The times., 1899-04-14
ENGLANp,s REVENUE.
Taxation Plans to Meet Incrensed
Expenditures.


Expenditures.
London, April 13-The House Of Com
mons was crowded today In view of the
presentation OF the budget statement by
the Chancellor Of the Exchequer. Sir Mich
ael Hicks Beach, which is universally rec
ognized as being Of exceptional Importance
Sir Michael began by congratulating the
nation upon the facts that trade had in
creased; that the nunAer of unemployed
workers had decreased within the past
year; that wages were higher, and that
exports had increased The total revenue
for the last year, he said, had been e1I7-
$4,000, against f116.0l6.000 for the pre-
vious year. There had been rush of to-
bacco through the customs for the past
few weeks, he said. in expectation of the
reimposition of duty of cd per pound, but
he would leave tobacco alone for the COM
ing year, feeling sure that there would be
an increaese in revenue therefrom. The
Chancellor of the Exchequer said that the
expenditure for the coming year would be
G112 800. 600, or G2 ,09S GOO above that of
the previous year. This increase. he ex-
planned, was largely due to the votes for
the navy. The total Increase in the coun-
try's expenditure for the last five years,
he said was about G 100000. He hoped
that the successive annual increases would
be, to large extent, met by the country's
prosperity which was such as to produce
automatic increases in the revenue from
the existing taxation.
Seeing that the Increased expenditure
WAS due SO largely to increased armaments,
he hoped for great deal from the coming
disarmament conference. Taxation, he
announced, would include new stamp tax
OF shillings per f100 on nominal value OF
documents, representing foreign and
colonial banks, which are now not taxable,
and also a tax of 80 pence per 9100 on
loan, capital, and debenture stock created
by corporations and companies under the
statute. The Chancellor of the Ex
chequers taxation plans propose an in
crease of the duty on the capital of COM
panies from shillings TO shlllings per
c 100 of capital, and charge of Cd instead
of Id stamp duty on letters of allotment
and remuneration, which is expected TO
produce G450,0 600 The plans also propose
an increase of the surtax on sparkling
wines from rs to Is Cd, to impose duty
of IS on still wines imported in bottles,
and to increase The other wine duties by
cd. This, it is estimated, will produce
a42O coo.
The Chancellor finished his statement at
6:10 o'clock. The final balance sheet, he
said. showed total estimate of revenue
of ELL, ,157 .000 and of expenditure no.,
1921, 900, thus meeting the deficiency. Sir
Michael said that various methods of
meeting the deficiency had been suggest
ed. He had been asked to tax bicycles,
and also TO put a tax upon perambulators,
of which domestic persons know the value.
He felt that further alteration of the to-
bacco duties would be causing disturb
ance of trade and make things worse than
before for smokers.
.;,h
sinking fund, namely, the balance of 925,-
100000 which is annually devoted to the
interest and management of the national
debt, the Chancellor of the Exchequer an
nounced a record balance of G7,7S6, 600
which would be available for the reduction
of the debt in connection with the new
sinking fund and the system of terminable
annuities by which the debt nowadays is
mainly reduced. He explained that be-
tween the years 1902 and 1904 the sum of
G7,000.0G0 annually would accrue to the
new sinking fund. which, unless Parlia-
ment altered the system. would in 1908 ex
coed G9.0eG,6o0 annually. The chancellor
said that itfwas not desirable in the inter-
est of a steady reduction of the debt that
this be allowed. He therefore proposed to
follow the example of Mr.. Gladstone in
somewhat similar circumstances in 1881.
namely, 10 prolong the terminable annui-
ties. thereby reducing the annual charge
thereon. This would enable the Govern
ment TO cancel the national savings bank
debt of 100000 and also to cancel con-
soils to the amount of Els, 900 900 held by
the national debt commissioners for the
savings bank, and in place of these to es-
tablish two termnable annuities expiring
in 1928. when consols will be redeemabe
at par. The scheme ought to result in re-
ducing the annual fixed debat charges from
G. 100000 to e23000,O 900. Forestalling
the criticism that this treatment of the
sinking fund would be benefiting today's
| taxpayers the expense of the taxpayers
of 1902, Sir Michael contended that the ma
tion had established a navy of such
strength that it had been the main factor
| in averting a great war in 1898, the burden
of which would have fallen not only on
| themselves, but on the taxpayers of 1902.
Sir Henry H. Fowler, some time finan-
cial secretary TO the treasury, and repre-
senting the opposition, vehemently attack
ed the proposal TO tamper with the sink
ing fund as unwise. He said it would be
strenuously opposed by the Liberals The
present prosperity of the country made the
circumstances entirely different from those
prevailing at the time of Mr. Gladstone s
precedent. The scheme of the Chancellor
OF the Exchequer he added merely
amounted to meeting the Governments ad-
ditional expenditures by retarding the
liquidation of the national debt
Sir William Vernon Harcourt, whose ex-
perience as Chancellor of the Exchequer
and general knowledge of finance caused
| his utterances to be awaited with eager
ness, notwithstanding his official severance
/ from the Liberal party, rose amid loud
and prolonged cheers from the opposition.
! Sir William confessed astonishment that
| the year which saw the largest revenue and
the greatest prosperity the country had
| experienced should have been chosen for
! repudiating obligations under which the
nation had prospered and built up its repu-
| tation. The proposal was one of the most
! serious and disastrous ever made by any
| Chancellor of the Exchequer and was IA
! tai blow to the system to which the coun-
try had adhered through good and evil re-
port. If the proposal was adopted the pro-
vision for the redemption of the country S
debt would come to an end.
summary of the statement made by
! the Chancellor of the Exchequer shows
that there is realized surplus of e1s6, 0OC
| for 1889. The estimated expenditure for
| ls99l900 is G112. 927 ,0O0 The estimated
revenue. on the basis of existing taxation
| is 6 i10, ,2S1 900. The reduction of the 81 k
J ing fund would amount to f2 900 600, and
the new stamp duties and tax ON wines to
| GS70000.
Colds and Intempernnce.
|