New-York tribune., 1917-10-31
British Chancellor Says
Allies Can Bear Burden
if They Win
Thanks America
For War Credits
United Kingdom Now
Spends an Average of
$32,07O,0O0 Daily

LONDON, Oct. 30.-In the House Of
Commons to-day Chancellor Bonar Law
said that in the period from July 90
to September % the daily average ex-
penditure of the British government
was S32,070,0O0.
The Chancellor said the expenditures
Of the army and navy exceeded the
budget estimate by s2,95O,OOO daily.
The average daily expenditure since
the beginning Of the financial year has
been S33 $780, 900, or s6,1s5,o 900 above the
budget estimate.
The Chancellor said the German
Reichstag had passed votes Of credit
which amounted to $23, 300, 900, 900, ex-
elusive of advances to allies. There
were indications, he asserted, that
Germany would be hopelessly bankrupt
at the end of the war. The Allies could
bear the financial burden longer than
Germany, and it would not be lack of
money that would prevent them from
winning.
German taxation, the Chancellor
said, had been increased by more than
1925 900, 900, but that sum fell short by
1915 100000 of the interest on the war
debt.
If the war ended as the Allies meant
it should, Mr.. Bonsr Law added, the
financial burden would be one which
could be borne.
Chancellor Thanks L. 5.
81 am glad TO be able to take this
opportunity of saying how much rea-
son not only the British, but all the
Allied governments, have for apprecl-
ating the very generous way in which
the United States government has come
TO their assistance In financing pur-
chases in America" said the Chancellor.
at is an open secret that until America
came into the war the method OF imam
cling our purchases there and the ques-
ton Of exchange were not only serious
problems, but, in my opinion, almost
insoluble problems"
"The fact that America has given
generous assistance at times when she
was incurring expenditure at a heavier
rate than any of the Allies, ] believe 1t
nv duty publicly to acknowledge"
The House Of Commons had before 1t
the introduction by the Chancellor Of
the vote OF credit for s2,Oo0,oOo,oOO
when Mr.. Law made his statement re-
garding the finances of the war.
The amount which the House is asked
to vote is expected to be sufficient to
last until the end of the year, when an
other vote will have to be brought for
ward. The vote of the pending credit
will bring the total loans for the year
to SO. 800, 900 900, and the total since the
commencement of the war TO S2s, ,460,-
100000.
Situation Less Favorable Now
The Chancellor said that as far as
he could Judge the position in the sec
ond half of the year would not be quite
as favorable as in the first half, partly
on account of the increased pay for the
navy and army.
The increase in the vote Of credit
for the War Office, he explained, was
due in part to the larger force main
tanned abroad, to the forward move
ment Of the troops in France, and to
other causes, including motor trans
port.
The increased pay Of sailors and sol
diers and the subsidizing Of the loaf,
the Chancellor said, would amount to
between s200,000,000 and 250,000,0 900
in the second part Of the financial year.
Mr.. Bonar Law informed the House
that 1912 800 900 had been expended on
war material and food that would be
recoverable. Millions had been ad-
yanced to the dominions for supplies
and for payments to their troops in
England. In all, sS95,000,000 would be
recoverable.
Debt About s24,500, 100000
On September 20, said Mr.. Law, the
total amount of the national debt was
between s24,500 100000 and s25,000,-
100000, less $500, 100000 advanced TO
allies and $500 100000 to dominions.
There must also be deducted, he ex-
planned, part of the gift of the Indian
government, which amounted to $780,
100000.
The net increase in the debt due to
the war, the Chancellor stated, was
$4,000, 100000.
The debate through the various
stages of the veto is expected to ex-
tend over four days, and a variety of
subjects will be discussed On Thurs
day Sir Eric Campbell Geddes, First
Lord Of the Admiralty, will make his
first announcement on naval policy.