The Daily News. MONDAY, JANUARY 17, 1916. THE DOMINION'S FINANCES.

Taranaki Daily News, 17 January 1916, Page 4

The Daily News. MONDAY, JANUARY 17, 1916. THE DOMINION'S FINANCES.

The statement concerning the revenue and expenditure of the Dominion for the nine months (if the financial year up to Dee. 31 last, recently made by Sir Joseph Ward, will he studied with particular interest by the people of New Zealand if only to ascertain the effect of the additional burdens that have been laid upon them in consequence of the war. The Colonial Treasurer regards the Inures as exceedingly satisfactory, and though the genera! verdict of the community may not tally with that of the Minister there is no reason to view the result other than with satisfaction, though the figures do not come quite up to expectation. The. largest increase is, as a matter of course, shown by the railways (£194,905), and it would not have been surprising in view of the large increase in fares if this amount had been considerably greater than it is, for the people of New Zealand have been used to travelling on the railways very extensively. The augmentation of the receipts from stamps and death duties, post and telegraph, land-taj! and incometax might well iiave been higher, but with a total increase in revenue of £795,020 there is little cause for adverse criticism. There is a falling off of £25,000 in the territorial revenue consequent on the granting of the freehold, showing that the money-lending institutions are gaining considerably and the treasury suffering from .the effects of this legislation. It is, however, on the expenditure that attention will bo [ chiefly concentrated, for it was the imperative need for large economies that faced Sir Josepli Ward when lie undertook the duty of Treasurer. That lie has only succeeded in saving £30,000 in. nine months is distinctly disappointing, especially in view of the large amount which the Civil Service Commissioners (of whoso work we hear so little now), proclaimed that if was possible to save —at least, £300,000. From the outset of the war the Government has urged on the people of the Dominion the necessity for the strictest economy, and it is only reasonable that they should set the example. Had proper steps been taken iu this direction it would have been expected that at least £IOO,OOO would have Ijcen saved, and the small economies effected are only irritating instead of reassuring. The pruningknife should be used witli vigor if the people are to bo stimulated by the Government's example. Apparently £750,000 of the increased revenue has been used lo pay off Treasury bills, and more are to bo redeemed at the end of the present month. The Treasurer take* credit for the Public Works Fund being in a strong position on December 31, the expenditure for the nine months having been a trifle over a million and threequarters, leaving £1,800,000 to the credit of the fund, more than sufficient to meet the estimated expenditure up to the end of the year 1910. It must be remembered, however, that public works have been drastically curtailed, many urgent claims for expenditure on roads, bridges and other public works having to stand over indefinitely, .thus hindering settlement and inflicting hardships on blackblock residents. Sir Joseph Ward expressed gratification at not having to raise a public works loan during (he present year, but the long suffering settlers will hardly consider the position as one for rejoicing. It is pleasing to be able to compliment the Govern ment on its satisfactory arrangements concerning war expenditure, provision having been made with the Home authorities for the amount of £8,340,000 being spread over monthly payments for this purpose up to December 31, 1910. The Colonial Treasurer is probably justified in stating "that if we had to raise such a sum as this locally it would alter the whole local money market to on ("tent that would be, to say the least, more than embarrassing for all classes who require the uses of borrowed money." "In view, however, of the abnormally large amounts on deposit in the Dominion, as disclosed by the banking returns, the question naturally arises whether New Zealand should not shoulder at least u portion of Jhis expenditure by providing as much as can reasonably be spared without prejudically affecting the local lending market. It seems neither just nor politic lo lean entirely on the Motherland for our war charges, knowing how severe is the financial strain which she has to bear. We are receiving greatly enhanced prices for produce and enjoying unparalleled prosperity. Our exports are greatly in excess of our imports, while the reverse is the case with the Motherland, and it would be acting with becoming patriotism to find some portion of the war loans for which we arc now depending on the British Goveminent. At present, New Zealand is hoarding its capital f.v the banks and increasing instead of diminishing the financial worries of Britain, Our help in illls time of stress should include money -us well as men, and it may fairly be assumed that the people of the Dominion as a whole take this view. Sir Joseph Ward admits there is plenty of money in this country, and yet he is content to get as much as ho cun from the hard-pressed British Government. It may be good business, but the principle involved is not very flattering to | the Dominion,