The Birmingham age-herald., 1916-04-05
Faced by Problem of Financ- ing Another Year of War,
 McKenna Cites Figures
IMPOSES TAXES
 ON EXCESS PROFITS
Compares England's Finances With Those of Germany-Tax on Matches Is Most Unpopular
 of New Measures

London, April A. Faced by the pfo0lela of financing for another year a war costing Great Britain S, ,OO0,00O daily, the chancellor of the exchequer, Reginald McKenna, was met at the outset by two favorable circumstances, namely, that owing to the expansive power of British trade, the revenue for the year exceeded the estimated revenue by 932,0OO,OOO, while the years expenditure has been s31 ,OOO,- 900 below the estimate.
 By imposing new taxes on amusemenrs. railway tickets mineral waters, and rais-
 ing number of the old taxes, including those on excess war profits coffee, sugar, cocoa and motor cars. the chancellor esti- mates that he will be able to raise about 965. .O000OO. which is nearly double what many persons believed he could raise by this means.
 At the close of an able and lucid speech in the House of Commons today, explain ing the greatest budget in the world $ history the chancellor made an interest
 ing comparison with German finances, declaring that while Great Britain was raising more than e300, 100000 annually by taxation, the secretary of the German imperial treasury, pr. Helfferch, was announcing a doubtful increase" of s24, ,oo60oo
 EXPLAINS METHODS
 Explaining his financial methods, MT. McKenna indicated his desire to avoid anything requiring new machinery for it's collection, which would prove costly and wasteful. Equally he desired to. distrib- ute the necessary burdens fairly over the whole community, He said he was aware of no, historical parallel in other coun- tries for the willingness displayed by the people of Great Britain to submit cheer fully. to the tax gathers. exactions, but it would be mistake, he added to drive this spirit of public sacrifice too hard.
 For instance, he said, he had resisted suggestions for an excessive increase in the tax on excess war profits, because he considered this would have the effect of restricting trading enterprises. He reminded the House that firms carrying a large business accepted great risks and responsibilities, and needed to build up good reserves of capital because after the war they would be called upon to meet strong competition abroad Or the question of the general tariff, speculation in political circles MT. Nc. Kenna put aside any idea that the gov- ernment had yet been converted to that means for raising revenues or breaking enemy competition. On this point he added:
 LETS TARIFF ALONE ''The House will have noticed that l have not discussed the question as to whether fiscal duties might now properly be used for controlling and directing trade in way advantageous to our selves and injurious to our enemies and my colleagues are satisfied that any attempt in this direction would be met by insuperable preliminary difficulties in finding the necessary machinery to give effect to such proposals
 On the whole the budget was well re- ceived both in the House and by the pub lie. The debate following the chancel- lor's speech was confined to minor mem bers Criticisms mainly concerned ob- jections to the tax on matches and rail way tickers.
 William O Brien, nationalist for the city of Cork, strongly protested that the new proposals were piling burdens on Ireland which she could never stand.
 The most unpopular of the taxes is the tax on matches, which will about double their cost. It is recalled that the last attempt to place tax on matches, in 1874 by. the liberal chancellor, Robert Lowe led to such serious riots in London tlrat the attempt, was abandoned.