BRITISH FINANCE.

Taranaki Daily News, Volume LII, Issue 81, 1 May 1909, Page 2

BRITISH FINANCE.

ADVANCE SHEETS OF THE | BUDGET. EIGHtES BY THE CIIAXCELLOK. London, April 21). ] Mr. Lloyd-George, Chancellor of the I Kxchemier, has issued a white I" 1 .!"' 1 '; embodying tin- fuels usually contained in th,.' first part of. the Budget, show- i in» revenue fur HKIB-IMI!) amounting t to" £150,578,000. • He estimates the revenue lor JUO-l- I 1!)10 at C148,3!10,UOI), ami the expend]- s hire at £1«4U52,00U, leaving n Uudget deficit of £7112,000. ! Tile decrease in the expected revenue i was due to Ihe neeessility for csliin.it- ! ing a reduction of one iiiilllion on <Vtoms and a million anil a-half on hxci»c I as compared with IHUH-I!)0n. The i-.icnnics assessed for income tax totalled 1040 millions. A penny in the pound produced £2,833.000. The national delit amounteil to £754,121,309. Tho diniunition in foreign trade in 1908 was 114: millions, whereof a third to one-half is accounted for by the gen- , cral fall in prices below th,. 11107 level. It is impossible to prophesy an immediate and rapid "recovery, but there are some indications that foreign trad 0 ia beginning to improve. iDeath duties amounted £18,370,000. The interest with which .Mr. LloydGeorge's Budget speech was anticipated was keener than that shown in connection with any Budget since Sir Win. linrcourt'* in 1804-. In the House of Commons, Mr. Lloyd George, ill his Budget speech, proposed to reduce the sinking fund, increase death and succession duties, increase spirit duties, heavily increase the taxation on unearned incomes, and increase the tobacco duty, leaving beer, tea and sugar unchanged. THE CHANCELLOR'S SPEECH. TO MEET THE DEFICIENCY. ADDITIONAL TAXATION. lieceiyed .'lO. 9,45 p.m. London, April 30. There was a crowded house, except in the strangers' gallery. Mr. Lloyd-George. Chancellor of the Exchequer, spoke tor four and a-half hours, lie claimed in regard to the increased expenditure that it had been substantially increased with the unanimous assent of nil parties. The growth of temperance added considerably to the financial difficulties, Thev had to find £10,000,000. which would leave a surplus of £488.000. He proposed to meet the deficiency by reducing the contribution to the sinking fund by three millions; by an income-tax proposed to be levied on earned ({unearned) incomes below £2OOO, which would remain at ninepence, up to .£3OOO a shilling, and above £3OOO fourteon pence, with a further super-tax of sixpence on incomes over £SOOO. The income tax changes would yield 3y 2 millions, and it wiiH expected that the super-tax in the following year would alone yield £2,300,000, based on the amount by which the income exceeds £3OOO. The sum of £2.830.000 would be raised by a revision of estate duties, and £USO|OOO [ by the increase of stamp duties on • share transactions. Motors would bo taxed from 40s to 40 guineas, according to horse-power, doctors' cars paying half taxes, and motor cycles £1 . Petrol would he taxed threepence a gpllon, with a rebate of a half-penny to commercial care. Motor taxes would yield £OOO,OOO, which would b c spent in Hie improvement of roads. The Budget proi poses that the State should take 20 per ■ cent, of the unearned increment of land, payable at death, and when land ■ was sold a further half-penny in the s pound on the capital value of' vradovols oped land and nngotten minerals: also ) a half-penny in the pound on mining i royalties; also ten per cent, reversion i duty on benefit accruing at termination ■ of a lease. Land taxes were estimated t to produce half a million. \ i TAX ON TOBACCO AND SPIRITS. i COMPULSORY TNiQCSTRIAL INi SURANCE. i Received 30, 11.0 p.m. _ . London, April 30. f Continuing his Budget speedy Mr. Lloyd-Gcorg t , estimated that an increase of oightpence a pound on manufactured tobacco would yield £1,000,000; „ n inj crease of 3s Od a gallon on spirits would yield £1,000.000; a revision of liquor licenses and a uniform percentage on the annual value would produce £3 (100 - 000. Mr Lloyd-George suggested that the whisky duties would justify an increase in Ihe retail price by a halfpenny 1 a glass. ' The Government was considering in- • dusfrml insurance, compulsory, self con- ■ tnbutmg, and State-aided, while prc . serving existing benefit societies. Tliev : proposed next year to give pensions to ■ workhouse septuagenarians. THE NAVAL™POLICY. Received April 30, 11.53 p.m. -u t, ,„ I-ondon, April 30. Air. Lloyd-George, in concluding, stated that the greater part of the cost of the Dreadnoughts would fall on next year if the contingents were built The naval bill would be gigantic. Nevertheless, the Government intended to meet its obligations, l'ailme to ,1 0 M w „ u i,| not be Liberalism, but lunacy. But it would I* lln „ct of the greatest unwisdom to throw nwiiy eight millions. »\y v cannot build a navy against nightmares, he said. The increased vield by his new taxes would make the 'necessary proyision for the nuvy next year, if possible without having to resort to the vicious expedient of a loan. Incomes under £SOO would be granted an abatement, of £lO per child for the children under 10. lieceiyed May 1, 12.5 a.m. . London, April 30. ■Mr. Austen Chanihcrlai.i said the Budget was »o detailed that immediate criticism was impossible. It might serve the purposes of all electoral manifesto, but it would take three Parliaments to pass the legislation necessary for its full achievement. Bonds and'other securities transferable by delivery were to be raised from Ills t,', 20s per cent, on tli« nojiiinnl value, but bonds issued by Colonial Governments would remuin n't hulf-n-crown jut cent. The Tillies opines that the stamp duties will operate very disadvantageous!}to bankers, who would he paralysed wit'a respect to raised colonial and corporation loans, and such loans may be expected to be obtained by New York bankers in future: RADICALS' PREDICTIONS. Received May I. 12.15 a.m. i London, April 30. Mr. John .Redmond, lender of the lrjsh Party, opposed particularly the spirit duties. The House agreed upon the spirits, tobacco, anil petrol duties by 281 votes to 120. Lubby opinion emphasises the vast complexity which characterises tueso several Budgets ill one. The Radicals believe that Mr. LloydGeorge has underestimated the revenue., derivable from the new taxes, mid consider the next Budget may show an unexpected surplus. NKWSI'AI'ER o.I*I XIONS. ISeceivcd May 1. 12.15 n.m. London, April 30. The Times says the dellcit is to be covered at the cost oi rjie wealthy and fairly well-to-do. The doctrine of'social ransom has never been carried quite so far. The Daily Mail says that the plundering of the middle classes shows thai I'Vcc Trade finance has hopelessly broken down. The Standard considers that Ihe Ministers who Una.* away vast revenues on conl, sugar, and tea, are now without the coinage lo recant. The Manchester Guardian: "Mr. Lloyd George has vindicated the elasticity'of Free Trade linn nee." The Chronicle says it is a bold Budget, but. llinl a bad speech wearied the Commons. Mr. Lloyd-George was so anxious to sketch th,. future development| of the Liberal policy that, it became nj political manifesto.