The Sun.
London, England, 1864-04-08 00:00:00

DENMARK.

Earl GREY asked the noble lord whether, when the
noble lord, not now in his place, brought forward his
motion with respect to Denmark, he would take the same
objection to a discussion on the subject, similar to that he
did previous to the Easter holidays, and whether he would
object to a discussion being taken in the early part of the
correspondence on the subject that had been laid on the
table.

Earl RUSSELL said he could not now say that papers
were to be laid on the table or negotiations were now going
on, because all the Pcwers had agreed to a conference.
He should not object to a discussion, neither did he think
it desirable to separate the correspondence in order that
different parts of it might be separately discussed.
THE LEASES AND SALES OF SETTLED
ESTATES ACT. ENCLOSURE OF HAMP-
STEAD-HEATH.

Lori CRAN WORTH moved the second reading of this
bill, which he said was merely for the purpose of improving
an act of Parliament passed some eight years ago, which
enabled certain estates to be improved by granting building
leases,

1 he Earl of MALMESBURY approved of the bill.
The LORD CHANCELLOR also thought the bill would
simplify matters which now were left in doubt by the
former bill.

The bill was read a second time.
MALT FOR ANIMALS BILL.
This bill was read a third time and passed.
COURT OF CHANCERY BILL.
This bill was read a third time and passed.
CONVEYANCE &c., IRELAND BILL.

This bill was read a third time and passed.
Their lordships then adjourned.

HOUSE OF COMMONS—Last Evening.
The SPEAKER took the chair at four o'clock.
PRIVATE B USi NESS.

The following bills were read a third time and passed :
Finchley, Willesden, and Acton Railway—ll aslingden
and Rawtenstall Water—and Land Securities Company.
The order for committing the Colne Fishery Bill was
read and discharged, and the bill was withdrawn.
NEW WRIT.

On the motion of Mr. BRAND a writ was ordered to issue
for the election of a member for Pyfe, in the room of Mr.
James Erskine Wemyss, deceased.

BREECH-LOADING RIFLES.

Mr. ONSLO W asked the Under Secretary of State for
War, whether his attention has been called to the vast
superiority of the Prussian breech-loading rifles in the
Danish campaign, as described in the letter of the Times'
correspondentfrom Sonderburg ?
The Marquis of HARTINGTON said he had no reason
to believe that the breech•loading rifles in question were
superior to those given out to our own army, and it was
necessary to give the latter a fair trial.

THE BUDGET.
The CHANCELLOR of the EXCHEQUER rose at
20 minutes to 5 o'clock to make his annual financial state-
ment, the house having gone into committee of ways and
means. The right hon. gentleman, who was received with
cheers, said : Mr. Massey—With a view to gather fully the
purport of the figures which 1 am about to submit to the
house, it may be well that we'should notice in the first in-
stance, though in very few words, the particular circum-
stances which have affected the condition of the country.
In the financial year 1862-3 we had but an indifferent her
vest. Ireland was suffering under lamentable depression, and
Lancashire had been afflicted beyond all example. Iu the
year 1863.4, on the contrary, England at least was blessed
with a harvest of unusual abundance; the distress of Ire-
land was in some degree mitigated, at least as regards the
consuming powers of the country and the low price of
grain; and as respects Lancashire, the distress which was
there suffered had been very considerably reduced, although
it still continued in a condition far below that of its usual
prosperity and vigour. Upon the whole, therefore, sir, after
considering on the one hand the advantages, and, on the
other hand, the drawbacks of the year, we may perhaps
arrive at the conclusion that circumstances did not differ ma-
terially from those of an average financial year. Sir, with
that brief preface I proceed to lay before the committee the
statement which I have to make. And, first, ae respects the
financial year which has just expired. The expenditure of,
that year, as it was estimated on the 16th of April, 1863
was £67,749,000, But there were augmentations,
chiefly in consequence of the New Zealand war, and
partly in consequence of payments for the Scheldt toll,
which were made during the present session, which
raised the amount to £68,281,000. The actual expendi-
ture, however, under the authority of Parliament was only
£67,056,000, or less by nearly a million and a quarter than
the sums which the various departments have been autho-
rised to lay out. As respects the army, its estimates
amounted to £15,469,000, but its actual expenditure was no
more than £14,638,00, and this although a war has been
unhappily raging in New Zealand, which cannot be consi-
dered to have added less, and may perhaps be esti-
mated to have added more, to the military expenditure of the
country than half a million of money. The votes of the
navy were £10,736,000, and the expenditure was very nearly
the same, viz., £10,821,000. The miscellaneous services
authorised by Parliament were £7,805,000, and the expen-
diture £7,702,000. And here, sir, it may, perhaps, be well
that I should stop for one moment to disabuse the mind of
some portion of the house of an impression which has gone
abroad as to the constant and rapid increase in the miscel
laneous estimates of the country. The miscellaneous ser-
vices for the year 1859-6) amount to £7,721,000; for the
year 1863-64, to £7,702,000; and the estimates for the pre-
sent year amount, as they now lie upon the table, to
£7,628,000. Upon the whole, therefore, this portion of the
public expenditure has now for some lime been about sta-
tionary, for the tendency to decrease—the decrease shown
being £93,00,—is too small to state as a fact of much ,igni-
fiance. There is, however, anotner item of civil expendi-
ture which was at one period viewed with peculiar and just
jealousy by the house. I mean that called the packet
estimate. In the year 1860-61 the house was called upon
to vote for that estimate £1,069,000. I need not say that
it is an estimate which it is difficult to operate upon, inas-
much as it takes place under contracts that subsist for
considerable terms of years. The estimate which we
propose to submit for the present year will not amount,
to more than £883,000, showing a reduction of £186,000
within the last four years. (Hear, hear.) Now, sir, it is
desirable that the house should understand what is the state
of our expenditure as it has appeared in the last year, in
comparison with the expenditure of former and recent years.
I now give it as it appears in the exchequer accounts, only
placing to the debit of each year the sums of money which
are called "excesses," and which, in the exchequer account,
appear of a later year than that te which they properly refer.
Taking that view, our expenditure was, in the year 1862-3,
£69,302,000, and in 1803-4 it was £67,056,000, showing a
decrease of £2,24(3,000. In 1561-2 it was L 70,838,000 ; and
the decrease, estimated in the same manner, would be

£8,782,000. In 1860-1, when the China charges were very
heavy, the expenditure was £72,504,000 ; and the expendi-
ture of the year just expired, when compared with that sum,
shows a decrease of £5,448,000. It I go back to 1859-60,
which may be called the first of the years of high expendi-
ture, we spent £70,017,000 ; and the expenditure of 1863-4,
as compared with 1859-60, shows a diminution of £2,961,000.
But, in order to come more accurately at the state of this
important portion of the case, it is necessary to take into
view two circumstances. On the one hand, wa have in-
curred of late years certain charges for fortifications, and on
the other hand, both our expenditure and revenue have in-
cluded, during the past year, a considerable amount, not
less than £1,125,000, which does not appear at all in the ac-
counts of the previous years. When I rectify the balance by
the removal of those new charges appearing on both
sides, and by the addition of the charge for for-
tifications, the account will stand as follows
1859-60 the expenditure was £70,017.000. In 1863-4 it
was £66,731,000, fortifications included, showing a de-
crease, as compared with 1859-60, of £3,286,000. I need not
trouble the committee with the comparisons drawn on the
same basis for the intermediate years. That may be dis-
pensed with. I shall have enough of that commodity to
present when I am giving full particulars. There still re-
mains this element, in order to state that case with perfect
clearness, that it is also known that in the year 1860 we re-
ceived, through the providence of our forefathers, a benefit
of considerable relief from debt. The permanent annual
relief we have been enjoying since 1860 is £2,146,000; but
in the year 1859.69, owing to a particular arrangement, the
charge on account of these terminable annuities, which
dropped altogether in 1860, was increased beyond that
amount. As I stated in the budget of 1859-60, the charge
in that year on accouui, of terminable annuities, which have
since ceased, was £2,546,000, Deducting that sum from
the expenditure in 1859.60, for the purpose of comparison
with the year 1863.4, and as showing how it stood in rela-
tion to that relief, it stands at £67,471,000. The expendi-
ture of last year was £66,881,000. That I believe ta be a
true comparison. In this point of view the expenditure of
last year shows some diminution as c anpared with that of
1859-60. There is an absolute diminution of £649,000, in-
dependently of the relief from the long annuities, which,
although net a very large sum, is worth taking into noice.
It is the mote material, as this is the first year I am enabled

to state to the house that, after allowing for the relief from
the cessation of the long annuities, our actual expenditure,
including fortifications, is less than it was in 1859 60.
(Hear, hear,) I now come to compare the expenditure of
the year which has expired with the revenue of that year,
and of course I must go back simply to the exchequer

account, in order to explain at this stage the precise
effect. The expenditure for the year 1863-64, as it appears

in the exchequer account, is £67,056,000 ; the revenue for
the same year, as represented in the same account, is

£70,208,000, showing a surplus of revenue over expenditure
of £3,152,000. But in order to estimate that surplus, it may

be necessary to consider the expenditure for fortifications,
for althcugh the house made deliberately, and a matter of

policy, a separate arrangement for dealing with that expen-
diture, yet in point of law it must appear in the balance-
sheet. The expenditure for fortifications for last year was
£300,000, and if I deduct that amount from the surplus of
the £3,152,000, there will still remain a clear surplus of

revenue over expenditure of £2,352,000. Perhaps tha com-
mittee will desire to know in what way the estimates of the
revenue have corresponded with the anticipations which last
year the house was encouraged to form. Last year I esti.
mated the revenue at the period of the Appropriation Act at
£6B,l7l,ooo—the actual receipts have been £70,208,000.
The surplus, therefore. of the actual receipt beyond the
anticipated receipt is £2,037,000. More or less that surplus
appears in every branch of the avenue. The customs were
estimated at £22,737,000, but they actually amounted to
£23,232,000, of an excess of £500,000. The excise was esti-
mated at £17,624,000, whereas it yielded £18,207,000. The
stamps were estimated at £9,000,000, but they yielded

£9,317,000. The income tax was estimated at £8,600,000,
but it yielded £9,084,000; and there were other surpluses of
small accounts upon remaining items of revenue, with ono
slight exception—under the head of China. 'the house
naturally looked with great interest, not only to the
aggregate, but to the detailed receipt of revenue from the

_ .
customs; for whatever may be the case with regard to
the excise, the customs are the branch of revenue which

Aires us the greatest number of criteria for judging of
the condition of the people. (Hear, hear.) The total da-

crease of customs fur last year, as compared with the previ-
ous year, when the tea duty was is 5d per pound, was esti-
mated at £1,297,000, whereas the actual decrease was
£802,000. Notwithstanding that, the important article of

sugar, including molasses, in consequence of the partial

scarcity, instead of increasing with the improved condition

of the country, shows a positive decrease of X 153,000. And

again, in that branch of the revenue, the decrease of which
I always referred to with satisfaction—l mean the revenue

derived from the duty upon corn—it was less in the year
just expired than in that which preceded it by no less a sum

than £225,0G0, thereby bearing testimony to the abundance

of domestic produce and the moderation of the price at
which the first necessary of life was being supplied to all

classes of the community. The article of wine shows an

increase of £104,000, which I conceive to b., a very satisfac-
tory increase. The aiticle of spirits shows en increase of
£285,000. Tobacco shows an increase of between £200,000
and £300,000. The article of tea, which had been estimated
to ehow at the end of the year a loss to the revenue of
£1,300,000, showed only an aettul loss of £930,000. With
regard to the large excess of revenue from excise over the

estimate, that has been owing to two causes. IN ith the
Partial improvement in the condition of the coun-
try, the article of spirits—that distilled at home—shows

an improvement of 1250,000. And the important
branch of revenue which we derive from malt, in conEe-

quenco of the almost unparalleled excellence of the
bar ley harvest, shows the greatest receipt ever known, and

an increase over the previous year of £710,000. That
is an augmentation we cannot expect in future

years, and the committee must bear in mind that the
estimate of the revenue from the excise does not bear the
sawe relation now to the actual revenue which it did
before the malt credits were shortened. Before that time,
when it was the practice to give from six to eight months'

credit for the payment of the malt duty, the effect was that
when tho Chancellor of the Exchequer made his financial

statement he knew what his estimate for malt would be for
the coming year. At present he only knows about ono-half

of it, and on this account there was an element of uncer-

tainty introduced int ) the estimates in this particular article,
for which some allowance must be made. The only other

article of revenue which I wish to refer to is the China in-
demnity. It was estimated at £i50,000, but the actual re-
ceipt was £135,000. Sir, if I compare the revenue of the
year just passed with the revenue of former years, it is be-
cause I think that in the growth of the revenue of the coun-

ry we have, upon the whole, a pretty sure test of the growth

of its strength and of its resources. (Hear, hear.) Com-
paring then the revenue for 1863.64 with that of the years
1862-63, the result is this—that, although taxes to the ex-

,ent of between £3,000,000 and £4,00 ~000 were remitted,
the decrease in the revenue would appear to be no greater

than £391,0,0. However, that is not precisely correct, for
it is necessary to allow for a considerable increase in the two
last heads of our receipts, but which ought not to be consi-

dered properly heads of revenue—l wean the miscellaneous
receipts and the Chinese indemnity. After deducting these
two heads, the, revenue for the year 1862 .63 wes £67,850,000;
while the revenue for 1863-64, after making a similar deduc-
tion, stands at £07,173,000. The comparative decrease,

therefore, between the two years may be stated at 4'677,000.
Bat when it is considered that the remission of taxation for

1863-64 was £3,7o3,ooo—(hear)—that the loss anticipated
from the remission was £3,343,000, and that the actual lose
was only £677,300—it will appear that the recovery in the re-
venue has been no less than £3,026,000. (Cheers.) But if we
look back further for the purpose of comparing the growth
of the revenue of the country, not merely within a twelve-
month—if we go back to the year 1860-61, since which
period we have imposed no new taxes—l do not, of course,
take into account charges altogether insignificant—we find
that the revenue for 1860-61 showed a gross total of
£70,283,000, but, deducting the miscellaneous receipts of
which I have spoken, a total of £68,830,000. Well, taking
the revenue for '63-64 at £67.176, that shows a decrease in
the revenue since 1860.61 of £1,657,000. But then within
that period we have taken 3i. from the income tax, which
withdraws from the revenue a sum of £3,525,000 ; we have
taken off the paper duties, which may be set down at
£1,340,000; we have reduced the tea duties, which repre-
sents a loss to the revenue of £1,660,000 ; while the repeal
of the charges upon shipping cost £143,010. Altogether,
therebre, there has been a diminution of taxation to the
extent of £6,638,000 since the year 1860-61, while there has
been a decrease in the revenue to the extent on'y of
£1,657,000. (Cheers) The result is, that during these
throe years the increase in the revenue has be..n £5,011,000,
or at the rate of £1,670,000 a year. (Cheers.) But if we
back further still, and compare these results with the
average revenue of the five years commencing with 1858-
59, we find that the annual increase in the revenue during

those five years has not been so great, As far as I can cal-
culate, the revenue has grown during these five years, upon

the average, £1,233,700 each year. If we go back to 185';
it would appear that the revenue has grown, upon the
average, to the full extent of £1,000,000 per annum, and
even in the worst years, viz., 1860-61, and 1861-62, the
growth has been £900,000, In a better year, such as that
which has new e apsed, it has bean nearly £2,000,000.
Upon the whole, it may be safely calculated that the in-
crease in the revenue from its own inherent vigour is at a
rate exceeding £1,000,000 per annum. (Hear, hear) I will
now state the condition of our cash account, and the opera-

Lone touching the National Debt. The balance in the ex-

chequer on the 31st of March, 1863, was £3,763,000, and on
the 31st of March, 1864, they were £7,352,000, which is an

ample, though not an excessive amount. 'With respect to
the liquidation of the debt during the year, it has been con-
siderable, £1,000,000 of exchequer bonds have been paid off,
and £1,994,000 of exchequer bills. Besides that, stock and
exchequer bills to the extent of £366,000 have been liqui-
dated from surplus revenue, making a total of £3,360,000 of
the capital of the debt liquidated within the 3 ear. But in-
dependently of that, the committee should take into view
that a large-cum is actually paid, in the shape of terminable
annuities, towards the liquidation of the debt, representing
not interest, but capital, to the extent of £1,400,060 per an-
num. There are other payments of a minor dg2seriptiou t;)
the extent of £205,000, which brings up the net amount of

debt liquidated to £4,148,000. (Hear, hear,) As the re-
sult of the measure passed last year for the conversion of
perpetual into terminable annuities, I have to acquaint flat
committee that we have during the last year converted per-
petual annuities to the extent of £433,000. As regards the
huge total of our debt, it has been always a matter of inte-
rest to know what is the state of the capital charge as cum-
pared with former periods. I confess I have never been able
to acquiesce in the view that, taking into account our great
wealth, the national debt was a matter of trifling moment.
It appears to me to be a very formidable and inflexible
fact, and likely to become much more pave and serious
should our prosperity turn out to be leas permanent than
most of us are disposed to anticipate. But the actual
capital of the national debt at the present moment stands
thus. Stock—that is, perpetual annuities—£74o,993,ooo;
Bank debts, £37,645,000—and by Bank debts I mean capi-
tal sums, not the contract value assigned to stock by Act or
Parliament, but capital sums repayable in money—ex-
chequer bonds, £2,600,000; exchequer bills, £10,526,000.
Making a total amount of debt of £791,574,000, 'laq/3204--
which was the lowest point the debt reached since the closee
of the revolutionary war—it stood at £769,082,000. The
Russian war produced, of course, importantLe2h2 92 00C)a4ng s
in
these figures, and the debt now stands at
immediately after
higher than it stood in '53-'54, In '564,
the close of the Russian war, it was ..,808
t
now stands, as I. have stated, at £791,574,000.861,039,000, which
the maximum point of debt, it was -c
1315, the annual
108,000I,nan1:16i
charge of the debt was £32,646,000in
views a decrease of £69,465,U00.
the annual charge
L 26,211,000, showing a decreasetan
in
hd
with a reduction of
of £6,435,000 ; therefore In 1863-4 it was
Lan6d9,t4h6es,rocosOulatsgoaifntsitie
Parliament, throughout
nation, of its Ministers
that we stand with a capital of
half-a-century, ceattpoirttasl:ved:onLBo£l9t,e4eooe,xopoeoriaegnaciensotf charge,
greatarge
00 facing as for the future, and with an annual
C79l'°U°'° rremain for the present between
charge which
00,000. (Hear, hear.) The general
prosperity mainly depend, is certainly o. 'DO
Cs
t2a6t,e(;oooiotohoo tlird:4:26sO tst he country, . upon. whichr o.ru,rufrUtalrde
drawback. The figures are so (flor-
et-ens
subject CO a
mustThi! is surprising when we coutider it is a ti
I will give them
stieng
that they are almost staggerieg.
muus
in the largest and simplest form for the Year6_s6l .621 '6-4;