COLONIAL SECURITIES.

Taranaki Daily News, Volume LII, Issue 199, 27 September 1909, Page 2

COLONIAL SECURITIES.

"A DANUEKOUS CUAU'Ei'iTOU." DISCUSSION IN TIIE HOUSE OF J COMMONS. By Cable.—Press Association.—Copyriglii LONDON, Sept. 2-1. In the course of the debate in the lluu.* of Commons 011 Mr. li. Hunt's amendment to clause 50 of the Finance Bill, Sir F. 0. Banbury, Conservative member for the City of London, said lie saw 110 reason why colonial railway and municipal securities slionld be excepted. 'ihe object ol tin. excnipuun w,1.-1 to encourage British capitalists to j invest their money in the colonies.

.Mr, Timothy Ilealy Nationalist member for Louth, said he did not see wli.V the colonies should be allowed to escape that Birmingham poliey which was an anathema to the Treasury bench. Mr. J. S. llarmood-Banner considered that these colonial municipal loans were of the greatest value to the British industries. It was often arranged that money should be spent for work done in Britain.

Major I<\ K. Coates, Conservative, gave a powerful analysis of the effect of stamp duties from the standpoint that they "\verc tramelling free dealing in securities. He claimed that the exemption of municipal loans would he greatly appreciated in the colonies and prevent Americans taking Canadian , municipal bonds from the English market. Mr. C. 12. H. Hobhouse, replying, said he had been advised that the competi-\ tionfor colonial muneipal loans did not come from France, Germany or America but was among the various groups operating in Britain hence the concession could not necessarily benefit the colonies. .Last year Britain lent Canada forty million pounds and Australia from eight to ten millions. America was becoming a very dangerous competitor to Britain in loans made to municipalities and industrial concerns in the colonies and elsewhere. A few years ago thr»

competition did not exist. It was dm' to the huge accumulation of capital in America during the lab't ten or twenty years. British citizens, lie added, would reasonably object to the exemption of all money lent to the colonics. Mr. W. Long declared there was not a particle of defence for the Governmeat's attitude.