The Temuka Leader TUESDAY, JUNE 2, 1885. STATELAND BANK.

Temuka Leader, Issue 1348, 2 June 1885, Page 2

The Temuka Leader TUESDAY, JUNE 2, 1885. STATELAND BANK.

In In's recent speech at Port Chalmers Mr James Macandrew said he contemplated resigning his seat in the House of Representatives, if the House did not sit in the daytime instead of at night as heretofore. The announcement was received with general regret by his audience, and a motion expressive of this feeling was carried by acclamation. Indeed, it is not to be wondered at that Mr Macandrew’s constituents view with regret the approach of the day when they shall lose his services. Mr Macandrew has been a prominent figure, in New Zealand politics from the beginning of New Zealand’s political history, and has faithfully fulfilled his duties. His speech in Port Chalmers last Friday evening is well worth reading. Referring to the establishment of a State Land Bank he says : One of these subjects had reference to what, in some respects perhaps, is the most important question that could occupy the attention of the Legislature at this time—viz., the establishment of a State Land Bank, by means of which advances might be made to cultivators of the soil, on security of their freeholds, at a low rate of interest, and without the intervention of third parties, or the verbosity of legal instruments with the necessary costs. At the present time the land in New Zealand is to an enormous extent virtually in the hands of absentees, who are receiving the whole—and in many cases more than the whole—of the profits which accrue therefrom. Hundreds, and f may say thousands, of our so-called freeholders are merely the nominal owners of the soil which they ostensibly hold, and what between the high rate of interest and other charges, coupled with the low price of produce, the wonder is how they manage to keep their heads above water. It is to prevent the increased continuance of and to mitigate this state of things that I desire to see a State Land Bank. The sole function shall be noc to interfere with what may be termed the legitimate business of banking ; but to advance to such an extent upon the value of the land as the Slate may determine. L should not involve the Colony in the expense of a new establishment, but would simply make it a branch of the Land Transfer Department, the existing staff of which would, without any material increase, suffice to conduct the operations. All transactions would be in respect only of land that has been brought under the Act, and might be effected by simple registration and endorsement; in fact, one ought to be able to go to the Land Transfer Office and obtain an advance with as little formality as he would go to his tailor for a coat. I notice one objection that is urged against any such proposal is that it would be unduly favoring one class of the community at the expense of others, and that if cultivators of the soil are to be provided with working facilities by the State, why should not those who are engaged in other branches of industry have a similar privilege accorded to them 1 This is what might be termed the dog-in-the-manger spirit. Although such a proposal may not be attractive to the mere money-lender, I believe there is no class in the community that would not be benefited by whatever might have the effect of enlarging the extent of the cultivation of the aoil, and rendering the industry more profitable than it is.— (Applause.) We should bear in mind that although there are in New Zealand sources of enormous wealth other than agriculture, yet that the future prosperity of the Colony depends upon this. It is a remarkable fact that six-tenths of the whole population of New Zealand is agricultural, according to the last census returns in 1884. The figures are as follow ; the total podulation was 540,877, classed as follows Agricultural, 323,938; manufacturing, 11,446; other occupations, 160,827 ; not enumerated, 54,666 ;—total, 540,877. Under the head manufacturing ure included woollen, tailors, bootmakers, ropeworks, soap and candle works, leather, paper, coacbbuilding, saddlery, furniture, tanners, implement makers, hats, biscuits, ironfounders, fellmongers, wool scourers, rope and twine makeis. So that you see there are 30 times us many people returned under the occupation of agriculture as there are under all the other manufacturing industries put together. These are figures which might afford interesting pabulum in discussing the question of Protection and Freetrade. Touching the dog-in-the-manger objection, it might be said that in making advances upon any other security than

land there would be a risk involved which it would not be politic for the State to incur, but that in the case of land it cannot take to itself wings and fly away. There it is, and there it will continue, un'ees under some convulsion of nature New Zealand should return again to ocean’s watery bed; that, of course, would be an effectual settler both to the security and the secured. The government promised last session that consideration should bo given to this subject during the recess. From a statement made soma time ago by the Colonial Treasurer it does not seem to rue that there is much hope of any measure being introduced this session wh'ch will really meet the case. I suppose that even the Treasurer with all his fertility of resource must eschew heterodoxy in this matter, mixed up as it is with the question of the currency—a question that seems to be surrounded by some mysterious halo which the eyes of ordinary mortals are unable to penetrate. The question seems to be regarded as a sort of holy of holies, which none but the high priests of finance, who undstand all about inflation and depreciation, may enter.—(Laughter and applause.) Those who, like myself, would attempt to bring down the currency question to the level of common sense are supposed to be either profoundly ignorant or culpably reckless, ready to rush where angels fear to tread. lam disposed to think that what may have been perhaps necessary and expedient in relation to currency, and exchange, and commercial operations half a century ago, may bo neither necessary nor expedient at the present day, when steam and electricity may be said to have annihilated both time and space. In this Mr Macandrew has laid down a comprehensive scheme for establishing a National Bank, but we are of opinion that he appears too nervous about treading on the corns of existing banks. As for placing such a power in the hands of the Land Transfer Office we are not altogether suru that that would be a good plan. We would rather see the Bank managed by a non-political Board of Directors, responsible to Parliament fur their actions, and liable to penal servitude in the event of being convicted of any malpractices. A* regards the objection that it would only benefit the farming classes, this is a mistaken notion altogether. In the first place, on the farmers 1 11 our dependence is, and anything that makes them prosperous will make the whole colony prosperous. In the second plac* 1 , if all the money locked up in lands at present were let loose money would become plentiful and cheap, and industries would then flourish. On the land all must live, and if those who own the land are hard up the whole colony must be hard up also; We congratulate Mr Macandrew on having left the beaten track of politics, and taken up this new idea, and we only hope he will not retire from political life until it becomes an accomplished fact.