Please wait. Contacting image service... loading

Article text

THE FINANCIAL DRIFT.
MINISTERIAL WARNING.
"The Oetlook is Serious."
A grave warning against piling up fur
ther huge financial obligations in the exist
ing conditions of the Commonwealth fin
ances was issued by the Acting Treasurer
(Sir Joseph Cook) in the House of Reure-
-sentatives yesterday. Members were com
plaining (hat a new amendment to the
Repatriation Bill would only allow £250,000
to be spent in assisting soldiers to under
take co-operative enterprises. Sir Joseph
Cook pointed out that under measures
passed this session for assistance to soldiers
the Commonwealth would be faced with the
tad; of finding at- least an additional
£6,000,000 for next financial year. It
was time, he added, that something was
said about the finances of the country. Ever
so many economy suggestions were heard
inside and outride the House, yet every day
proposals were, made which would run into
millions of money if adopted. TKp position
was very serious indeed. It was, therefore,
necessary that there should be some definite
limit to expenditure on repatriation pur
poses. He Repatration Bill was a great
deal more liberal than any promises made
at the general elections. He Government
could not commit itself to unlimited ex
penditure, either in regard to this bill or
any other measure. In the Prime Minis
ter's pronouncement to the country he said
that an additional expenditure of £650,000
was to be provided for in tho Repatriation
BilL Yet the increase in war pensions
alone would run into £1,250;000. Under
the War Gratuity Bill the Government
would have to find £1,500,000 next year.
They would also have to provide a further
£1,500,000 for increased assistance to sol
diers and their dependants. The increase
in war pensions would cost £1,250,000,
whilst old age pensions would involve an
additional £750,000, and the expenditure
on the Repatriation department would re
quire at least another £1,000,000, and
awards of the Arbitration Court would
mean at least £750,000.
Mr. Page (Q.) : Look at the money yon
are going to get from the customs.
Sir Joseph Cook: And we shall need it,
and more, too. He expenditure under bills
passed this session, he continued, involved
an increase of £0 000,000 or £7,000,000 next
year. Then there was the increase in the
cost of running all departments, the in
creased cost of materials, wages and up
keep. Where was all this money coming
from ?
Mr. Moloney (V.): Get it from tho pro
fiteer.
Sir Joseph Cook: All we could get from
the profiteer this year was £2,200,000. It is
easier to make such statements by and
large than to get the money. The Acting
Treasurer went on to say that for repatria
tion and other war purposes the additional
expenditure would nm to £7,000,000 or
£9,000,000. Land settlement alone would
cost this year over £8,000,000, the housing
problem £.7 000,000, vocational training,
sustenance, &c £5.000,00; in all, a sum of
£19,250,000. The ontlook for next year was
£21,000,000 upon the same items, and the
outlook for war pensions during the same
period was between £6,000,000 and
£7,006 000. He suggested (hat the Com
monwealth was doing a fair and generous
thing by the soldiers. They could not take
every man who came back and set him up
in business. No country could afford to do
it, and no country had attempted to do it.
Altogether the Commonwealth was faced"
with the problem of having to raise, in
addition to all (his revenue, about
£30,000.000 of fresh loan money during next
year, 'pie financial ontlook was just as
serious as it could be. Revenue was coming
in well, and the financial position was
sound; but it would require careful hand
ling. Hey could just as msily make a mess
of things as not
$