The Sun.
London, England, 1845-02-15 00:00:00

for the exigencies of the public service, and for
enabling Parliament to reduce and to relieve the
people from those taxes bearing more immediately
on the industry and commercial enterprise of the coun-
try.—(Hear, hear, from the Opposition.) Sir, I am
convinced that this House will fully appreciate the
magnitude of the task I have undertaken ; and that
whatever be the difficulties which may arise from my in-
adequacy to discharge that task, I am sure those
difficulties will not be aggravated by any want
of indulgence or attention on the part of the
House. (Hear, hear, and cheers.) I shall
attempt on this occasion to lay before the House, as fully
and as comprehensively as I can, all those considerations
which appear to me to form the elements of its future
determination. I will not enter into any state-
ments or make any observations connected with
past party considerations.—(Cries of " Hear, hear.")
Nothing shall fall from me that can prevent any gen-
tleman from exercising a dispassionate judgment unin-
fluenced by mere consideration of party. I know that I
must necessarily touch upon subjects which have
been and will be made the subjects of fierce
political contention, but I shall postpone these
subjects until some future period, and I shall
now attempt to lay before the House its present financial
position, and explain the views of her Majesty's Govern-
ment
in respect of the course of policy they intend to
pursue. I will, in the first instance, begin by referring
to that estimate of finance and expenditure of the
country which was given by my Right Hon. Friend the
Chancellor of the Exchequer, when he last brought the
subject under the consideration of the House. My Right
Hon. Friend, speaking at the latter end of April, 1844,
calculated that the revenue for the current year—that
is, the year ending the sth April, 1845—would amount
to the sum of 51,790,000/. My. Right Honourable
Friend calculated the expenditure at 48,643,0001,
leaving an estimated surplus of 3,147,000/. That
calcUlatien, however, was disturbed on the one
hand by an estimated reduction of taxes to the
amount of 400,000/. I allude to the wool duties, and to
the duty on glass, which were removed at a subsequent
period of the session, but on the other hand credit was
• taken, or a demand was made, for 400,0001.
on account of the China expenditure, which vote
it is not necessary to refer to, because that will
not affect the calculation of my Right Hon. Friend, be-
cause there is a saving on the one hand balancing the
reduction on the other. My Right Hon. Friend stated at
the same time, that in consequence of the postponement
of the payment of 700,0001 the surplus would be reduced,
and that the real surplus would be 2,373,0001. That
estimated surplus was, in point of fact, in making the
account of the sth of January last, very considerably ex-
ceeded. It will appear by reference to the 'document of
the state of finance and expenditure of the sth of
July last there was a surplus of 3,357,000/. In-
stead of 51,790,0001., the sum calculated upon by my
Right Hon. Friend, the amount of net receipts of
revenue on the sth July last, was 54,003,0001. This
increase of revenue arose chiefly from the in-
crease of receipts from the customs. Instead of
21,500,000/. of Customs revenue, as estimated by my,
Right Honourable Friend, the actual receipt was,
on the sth of January, 22,500,000/. The Excise, which
was taken by my Right Hon. Friend, at 13,000,0001.,
produced ' on that day, 13,308,0001. There was
some money received under the treaty with China, amount -
ing to 385,0001, for which my Right Hon. Friend had not
taken credit, but the result was, on the sth January last,
an income of 54,000,0001, instead of the esti-
mated income of 51,795,000/. The expenditure on.
the sth January, 1845, had been, on account of
Debt and Consolidated Fund, 32,862,0001., and on
account of the payment then made for the army and
navy and other public services, 17,784,0001., making a
total expenditure of 50,646,000/., and leaving a sur
plus, as it appears on that account, amounting to
3,357,000/ —( Hear, hear, and cheers.) At the same
time, although that is the actual account, as ap-
pears on the sth January, yet the House will be
naturally anxious to have an estimate of the account
as it will probably appear on the sth of April next. For
the period of which I am speaking, I am of course bound
in a matter of this kind to give an estimate rather than a
positive statement, but certainly I have every reason
to apprehend that the balance, comparing the actual re-
ceipts of revenue within the year on the sth of April
next, with the expenditure, will amount to a sum of
above 5,000,0001 for the year.— (Cheers.) The ac-,
counts, to any one cursorily reading the papers
which had been presented to the House, might
appear rather confused, on account of the ar-
rangements which are necessary to be made in
difforpnt quarters for the payment of the public
creditor. At one period of the year, taking the year
ending on a particular day of one quarter, the charge.
for the Debt will appear considerably more than the same-
charge for another year terminating on the same day
of another quarter. I cannot trouble the House with
the accounts in detail on that point, but I think—taking
the estimates as they are ready to lay before the House
—I think the House may calculate upon our being in
possession, on the sth cf April next, of a surplus of
revenue received during that year, as compared with the
expenditure, of, at the very least,five millions.—(Chtert.)
Now, I know my Right lion. Friend states that that
will not appear on the face of the accounts. For in-
stance, 2,000,0004 of money have been applied to the pay-
ment of Bache quer-bills, on account of the opium compen-
sation. I do not wish, however, to deal to-night with
the intricacies of accounts. I wish to state to the House
What is our real practical position with respect to
finance, severed from all questions of annual account ;
and I think that I am justified in stating that such has
been the improvement of the revenue, apart from the
property- tax, that the surplus which I have stated,
viz., a surplus of at least 5,000,0001, will be the surplus
of revenue this year as compared with the last.—
(Hear, hear, and cheers.) A part of that receipt
of revenue is made up from temporary and
casual sources. I am now speaking of the actual re-
ceipt of revenue within that year. About 385,0001. Will
hare been received on • account of Chinese money ;
there are other small sums from the South Sea
Comps.ny ; and, taking them altogethtr, perhaps the
whole amount received from casual sources will be
500,0001., which we cannot rely on permanently. Of
course a portion, and a very considerable portion, of the
revenue is derived from the income-tax, which has produced
5,190,000/. If it had not been for the receipt of the
amounts from various casual sources, and for the receipt
on account of the income-tax, the revenue, which in that
case would be.derived from ordinary permanent sources,
would not quite equal the expenditure. I think the
best course which I can now take is, to submit
to the House the estimate which has been pre-
payed by my Right Honourable Friend and my-
self, of the probable receipt of revenue in the
next year. I have no right to assume that this House
wilLsanction the continuance of the income-tax; and I
think, therefore, it will be better that I should, in the first
place, estimate the revenue, supposing the House should
determine not to continue the income-tax. We are
disposed to estimate .the receipt from the Customs
in 'the year ending the sth of April, 1846.-1
will lay before you the best estimate I can form
of the probable receipt up to the sth of April next
year, and I am now going to address myself to the
prospc..cts of the coming year—that year which will
terminate on the sth of April, 1846, as I before
stated,— the receipt from the Customs in this year, on
the sth of April, may be taken at 22,500,0004 There has
been a very large receipt Ori account of the duty on the
import of foreign corn ; but, independently of that,
the
.revenue from the customs has been very large.
The experience of past years would induce us not to
calculate upon'a,succession of one productive year after
another. Looking, therefore, to the probability that
• the corn duties of the - next year would not
be ‘equal,„ to ,what they averts last
,year, and
bearing in mild that last year was very pro-
ductive in the Customi' revenue, T am not inclined
to take .the. estimate 'of. the CuSteme revenue for
the next year. at moro than 22,000,000/. ; and then the
Vicise revenue, which was estimated at 13,000,000/. for
the past years, reached 13;300;0001. sine, therefore, I feel
niyself- warranted in estimating that branch of revenue
for the next at thirteen millions and a half, because for
some thee there has been a progressive increase in the
Excise revenue ; and we find, by experience, that the
Excise revenue recovers more slowly from depression
than any other branch. The Excise returns less rapidly
than the Customs after a period of depression. But ex-
perience leads us to believe, that where improvement
begins in the- Excise-, it goes on progressively ;
and I therefore, feel that I , am warranted
in estimating the Excise revenue for the year ending
the sth of April, 1846, at 13,500,000/. The stamp-duties
produced in the last year 7,100,0001-; and the taxes—
that. is -to say the land-tax and the. assessed taxes—
produced :4,200,000/. Then, with, respect to
the 'Vest-Ace, I. feel warranted from the in-
.
clmaresiseye
efoairra,,
t'u'ailleditterthrea.7eacimileitie6sfwhtihcaht hadveepirrectmeenntlt sincebeen
of foreign correspondence—y•l feel
warranted = in estimating the revenuete of the Post -office
for the next year at 700, for
the
produce of
last year was 691,0001.-(Cheers fromh
an; d
The Crown lands produced 1,5043,0004'
I will take
them at that estimate. As to the misceuaneem so
of revenue, I am inclined to take. them•aa -noway the
barns amount which they actually produced du-

ing the past year that is, 250,g0Q1. Now,
I have been here speaking of the ordinary
permanent sources of revenue, and • the., net amount
of my estimate on these is 47,900,000/... Besides, I cal-
culate that during the coming year we shall receive
600,000/. on account of China. So that, even if the
House should refuse its sanction to, the cowing,
ance of the income-tax, I think ;that- I should be
entitled to take credit for the half-year's produce .
of that tax—viz.; for 2;600,000/, :which will come
into the receipts of the year - ending . the sth of
April, 1846. Therefore, with this 2,600,0001., and
600,000/ on account of China, I am warranted upon
calculating a clear revenue of 51,100,0001., even if the
House should refuse to continue the income-tax.
The charge for the debt could of course be calculated.
On the sth of April, 1846, the charge for debt will be
28,450,000/, and then you will have the full advantage
of that reduction which took place • last • year
on the interest of the Three-and4-llalf per Cents.
The charge for debt, funded and Unfunded,
28,458,000/. ; the charge • on- the Consolidated
Fund, 2,400,0001., making a total of 30,858,000/. on ac-
count
of the debt The estitnaied debt voted last year
amounted to 17,700,0004 t the total charge, therefore,
assuming the present system to remain unaltered, would
be 48,557,000/ Dedict that sum from the total revenue,
that is 48,557,000/. from 51,106,0004 still the surplus
on the sth of April, 1846, will- be 2,543,0007 1I really
must, even at the risk'of fatiguing the House, detail these
:calculations. I hive the liotise will .pardon me for-so
doing. If you were to deduct from the 'revenue of
next year ' the receipt of the.incoine7taX and the
casual and temporary 'receipt from Chinese money, and
assume that to be the amount of revenue on the follow-
ing year, ending the .sth of April, 1847,
_and taking
the expenditure' to be. the same, in that case there would
bia small deficiency of revenue as 'compared with the
preceding 'year.. The, question
.whether or not we
are justified 'in., a dernand: for an increased. expenditure
On account of the public expenditure, and I feel that it
is but right to satisfy the House what our 'intentions are
in making this deMand. 1,4 4ot:hesitate to admit that
no financial prosperity=no. surplus revenue—relieves
the Government.froin the paramount obligation of con-
sidering whether it is consistent for the itiglic* interest
that a saving can be made in . the public expenditure.
But I do not mean to say that there would be any more
justification on the part of the Government for aline and
profuse expenditure, when the.revenue is in a flourishing
state, than there would if it were failing.—(Hear, hear.)
I feel that there is the same . stringent obligation upon
her Majegtis GOVerfiraint increased—uu-
necessarilY increased—expenditure„ • when there is a
surplus of five millions in the Treasury, as when
there is no surplus at all.—(Hear, hear.) It is, I'
know, of. the greateseimportinee that I, and those lion.
• • Gentlemen who' net 'with 'nee,laheiild -PerfOrtir the duty
that devalues upon tiSe t4:.thiLiOlic. taxation,
•to remove, within the, least • possible period, ':.thit'
we can consistently dO.So; stith increased 'taxation. as
-We 'consider to fore's. upon the.
publio4r4deandpublic!interest,i,-(Hear, hear.) But it
is-impossible do:thiawithent exettiiting great eke and
• •“ e - . •-• l. • r• •- •
Caution; as. to 'The department its which the public ex-
p.iS tnhe reduced.—(Hear, hear.) -At the same
- time, permit me to say that]: am' greatly afraid thatthe
' Public 'are under .h.. Very with re-
, gard'tio *hat is really nicessaryfor..the •pnbiic eXpea-
'. diture, what that'publio expenditure,itetually, is; 'and
'the means by Which., it Can be' safety • r&ltiCed." .It is
genoralli supposed. that all tioition— Of the pidalie expen •
•diture which does ,not consist of payments; for the con-
' tinuanee of thcr'seVeraFttiblic:deparlinent,,,. iS'unneces-
_. sary'and itsnOtllie. Case. :1( we. take
the amount otthe., revenue for the rist year, lihich Wits'
48,243,0004, it will'be found to Cohabit 'Of the 'fiillowin
g
charges:2B,4o,oolo/. ~ on account pay inents
.wards the public debt.. The sum- paid- to the naval and
• mil4ary halt-p3y amounted- '- to; 4,99-I,oooe : The
'Charges filed', ke• fiKes,sed": for, the .porisol4lated
• • . - •
'Fund ,was. 4 I
878,90041 et ,these charges I include
the provisiontecessary for'defraying thaexpenditure of
the 'judietal,eStablithnient;(Hear.)....7.Thereare;
inclUdc4, in the_ whole :amount ofthe sum thatl
:have stated as that.Whieh will be required fOrthe public
.seriiee. 'this year;: mot only the' *hole' sn'm levied
as.: pUblia but various' 'Other:, sums.
The Mire of 35;309,0004 requice•d -few the purposes I hate
'already...l:ninth:Med; if "deducted'from 48,00,0001,
...the animint'Of iOr the'.pUblic.expen-
-diture; will leave a-sum of about 13,000,000Lf0r thepublic
service, in respect of *bid', it is euppOsid, seine reduction
.may be inede:-L(ilear„:,hear4 ~,41e4URting,
amount due—to 'the -public creditor, what then
remains to be disposed of to meet the expendi-
ture of the . executive Government'? The total
amount of that Would . not exceed 12,933,000/
Among the other charges which have received the
sanction of Parliament; is the charge for the Civil
List. And here I may be permitted to say,
that any Executive Government that would have
a due regard to the exercise' of: a wise and
judicious economy, Would- not hesitate to follow the
example. which has been set them by the controul ex-
ercised 'over her own expenditure by the Sovereign.
A settlement was' made, of the Civil list on her
accession to:the throne.: On the occasion of her mar-
riage no addition was made to 'that civil list.(Cheers.)
It has pleased God to bless that marriage by the birth of
four children, which has made a considerable additional
demand upon-the civil list. In -the col:mai:of last year
three sovereigns visited this countryl two of them
were 'two of the most powerful sovereigns of. Europe
—the Emperor 'of RUssia and the King ' of -the
French.—(Cheere.) Those visits, of tects:lty, 'created
a considerable increase of expenditure, but through that
wise system of economy, Which is the only source:of
true magnificence, her Majesty was enabled not only.to
receiVe those Sovereigns' in a style of magnificence
which excited universal admiration,- but without adding
one tittle to the burdens of the conntry.—(Loud
cheers.) And, .I am .not required, On the, part of her
Majesty, to 'press for the . extra: -expenditure of one
single shilling—(lmmense cheers)—cn, account of these
unforeseen causes of increased expenditure..—,(Renewed
cheers.) I think 'that it is: but•due to: state. this,. to the
Personal credit of her Majesty, who by-the exercise Of a
judicious econoiny,• has been. enabled to entertain' these
Sovereigns with all : the -magnificence due. to her- station,
and' without incurring', a single , debt.-(Loud cheers.)
I know 'it may,he said thati. have not adverted to other
sources of reduction, in the public expenditure. -.,1t may
be that offices might be abolished, and 4bitt:emolu-
ments maybe reduced. I admit that no office Ought to
be retained which is notneceasary.for the,pubiia service.
I admit that no emolument attached to any office, ought
to be retained which is not necessary to secure the faith
ful and efficient' performance Of . the duties necessary for
the public service.--e(llear, —hear.) -On-. that point
we are all agreed. I vindicate no sinecures(Cheers)—
and when an office becomes vacant we, go
.through that
process which has been so, frequently recommended, of
considering if the retention of it is necessary
,for the
pubic service, andif: the emolumenta admit of :le-
'duation consistently, with a.. due regard, for the
public interests.—(Cheers.) Now with
,regard to
the charges for the collection of the revenue,
it should be borne, mind:: that the., extent of, the
revenue establishment is not merely to secure an effi-
cient collection of the money due„to but that
;it is, of theutmost.ipsportance•thet every 441)4y:should
be given for' the transaction of .commeicial•business.,---
(Hear,• hear.) It id Our ditty to reduce thoae establish-
ments, :es .f.ar
.as it is:_consistent:With public convenience:
do not vindicate the retention •of . one single useless
officer ; but the public -is interested in giving to the diS-.
patch of public. business every .facility that you. cangive
consistently- with.a.. due. regard-to .the public. safety.
and, therefore,
,so far as the principle is concerned that
,therevenue ought to, be, collected at the leas t,, Possible
expense, and that you ought to make every reduction
you. cao, upon, that point I apprehend:' there can
be no difference, of opinion. , But., still, after that
admission, .you -will .find that. the subject has • con-
stantly occupied the attention of every Government.,
and that great reductions from time to time,have. been
,made 4 But it would Win delusion and &fallacy to expect
' that you can generally reduce the public burdens by any
diminution of the salaries of the officials employed. At
the sometime it may . be said; that, those -great public
essablishments, which a vote is. -taken., every • year,
• and. whiCh -cOnstitute the' main charge on the
-revenue,,,
.indeppridpot. ,of thk,.., Axed.. cheirgas=sueh
'as the army, the navy, atici the, ordnance. of•• thecoun try—
may admit otsaine reductions..- firit of-all; will state
the estimate we propose. for-the- expenditure on account
of the-army.: Now it is impossible to determine 7whether
that expense :is justifiable' or not; without ,adverting to
the extent of the colonial empire of•this country.- NOW,
in point of fact, the main expense on account of the:army
is the extent of your colonial possessions. You hate
these colonial dependencies, and to xualta-ao .provision
for the, relief of the troops serving in them, will be ;in-
consistent with humanity in the first place, and incon-
sistent with true economy in- the other. Te may aside
its want of economy, point of humanity nothing earl
be more precions:.• than' the life and health of a
soldier.—(Cheers.) The army -thus that you possess is
a very expensive and complicated machinery, ~and you
may depend upon it yoU will not consult Arne economy.
if you permit it to be dislocated and deranged hy recluc-
dons without-calculation. Tow in the YeAt.l.292o;thlich
1181 fr'quently been referred to as the criterion of what