MINISTERIAL STATEMENT.

Taranaki Daily News, Volume XLVII, Issue 8021, 6 January 1906, Page 2

MINISTERIAL STATEMENT.

BRITISH AND COLONIAL RELATIONS. RE-ORGANISATION OF THE NAVY. Received, (i, 0.1 a.m. London, January 5. Mr Asquith (Chancellor of the Exchequer) speaking at Sheffield, said the two prerequisites to reduction of taxation were reduction of normal expenditure, without weakening the national defences, and the strengthening of the provision for the redemption of the capital liabilities of tho State. He agreed with Sir E. Grey's remark that any attempt to utilise the majority obtained for full trade to promote the passing of a Home Rule Bill, would be a pie:c of political dishonesty. Mr Winston Churchill (Undcr-Sccre. tary for the Colonics), speaking at Manchester, said it was the Government's duty to inform their Colonial colleagues at the Conference that we cannot arrange a preferential union involving the protective taxation of food, but that the Colonials were at full liberty to advance any proposal appearing to promise a more intimate co-ordination and closer union of the various parts of the Empire. Doubtless, precise instructions would be given to the Colonial, equally with (he Motherland's representatives. Mr 11. B. Haldaue (Secretary for War) in a speech delivered in the City of Loudon, paid a tribute to Mr Balfour in connection with the Committee of Defence and the rearrangement of the army, on the grounds that the objects in view might be pursued on similar lines to those of Admiral Fisher's in connection with the reorganisation of the navy, and that the cost of the army, consistent with efficiency," would be somewhat less than the amount at present authorised. He declared that Sir Henry Campbefl-Bannerman attached such importance to efficiency that he was prepared, if necessary, to find mure money and more men for the promotion of ellieieney, and had given him a free baud iu the matter. He hoped o deal with tlu> problem eoinprcheuively from its foundations.