BRITISH BUDGET.

Taranaki Daily News, Volume XLVI, Issue 91, 21 April 1904, Page 3

BRITISH BUDGET.

THE CHANCELLOR'S SPEECH. (Received April 20, 10.37 p.m.) LONDON, April 20. Mr Austen Chambierlain, Chancellor of the Exchequer, in his budget speech," said that a great wave ol prosperity had spent itself, and M. cycle of less prosperous years had commenced. This had been specially felt during the last six months, and had resulted in a shrinkage in trade, the lessening of {employment, and a fall in wages, while foreign competition was even keener. The revenue was £2,724,000 below tho estimates. The repeal of the corn tax had proved more costly than was anticipated, while prices ruling since the repeal showed that consumers had not derived the expected advantage. The deficit for the year was £5,4.15,000, necessitating a draft upon the Exchequer balance of nearly tliree millions. Mr Chamberlain also applied for a million sterling of unclaimed dividends to go towards .the deficit, leaving one and a-half millions to be finally met out oi .the surplus of the current or succeeding years. Continuing, the Chancellor said the national deUt was £764,500,000, having btsen reduced during the year by £5,1-19,-000. The local indebtedness of the .United Kingdom in 1902 was £412,000,000. The chief cause of the depression was the issue of gilt-edged securities to enable the national securities to regain their old credit. Exchequer and local authorities must restrict their demands. He was considering the advisableness of restricting State advances from local loans. Tl>e revenuo for the current year from existing sources was estimated at £139,060,000, expenditure £132,880,000 ami deficit £4,820,000. The increased income tax would-give two millions, and the duty on tea a smaller amount, leaving a surplus of £730,000 towards recouping the Exchetyier balance. In connection with tobacco it was proposed to raise the moisture limit to thirty-two per cent, and to Impose several rates of drawback instead of one, thereby considerably increasing the export trade in manufactured tobacco and cigars, especially with the colonies, which at present are largely supplied from Hamburg and Holland. •