FINANCIAL STATEMENT (In Committee of Supply, Friday, 16th June, 1882.) BY THE COLONIAL TREASURER, THE HONORABLE MAJOR ATKINSON.

Appendix to the Journals of the House of Representatives, 1882 Session I, B-02

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1882. NEW ZEALAND.

FINANCIAL STATEMENT (In Committee of Supply, Friday, 16th June, 1882.) BY THE COLONIAL TREASURER, THE HONORABLE MAJOR ATKINSON.

Me. Hamlin,— I am presenting the Budget thus early because the Government are anxious that the House should have ample opportunity of carefully considering and discussing the financial position and requirements of the colony. In furtherance of this object—which I feel sure will meet with the approval of the Committee—l hope to place the Estimates in the hands of honorable members not later than to-morrow; and I venture to express the hope that the House will consent to the appointment of an early day for going into Supply, and not permit the post* ponement of so vital a question as Ways and Means until the end of the session when honorable members are often unable, from mere physical exhaustion, to give the subject that attention which its importance demands. The Committee will be glad to learn that the reports which have been in circulation for some time past, to the effect that there is a considerable surplus standing to our credit upon the transactions of the year, are substantially correct. I shall not, therefore, trespass to-night to so large an extent upon the patience of honorable members as I have been compelled to do on some former occasions. My Statement will be short;' but I must still ask for the indulgence of the Committee while submitting for its information the somewhat dry details of the financial results of the last annual period, and the proposals of the Government for the present year. EXPENDITURE OF THE ORDINARY REVENUE OF THE TEAR 1881-82. The expenditure for the year, under permanent Acts of the General Assembly, was estimated at £1,570,919, including £1,499,318 for interest and sinking fund, while the amount voted for departmental services was £1,757,660; the total estimated expenditure sanctioned by Parliament was therefore £3,328,579. The actual expenditure was £3,278,820, being £49,759 less than the estimated amount. There are no items of this expenditure which appear to call for special remark. Honorable members on referring to the Appropriation Account presented to the House pursuant to the Public Revenues Act will be able to see the services in respect of which the expenditure has been less or more than the amounts voted. The outstanding liabilities on the 31st March, 1882, amounted to £164,394; at the close of the preceding financial year the amount was £165,514. I may inform the Committee that included in the liabilities on the 31st March last is a sum of £24,000 for sinking fund to the 13th March, 1882, in respect of the £800,000 unsold debentures of that portion of the loan of 1870, amounting to £1,000,000, which is guaranteed by the Imperial Government.

Tables TSos. 1 and 2.

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II

The Imperial Act provides for a sinking fund of 2 per cent, per annum on the entire amount of the guaranteed portion of the loan, or so much of it as is raised for the time heing, commencing at the date at which the whole of the loan is raised, or at the expiration of ten years from the passing of the Act, whichever date happens first. When the first remittance of sinking fund was made, namely, for the half-year to the 13th March, 1881, it was considered that provision was required only for the sinking fund payable in respect of the debentures for £200,000 which had been sold, and not also for the debentures for £800,000, which, though created, had not been placed in circulation. The question was, however, reconsidered upon the receipt of a despatch from the Secretary of State for the Colonies to His Excellency the Governor, and the Government determined to provide sinking fund for the whole guaranteed loan of £1,000,000; remittances have now been made accordingly to the Trustees of the fund. OEDINAEY EEVENUE OF THE TEAS 1881-82. The estimated revenue of the year, exclusive of the revenue derived from sales of land, was £3,297,650; the actual amount paid into the Public Account was £3,488,170, being £190,520 in excess of the estimate. Honorable members will find on reference to the comparative return, which will be appended to this Statement, that we are indebted to the Customs revenue for the larger portion of this excess ; £125,107 having been received from that source. The revenue from stamp duties was £11,115 in excess of the estimate. Miscellaneous receipts were also in excess £34,243 ; while from depasturing licenses, rents, &c, we obtained £56,852 more than we anticipated. On the other hand, the amount derived from the property-tax fell short of the estimate by £19,025. Of this sum, £9,270 has yet to come in; £2,200 represents the amount estimated to be received from building societies, which were afterwards rendered exempt; and £7,556 is an overestimate. The revenue from railways proved to be £25,266 less than the estimate, but honorable members will be glad to learn that the net receipts from railways, which were estimated at £364,744, amounted to £368,927, or £4,183 more than estimated. LAND SALES OF THE TEAE 1881-82. [Following the course approved by Parliament in the session of 1880-81, a separate account of the land sales has been kept. The expenditure charged against the fund during the year amounted to £338,076, including £136,861 for subsidies paid to local bodies. The amount voted for departmental services chargeable on the Land Fund was £154,510; the amount actually expended was £137,297, being £17,213 less than the votes. The liabilities outstanding on the 31st March, 1882, were £25,188, as against £37,561 on the 31st March, 1881. The receipts for the year from land sales were estimated at £333,000. The amount actually received and paid into the Public Account was £317,063, of which £682,136 was for lands sold for cash, and £34,927 cash instalments for sales on deferred payments. Adding to the receipts of the year the balance at credit of the Land Fund Account on the 31st March, 1881, amounting to £32,373, and deducting the expenditure, we have a balance on this account of £11,360 at credit on the 31st March, 1882. PUBLIC WOEKS FUND. The appropriations on this account for the year ended the 31st March last amounted to £1,892,554. The actual expenditure, however, was only £977,886, including £454,224 for railways. Particulars of this expenditure will be found in the tables annexed to this Statement; but fuller information than is there given will be laid before the House when my honorable colleague the Minister for Public "Works makes his annual statement. The liabilities outstanding at the close of the year amounted to £880,276, particulars of which will also be found in the tables appended. During the year special receipts and recoveries, amounting to £42,378, came to credit of the fund; and on the 31st March, 1882, the balance remaining unexpended, subject, however, to the liabilities I have just mentioned, was £924,865, consisting of cash in the Bank of New

Table No. 4.

Tables Nos. 1 tfnd 2.

Tables Kos. 1 and 3.

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Zealand, £647,646; advances in the hands of officers of the Government, £60,319; debentures of the loan of 1870 guaranteed by the Imperial Government, £135,300; amount invested in debentures of the New Zealand Government, £44,000; and temporary advances made on certain other securities, £37,600. The balance at credit of the fund on the 31st March, 1881, was £1,860,373; and on the 31st March, 1882, it was £924,865 ; the extent to which it was diminished during the year was therefore £935,508. These figures show that the fund has been carefully husbanded so as to extend the expenditure over the time we had agreed not again to go upon the London market. Honorable members will observe that there was sufficient money in hand on the 31st March, 1882, to carry on Public Works without break or stoppage until about the end of next February, at the same rate at which they have been prosecuted during the last year. Included in the liabilities of the Public Works Eund, at the end of the year, is a sum of £338,876, for purchase of Native lands, particulars of which will shortly be placed before the House by my colleague the Native Minister, Avho will also state the proposals of the Government with reference to our future policy in the purchase of Native lands. In the meantime, I may inform the Committee that the amount which will be required this year to complete the purchase of those blocks, which the Government have decided to acquire, will probably not exceed £100,000. THE PUBLIC DEBT. On the 31st March, 1881, the gross public debt of the colony amounted to £29,165,511, subject to a deduction of £2,057,242 for accrued sinking funds. On the 31st March, 1882, the debt was £29,946,711, and the sinking funds had increased to £2,266,415; the net debt being thus £27,680,293, or £572,024 more than it was in the previous year. This increase of debt is thus explained : Of the Treasury bills which, on the 31st March, 1881, formed a portion of the Public Works Fund, sales to the amount of £431,300 have taken place. These bills had been taken up in 1880 with money standing to the credit of that fund, as there was then a large balance not wanted for immediate expenditure, requiring temporary investment; they have now been sold, and the proceeds paid into the Public Works Fund, as the money was required for works authorized by Parliament. The debt has also been increased during the year by further advances amounting to £364,700 obtained in London upon the security of the debentures of the loan of 1870, guaranteed by the Imperial Government. With reference to the £800,000 Imperial guaranteed debentures I may perhaps remind the Committee that, although in speaking of the amount of the Public Works Eund they are always treated as cash, they have, as a matter of fact, never been sold, but are used to provide a working balance to save interest by borrowing upon them from time to time only such sums as are required, according to the state of the Public Works Eund. I may mention, on the other hand, that the debt has practically been reduced during the year by the addition of £209,176 to the accumulated Sinking Eund, to which has to be added £14,800 for debentures of the North Ofcago District Public Works Loan of 1872 redeemed; the net increase in the total amount of the debt being thus, as I have said, £572,024. SAVINGS BANKS AND THE GOVERNMENT INSURANCE DEPARTMENT. Before I proceed, Mr. Hamlin, to sum up the financial results of the year 1881-82, it may not be out of place for me to state a few facts in connection with the Government Savings Bank and the Life Insurance Department, by way of illustrating the steady progress of the colony, the rapid advancement of these institutions, and the growth of habits of prudence amongst the people during the last ten years. In 1871, with a population of 266,986, the amount standing at credit of open accounts in the Government Savings Bank was £357,654 These accounts were 10,549 in number, and the average amount at credit of each was £33 18s. Id. In the Savings Banks established under "The Savings Bank Act, 1858," the total amount at credit of depositors on the 3.lst December, 1871, was £97,312, distributed over 3,726 accounts, the average amount at credit being £26 2s. 4d. There was thus a total sum of £454,967 in the Savings Banks

Table No. 5.

Table No. 6.

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in 1871, at credit of 14,275 persons, the average amount for eacli being £31175. sd. On the 31st December, 1881, the population of the colony was 500,910; there were 51,008 open accounts in the Government Savings Banks, aggregating in amount £1,232,788, or an average of £24 3s. 4d. at credit of each. In other Savings Banks there were on the same date 10,046 open accounts, the total amount at credit being £316,727, or an average of £31 17s. Id, for each account. The total amount of deposits in the Savings Banks in the colony at the end of the year 1881 was therefore £1,549,515, belonging to 61,054 depositors, with an average of £25 7s. 74- at credit of each, as against £454,966 in 1871, and 14,275 depositors, with an average of £31 17s. 5d.; the population during the ten years intervening having increased from 266,986 to 500,910. These figures are well worth the careful consideration of honorable members. They show the remarkable extent to which advantage of the Savings Banks is being taken by the people for whose benefit they were established; the population having barely doubled itself since 1871, while the number of depositors has increased nearly fivefold. Intimately connected with the subject of the prudential savings of the community are the questions of life assurance and the growth of the Government Insurance Department. Established in 1870, at a time when public confidence in. many English assurance companies was severely shaken, and with the avowed object of giving to the assured the absolute security of the colony, the department has since exhibited a progressive advancement, which warrants the statement that the experiment sanctioned by the Legislature twelve years ago has now been proved a complete success. This scheme may be justly described as the only successful institution of the kind set on foot by any Government; and the example thus offered has attracted the attention of various other Colonial Governments, and also the Indian Government. The premiums were from the first fixed at what were deemed the lowest rates commensurate with a prudent regard to safety, and without any idea of profitbonuses. But, notwithstanding these low charges, careful management, together with the favourable influences of a healthy climate and comfortable social conditions, have produced results more satisfactory than was anticipated. The business of the department in the first ten years of its existence produced a profit of £77,000, as shown by the Valuation Report of the London Actuaries, which was laid before Parliament last session. The business done has increased from 460 policies issued up to June, 1871, insuring £206,000, to a total of 16,900 policies issued during the eleven years ending June, 1881, insuring upwards of £5,800,000, being equal to an annual average of 1,500 policies, insuring fully half a million each year during the period. The business of the year now approaching its close will, I am informed, considerably exceed that average, and probably reach £600,000. The growth of the Assurance Fund is not less satisfactory than has been the progress of the annual business. From a sum of £5,000 in hand in June, 1871, the Accumulated Fund by June, 1881, had expanded to over £557,000, and now it has reached nearly £650,000. Agreeably to the wishes of Parliament as expressed last session, an Industrial Branch, enabling persons to insure their lives for suras ranging from £3 upward by means of weekly payments, was opened in the early part of March last. During the thirteen weeks which have since elapsed, 2,100 industrial policies have been issued. The average amount insured for all ages is about £25 per policy; for adult lives, about £55. As in the Ordinary Branch of the department so also in the Industrial Branch, any surplus profits which may arise will be divided amongst the assured—a provision which is quite a novel feature in what is termed industrial assurance. To facilitate the payment of small quarterly premiums, there will be provided cards on which postage stamps can be affixed until the amount of the quarterly premium is reached; and the cards can then be deposited in post offices, where credit will be given for the premiums they represent. Arrangements are also being completed by which Post Office Savings Bank depositors may make payment of premiums out of their deposits by means of an instruction to Postmasters for that purpose, thus saving trouble and securing the maintenance of the policy.

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These facts and statistics show the remarkable growth and still increasing progress of the department, which is evidently supplying a great public want, and is now so far advanced that the Government, as I have on former occasions mentioned to the House, have decided to ask Parliament to place it under the conduct of a Board. A Bill to carry this object into effect has been prepared and placed before members. Before leaving the subject of life insurance, I may offer a few additional figures, showing further the remarkable stimulus given to that form of family provision since the establishment of the Government scheme in 1870. The number of life policies in force in New Zealand that year has been estimated at 2,000, insuring about £1,000,000. Last year there were in force, in round numbers, 24,000 policies, insuring £8,300,000, of which more than one-half is insured in the Government department. This gives an increase for the period of 22,000 policies, and £7,300,000 in the amount assured; or eleven times the number of persons and more than seven times the sum insured in the colony eleven years ago. FINANCIAL RESULTS OF THE YEAR 1881-82. The Committee will remember that Parliament finally determined in the session of 1881 that in future the revenue of the year should be the actual receipts paid into the Treasury during the year, and that the year's expenditure should be the actual money paid away during the year, thus obviating the necessity for keeping' open' the year's accounts, in order that assets might be realized and liabilities paid before a final balance could be struck. The new method was accordingly introduced in the accounts of the year 1881-82; and I venture to hope that the greater simplification of account which has been effected by the change will commend itself to Parliament. Honorable members will find, on referring to the Financial Statement which I had the honor to make last year, that, excluding the land sales from the Consolidated Fund, there was a deficit on the 31st March, 1881, of £5,667 ; but that, including the land sales, there was a surplus balance of £26,706 to the credit of the colony upon the actual transactions completed within the year. As I have stated already, the ordinary revenue of the Consolidated Fund for the past year amounted to £3,458,170, and the expenditure to £3,278,820 ; the ordinary revenue therefore exceeded the expenditure by £209,350; and, deducting from this sum the deficit of the previous year, £5,667, we have a credit balance of £203,683 at the close of the financial year 1881-82 on this division of the account. But though, for reasons which, have been frequently stated, it was determined that a separate account should be kept of the land sales, it must be borne in mind that the revenue from that source still remains within the Consolidated Fund, and is liable to meet the charges of the public debt should it ever be necessary to use it at any time for that purpose; but the colony now no longer relies upon land sales in any way as a means of obtaining revenue to meet the ordinary services of the Government, and has thus removed one condition which made sound finance impossible. "When, however, we come to consider the whole transactions of the year, it is clear that the proceeds of land sales and their expenditure must appear in the account. We find, then, that the total moneys received and paid into the Public Account during the year, including land sales, was £3,805,233, and the total expenditure, including charges on the land sales, was £3,616,895. The receipts were thus £188,338 in excess of the expenditure; and, adding to this sum the surplus at the close of the year 1880-81, £26,706, we find that we have a credit balance on the 31st March, 1882, of £215,044. This result is one upon which I hope I may be allowed to congratulate the Committee. It fully bears out the opinion expressed by the Government in 1879, that the grave depression and deficit then existing were temporary and remediable, and shows us that the course then determined upon by Parliament of rigid economy and sufficient taxation has restored the finances of the colony in a remarkably short time to a thoroughly sound condition. We may well, Mr. Hamlin, be proud of belonging to a people and a country which can in such circumstances produce such results as these in a period of two years.

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LOCAL FINANCE. The question of local finance has been again carefully considered during the recess, and the Government have thought it advisable to issue a circular to the local bodies asking for their opinion upon this subject, and also upon some important questions relating to the constitution of the County Councils and Hoad Boards. I shall shortly ask leave to introduce Bills to give effect to such alterations as the Government think necessary in the constitution of these highly useful local bodies, and also to make sufficient provision for their financial requirements. I do not propose to trouble the Committee with any particulars of the proposed Bills, as it will be more convenient to do so when the Bills themselves are under consideration. I ought, however, to say that the principles which the Government have taken for their guidance in preparing these measures are —first, that the local bodies should be left as free as possible from central control; second, that they should have conferred upon them all powers which can be advantageously exercised by such bodies; third, that their finances should be as distinct as possible from the colonial finances, and that their revenues should be sufficient. The necessity of dealing with this subject during the present session is admitted upon all sides. The question is not one which should be treated as a party question; and I venture to hope that the Government will receive the hearty support of both sides of the House in providing the country districts with the means of performing the important duties which have been imposed upon them of making and maintaining a large proportion of the roads of the colony. ESTIMATED EXPENDITURE FBOM OEDINAET BEVENUE, 1882-83. I now come, Sir, to the consideration of the estimated expenditure of the ordinary revenue for the current year. This may be conveniently divided— following the usual custom —into two parts, the Permanent Charges and Annual Appropriations. The Permanent Charges, amounting to £1,627,512, include pension payments under the Civil List and other Acts, and the large item of interest and sinking fund, which this year will amount to £1,554,848 : included in this, however, is the sum of £24,000 due for arrears of sinking fund upon the Imperial Guaranteed Loan of £1,000,000 of 1870, to which I have already referred. The total present annual charge upon our debt is therefore £1,530,848, and not £1,554,818, as might be supposed from a casual inspection of the accounts without this explanation. It must also be borne in mind that of this £1,554,848, no less a sum than £270,000, or nearly one-sixth, is for sinking fund; in other words, we shall pay this year £1,284,848 for interest, and £270,000 for redemption of debt. This point is often overlooked when we speak of the annual charge of our debt, but, as honorable members will see, it is one of some importance when we wish to ascertain exactly our financial position. The estimated annual appropriations for this year amount to £1,851,127. This shows an apparent increase upon last year's votes of £93,468. I say apparent, because the services for which a large portion of this extra £93,468 is required were paid for last year out of loan. Honorable members will find, on referring to the Public Accounts, that the votes for Militia and Volunteers, Police, and Constabulary for last year charged against the Consolidated Fund were only £142,015, whereas they are this year £214,009, a difference of £71,994, which previously was paid out of loan. This £71,994, then, is not an increase of proposed expenditure, but really the transfer of a charge from loan to consolidated revenue of what, I regret to say, is for the present necessary expenditure, although happily the cause for much of it is, as we believe, fast passing away. This transfer I am sure the Committee will approve, for although such expenditure, being temporary and extraordinary, may be considered a fair charge against loan, still it is very desirable to pay for such services out of revenue whenever the revenue will bear them, as is now the case. Of the balance of £21,474, £10,000 is for abatement of the rabbit nuisance, which last year was provided for in the Land Fund Estimates; the remainder may be said to be comprised chiefly of increased charges for working some newly-opened sections of railways, for exchange on remittances to London to pay interest, and for some necessary increases in the smaller salaries of civil servants. I have been thus particular, Mr. Hamlin, in

Table No. 7.

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calling the attention of the Committee to this apparent increase, because the Government are anxious that a watchful eye should he kept upon any proposals for increased expenditure, which should not be permitted unless shown to be absolutely required in the interests of good government; for it is certain that, unless we exercise great care in this matter, the return of prosperity will again lead us to extravagant expenditure. I must here, Sir, point out the fact, which I hope honorable members will bear in mind, that in this estimate of expenditure I have only provided the sum of £40,000 for hospitals and charitable aid —the amount voted last year. Upon this important question I shall speak more fully presently. ESTIMATED BEVENUE TOE THE TEAR 1882-83. I will now ask the Committee, Mr. Hamlin, to turn its attention to the consideration of the revenue for the year 1882-83. I anticipate, if taxation is to remain unaltered, with the property-tax at one halfpenny in the pound, that we shall receive a total ordinary revenue of £3,393,500, exclusive of land sales. I have thought it prudent to estimate only moderate increases on the several items of revenue, full particulars of which, compared with the actual receipts of last year, will be found in Table No. 7a attached to this Statement. It is possible that the revenue may exceed my estimate; but, considering all the circumstances of the colony, I think it better not to speculate upon increases which although possible may never arise. I estimate the revenue then at £3,393,500. To this must be added the balance of £203,683 which stood to our credit on the 31st March, and we then get the sum of £3,597,183 as the total amount available for the services of the year. Now, if from this we take £3,478,639, the estimated expenditure to which I have already referred, there will remain a balance of £118,544 at the end of the current financial year. So far, Sir, all has been plain-sailing. We have had to deal only with facts, and with estimated results which approach to something like a certainty; but we are brought face to face with a problem by no means easy of solution. How can this surplus be dealt with to the greatest advantage to the community ? What relief, if any, can be given to the taxpayers of the colony ? But, before these questions can be answered satisfactorily, it will be necessary for me to revert to the question of hospitals and charitable aid as I promised to do. The total public and known private expenditure upon hospitals and in charity last year was, in round numbers, £88,000; and for practical purposes we may assume that an equal amount Avill be required this year. This sum was made up by contribution from the Consolidated Fund, £29,000; stoppages from subsidies from local bodies, £37,000; contributions from local boards and from the public, £22,000. The present system, or want of system I ought rather to say, of providing the necessary funds is irritating and unfair to most, if not all, parties concerned in the charitable administration of the colony; and it is, I think, clear that the time has come when this important subject will have to be dealt Avith upon some comprehensive principle. It may be taken for granted that the indigent and the sick-poor must be fed and clothed and properly looked after by the community should private charity fail to make proper provision; and that private charity will fail to make a sufficient provision I fear is only too evident. The State, then, as the State, will have to undertake this business in some form. This being so, it would seem that there are practically only three courses open for us to follow : the indigent and the sick-poor will have to be maintained by a poor-rate, supplemented by private benevolence; or by large grants from the Consolidated Fund, supplemented by private benevolence; or by a system of national assurance. It may be impossible to deal with this large question during the present session; but, as there is a great and I believe a very general repugnance to a poor-rate, in which I strongly sympathize, and as grants from the consolidated revenue are, to say the least, very undesirable, I propose to submit a scheme of national assurance for the consideration of the House, which I believe to be thoroughly practicable, within the means of our people, and which would make necessary provision for the sick, the widow and orphan, and the aged. It is possible that my enthusiasm has carried me too far upon this subject—has made me too hopeful. But I have given the question much thought, and am convinced that the scheme which I shall

Table No. 7.

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at an early day submit to the House is within the bounds of practical politics for us in this colony. Should, however, the proposal only lead to a dispassionate discussion of this important matter, we shall have advanced one step towards a solution of what, I venture to think, is one of the great problems of the age—a problem which, though happily not so urgently pressing upon us as upon older communities, where the distribution of wealth is at present much more unequal, is still one it behoves us as the founders of a nation to grapple with, and to the best of our ability solve without delay. I have said that it is very probable that we cannot deal with this question during this session; but, whether we do so or not, sufficient provision will have to be made for the expenditure of the year. The Government propose, pending further consideration of this subject, to take the whole cost of hospitals upon the Consolidated Fund, and for this purpose I shall have to ask for a vote of £50,000 for their maintenance. Should this be granted, we shall ask the continued assistance of the local boards or the local committees, as the case may be, in their management; for, without careful local supervision, abuses of a serious nature are sure to creep in. With regard to charitable aid, now costing about £40,000 a year, I shall ask for a vote of £20,000, and propose that this relief should be given, as far as practicable, through local institutions, the Government granting pound for pound. If this proposal should meet with the approval of the Committee, I shall have to increase the £40,000 for hospitals and charitable aid, which I mentioned as included in my estimated expenditure, to £70,000, thus disposing of £30,000 of the surplus. The balance, then, of £118,544, which I said would probably be to our credit on the 31st March, 1883, will be reduced by this means to £88,544. I will now turn, Mr. Hamlin, to the consideration of the question, What relief, if any, can be given to the taxpayers of the colony ? We have now only a surplus of £88,544 as a margin, after making the temporary provision I have just proposed for the services of the year which are not of a permanent character, amounting to about £100,000. With such a surplus we might, if we did not intend, as we do, to go upon the London money market early next year for a further loan to continue our public-works scheme, safely reduce taxation by at least £50,000; but, taking all the circumstances of the case into consideration, Ido not think it would be prudent to reduce taxation at present. If it be determined to borrow more money to enable us to complete our main lines of railway, it will obviously be necessary to continue taxation at such a rate as will insure an ample margin of revenue to pay interest on money borrowed. Taxation must, as a matter of course, remain at a high rate until the works now being constructed out of loan are completed and have had time to become reproductive. Sir, we feel assured that what the House desires and what the country demands is steady progress with our public works, —that we should pay our way from year to year, and not again fall into debt for current expenditure. And although we are apparently raising less revenue this year than will cover our expenditure, it must be borne in mind that the temporary and extraordinary services which are this year being charged against revenue amount to more than the difference between expenditure and revenue, and that the use of a surplus for such a purpose is quite legitimate finance, when there is no reasonable doubt that next year's revenue will be ample to provide for the service of the year. ESTIMATED EXPENDITURE AND EEVENUE FROM LAND SALES FOR 1882-83. The estimated expenditure chargeable against the Land Sales Fund is as follows : Eor charges fixed by Acts of the General Assembly, £41,500; for the Crown Land, Survey, and Mines Departments, £153,810. The receipts from land sales are estimated to reach £354,000 for the current year. Adding to this sum the balance at the beginning of the year, £11,360, and deducting the estimated expenditure, £195,310, we have a balance remaining of £170,050. The question of the disposal of this balance must be postponed for the present, until the Legislature has determined what form of aid shall be given to local governing bodies. The proposals of the Government in reference thereto will be submitted when I introduce the Bills which have been prepared for dealing with this subject.

Table No. 8.

IX

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LOCAL INSCEIBED STOCK. It will be in the recollection of honorable members that last year I intimated to the House the intention of the Government to submit for consideration a Bill authorizing the issue at par of a loan of £250,000, the principal and interest of which would be payable in New Zealand only. Circumstances prevented the Government from giving effect to that intention during the last session of Parliament ; but steps are now being taken to prepare a Bill, which will be submitted for the consideration of the House in the current session. I have drawn the attention of the Committee in a previous part of this Statement to the very large accumulations of money in the Savings Banks in the colony, and the Government think, as I remarked in the Statement I had the honor to make last year, that many of the depositors of this money, as well as the public generally, might be glad of a more permanent form of investment, if one can be provided which is at the same time secure and easily convertible into cash. I propose, as before, that the loan shall bear interest at a rate not exceeding 5 per cent., and that the proceeds shall be paid into the Public Works Fund, to be appropriated by Parliament. I also propose that the loan shall be issued in the form of inscribed stock, with the right to the subscriber to obtain at any time, when desired, bonds payable to bearer of £10 and upwards. The Government believe that securities such as those I have described will find favour with the public so soon as their nature is generally understood. The loan will be disposed of gradually as it comes into favour, the object of the Government not being to obtain funds for expenditure, but to provide a class of security for the investment of savings which seems generally to be desired, and is likely to have a very beneficial operation. INCIDENCE OF TAXATION. I should noAV like, Mr. Hamlin, with the permission of the Committee, to say a few Avords about a question which, I think, well worthy of our attention at- the present time, namely, the incidence of our taxation. Does our present taxation press unfairly upon any particular class, and especially upon that class which is the least able to bear it ? because, if so, although we might not be able to reduce the total amount, we might be called upon to shift the burden from the weak to other and stronger shoulders. I have, Mr. Hamlin, been looking into this question of the incidence of taxation, in order to ascertain the amount borne by the different classes, so that relief might be given, if necessary, to those upon whom the taxes appeared to press the most heavily. I will state broadly, for the information of the Committee, the results of my inquiries, referring honorable members for particulars to Table No. 9, published with this Statement. The results of my inquiries seem to me to show that our taxation is upon the whole fairly distributed over the community, although what is fair in such a case is a proper subject for discussion, and a question upon Avhich there may be a great diversity of opinion. I" 1 or the purpose of comparison I have divided the population into three classes, which, for the object I have in Adew, may be considered natural divisions. First, the AA rage-earning class, which I shall hereafter, for convenience, call the Industrial class, consisting of 312,436 souls, exclusive of 11,903 domestic female servants. Second, the Intermediate class, numbering 96,260 souls. This class is composed of all those who are known by the census as not belonging to the Industrial class, and avlio do not pay Property-tax. And, third, the class which pays Property-tax, consisting of 68,445 souls. The total taxation upon which my calculations are based —for what we term taxation proper as distinguished from what is paid for services rendered, is £1,717,748. This Avas made up as follows : Customs, £1,276,199; Stamps (not including postage stamps), £126,148; Pro-perty-Tax, £257,600. Prom the Customs duties I deduct the duties j)aid on wines, spirits, foreign beer and tobacco, sugar used in brewing (£3,493), and the amount (£5,512) estimated to be paid by the Maoris on general Customs, and also the duty paid on cotton piece goods, which are now free. These amount in all to £683,794. I make these deductions because, with the present information at my disposal, it is impossible to apportion to each class the expenditure under the head of wines, spirits, and tobacco Avith any accuracy, and because the other ii—B. 2.

Table

8.—2

X

articles enumerated do not come within the scope of the inquiry. But I have no doubt that, if we could make now a true distribution of the amount paid under the heads of wines, spirits, and tobacco, we should find that the Intermediate and Property classes pay a large share, and that the relative proportion between the three classes which lam about to give would be but little, if at all, changed. I assume, of course, a moderate use of fhese articles : if used in excess it is impossible to say which class may pay most; but I think it will be generally admitted, or at any rate ought to be admitted, that those who use spirits or tobacco, or any other article, in excess, to whatever class they belong, are fair subjects for heavy taxation. Now, I have received from sixteen of the chief towns in the colony trustworthy information as to the actual expenditure of a large number of mechanics and labourers. I have compared the expenditure so obtained with the expenditure of the same classes in England, and find only such differences as the change of circumstances would lead one to expect. I think, therefore, we may take these returns as approximately accurate for practical purposes. I believe that further information which I am collecting will generally bear out the results now given, and that any error which may be found in my estimates will be in the direction of a slight over-estimate of the amount paid by the Industrial class. The returns to which I have alluded show that the average amount paid to the State by families of the Industrial class averages 16s. 6d. per member, or a total of £214,522 for the various families. This estimate is made from the actual expenditure of fifty-six typical families resident in all parts of the colony. But to this amount we must add the duty, £51,246, paid by 49,355 single men, equal to £1 Os. 9d. per head, and the duty, £3,983, paid by single women over 18 having occupations, equal to 19s. l^d. per head. The aggregate of these amounts is £269,751; thus giving an average over the whole class of 17s. 3d. per head. But to this amount we must add £10,311, being the duty paid by the 11,903 domestic female servants for drapery at 17s. 3"9 d. per head; thus giving a sum of £280.062 as the total taxation paid by the Industrial class, exclusive, of course, of the duties on spirits, wines, &c, tobacco, colonial beer. I have included all the domestic male servants and the married couples at service as paying in the Industrial class, although, probably, the chief part of their consumption ought to be credited to the Intermediate and Property classes. This, I need hardly remark, makes no difference as to the average rate per head, but only in the total paid by the class. I have, following the best authorities on this subject, included the duty payable upon articles consumed by domestic female servants, except wearing apparel, in the amount paid by the Intermediate and Property classes. I have said that the total amount paid by the Industrial class is £280,062, and that this amount is ascertained by means of the actual expenditure made by fifty-six families in various parts of the colony, and that these returns have been carefully checked by comparison with the expenditure of the same class in England, proper allowance being made for the difference in circumstances of the two populations, and also by due consideration of what it is possible for this class to spend on dutiable goods, after providing from their earnings for the other necessaries of life and for house rent. If we now deduct £280,062, the amount paid by the Industrial class, from the total duties which we are now considering, we get £312,343 as the Customs duties paid by the Intermediate and Property classes. This amount, after careful consideration, I have divided at an equal rate per head between the two classes last named. This will give per head for each of these classes £1 17s. lid. The total revenue collected for stamps, exclusive of postage stamps, is £126,148. This I have also divided at an equal rate per head between the Intermediate and Property classes. This gives for each member of the Intermediate and Property classes 15s. 4d. per head. I think there can be no doubt that the stamp duties are paid by these classes. It is possible that a small amount may be paid by the Industrial class, but it is so small that it could not appreciably affect the results as between the various classes. We find, then, that the stamp duties paid per head by the Intermediate class is 15s. 4d., and the Customs duties £1 17s. lid.; this gives £2 13s. 3d. as the total sum per head paid by the Intermediate class, and a total for the class of £256,272. The Property class, I have assumed, pay an equal

XI

8.—2

amount per head with the Intermediate class for stamps and Customs; they, however, paid, with the Property-tax at a penny in the pound, which it was at the time to which my calculations relate, £3 15s. 3d. per head for that tax, making a total per head of £6 Bs. 6d., or a total for the class of £439,819. With the Propertytax, however, at one halfpenny in the pound, the amount paid per head by the Property class would only be £4 10s. lOgd., or a total for the class of £310,719. To summarize, then, we find that the Industrial class, consisting of 312,436 souls, exclusive of 11,903 domestic female servants, pays £269,751, being at the rate of 17s. 3d. per head, or including the drapery duties paid by these domestic servants, £280,062. The Intermediate class, consisting of 96,260 souls, pays £256,272, or £2 13s. 3d. per head; and the Property class, consisting of 68,445 souls, pays £439,819, being at the rate of £6 Bs. 6d. per head—that is with the Property-tax at one penny; but if we take that tax at one halfpenny, they pay £310,719, or at the rate of £4 10s. 10^d. per head. These amounts are, as I have already said, exclusive of the duties paid upon spirits, wine, tobacco, and colonial beer, and do not include, for obvious reasons, that part of our so-called taxation which is paid for by each class in proportion to use for services rendered by the State, such as post office, telegraph, court fees, &c. Honorable members will, I hope, understand that, in speaking of the expenditure at per head, I only use a form of expression so far as the Intermediate and Property classes are concerned, individual expenditure being widely different according to means and habits. But with the Industrial class the difference is not so wide. With taxation it is of course impossible to meet individual cases. In apportioning the taxation of the community we must take a wider view, and deal with classes, considering their circumstances and numbers. It is difficult to exaggerate the importance of this subject, for badly-adjusted taxation means undue exaction from some class or classes, which cannot fail to be detrimental to the community as a whole ; while, on the other hand, fairly-adjusted taxation means that the public burdens are borne with as much ease as their extent will permit. And I would express the hope that this question will receive the careful attention of honorable members, and. of all interested in the public welfare throughout the colony, so that, when our financial position permits, we may deal with the subject on broad and intelligible principles. PROPOSED LOAN. I have now, Mr. Hamlin, only one more subject to deal with, but, although last, it is by no means least in importance : I refer, of course, to the question of a new loan. We have first to consider whether a new loan is advisable this year, and secondly, if the first question is answered in the affirmative, how much will it be desirable to borrow ? Now, with regard to the first question, we must, in order to arrive at a reasonable conclusion, consider the state of the Public Works Fund, and the amount we can prudently expend per annum. I have already said the balance in the Public Works Eund on the 31st March last was £924,865, with outstanding liabilities at that date of £541,400, exclusive of the liabilities on the Land Purchase Account, for which we must add at least £100,000. So that, in addition to the £541,400 which is in course of expenditure under existing contracts and authorities, there only remained in hand at the beginning of the financial year about £283,465 for continuation of the works already begun and for new works, for which liabilities have not been incurred or appropriations made. We thus see that, if no authority for a further loan is granted this year, our spending power on public works for one year and three-quarters, after paying for the outstanding contracts and engagements to which I have referred, will only amount to £283,465, because, if a loan Bill were passed, next session, the money could not be raised before about December, 1883; and the Government are quite determined not to enter into engagements in anticipation of raising money at a particular date. The question then narrows itself to this : is it prudent at the present time and under the present circumstances of the colony to borrow again; or ought we to be satisfied with a total expenditure of £924,865 in the twenty-one months, commencing with the current financial year ? Sir, the Government are fully aware of the responsibility

8.—2

XII

they incur in. placing before the Committee their answer to this question. They recognize clearly the principle that, before the public debt is increased, the gain to the colony shall be seen to be more than commensurate with the increased liability; and they believe that a case within this rule has now arisen. They think that our ordinary finance being restored to a satisfactory condition, and our main trunk lines of railway being still incomplete, it is now prudent to raise a fresh loan for the purpose of completing these railways, or carrying them a stage nearer to completion, and for certain other definite and important public works. In this opinion the Government are strengthened by the fact that the railways already made are now paying practically 4 per cent, annually on the amount expended in their construction, an d that they are steadily improving in this respect. The Government, therefore, Sir, recommend that a loan should be raised, but only if the money can be borrowed at a reasonable rate of interest; and authority of Parliament will be asked to empower the Government, if necessary, by postponing works, so to arrange the expenditure as to enable them to wait for a favourable market. We have now to consider what amount should be raised; and this must be decided by two considerations : (1) the amount which can be profitably expended on necessary or directly reproductive public works; (2) the amount upon which we can afford to pay interest without placing undue burdens upon the people of the colony. Now, I am afraid that there are so many necessary or directly reproductive public works only waiting to be done for the want of cash to do them that we shall find no practical limit in that direction : and in this fact lies no doubt the cause of our far too lavish expenditure in the past. From the past we should take warning, and proceed at a very much more moderate pace than we have been doing, upon the average, for the last ten years. We must confine ourselves for the future, in the expenditure of borrowed money, to works of necessity, or to works which are directly reproductive, and strictly limit the amount spent yearly upon such works by our capacity to pay the interest with tolerable ease. It is, in the opinion of the Government, of great importance that the colony should steadily pursue a progressive policy, and that our main trunk lines should be pushed on as vigorously as is compatible with the means at our disposal. The Government, then, taking into consideration all the circumstances of the colony, and acting upon the principles which I have just laid down, have determined, Sir, to propose to Parliament a loan of £3,000,000, to be raised and expended at a rate not exceeding £1,000,000 per annum. My honorable colleague the Minister for Public Works, when he makes the Public Works Statement, will inform the Committee in detail of the items of the proposed expenditure, and of the mode by which we hope to confine the expenditure to specific works determined upon by Parliament before the money is borrowed. The Government attach great importance to this provision of the proposal. It is, I think, clear, looking at the experience of the past, that, if our future borrowing is to be governed by that pradence which is essential, we must carefully consider what works we are justified in constructing, at what rate of speed they should be constructed, and at what cost to the State. When we have determined these conditions we are then in a position to decide upon the amount to be borrowed. "Upon these rules of conduct in this matter, which, I am sure, will meet with the hearty approval of the Committee, the Government have acted in arriving at the amount which they propose shall be borrowed. And now, Mr. Hamlin, I have done. The Committee, lam sure, will not be disappointed at the shortness of my Statement when it remembers that this is the natural and appropriate result of the simplicity in keeping the colonial accounts which we have been enabled to adopt. I will only add one word. In 1879 I stated to the Committee fully and fairly the position of the colony, neither concealing nor exaggerating the grave difficulties which had then to be met; and I pointed out the obvious remedies. That statement has often been characterized, especially by those who had taken least trouble to master it, as too darkly shaded, as giving too gloomy a view of things; though it has never been attempted to disprove the facts and the figures which I then adduced. Sir, I venture to say that, except so far as the gloom was in the facts themselves, it never had any existence : it certainly was not of my im-

8.—2.

XIII

porting. It was prudence, not folly, to look our difficulties fully in the face: it would have been folly, and not prudence, to doubt that we could overcome them. The Government and this House had full confidence not only in the abounding vitality and vast resources of the colony, but (which was no less important) in the willingness of the colonists to make the necessary sacrifices ; and that confidence has been amply justified by the facts I have just had the honor to lay before the Committee. And as prudence and economy, and a cautious and well-considered advance in public works as funds became available, was our rule then and has been sinco, so it should be now and in the future. I have full confidence, Sir, that, following that rule faithfully, we shall not only maintain, but, as the resources of the country become developed, we shall steadily increase, the present satisfactory condition of our finance.

in—B. 2.

8.—2

TABLES REFERRED TO IN THE FOREGOING STATEMENT.

Page Table No. 1. —Abstbact op the Receipts and Expenditube op the Public Account .., ~. ... 2-8 Table No. 2. —Statement op tiie Estimated and Actual Expenditube op the Consolidated Fund, including the estimated liabilities on 31st maech, 1881, and 31st makch, 1882 ... 9 Table No. 3.—Statement op the Estimated Liabilities op the Public Woeks Fund on 31st Maech, 1881, and 31sr Maech, 1882 ... ... ... ... ~, ... ... 10 Table No. 4. —Compakative Statement op tiie Estimated and Actual Beceiets op the Consolidated Fund ... ... ... ... ... ... ... ... ... ... 10 Table No. s.—The Public Debt ... ... ... ... ... ... ... , ... ... 11-12 Table No. 6.—Statistics belating- to Savings Banks Deposits ... ... ... ... ... 13 Table No. 7.—Statement op the Estimated Eeceipts and Expenditube op the Oedinaby Revenue Account op the Consolidated Fund job 1882-83 ... ... ... .., ~, 13 Table No. 7a. —The Actual Revenue op the Yeae 1881-82, cojipaeed with the Estimated Revenue op the Teab 1882-83 ... ... ... ... ... ... ... ... 14 Table No. 8. —Statement op the Estimated Receipts and Expendituee op tiie Land Fund Account poe 1882-83 ... ... ... ... ... ... ... ... ... 14 Table No. 9. —Tables eelatino- to the Incidence op Taxation ... ... ... ... ... 15-16 Table No. 10.—Statement op the Total Ways and Means and Total Net Expendituee oe the Public Wobks Fund to the 31st Maech, 1882 ... ... ... ... ... ... 17 Table No. 11.—Retubn op the Impoets, Expobts, a.nd Population op the Colony poe the Teaks peom 1872 to 1881 ... ... ... ... ... ... ... ... ~, 18 Table No. 12.—Land- and Peopeety-Tax Retuens ... ... ... ... ... ... ... 18

8.—2

2

TABLE

STATEMENT of the Receipts and Expenditure of the ORDINARY REVENUE

RECEIPTS. £ s. d. £ 5. d. £ s. d. Balance on 31st March, 1881, — Cash, in (lie Public Account and in fransitu Advances in the hands of Officers of the Government, — Colonial .., ,., Foreign ... ... ... ... 24,883 7 o 44,463 15 * 10,686 3 4 69,347 2 1 8,500 o o Worn Silver Coin in transits to Melbourne Mint Ordinary Revenue, — Raised by Taxation, — Customs ... ... ,..£1,470,107 18 8 Stamps ... .,, ... 161,115 11 8 Land-Tax ... ... ... 1,427 3 7 Property-Tax ... ... 250,974 17 3 Beer Duty ... ... ... 58,555 17 11 88,533 S 5 1,942,181 9 1 Receipts for Services rendered, — Railways ... ... ... £884,733 7 8 Postal ... ... ... 152,516 9 6 Telegraphic ... ... ... 77.555 8 6 Judicial ... ... ... 58,486 10 5 Land Transfer and Deeds Registry 40,740 15 5 Registration and other Fees ... 34,0/6 8 1 Marine ... ... ... 15,133 8 5 Miscellaneous ... ... 94»243 13 3 Territorial Revenue, — . Depasturing Licenses, Rents, &c. ... £184,519 3 10 Miscellaneous ... ... ... 3,983 13 4 1,357,486 1 3 188,502 17 2 Treasury Bills issued under "The Treasury Bills Act, 1880," in renewal of Bills, as per contra CIS 3,488,170 7 6 23,900 o o 3,512,070 1 6 Total £3,600,603 12 11 LAND FUND Balance on 31st March, 1881,— Cash in the Public Account ... ... Advances in the hands of Officers of the Government, — Colonial ... ... ... ... Foreign ... 3,043 17 2 420 o o 28,909 11 3 3.463 17 2 Land Snles, — Ordinary ,., ... ... ... ... On Deferred Payments ... ,., ,., 282,135 15 34>927 9 1 2 32,373 8 5 317.063 4 3 Total £.349,436 12 8

8.—2

3

No.l

CONSOLIDATED FUND for the Financial Year ended 31st March, 1882. ACCOUNT.

EXPENDITURE. £ s. d. £ s. d. £ s. d. Permanent Appropriations, — Civil List ... ... ,., ... Interest and Sinking Fund Under Special Acts of the Legislature Ellesmero and Forsyth Reclamation and Akaroa Kailway Trust 26,321 17 2 1,500,988 12 8 52,102 13 5 •.S79.932 8 o 539 4 9 Annual Appropriations — Class I.—Legislative ... „ II.—Colonial Secretary „ III. —Colonial Treasurer „ IV. —Minister of Justice „ V. —Postmaster-General ... „ VI.—Commissioner of Customs „ VII. —Commissioner of Stamps ... ... „ VIII. —Minister of Education „ IX.—Minister of Native Affairs „ X. —Minister of Mines ... ,,. „ XI. —Minister for Public AVorks „ XII. —-Minister of Defence ... ,., 38,089 4 11 178,756 7 8 32,427 17 8 111,612 7 o 227,498 18 4 71,455 18 3 23,561 13 2 269,709 19 6 24,121 5 10 iS>"° "3 7 573,220 8 10 129,507 17 5 Services not provided for ... ,,, 1,695,072 12 2 3.795 4 8 Deficiency Bills outstanding on 31st March, 1881, paid off Treasury Bills issued under " The Financial Arrangements Act, 1876," due 1st November, 1881, and renewed, as per contra ... .., ... [,278,820 4 10 94,200 o o 23,900 o o Balance on 31st March, 1882, — Cash in the Public Account and in transits.., Advances in the hands of Officers of the 0-overnment, — Colonial ... .., ... Foreign ... ... 128,779 9 9 3,396,920 4 10 22,817 7 10 49,286 10 6 72,103 18 4 2,800 o o 203,683 8 1 Worn Silver Coin in transits to Melbourne Mint Total ... £3,600,603 1211 ACCOUNT. Permanent Appropriations, — Subsidies to Local Bodies, 1880-81 ... Subsidies to Local Bodies, 1881-82. One-third of Proceeds of Land sold on Deferred Payments paid to Local Bodies New Plymouth Harbour Board Endowment Ellesmere and Forsyth Reclamation and Akaroa Railway Trust 92 17 6 136,768 19 11 11,759 10 2 36,667 6 6 14,671 3 10 Annual Appropriations, — Class XIII.—Minister of Lands ... Services not proTided for... 199.959 17 II 137,296 19 2 819 2 3 Balance on 31st March, 1882, — Cash in the Public Account ... ... Advances in the hands of Officers of the Government, — Colonial Foreign 4,673 2 6 338,075 19 4 5,887 10 10 800 o o 6,687 Io Io 11,360 13 4 Total £349,436 12 8

8.—2.

TABLE

STATEMENT of the Receipts and Expenditure of the ACCOUNTS OF

Treasury, Wellington, 20th April, 1882. Examined and found correct: James Edward FitzGerald, Controller and Auditor-General, 4th May, 1882.

4

RECEIPTS. £ s. d. £ s. d. £ s. d. Balance on 31st March, 1881 — Cash in the Public Account ... Advances in the hands of Officers of the Government,— Colonial 6,580 19 5 6,587 o 5 610 Revenue appropriated to Local Bodies, — Revenue from License and other Fees ,., Revenue from Lands made over ... Gold Fields Revenue Gold Duty 47>(M° >S 7 9°! 3 4 22,067 6 7 29,-188 7 2 Counties Separate Accounts, — Revenue of Counties in which " The Counties Act, 1876," is not in operation Advance Accounts, — Recovered ... ,,, ... ... 100,100 12 8 5> 274 13 2 176 14 11 IO5.S52 o 9 Total £112,139 J 2 DEPOSIT Balance on 31st March, 1881, — Cash in the Pnblic Account Advances in the hands of Officers of the Government, — Foreign 33.°47 17 7 25,694 13 II Lodgments,— Armed Constabulary Reward Fund General Assembly Library Fund ... Nelson Rifle Prize Fund... New Zealand University Endowment, Auckland New Zealand University Endowment, Westland Worth Otago District Public WorliB Loan Act Railway Servants' Fund ... Temporary Deposits Thermal-Springs Districts Act Unclaimed Balances ... ... ... Unclaimed Property Waiau Sheep Dip Waikato Crown Lands Sales Act ... Westland Loan Act Redemption ... 58,742 11 6 301 18 9 85 o o i.Si 7 1 75 o o 14 10 6 12,352 8 1 95 JI 4 38,487 9 o 1,353 5 ° 1,290 10 6 o 8 ro 30 o o 363 6 3 91 15 o 54,672 10 4 Total £> i.3,4' 5 1 10

5

8.~2.

No. I—continued.1 — continued.

CONSOLIDATED FUND for the Financial Year ended 31st March, 1882. LOCAL BODIES.

James C. Gavin, Secretary to the Treasury, James B. Heywood, Accountant to the Treasury.

EXPENDITURE. £ s. d. £ s. d. £ s. d. Revenue paid over to Local Bodies, — Revenue from License and other Fees Revenue from Lands made over Gold Fields Revenue Gold Duty 47,709 13 7 894 3 4 21,029 14 4 28,345 "° 3 Counties Separate Accounts, — Amount distributed amongst Road Boards where "The Counties Act, 187C," is not in operation ... 97,979 1 6 8,718 3 10 Balance on 31st March, 1882, — Cash in the Public Account .., 106,697 5 4 5,44i 15 10 Total £'12,139 1 2 ACCOUNTS. Withdrawals,— Armed Constabulary Reward Fund Canterbury Surplus Land Revenue General Assembly Library Fund ... Native Account, Coromandel Native Account, Thames... Nelson Rifle Prize Fund... New Zealand University Endowment, Westland North Otago District Public Works Loan Act Outlying Districts Sale of Spirits Act Railway Servants'Fund ... Temporary Deposits Unclaimed Balances Unclaimed Property Waiau Sheep Dip Westland Loan Act Redemption ... 171 5 8 8,408 15 11 85 o o 76 7 3 749 3 3 150 o o 100 12,372 o 7 42 15 S 3210 o 25/»37 5 8 852 10 o 164 2 2 109 5 o 46 s o Balance on 31st March, 1882,— Cash in the Public Account Advances in the hands of Officers of the Government, — Foreign 48,898 s 11 29,937 17 10 34,578 18 1 64,516 15 11 Total £"3,4'5 ' io

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6

TABLE

STATEMENT of the Receipts and Expenditure of the PUBLIC WORKS

Treasury, Wellington, 20tli April, 1882. Examined and found correct. James Edwaed FitzGeeald, Controller and Auditor-General, 4th May, 1882.

RECEIPTS. £ b. d. £ s. d. s. 3alance on 31st March, 1881, — Cash in the Colony and in London, and in transitu to London Advances in the hands of Officers of the Government, — In the Colony ... In London 693,544 4 « 10,519 4 o 113,410 2 1 Wanganui Harbor Board Debentures ... New Zealand Government 10/40 Debentures Amount in Fixed Deposit with the Colonial Bank of New ZeaJand, London, due 1st April, 1881 Treasury Bills and Deficiency Bills representing temporary advances to the Consolidated Fund 123,929 6 1 17,000 o o 44,000 o o 50,000 o o 431,900 o o 1,360,373 1° 2 Special Receipts under Section 9 of " The Eailways Construction Act, "1878 " Miscellaneous Recoveries ,.. Demporary Advances obtained on the Security of the Imperial Guaranteed Debentures of "The Immigration and Public Works Loan Act, 1870 " 15,210 8 7 27,168 5 8 364,700 o o 407,078 14 3 Nora.—Balance on 31st March, 1881, subject to Liabilities,— Balance as above ... ... ... ■•■ £1,360,35310 3 Balance of Imperial Guaranteed Debentures unissued 500,000 o o Total ... ... ... £1,860,373 10 2 £1,767,452 4 5

7

8.—2

NO, I—continued.1 — continued.

FUND for the Financial Year ended 31st March, 1882.

James C. Gavin, Secretary to the Treasury. James B. Heywood, Accountant to the Treasury.

EXPENDITURE. £ s. d. e. a* e. u. s. bmual Appropriations,— Class I.—Immigration ... ... ... „ II.—Public Works, Departmental „ III.-—Railways ... ... ... „ IV. —Surveys of New Lines of Kail ways... „ V.—Roads and Bridges ... ..1 ... ,, VI.—Land Purchases ... ... ... „ VII.—Waterworks on Gold Fields „ VIII. —Telegraph Extension „ IX.—Public Buildings „ X.—Lighthouses and Harbour Worka ... ... „ XI. —Contingent Defence ... ... „ XII. —Charges and Expenses ... ... ... 6,796 16 1 13,13s 6 S 453,429 12 6 794 12 7 I4S-477-1? 6 40,5 7.1 4 7 13,272 9 7 7,Si7 4 9 128,356 5 9 21,207 15 6 133.218 19 3 13,576 3 " 977.356 8 s tefunds under Section 9 of "The Immigration and Public Works Appropriation Act, 1881" ... ... ... Services not provided for ... ... ... ... 237 o o 293 9 9 balance on 31st March, 1882, — CaBh in the Colony and in London, and in, transitu to London Advances in the hands of Officers of the Government, — In the Colony ... .,. ... ,,. ... In London ... ... ... ... ... 647,646 I 2 977,886 18 2 7,142 8 i 53,176 16 8 Wanganui Harbour Board Debentures ... ... ... New Zealand Government 10/40 Debentures Duntroon and Hakateramea Railway Company Debentures Treasury Bills, representing balance of advance to Consolidated Fund... 60,319 5 1 789,565 6 3 17,000 o o 44,000 o o 20,000 o o 600 o o 81,600 o o Note.— Balance on 31st March, 1882, subject to Liabilities,— Balance as above ... ... ... ... 6 3 Balance of Imperial Guaranteed Debentures unissued ... ... ... ... ... I3.=l,3°° o o Total ... ... ... aS'924,865 6 3 £1,767,43* 4 S

8.—2

8

TABLE NO. 1— continued. SUMMARY of Balances on 31st March, 1882.

Consolidated Fund. Public Wokks Fund. Suspense Account. Total. Funds. Cash Advances in the hands op Officers oe the Goveenment... Wokn Silveb Coin in teansit to Melboubne Mint Wan<jantti Haeboub Boaed Debentubes DlXNTEOON AND HAKATEEAMEA RAILWAY COMPANY Debentuees New Zealand Govebnment 10/40 Debentuees Teeasijby Bills EEPEESENTiNa Balance cm Tempobaby Advances to the Consolidated Fund ... £ s. d. 168,832 5 11 £ s. d. 647,646 1 2 £ s. d. 878 7 9 £ s. d. 817,356 14 10 Consolidated Fund : — Ordinary Revenue Account Laud Fund Account Accounts of Local Bodies ... Deposits Account £ s. d. £ s. d. "3.37° 7 3 2,800 o o 60,319 5 1 173,689 12 4 2,800 o o 17,000 o o 203,683 8 i 11,360 13 4 5,441 15 10 64>5 l6 J5 « 285,002 13 2 *789.565 6 3 878 7 9 ... 17,000 o o ... 20,000 o o 44,000 o o 20,000 o o 44,000 o o Public Wobks Fund Suspense Account ... 600 o o 600 o o £1,075,446 7 2 Totals 789,5 6 S 6 3 878 7 9 I.O75.446 7 2 Total 285,002 13 2 * Balance of Public Works Fund, brought down ... Add balance of Imperial Guaranteed Debentures unissued Total Public Worts Fund £789.565 6 3 £924,865 6 3

9

8.— 2.

TABLE No. 2. STATEMENT of the Estimated and Actual Expenditure of the Consolidated Fund (exclusive of Accounts of Local Bodies and Deposits) for the Financial Year ended 31st March, 1882, and of the Estimated Liabilities on 31st March, 1881 and 1882.

2—B. 2.

Estimated Liabilities on 31st March, 1881. Estimated Expenditure of the Year 1881-82, which included provision for Liabilities outstanding on 31st March, 1881. Actual Expenditure of the Year 1881-82. Estimated Inabilities on 31st March, 1882. Oedinaky Revenue Account: — Permanent Appropriations,— CmlList ... Interest and Sinking Fund Under Special Acts of the Legislature .,. £ s. d. 300 o o £ s. d. 29,750 o o 1,499,318 2 1 41,851 8 4 £ s. d. 26,321 17 2 1,500,988 12 8 52,102 13 5 £ s. d. 168 o o 24,000 o o 225 7 10 525 7 10 1,570,919 IO 5 i,579,4i3 3 3 24,168 o o Annual Appropriations,— Class I.—Legislative „ II. —Colonial Secretary „ III. —Colonial Treasurer „ IV.—Minister of Justice ,, V. —Postmaster-General ■ „ • VI. —Commissioner of Customs.,. ,, VII. —Commissioner of Stamps ... „ VIII. —Minister of Education „ IX. —Minister of Native Affairs... ,, X. —Minister of Mines „ XI. —Minister for Public Works „ XII.—Minister of Defence 22,490 o o 2,163 9 o S.iio o o 8,166 6 o 4.334 7 4 520 8 10 3.55° ° o 1,267 2 3 7,820 o o 86,595 '7 5 22,971 7 7 38,845 15 10 183,734 '9 11 31,373 12 1 113,610 17 6 228,753 4 5 70,953 7 '° 22,447 Io ° 286,616 2 9 27,292 11 2 27,372 7 1 584,644 13 1 142,014 12 2 38,089 4 11 178,756 7 8 32,427 17 8 111,612 7 o 227,498 18 4 71,455 18 3 23,561 13 2 269,709 19 6 24,121 5 10 15,110 13 7 573,220 8 10 129,507 17 5 25 o o 14,881 8 2 7 67 S 1 3,304 10 4 12,938 11 1 1,849 4 10 1,150 o o 2,340 o o 2,736 18 11 8,550 6 2 7!.7S4 7 5 '9.577 16 7 164,988 18 5 '.757.659 '3 10 1,695,072 12 2 •39.875 8 7 Special Appropriations,— Ellesmere and Forsyth Reclamation Services not provided for Deficiency Bills paid off 539 4 9 3.795 4 8 94,200 o o 35° 16 1 98,534 9 5 350 16 1 SuMMABY. Permanent Appropriations Annual Appropriations ... Special Appropriations Services not provided for ... 525 7 10 164,988 18 5 1,570,919 10 5 i,757. 659 13 10 '.579.413 3 3 1.695.072 12 2 98,534 9 5 24,168 o o 139.875 8 7 350 16 1 Totals, Ordinary Revenue Account... i6S.5H 6 3 3,328,579 4 3 3.373.02° 4 10 164,394 4 8 Land Fund Account: — Annual Appropriations ... £ s. d. 8,955 "5 4 £ 6. d. 154,510 9 o £ s. d. 137,296 19 2 £ a. d. 11,804 "7 3 Special Appropriations, — Subsidies paid to Local Bodies, 1880-81.., Subsidies paid to Local Bodies, 1881-82... One-third o£ Land Sales on Deferred Payments . New Plymouth Harbour Board Ellesmere and Forsyth Eeclamation Trust Services not provided for Bates to Local Bodies .., Roads Construction Board 100 o o 12,620 7 6 15,618 14 5 266 9 7 100 o o 30,600 o o 33,000 o o 21,266 9 7 92 17 6 136,768 19 11 11,759 I0 2 36,667 6 6 14,671 3 10 819 2 3 13.383 '8 8 27,000 o o 98,896 9 10 Totals, Land Fund Account 28,605 11 6 210,862 19 5 200,779 o 2 13.383 18 8 37,561 6 10 365.373 8 5 338,075 19 4 25,188 15 11

8.—2

10

TABLE No. 3. STATEMENT of the Estimated Liabilities chargeable on the Public Works Fund outstanding on the 31st March, 1881, and on the 31st March, 1882.

TABLE No. 4. COMPARATIVE STATEMENT of the Estimated and Actual Receipts of the Consolidated Fund for the Financial Year ended 31st March, 1882 (exclusive of Revenue of Local Bodies and Deposits).

.;irc. .arc. 1, 1882. Annual Appropriations : — Class I. —Immigration ... „ II. —Public Works, Departmental „ III.—Railways „ IV. —Surveys of New Lines of Railway „ V.—Roads and Bridges „ VI.—Land Purchases „ VII.—Waterworks on Gold Fields „ VIII. —Telegraph Extension ... „ IX. —Public Buildings „ X.—Lighthouses and Harbour Works . „ XL —Contingent Defence „ XII.—Charges and Expenses... Miscellaneous Public Works £ s. d. 664 1 6 647 18 3 428,687 1 8 406 6 8 74.4" 2 5 997,725 o o 11,029 J7 8 £ s. d. no 8 3 255 11 1 320,019 11 10 2.S4 15 o 117,840 15 2 338,876 10 3 6,665 lf> 9 3,500 o o 84,457 9 ' 7,554 11 8 761 o 9 33,249 18 5 100 o o 38,591 8 10 Totals 1,585.512 i5 5 880,276 9 I0

Dipfe: 1ENCES. Estimated. Actual. More than Estimate. Less than Estimate. Obdinaey Revenue Account :— Baised by Taxation, — Customs Stamps Land-Tax Arrears Property-Tax ... Beer Duty Receipts for Services Rendered, — Railways Postal Telegraphic Judicial Land and Deeds Registry Registration and other Pees Marine Miscellaneous ... £ s. d. 1,345,000 0 0 15.0,000 0 0 1,000 0 0 270,000 0 0 60,000 0 0 910,000 0 0 150,000 0 0 76,000 0 0 58,000 0 0 40,000 0 0 33,000 0 0 13,000 0 0 60,000 0 0 £ s. d. 1,470,107 18 8 161,115 11 8 1,427 3 7 250,974 17 3 58,555 17 11 884,733 7 8 152,516 9 6 77,555 8 6 58,486 10 5 40,740 15 5 34,076 8 1 15,133 8 5 94,243 13 3 £ s. d. 125,107 18 8 11,115 11 8 427 3 7 2,516 9 6 1,555 8 6 486 10 5 740 15 5 1,076 8 1 2,133 8 5 34,243 13 3 £ a. d. 19,025 2 9 1,444 2 1 25,266 12 4 Tebbitosial Revenue :— Depasturing Licenses, Rents, &c. 131,650 0 0 188,502 17 2 56,852 17 2 3,297,650 0 0 3,488,170 7 6 236,256 4 8 45,735 17 2 45,735 17 2 Land Fund Account: — Land Sales 317,063 4 3 190,520 7 6 333,000 0 0 15,936 15 9

11

8.—2.

TABLE No. 5. The PUBLIC DEBT of NEW ZEALAND on 31st March, 1882.

Annual Charge. Debentures and Treasury Bills in Circulation. Loans. Sinking Funds Accrued. ■ Net Indebtedness. Interest. Sinking- Fund. Total. Amount. When Redeemable. Kate. Amount. Bate. Amount. "Under Acts of the Colonial Government :— Ordinance of Legislative Council ... Hew Zealand Loan Act, 1856 ... < £ 375,000 25,000 50,000 50,000 * 311 y 500,000 On presentation January, 1888 October, 1888 October, 1889 June, 1894 £ s. d. I 416,326 4, 9 £ s. d. 311 0 O 83,673 15 3 cent. 4 £ s. d. 20,000 0 0 p. cent. 2 £ a. d. 10,000 0 0 £ s. d. 30,000 0 O New Zealand Loan Act, 1860 r New Zealand Loan Act, 1863 v ;.. i ... 488,000 ! 500,000 201,500 236,000 93,900 4,583,100 64,000 13,000 600,000 50,000 25,000 75,000 250,000 93,100 h 1 July, 1891 15 July, 1914 1 November, 1915 15 March, 1891 15 June, 1891 15 December, 1891 67,876 5 11 1 I- 489,745 19 5 25,223 14 1 1,029,654 0 7 6 r 5 I 6 5,586 0 0 24,400 0 0 20,000 0 0 12,090 0 0 14,160 0 0 5,634 0 0 2 1 1 2 2 2 1,862 0 0 4,880 0 0 5,000 0 0 4,030 0 0 4,720 0 0 1,878 0 0 7,448 0 0 29,280 0 O 25,000 0 0 16,120 0 0 18,880 0 0 7,512 0 0 J- 1,519,400 I j Consolidated Loan Act, 1867 ... < i 4,660,100 36 years from issue 1 January, 1893 15 April, 1913 r 5 I 4 229,155 O 0 3,200 0 0 520 0 0 • j 45,831 0 0 ... 274,986 0 0 3,200 0 O 520 0 0 r 1 36 years from issue 31 December, 1885 1 July, 1910 15 April, 1913 15 July, 1906 (5/30) 5 5 J, 4 5 30,000 0 0 2,500 0 0 1,125 0 0 3,000 0 0 12,500 O 0 1 6,000 0 0 36,000 0 O 2,500 0 0 1,125 0 0 3,000 0 0 12,500 0 0 Defence and Other Purposes Loan Act, 1870 -{ J- 1,000,000 1,199,550 7 5 7,660,549 12 7 Immigration and Public Works Loan Act, J 1870 ... ... ... 1 2.100,000 372,100 27,900 200,000 500,000 J- 3,200,000 J 38 years from issue 15 April, 1913 15 April, 1882 1 June, 1907 1 Feb., 1904 (5/30) 5 4 4 L4i 105,000 0 0 14,884 0 0 1,255 10 0 8,000 0 0 22,500 0 0 1 -.. "2* 21,000 0 0 20,000 0 0 126,000 0 0 14,884 0 O 1,255 10 O 28,000 0 0 22,500 0 0 North Otago District Public Works Loan Act, 1872 Immigration and Public Works Loan Act, ( 1873 ... ... ... I 1,500,000 500,000 2,200 1 November, 1902 1 Feb., 1904 (5/30) 15 July, 1906 (5/30) 356 18 10 ! 1,843 1 2 5 ( 4* 55 0 0 67,500 0 0 25,000 0 0 55 0 0 67,500 0 0 25,000 0 0 |. 2,000,000 2,000,000 0 0 ... ... General Purposes Loan Act, 1873 ... -{ i 12,300 49,500 20,900 18,500 6,200 87,900 54,700 500,000 1 f- 750,000 i 13,725,111 15 May, 1914 15 December, 1888 15 October, 1883 15 October, 1913 15 October, 18S5 28 November, 1884 28 November, 1914 15 July, 1906 (5/30) 1 J. 750,000 0 0 J 11,551,255 3 8 f 4 5 4 1 4i I 5 I 5 492 0 0 2,475 0 0 836 0 0 740 0 0 279 0 0 4,395 0 0 2,735 0 0 25,000 0 0 665,016 10 0 ... ... ... ... .... - I 492 0 0 2,475 0 0 836 0 0 740 0 0 279 0 0 4,395 0 0 2,735 0 0 25,000 0 0 ... 1.5 ... L , 2,173,855 16 4 125,201 0 0 790,217 10 0 Carried forward ... ... * On the whole of the one million of Imperial Guaranteed Debentures.

8.—2.

12

TABLE No. 5— continued. The PUBLIC DEBT of NEW ZEALAND on 31st March, 1882— continued.

Annuai Charge. Debentures and Treasury Bills in Circulation. Net Indebtedness. Loans. Sinking Funds Accrued. Interest. Sinking- Fund. Amount. When Redeemable. Rate. Amount. Rate. Amount. Brought forward £ £ 13-,725,111 £ s. d. 2,173,855 16 4 £ s. d. 11,551,255 3 8 p. cent. £ s. d. 665,016 10 0 p. cent. £ s. d. 125,201 0 0 £ s. d. 790,217 10 0 Under Acts of the Colonial Government — continued. Westland Loan Act, 1873... Immigration and Public Works Loan Act, 1874 New Zealand Loan Act, 1876 New Zealand Loan Act, 1877 New Zealand Consolidated Stock Act, 1877 ... New Zealand Loan Act, 1879 50,000 4,000,000 1,000,000 2,500,000 5,371.200 524,000 15 April, 1894 1 Feb., 1905 (5/30) 1 Mar., 1918 (10/40) 1 Mar., 1918(10/40) 1 November, 1929 1 November, 1889 1,032 11 4 48,967 8 8 4,000,000 0 0 1,000,000 0 0 2,500,000 0 0 5,371,200 0 0 524,000 0 0 5 5 4 5 2,500 0 0 180,000 0 0 50,000 0 o 125,000 0 0 214,848 0 0 26,200 0 0 2,500 0 0 180,000 0 0 50,000 0 0 125,000 0 0 214,848 0 0 26,200 0 0 Treasury Bills, — Treasury Bills Extended Currency Act, 1873 Treasury Bills Extended Currency Act, 1876 Treasury Bills Act, 1879 Treasury Bills Act, 1880 180,000 60,000 741,400 350,000 > 1,331,400 1 November, 1882 1 November, 1882 31 December, 1882 30 June, 1883 1,331,400 0 0 68,338 5 3 68,338 5 3 !3ja.p.d. Under Acts oe Ordinances of the iate PROVINCIAL GtOVEBNMENTS : — Auckland Loan Act, 1863 ... Wellington Loan Act, 1866 Nelson Loan Act, 1874 Lyttelton and Christchurch Railway Loan Ordinance, 1860 Canterbury Loan Ordinance, 1862 ... Otago Loan Ordinance, 1862 ... | 31,600 13,500 18,000 I 280,300 33 years from issue 1 July, 1866 Various 10,658 12 5 7,201 10 3 20,941 7 7 6,298 9 9 18,000 0 0 6 8 7 1,896 0 0 1,080 0 0 1,260 0 0 2 2 632 0 0 270 0 0 I 2,528 0 0 1,350 0 0 1,260 0 0 77,700 22,800 116,700 30 years from issue 50 years from issue i July, 1898 35,808 12 5 2,548 19 0 35,311 15 7 41,891 7 7 20,251 1 0 81,388 4 5 6 6 6 4,662 0 0 3,368 0 0 7,002 0 0 2 1 1 1,554 0 0 228 0 0 3,167 0 0 6,216 0 0 1,596 0 0 8,169 0 0 Advances on Security of Debentures and Treasury Bills :— Immigration and Public Works Loan Act, 1870 28,782,011 2,266,417 17 4 26,515,593 2 8 1,349,170 15 3 129,052 0 0 1,478,222 15 3 279,700 [ 385,000 j | 664,700 1 June, 1907 664,700 0 0 5 * 13,985 0 0 13,985 0 0 Treasury Bills Act, 1879 ... ... 500,000 31 December, 1882 500,000 0 0 3ja.p.a. 25,664" 1 3 ... 25,664" 1 3 Totals 29,946,711 1,388,819 16 6 129,052 0 0 1,517,871 16 6 2,266,417 17 4 27,680,293 2 8 * Eate of interest varies on £385,000.

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13

TABLE No. 6. Table showing the Population of the Colony in each Year, from 1871 to 1881, the Number of Depositors in the Government and other Savings Banks, the Amount of Deposits, and the average Amount at Credit of each Depositor.

TABLE No. 7. Estimated Receipts and Expenditure of the Ordinary Revenue Account for the Financial Year ended 31st March, 1883.

RECEIPTS. £ £ EXPENDITURE. £ £ Raised by Taxation :— Customs ... Stamps Beer Duty Property-Tax 1,500,000 190,000 6o,ooo 150,000 1,900,000 Permanent Appropriations :— Civil List... Interest and Sinking Fund ... Under Special Acts of the Legislature 29.75° 42,914 1,627,512 Foe Services Rendered :— Railways ... Postal Telegraphic Judicial ... Land Transfer and Deeds Registry Registration and other Eees ... Marine ... ... Miscellaneous 940,000 160,000 85,000 42,000 42,000 36,000 15,000 45,000 Annual Appropriations :— Class I. Legislative ,, II. Colonial Secretary ,, III. Colonial Treasurer ,, IT. Minister of Justice „ V. Postmaster-General ,, VI. Commissioner of Customs ,, VII. Commissioner of Stamps ... „ VIII. Minister of Education „ IX. Minister for Native Affairs „ X. Minister of Mines „ XI. Minister for Public Worts „ XII. Minister of Defence 39,748 188,301 40,212 H3,7°9 237,341 75.245 24,385 285,970 26,487 583,957 214,009 Depasturing Licenses, Rents, etc. 1,365,000 128,500 1,851,127 Balance on 31ST Maech, 1882 3,393,5°° 203,683 £3.597.183 Balance on 31ST March, 1883 3,478,639 118,544 £3,597,183

q Population 31st December. 3 lst Member. Depositors. Percentage of Depositors to Population. Amount of Average Amount at Credit of each Depositor. Deposits. 1871 1872 i873 1874 1876 1877 1878 1879 1880 1881 266,986 279,560 295,946 341,860 375,856 399,075 417,622 432,519 463,729 484,864 500,910 14,257 17,289 21,807 27,215 30.310 32.577 35.7°9 39,926 42,679 47,462 61,054 5'34 618 7'37 7-96 8-o6 816 8'55 9" 23 9'2O 9-79 I2"I9 £ s. d. 454,967 7 3 597,002 18 1 812,144 13 1 943,753 6 4 897,326 2 o 905,146 2 10 964,430 14 2 1,043,204 14 11 990,337 '4 1 1,148,992 4 10 ",549,5 '5 2 3 £ s. d 31 17 5 34 10 7I 37 4 10 34 13 6i 29 12 1 27 15 8i 27 o if 26 2 6f 23 4 ii 24 4 2 25 7 7

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14

TABLE No. 7a. Statement of the Actual Revenue of the Year 1881-82, as compared with the Estimated Revenue of the Year 1882-83.

TABLE No. 8. Estimated Receipts and Expenditure of the Land Fund for the Financial Year ending 31st March, 1883.

RECEIPTS. £ s. d. EXPENDITURE. £ s. d. Proceeds of Land Sales 354,000 o o Permanent Appropriations, — One-third of proceeds of Sales of Land sold on deferred payments New Plymouth Harbour Board Endowment Ellesmere and Forsyth Reclamation and Akaroa Railway Trust ... £ s. a. 20,000 o o 20,000 o o 1,500 o o Annual Appropriations, — Crown Lands Department Crown Lands, Miscellaneous Coal Fields ... Survey Department Mines Department 20,969 o o 10,668 o o 225 o o 111,948 o o 10,000 o o 133,810 o o I 1 Balance on 31st March, 1882 ... 11,360 o o £365.360 o o Balance on 31st March, 1883 195,310 o o 170,050 o o £365,360 o o

Actual for 1881-82. Estimated for 1882-83. Raised by Taxation :— Customs Stamps Beer Duty... Property -Tax Land-Tax Arrears ... Foe Sebvices Rendebed :— Railways ... Postal Telegraphic Judicial Land Transfer aud Deeds Registry Registration and other Fees ... Marine Miscellaneous Teeeitobial Revenue :— Depasturing Licenses, Rents, &c. 1,470,108 161,116 58.556 250,975 1,427 884,733 77,555 58,487 40,741 34,076 94,244 £ 1,500,000 190,000 60,000 150,000 940,000 160,000 85,000 42,000 42,000 36,000 15,000 45,000 188,503 128,500 Land Fund Account :— Land Sales... 3,488,170 3i7, o6 3 3.393 c <- 354,000 Totals... £3.805,233 £3.747.500

15

S.-£

TABLE No. 9. TABLES RELATING TO THE INCIDENCE OF TAXATION. Table showing the Numbers and Social Condition of the Population of the Industrial Class, the Intermediate Class, and the Property-Tax-paying Class.

Table showing the Amount of Taxation Paid by the different classes of Population arising from Customs Duties, Stamp Duties, and Property-Tax, but exclusive of Duties on Wine, Spirits, Beer, and Tobacco, and Excise Duty on Colonial Beer.

Table showing the Taxation as above paid per Head by the different classes of Population.

Condition. Industrial. Class. Intermediate Class. Property-Tax-paying Class.* Total Census Population. Married men ... Married women Widowers Widowa Children under 18 Single 48,651 48,347 3.2'j6 4,844 JSS^6 52,242 3'2,436 ",903 889 13.234 •3.I.5 2 9°3 i.7S2 43.39° 23,829 U.37 6 u>3°5 765 700 35.053 9,246 73.261 72,804 4,964 7,296 233.499 85.317 Domestic servants Prisoners, paupers ".903 889 Totals 325,228 96,260 68,445 489.933 * Taxpayers, 22,087.

Amount 0: Taxation-. Class. Population. Customs. Stamps. Property. Total. Industrial ,., Servants Intermediate Property-Tax paying i'.9°3 96,260 68,445 £ 269,752 10,311 182,545 129,798 £ 52,421 £ 257,600 £ 269,751 10,311 256,272 4.39>Si9

Kate pe: Head op lXATIOW. Class. Population. Customs. Stamps. Property. Total. Averaged on whole Class. Industrial, — Members of families Single men Single women Servants Intermediate* Property-Tax-paying* 259,890 49,355 3.191 11,903 96,260 68,445 £ s. d. 0 16 6'i 1 o 9- i o 19 r s 0 17 3-9 1 17 ii'i 1 17 ii-i £ s. d. £ s. d. £ a. d. 0 16 6'1 1 o 9' 1 o 19 1-5 o 17 3'9 2 13 2-9 6 8 6'2 b. d. 17 3 ° lB 3"8 ° 15 3'8 3 '5 3'3 * The duties on groceries oonsum )f taxes on these two classes. Note.—The Maoris haye been a! led by servants i and prisoner! s, and on drapi iry by prisoner ■s, are included in the amouni ssumed to pay Customs duty ■ at the rate oi 2s. 6d, per liei ad, the amount being £5,512,

8.—2.

16

TABLE No. 9— continued. TABLES RELATING TO THE INCIDENCE OF TAXATION—continued. Table showing the Consumption by Working-classes of Tea, Coffee, and Sugar in England in 1868.*

Table showing the Ateeage Consumption of Tea, Stjgae, and Coffee, by 56 Families (349 Persons) in New Zealand.

Families. Consumption peb Head. 2 Engineers 2 Machinists "") 1 Tailor 1 Blacksmith rp n ff a 10 Carpenters 1 Saddler Vh f T 2 Carters 1 Baker ! „.?,•„ „.£„ ho.b'aji 1 Bookbinder 1 Wheelwright 1 Gardener 5 Artisans (undefined) I 1 Tinsmith 5 Miners 2 Printers 20 Labourers J Total 56

Table showing the Average Annual Earnings and Expenditure on Certain Articles of the same 56 Families, comprising 349 Persons.

Articles. 1. Families in Central London, St. Greorge's-in-the-East, Poplar, and Chelsea. 2. Manufacturing Families in Manchester, Rochdale, Sheffield, and Wakefield. 3. Families in County Towns, Doncaster and Hastings. 4. Farm Labourers in Yorkshire, Dorset, and Sussex. Average for Workingclass. Tea Coffee Sugar Per head. Lb. 5 7 41 Per head. Lb. 5 4 45 Per head. Lb. n 2 28 Per head. Lb. 2 Per head. Lb. 3 1 25 16 * Vide Baxter on the Taxation of the United Kingdo:

Expends ?UBE. Average Earnings Groceries. Clothing and other Soft Goods, Boots and Shoes. Bent and Rates. Total. Average Surplus.* £ s. d. 130 13 11 £ s. d. 23 19 3 £ a. d. 34 12 2 £ s. d. 23 6 1 £ s. d. 81 17 6 £ s. d. 48 16 5 * Available for expenditure on bread, meat, vegetables, milk, fuel, tobacco, beer, spirits, &c.

17

E.—2

TABLE No. 10. STATEMENT showing the Total Ways and Means of the Public Works Fund, and the Total Net Expenditure to the 31st March, 1882.

3-B. 2.

WAYS AND MEANS. £ s. d. £ s. d. NET EXPENDITURE. £ s. d. £ s. d. Loans :— Immigration and Public Works Loan, 1870 Immigration and Public Works Loan, 1873 Immigration and Public Works Loan, 1874 General Purposes Loan, 1873... New Zealand Loan, 1876 New Zealand Loan, 1877 New Zealand Loan, 1879 4,000,000 o o 2,000,000 o o 4,000,000 o o 750,000 o o 750,000 o o 2,200,000 o o 5,000,000 o o Immigration Public Works Department Railways, including Surveys of New Lines Roads Land Purchases* Waterworks on Gold Fields ... Telegraph Extension Public Buildings ... ... ... ... ' Lighthouses and Harbour Works ... ... ... Contingent Defence ... Charges and Expenses Coal Mines Interest and Sinking Fund Miscellaneous Public Works ... i)9 25>753 IO 1° '7O.S75 14 11 9,869,669 11 3 JJ353.8OO 8 10 867,369 1 6 510,779 o 6 420,031 15 1 986,105 8 3 109,044 14 o 392,218 19 3 765,018 18 o 10,835 8 o 218,500 o o Receipts in Aid :— Contribution of Canterbury Province for Railways Stamp Duties to 31st December, 1876 ... Transfer from Confiscated Lands Liabilities Account Proceeds of Railway Material handed over to Cook County Council ... Special Receipts under Section 9 of "The Railways Construction Act, 1878" 56,000 o o 264,657 16 4 I9.9 63 1 3 4.9 6 3 7 4 36,261 13 3 Balance on 31st March, 1882, — Cash in the Public Account in London and in the Colony, including Drafts in transitu to London Imprest Advances in the hands of Officers of the Government ... Wanganui Harbour Board Debentures New Zealand Government 10/40 Debentures Duntroon and Hakateramea Railway Company Debentures Treasury Bills representing balance of Advances to the Consolidated Fund Imperial Guaranteed Debentures unsold 180 11 11 381,845 18 2 647,646 1 2 60,319 5 ' 17,000 o o 44,000 o o 20,000 o o 600 o o I35.3OO o o j £19,081,845 18 2 924,865 6 3 £19,081,845 18 2 * Land purchases originally included expenditure on " Roads to open up Lands recently purchased," now included under the head of " Roads."

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18

TABLE No. 11. Table showing the Imports, Exports, and Population of the Colony for the Years from 1872 to 1881.

TABLE No. 12. Land and Property-Tax Collections.

Land- and Peopeett-Tax Outstanding on 31st Maeoh, 1882. £ Land-Tax of 1879 and half-year 1880, say ... ... ... ... ... 50 Property-Tax of 1880-81, including penalty ... ... ... ... ... 220 Property-Tax of 1881-82, including penalty ... ... ... ... ... 9,000 £9,270 Taxable Value or Eeal and Peesonal Peopeett. Taxable value of real property ... ... ... ... £39,323,000 „ personal property ... ... ... 25,160,000 Total taxable value of real and personal property ... ... 64,483,000 Deduct 21,711 exemptions, at £500 each ... ... ... 10,855,500 53.627,500 Joint-stock companies ... ... ... ... ... ... 16,801,000 £70,428,500 Tax at rate of id. in the pound on £70,428,500 produces ... ... ... £146,726 Add insurance companies ... ... ... ... ... 2,100 £148,826

By Authority : George Diesbuet, Government Printer, Wellington.—1882.

Year. Imports. Exports. Mean Population. 1872 1873 1874 187S 1876 1877 1878 1879 1880 1881 £ 5,142,951 6,464,687 8,121,812 8,029,172 6,905,171 6,973,4'8 8,755.663 8,374,585 6,162,011 7-457,045 £ 5,190,665 5,610,371 5> 25'>269 5,828,627 6,327.472 6,015,700 5.743.126 6,352,692 6,060,866 273.273 287,753 320,687 358,858 387.465 408,348 423.465 448,124 474,296 495.422

Tax Collected during Item. Total. 1879-1880. 1880-1881. 1881-1882. Land-Tax of 1879 and half-year of 1880 ... £ 93,621 £ 56,641 £ 1,43° £ 151,692 Property-Tax of 1880-81, including penalty 219,721 37,8o5 257.5^6 Property-Tax of 1881-82, including penalty 213,167 213,167 622,385 Totals ... 93,62i 276,362 252,402