Evening star. [volume] (Washington, D.C.) 1854-1972, 1947-08-24
British Cabinet Called
To Crisis Session;
More Cuts Expected
BY the Associated Press


BY the ASsoeiuted Pres.
LONDON, Aug 23-The British
cabinet was called today to meet
Monday in its second crisis" meet
ing in less than two weeks, perhaps
to decide on the cuts in foods and
other supplies the British people
must endure in the current economic
storm.
The call conceded with a warn
Ing from Deputy Prime Minister
Herbert Morrison, general" of the
British economic campaign. who de-
clared in a nationwide broadcast
that the British people were not
working hard enough or fast enough
to avert an economic collapse and
must be prepared for a stream Of
drastic government orders under
its recently granted emergency pow
erS.
Time is running against us
faster even than the drain of dol
lars" he said:
VIII Trim furCnaSeS.
His speech punctuated a week
of developments which included the
British-American agreement in
Washington to put moratorium on
the drain of Britains $3.50, 900, 900
American loan by other nations
converting sterling balances into
dollars. and to freeze" the $400,-
100000 undrawn balance of the
loan.
The British government an
nounced that the step meant Britain
would have to trim her United
States purchases drastically to come
within her dollar resources.
Sir Wilfred Eady, chief of the
British delegation to the Washing
ton dollar talks, will be on hand
Monday to report to the cabinet.
Washington dispatches said the
second phase of his negotiations,
the relaxing of the dollar loan
agreement to permit Britain to shift
more Of her purchases from dollar
areas. now was proceeding on a
technical level"
Burma Imposes CurbS.
Other developments today in
Britain's struggle to make ends
meet in postwar international
trade were these:
Burma joined other sections Of the
British empire in invoking currency
controls to husband her foreign
credits Oficials at Rangoon said
no one would be permitted to take
more than 270 rupees (about 500
out of the country.
British mine union officials met
again to consider a government re-
quest for longer working hours.
Three weeks of negotiatio have
failed to produce agreement on
government proposal to lengthen
the working day by half an hour.
The government wants more coal
to boost exports and bring in more
foreign exchange.
The executive council of the Iron
and Steel Trades Confederation an
nounced the union stands for, and
demands. full and immediate ma
tionalization of the industry" Some
Government members have indi-
Gated Willingness to trim on the
LABOR program of naturalization. in,
order not to interfere with produc-
ton in the current emergency.
Will Use Escape Clauses.
j. Harold Wilson. secretary for
overseas trade. served notice at &C.
neva, Switzerland. that Britain
would have to use the escape clauses
in the draft charter of the proposed
International trade organization
adopted unanimously yesterday by
17-nation preparatory conference. :,
In his broadcast Mr.. Morrison
declared I'VE have still not done
enough and we have done it too
slowly" and indicated the Govern
ment would make increasing use of
its emergency powers to control
direct labor. industry and resources
into essential" channels.
we have relied perhaps more
than we should have done on the
people as a whole understanding
and acting on Britain's need. and
we nave avoided as long as possible
handing out drastic decrees,' he
said.
Urges Job Shifts.
He appealed to persons in non
essential industries to shift Jobs and
do without the things they do not
need.
We all know that Britain will
not go down even if all the cinemas
were closed, even if there were no
football pools at all and no betting,
and even if there were less junk
IN the shops he said.
He insisted, also. on a great in
crease in national savings, declaring,
that will help to prevent a fall in
the value of the pound note, both
because it will check too much
money chasing after too few goods,
and also because it will help our
Representatives who are now bar
gaining with other countries to per-
suade them that sterling is a cur
rency in which they can have conf
dence"
He said coal mining and agricul-