected by 272 votes to 242. EXCITEMENT IN CHAMBER While the division was being taken it was obvious that the result would be very close, as the Liberals were voting solidly against the Government. When the figures were handed to the Conservative whip, it was plain that the Government had suffered its first defeat. The Opposition members rose in their seats and cheered and waved their order papers. - It was a full minute before the din subsided, and the division announced, i My. Baldwin asked:” Does the ! Prime Minister propose to go on with ; the Bill.” Mr. MacDonald, who was loudly cheered, said he was amazed at the question.” The Government intends j to proceed with the programme until a vote of censure is passed on the general question,” he' said forty-two Liberals, 23S Conservatives and two Independendent voted against the Government. . j Mr. Lloyd George was absent through illness. LLOYD GEORGE’S ATTACK The Leader o fthe Liberal Party, Mr. Lloyd George, in the House, opened a debate on unemployment. He said the figures had increased from : 1,100,000 to more than 1,500,000 since Labour had been in office. They could not get below the present figures unless a bold and definite policy were adopted. He did not know' whether Mr. MacDonald wanted a dissolution, hut lie advised

him not to seek it with so many people unemployed. The Conservatives’ plan for the relief of unemployment depended upon an effective majority. Scaring the , Dominions was not so easy as scaring Lord Beaverbrook. By scaring him they could not scare the Dominions, i Even a referendum meant time. Britain was. lagging behind agriculturally, electrically and in the matter of road traffic improvement. Mr. George maintained that the time had come for a very candid and , serious review of the whole position, not so much in a spirit of criticism or censure, but if possible in a spirit of helpfulness and, if he might call it so, in a spirit of converting the House into a Council of State. WORLD TRADE REACTION The House of Commons ought to shoulders its supreme responsibility in the matter and insist upon action being taken. Mr. Thomas, in replying, admitted that the unemployment figures were bad, but said the Government was in no way responsible. There was a world reaction in trade. Germany had 3,258,000 unemployed; Italy had 408,000 wholly and 21,000 partly unemployed. In America a member of the Senate spoke of 6,000,000 unemployed and another put the figure at 3,000,000. Based on the same data as Britain’s figures, Mr. Thomas said he believed the total would be nearer 6,000,000. The real cause of the abnormal situation in Britain was the slump in raw material. For the past six months cotton had been falling, with the result that no manufacturer would take the responsibility of giving orders. Compared with 12 months ago, there was an increase in Lancashire alone of 146,000 unemployed. THE WORK AHEAD The repercussions of the recent American slump were also being felt in Britain. They were also feeling the effects of the new Australian tariff.. Mr. Thomas reviewed the schemes already sanctioned by his department to provide employment. They involved an expenditure of £56,000,000 in developing railways, docks, harbours, water supplies, electricity and roads. Members of the House of Commons were surprised at the moderation of Mr. Lloyd George’s sseech on unemployment. They are asking what happened to change his tone. It is disclosed that Mr. George sent a message to a meeting of Liberal members held later, to discuss the tactics to be adopted on the Coal Mines Bill today, saying he was suffering from a chill. A British Official Wireless message says the Leader of the Opposition, Mr. Baldwin, will move a vote of censure on the Government on Wednesday. This will express regret at the refusal of the Government fo disclose its intentions with regard to the maintenance of safeguarding and the McKenna import duties.