New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1899-03-11
ENGLISH FINANCE.
THE LEADING JOURNAL ADVOCATES
DUTIES on WHEAT AND SUGAR
SPENDTHRIFTS N OFFICE
AN OPENING FOR
LIBERALS
London May,l 4

I
Close observers Of tho trend NJ political .1.,-
in England are convinced that Dsestablisbr,...
Of the Church VIII be the future line OF cle.v
age between parties Mr.. Arthur Balfour ~.
deliberately made this forecast. and hs ind.
ment Ia trustworthy. The religious question ,,,
not be raised prematurely by either party !,
the leaders can succeed in keeping It down u
is Sir William Harcourt's Issue and CONSEQUENT,
ly the front Opposition bench is reluctant >,
lay stress upon it. since the leadership OF 81,
Henry Campbell Bannerman will be imper,ll.a
by it. The legislation ordered for the press,,
session Is virtually non-controverslal. and n.
debates on the Soudan question have demo,
strated the impractcahility Of forcing a psr,v
challenge on foreign affairs The only OPENING
for effective criticism from the Opposition du,
ing a stagnant and uneventful session is tia,
! offered by abstract questions Of national nnan,.
Unless all signs fail. there will be importan, IA.
bates on fiscal problems after the Chancelor :,
the Exchequcr lays his budget before the Com.
mons.
one Of these signs is the oninous warn,r,
from Sir Michael Hicks Beach that the balapc.
Of revenue ard expenditure may no on the wror
side. and that measures may he required u,
meeting a considerable deficit Another straw
Morleys protest against the alarming ncreas.
cf national expenditures THE most remarkabl.
indication however Of transition stage q,
national finance is the candor Of the eadir,
English journal in recommending the reimposi.
ton Of duties which were abolished when fro.
trade was established as the permanent fiscal
policy Of the United Kingdom. That great organ
Of English opinion which can hardly have bee,
more powerful and influential under Mr. Delana
than it is now has been publishing a series q.
important articles by an expert on the finances
of the last twenty years. ard this week II viz.
tually adopts his conclusion that the time has
come for reconsiderng and revising the entire
system of taxation in a bold and comprehensive
way. The method recommended involves a re-
turn to principles which Dobden and Bright con.
demned.
Without attempting TO make direct citations
from either the experts papers The Illness
luminous leader. | shall briefly give the points
of the argument. The national expenditures
have increased about 30 per cent during twenty
years, and the bulk OF the additional burden has
been thrown upon direct taxation, whereas IN
direct taxation has remained almost unchanged
customs and excise being taken together. The
death duties have been nearly trebled. and the
the extraordinary burdens Of the State and a
steadily increasing share Of the ordinary bur-
dens have been thrown by direct taxation upon
a limited class. This increase Of direct charges
now operates as a high tax upon capital. and
is detrimental TO the interests of the working
classes. 1t also involves exhaustion Of what
once a great financial reserve. IL was once
easy TO meet fresh emergency by putting an
extra penny on the income tax, but IL Is no
longer practicable 10 do this since the eXtraor-
binary resource has been converted into the
ordinary source of revenue under conditions o.
profound peace. The income tax has not been
below sixpence in fifteen years. and year after
year 1t has stood at eghtpence. The centre o.
gravity of taxation has been altered by a tra
mendous increase of direct charges without an
corresponding addition to indirect charges
THE TRUE POLICY DEFINED
The conclusions from these premises are og-
cally and courageously drawn by The Times"
1t will be the act OF a weak Government II
the probable deficit OF the Treasury be met by
adding another penny 70 the income tax or by
the feeble expedient Of a suspension Of the sink
ing fund 1t is dangerous TO depend CONTINUE
ously upon direct taxation for carrying extraor-
binary burdens and il is hardly less perilous
TO restrict the list Of chargeable commodities
for indirect taxation TO alcohol and tobacco.
The true policy is to extend the scope OF In
direct taxation by reimposing the shilling duty
on wheat and the haltpenny duty on sugar, ana
also to renounce the idea that free breakfast
table" is a sacred British privilege like trial by
Jury or the writ OF habeaS corpus. The Times
doubts if the present Chancellor Of the Ex-
chequer is likely TO propose these radical
changes vet II is convinced that II some meas
ures of the kind are not adopted England will
find itself confronted with FAR more serious
financial problems in the immediate future
1t is needless to add that the Chancellor Of the
Exchequer who ventures TO propose duties on
wheat and sugar. will be charged with treason
TO free trade. When The Times" virtually
adopts its financial experts recommendations
and proclaims that there is as good reason now
as there was in 1S4l for recasting the wnoie
fiscal system. it calls upon the Pitt, or the PEEL
or the Gladstone OF the future to undo the WorN
Of Cobdenism and free trade. Duties on "hea'
and sugar will he the entering wedge FOR the
policy Of indirect taxation. which tree-rade's
have been describing for half century as rum
Gus to Protectonst America. The ChaneeN0'
OF the Exchequer is not likely TO expose h"
self TO destructive criticism from the L'oeia'
benches by proposing so radical chahge III NV
financial system as the abandonment OF hns
lish free trade. There will be budget spee'"
with temporary expedents and small maxi.
shifts. and the Chancellor Of the EXchequer WIZ
wriggle out OF his deficit by suspending the nc"
sinking fund and remposing the tobacco duV
which was unwisely reduced last year the ~
sponsibility of restoring the normal relations
direct and indirect taxation will be evadeu' ~
the Liberals under Sir William HarcourF
who else could lead them on that question w.
miss the opportunity for rallying to the deIs"l'
f the sacred Ark of the Covenant or Coo'''
ism. ..
Nevertheless it Is fact OF deep signln0sI 1.s
that powerful journal like Inc Iimes ...
not only understands. but also directs the wv.
Of English opinion. should be advising re''."
10 corn laws and sugar duties. 1t Is an u"Ns
sveroble proof that free trade has ceased 10 "
...,ea ,ri,h sunerstitious awe as econo"'S