LABOUR REGIME

Waikato Times, Volume 122, Issue 20500, 17 May 1938, Page 8

LABOUR REGIME

BENEFITS CLAIMED MR NASH DEFENDS POLICY HIGHER LIVING STANDARDS (By Telegraph.—Press Association) WELLINGTON, Monday A review of the Government’s achievements and a reply to points raised by the Leader of the" Opposition, the Hon. A. Hamilton, in his speech last week, was given by the Minister of Finance, the lion. W. Nash, in a speech at the King George Theatre, Lower Hutt, to-night. Mr Nish was accompanied by the Prime Minister. Mr Savage, and they were accoided a rousing reception by a packed audience, which sang *' For He's a Jolly Good Fellow ’• when Mr Nash rose to

speak. There were few interjections. In opening, the Minister said the electors had sent 53 members to Parliament to support the Labour policy. It had been suggested that the Labour policy did not obtain the endorsement of a majority of the electors, and in replv he- pointed out that, two-thirds of the electors rejected the National Party. Referring to the Government's record over the past 29 months, Mr Nash Instanced the following achievements: —The Reserve Dank had been taken over; overseas debts reduced by £2.707.000: interest on overseas debt had been reduced by £450.000 and exchange thereon by £105,000. In spite of efforts that had been made to discredit the Dominion in London, the name of New Zealand to-day stood verv high. Local Body Loans Mr Nash charged the National Party with attempting: to force up interest rates to local bodies, and stated that for more than 12 months insurance companies and other lending institutions had refused to lend money at 3$ per cpnf. but in fulfilment of its policy in maintaining low rates the Government. bad granted to local authorities loans af 3$ per cent, which sinee April i. 1937. amounted to £1.011.000. If the Government had allowed interest rates to local bodies to be driven up, all interest rates would be higher than was the ease to-day.

The Minister referred to the fact that 13.000 farmers had been provided with access and to the Government's flood relief measures in Hawke’s Bay. The Leader of the Opposition had said that the principle underlying compensated prices was that farmers who had to sell their products against the competition of the world should have a comparative reward with the rest of the community. * Freehold Tenure Mr Nash expressed the opinion that Mr Hamilton’s reference to record losses and expenditure on railways was uncalled for and not worthy of the leader of a party. He suggested that the economies practised during the depression years, especially a failure to keep rolling stock up to the peak of reliability, might have had something to do with the recent, difficulties of the railway service. In reply to suggestions that had been made that the Government contemplated abolition of freehold tenure, Mr Nash stated that the farmer was entitled to full and undisturbed possession of his own land. The Government, however, believed that the income of the farmer was the predominant factor and that freehold was only good when there was an income behind it. There had not been contemplated or discussed at any time any proposal to interfere with the freehold title of any farmer. The Minister denied Mr Hamilton’s statements that thrift and industry were being penalised. Mr Nash reviewed the work he carried out overseas in trade negotiations.

“It cannot be too strongly emphasised." he said, '* that under present conditions the policy of the Dominion should be to maintain direct negotiations with the Government of the United Kingdom.’’ Mr Nash referred to statements made by the Chamber of Commerce that the increased income of the workers had been absorbed by increased prices, and In reply pointed out that wage rates since 1935 had increased by 23.3 pep cent, and retail prices by only 12 £ per cent. Improved Conditions To illustrate the improvement in economic conditions he quoted figures to show that since the Government took office the value of total production had increased from £97.000.000 to £136.100,000; the value of farm production from £59,200.000 to £88.600.000; salary and wage payments from £65.700,000 to £100.000,000; exports from £43.000.000 to £65.000,000; imports from £34,300.000 to £58.100.000; and bank debits from £655.000.000 to £940.200.000. The Minister referred to the fact that better wages inevitably meant more houses and the prices and rents started to soar, but the Government stepped in to prevent exploitation of the shortage, he said, and the people were given some protection. He contended that the Government was willing and anxious to co-operate in the building of houses, and mentioned loans at 4 i-8 per cent, on table mortgage from the State Advances Corporation A motion expressing complete confidence in Mr Nash as member for Hutt and Minister of Finance, thanks for his address, and pledging support for Mr Savage and the Labour Party, was moved by Mr H. Combs, Labour candidate for Wellington Suburbs, and carried without dissent.