LOAN AMENDMENT BILL

Taranaki Daily News, 3 September 1915, Page 3

LOAN AMENDMENT BILL

■DISCUSSION IN THE UPPER HOUSE., ECONOMY URGED. By Telegraph.—Press Association. Wellington, Last Night. In tho Legislative Council this afternoon, the New Zealand Loan Amendment Bill was read a first time. On the motion for the second reading Hon, S. George said that the Bill would divert a great deal of money from private enterprise, and would prejudicially affect the savings banks. He saw no economy being practised. The Government should have proposed a graduated reduction of ail salaries and reduced all emoluments. There was plenty of money in the Dominion. The banks had over eleven millions on fixed deposit and fifteen millions at current account, and there were twenty millions in the savings banks. He therefore thought that the money could be raised easily. He suggested that there should be a clause in the Act to enable people to invest in debentures with a view to providing for payment of death duties. He believed large numbers,of wealthy men would invest in debentures for this reason. He was almost certain that another loan would be required next year, with possibly a higher rate of interest. Hon. W. Carncross said they must give credit to the Government for believing they would have difficulty in raising loan money, and for taking the best steps in their opinion to find the sums required. A local loan would be an education, and would influence people to take a greater interest in the politics of the country. He did not consider the honorarium of members too munificent, but thought that economy should be shown in carrying out public works. The National Cabinet ■ should end the expensive system of carrying out a niiitiber of works in different parts at one time, and should concentrate its efforts on one particular' work. i Hon. J. Diithie regretted that there was no suggestion of economy in tile Government proposals. He mentioned the Tourist Department as one in which expenses might be cub down, especially in war time. Increased taxation was crushing enterprise, and at least half a million might have been saved on the Estimates. He affirmed that economy was necessary in order to prevent national embarrassment. Hon. 0. Samuel advocated retrenchment and economy. Hon. Sir W. Hall-Jones said this was a time when economy, both public and private, was necessary, yet the Estimates were framed on the same scale as in the past. People must take warning, as he felt that unless these large outlays were modified the Dominion would have to take its lesson. Hon. Sir Francis Bell pointed out that members who had referred to the necessity for economy had failed to note that the Public Works Statement had not yet been brought down. He asserted that the estimate of expenditure for public services could not be largely curtailed, and the annual increases for hospitals, charitable aid, and education could not be avoided. Referring to the local loan, he said that surely we could not go to the Mother Country at the present time. If we could not find the money we should close down on any enterprise for which outside help was required. The Bill was read a second time, and the Public Revenues Amendment Bill find Trades and Commerce Amendment Bill (No. 2) were also read a second time.