SYSTEM OF RATING.

Taranaki Daily News, 28 October 1922, Page 5

SYSTEM OF RATING.

UNIMPROVED VALUE OPPONENTS. ATTACH IN THE HOUSE. By Telegraph.—Press Association. Wellington, Last Night. A new clause in the Rating Amendment Bill was introduced in the House to-night by Governor-General’s message, fixing the scale of charges to be made in connection with the sale of native lands on account of unpaid rates. In committee, Mr. R. McCallum (Wairau) opposed applications for rating on unimproved values by local bodies without the ratepayers’ approval. Mr. R. A. Wright (Wellington Suburbs) supported the objection, pointing out that the result of rating on unimproved values in Wellington had been to increase rents and create possibilities for making slums. It also tended to have a detrimental effect on a city’s revenue. The Hon. J. A. Hanan (Invercargill) said members of local bodies should surely be entrusted with authority to determine the system of rating; if not they should not be selected. Mr. A. D. McLeod (Wairarapa) said rating on the unimproved value in cases of small townships meant practically confiscation by driving suburban 'land suited for nothing but farming into disuse. The clause should be withdrawn. Sir John Luke (Wellington North) said rating on the unimproved value tended to shift the burden of taxation from big business enterprises on to the workers. He moved the deletion of Clause 2.

The Minister of Internal Affairs indicated that in view of the opposition that was apparent, and to avoid delay he would be prepared to drop the clause. On a division, Clause 2 was struck out by 41 votes to 13. The Bill* was reported with this amendment, read a third time, and passed.