BRITISH POLITICS.

Wairarapa Age, Volume XXXII, Issue 3178, 1 May 1909, Page 5

BRITISH POLITICS.

MR LLOYD GEORGE'S BUDGET. A HEAVY DEFICIT. United Press Association—By Electric Telegj.-upM Copyright, Received April 30, 8 a.m. LONDON, April 29. The Right Hon. D. Lloyd-George. Chancellor of the Exchequer, has issued a White Paper embodying thu facts usually contained in the fir*l part of the Budget. This statement shows the following results:— Estimated Revenue, 1908-9 £154,350,000 Actual Revenue, 1908-9 £150,578,000 Estimates for the coming year me as follow: Estimated Expenditure, 1909-10 £164,152,000 Estimated Revenue, 1909-10 £148,390,000

Leaving a Budget deficit of £762,000 (?) (The figures are given as cabled, but evidently there has been an error in transmission. The actual difference between the two sums is £15,762,000.) The decrease in the expecti-d revenue was due to the necessity of estimating a reduction of a million in Customs, and a million and a-half in Excise, as compared with 1908-9. The aggregate of incomes assessed for income tsx was 1,040 millions, on which a penny in the pound produced £2,833,000. The National Debt amounted to £754,121,309. The diminution in foreign trade in 1908 was 114 millions, of which from a third to a half was accounted for by a general fall in prices below the 1907 level. It was impossible, says the statement, to prophesy an immediate rapid recovery, but there were some indications that foreign trade was beginning to improve. The death duties amounted _to £18,370,000. The interest with which Mr LloydGeorge's Budget speech is anticipated is keener than in the case of any Budget since that of the late Sir William Harcourt in 1894.

PROPOSALS OF THE CHANCELLOR. DUTIES INCREASED. TAX ON UNEARNED INCOMES RAISED. Receive April 30, p.m. LONDON, April 29. Mr Lloyd George has delivered his Budget sueech in the House of Commons. The proposals include - A reduction in the Sinking Fund, An increase in the death and succession duties, A heavy increase in the spirit duties, An increase in the taxation on unearned incomes. An increase of the tobacco duty. Beer, tea and sugar are unchanged.

PROPOSED NEW TAXATION. Received April 30, 9.45 p.m. LONDON, April 30. The House of Commons was crowded with the exception of the Strangers' Gallery, to hear Mr LloydGeorge deliver his Budget Speech. The Chancellor of the Exchequer spoke for four and a-half hours, and claimed that the increased expenditure had been substantially incurred with the unanimous assent of all parties. The growth of temperance had added considerably to the financial difficulties. The Government had tj find £16,600,000, which would leave a surplus of £488,000. He proposed to meet the deficiency by reducing the contribution to the Sinking Fund by three millions, and an income tax on earned incomes below £2,000. The'tax on incomes of £2,000 would remain at ninepence. The tax on Incomes of £3,000 would be one shilling, and above £3,000, Is 4d There would be a further super tax of 6d on incomes over £5,000. The income tax changes would yield three and a-half millions, arid it was expected that the super-tax in the following year alone would yield £2,300,000. The sum of £2,850,000 would be raised by a revision of the estate duties, and £650,000 by an increase in the 'stamp duties on share transactions. Motors would be taxed from 40s to 40 guineas, according to horsepower, doctors' cars paying half taxes. Motor cycles would be taxed £l. petrol threepence a gallon, with a rebate of a half penny to commercial cars. The motor taxes would yield £600,000, whirh would be spent on the improvement of roade. The proposed new land taxes would produce £500,000. An increase of eightpence in the pound on manufactured tobacco would yield £1,900,000, and an increase of 3s 9d per gallon on spirits would yield £1,600,000. A revision of the liqour licenses and a uniform percentage on the annual value would produce £2,600,000. Mr Lloyd-George suggested that the whisky duties would justify an increase in the retail price of halfpenny a glass. The Government were considering an industrial insurance scheme, which would be compulsory self-contributory, and State-aided,

' while preserving the interests of the I existing benefit societies. It was proposed next year to give pensions to workhouse septuagenarians.

THE NAVY. | GOVERNMENT WILL NOT AVOID OBLIGATIONS. Received April 30, 11.55 p.m. LONDON, April 30. Mr Lloyd-George concluded his speech by remarking that the greater part of the cost of the Dreadnoughts would fall on next year. If the contingent Dreadnoughts were built the Naval Bill would be gigantic. Nevertheless the Government did not intend to avoid their obligations. Failure to fulfil their obligations I I would not be Liberalism, but lunacy. I The increased yield from the new ] (axes would make the necessary projj vision for the Navy next year posl I sible without resort to the vicious expedient of a loan. Received May 1, 1.25 a.m. LONDON, April 30. The House agreed to the spirits, tobacco and petrol duties, by 281 | votes to 120.