PAGE 6-HONGKONG TELEGRAPH
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Saturday, FEBRUARY 24, 1940.
BY WINSTON CHURCHILL
By
THE main attack
T
of the
enemy has been concen. trated upon the Royal Navy and the seaborne commerce upon which the British Islanda and the British Empire de pend.
We have always over 2,000 ships at sea, and between 100 and 150 ships move every day in and out of our harbours in. the United Kingdom alone.
This immense traffic has to be maintained in the teeth of constant U-bout attack which never hesitates to break the conventions of civilised warfare to which Germany so recently subscribed.
a
We have been frequently attacked from the alt. Mining on a large senle has been practised against us, and latterly magnetle mines have been dropped from neroplanes or Jald by submarines on the op- proaches to our harbours with the intention of destroying British and, till more, neutral commerce under conditions contrary to the accepted rules of sea warfare and of specific German engagements in regard to them.
AT WAR
WITH THE
PIRATES
wide traffic in spite of this opposl tion. Besides this, we have 10 cleanse the sens of all Gentian commerce and to arrest every Ger- man vessel and every scrap of cargo in which Germany Is Interested.
*
.of
CON-
ROADLY speaking, these Dsiderable duties have, up to the
been present.
successfully dis- Besides this, the so-called "pocket charged. The destruction the battleships," hhi certainly one U-boats is proceeding normally and other cruiser, were let loose in the in accordance with the estimate 1 North and South Atlantic or near gave earlier of between two and Madagascar, in the Indian Ocean, four a week-that in to say, at n The Admiralty's ta has been tate superior to what we believe to bring in our immense world to be the German power of replac-
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THE WAR TAX CONTROVERSY la Hongkong has already given the Nazi Propaganda Ministry one op- nortunity to broadcast a distorted account of the Colony's war effort and knowledge that there evilly-disposed persons-conte, it is suspected, even enjoying our hos- pitality-who are ready to distort and magnify the situation stil further renders comment somewhat
1) Mculi
The
Thongkong Telegraph.
Saturday, February 24, 1940. Wyndham St., Hongkong Telephone: 20815
Nevertheless, It cannot be sald that the proposals of the War Revenue Committee have been greeted with the unanimity that should greet any scheme of voluntary assistance whilch this Colony desires to render to the Motherland; even the Report self is not unanimous, as indicated by reservations made by three members of the Com- millec.
We do not propose at this juncture to analyso the proposed methods of taxalion other than 10 remark that few people will not grant that Hong- kong should make a substantial monetary contri- bullon to Britain, Rather, we would turn our attention to the question of the cost of Adminis- tration in this Colony, a question we believe to be the root of tho evil that now threatens to overtake us the evil of laxation which may prove out of all proportion to the Colony's capacity to pay.
not
ALTHOUGH its terms of reference diá cover the ordinary methods of financing the cost of Administration of the Colony, the War Revenue Committee rightly draw attention to the suspicion thai the Government might not be functioning on the most cconomical basis commensurate with emelenes. The Committee "views with much con- cern the continuous rise in the cost of Government, Arise_which the Colony's.pensions.commitment-is.. likely to accelerate more rapidly in the future than in the past."
Without taking into consideration any extra- ordinary taxation in connection with the proposed War Levy, the people of Hongkong are to-day pouring into the publle coffers of this Colony more than twice the amount they were taxed in any year during the Great War. Revenue in 1939 was over thrice the revenue of the war years of 1914, 1015 er 1916, more than 24 times the revenue of 1917 and over twice the revenue of 1918-this despite the fact that we played our part magnificently in the last war.
The Colony was not allowed to recuperate after the taxation of 1914-18, but was loaded with more and more governmental demands for revenue as the cost of administration continued to soar.
In 1919, Government expenditure was $17,015,- 125-lgher than all but one of the war years. By 1922 it had risen to $18,053,003, in 1925 was. $28,119,046, in 1937 It was $32,111,222 and in 1038 that total was $37,175,807. The figures for 1939 are not yet avaliable, but they will certainly exceed those of 1938, while the Budget for the current
those of 1938, while the Budget for the current year envisages in ex- penditure that will exceed $40,000,- 900-not one penny of which will be available for War Levy,
WE repeat the innuendo suggest- el to the War Revrune Coult - tee's Report-where is Government expenditure golug to end? The present heavy expenditure, as the Committee points out, is insufficient to enable Government to meet Us full responsibilites in the matter of public health, education and social services generally-let alone the rising costs uf Penlons which includes, at some future date, the creation of a new. Fund In con- formity with Imperial recommendations which will require millions of dollars to finance.
Had not the Colony's budgets in the past few ... year's grown out of ali proportion to the people's ability to meet the cosis of Administration, the extra taxation now sought for our contribution to the Empire's war effort may well have been met through ordinary channels of taxation.
But, as revenue has grown through these channels, it has been outstripped or closely followed by expenditure. No effort has been made to pre- serve for the peoples of this Colony securlly againsi the rainy day by conserving our monetary assets, so that now we face, in addition to the imminent possibility of a staggering burden of additional taxes required to finance the War Levy, not-too- distant Impositions of a Iko nalure to finance ordinary commliments,
Even the Treasury's balaner, which on Decem- ber 1 stood at the record sum of $17,945,275, Is flctitious, depending as it does upon the issuance of Loans at some future dale. Over $13,000,000 -of-the-317;945,273-excess the Colony- is-supposed' to bave in its coffers has already been expended on Loan works such a the Jublice Reservoir and the Central Market, Iɛaving the actual balance at less than $4,000,000,
The Hongkong Government, fortituitously, Is enjoying as unprecedented wave of prosperity as a result of 2 years of war in China. But can" It be said that the Hongkong people are enjoying {lio same. prosperity? Have the people of this Colony the ability to meet the extra taxalluu that will be imposed it the recommendation of the War Revenue Committee are carried out?
The people of this Cofony are facing mounting costs of Administration-costs which will not de- crease with the end of Sino-Japanese hosiltitles. At the same time, the Government is facing a slump in ordinary revenuo the moment those hostilities cease.
The sacrifices the people are being called upon to make to-day will nói chd with peace in Europe or prace in Asia.
They will not end until the Administration itself is prepared to mako equal sacrifices,
CARTOON OF THE WEEK-BY
MANNERHEIM LINE
-Strube in the "Daily Express"
The Destroyer Wessox lots
ing U-boats and competently trained, U-boat crews.
When I see statements that the Germans during 1910 will have as many as 100 U-boats in commils. klon, and that they are producing, these vessels by the chain belt system. I wonder if they are
producing the U-boat capialusa and crews by a similar method. If no, it seems likely that our rate of destruction might well undergo a similar expansion.
off a depth charge.
It is indeed a strange kind of warfare for the German Navy to engage in, when, driven off the shipping of their declared enemy. they console themselves by run- ning amok among the shipping of ncuiral nations,
This fnel should encourage the neutrals to churler their slips to Great Britain for the duration of the war, when they can be sure of mak- ing larger profits than they have ever made in peace, and have a complete guarantee against loss.
Enterprise and daring have been shown by U-boat commanders who
The Ministry of Shipping have seek to emulate the exploits of already arranged the charter of Scapa Flow by penetrating our de- several nullions of tonnage, and it fended harbours, and several graves process will continue to mutual and Gecing probable that this healthy
even general advantage.
nf U-boats lle upon their ng- proaches.
THE rate of destruction varies, of course, with the numbers of U-boats which are actively hunting This furtuntes. from Ume to time. and we have noticed three periods of maximum activity interspersed with periods of minimum activity, when, presumably, the Quik' of the ralders return home for rest and refreshment,
*
So far as the set war is concerned, German fritidship hus proved far more poisonous than German unmity,
The magnetic mine is neither new nor mysterious. An· the Princ Minister
announced in us broad- east, its secrets are known to us. In- deed, the preparation of counter- measures was nirendy for údvanced before the Arat magnetic mine was laid in British waters.
Nevertheless this struggle pro- eeeds upon a murgin which, though I do not wish, however, in any adequate, is not extravagant, and way to underrate the magnitude or when we consider the possibility, intensity of the effort which will be us we always must, of some un- required, and is now forthcoming. expected development of numbers to cope with this latest manifesta- by the enemy. It is a comfort lo feel tion of Nuzi cultu
culture.
that very great reinforcements of Muny bearings are being de- our hunting craft in home waters, veloped and applied and, as an in- already tripled since the beginning terim measure, before the full of the war, will come into service scientifle treatment can be given to during 1940.
this problem, we have found it must again repeat the warning necessary to call upon a large num- which
1 gave in September-that a ber of trawlers to assist in steady flow of losses must be ex- dredging of our harbours. pected, that occasional disasters will The service of mine-sweeping is occur
and that failure on our part one of peculiar danger and tries the
tha
to get up to the level of circum- strongest nerves, because of the stances
be attended by grave silence and constont uncertainty of would
danger. It is,
is, however, my sure destruction in which those engaged
bellef that we are getting the better in it must dwell. of this menace to our life.
We are buffeted by the waven. had the car is now steady and strong in our favour.
In the course of the war the U-boats have passed from using the gun to using the torpedo, and from summoning ships on the surface to sinking them at sight without warn- ins; or provision for the crews,
This carries them into a form of warfare at once more ruthless and
THE fact of this serious
danger. was sufficient to bring forward an overwhelming response from the fishermen and trawler crews who were called upon to come to their country's assistance, though I ima- gine, in this case, only for a com- paratively short while.
The recklessness of the attacks upon neutrals and the
breach
of
at the same time for less effective, International agreements which it The underwater attack by torpedo involves led us to place a retaliatory can only be delivered at a quarter embargo upon the exports of all of the speed that possible to a goody of German ownership or ori- U-boat on the surface, and the chances of their intercepting ships No serious inconvenience need be or convoys are greatly reduced..
caused to neutrals. They have only In addition to our armed mer to avoid carrying tointed goods in chant cruisers, we have armed al- their ships, and can easily obtain a ready more than 1,000 merchant certificate from the British consular ships for self defensive purposes, officere in neutral countries, which und the process is continuing with will enable them to proceed upon ali possible speed.
their outward voyages without in- terference or delay from us.
so
It is satisfactory to learn from REFORE long we shall have 2,000 German sources that goods for ex- armed. These merebant port are already piling up on the German quays and in their ware- ships, In accordance with the oldest
houses to such an extent that, we rights of the sea, fire back when are told, they hamper the landling they are attacked.
The merchant captains and sen- of Incoming merchandise. men show a resolute disposition te defend themselves, and many duels are fought in which the U-boat, fearing to be damaged, and thus unable to dive, gives up the attack
and beaten off.
The effeacy of the "asdig" (antl submarine detection indicator gear)
STRUBEethod of detection is increasingly
proyed and en our margin in hunt-
STRIDENT effort has been persuade the world that we have laid made by German propaganda to these mugnetle mines, ourselves in in order, apparently, to starve our the fairways of our own harbours,
selves out,
ing craft increases, as it has done When this inanity expired amid and will do rapidly, the ordeal to feneral derision, the alternative which the U-boat is subjected wit claim was made that the sinking of neutrals by "mines Was another
become ever more severe.
The convoy system is now in full triumph of German selence and operation. Very few ships have camanship which should convince been attacked in convoys. Less all nations that their mastery of the than one in 750 has been sunk be tested by a general survey of sens was complete." This claim may
Nevertheless we must remember
that convoy involves a certain loss the results of the first three months
of war. of carrying power, since the ships
We began the war with 21,000,000 must wait during the assembly of
tons
of merchant shipping. Out of the convoy, and the convoy must travel at the speed of the slowest this total we lost during the three ship.
in which we were subject months, This loss is being steadily reduced by all kinds of methods, fair and to severe and concentrated attack by the institution of slow and fast foul, by U-boat, by mine, by sur-
'convoys, and by other appropriate
measures. But a certain delay must face raider, and by the hazards of
the sea, about 340,000 tons. always remain.
In consequence of our defence, fer fram foreign flags, independent Against this we gained by trans-
and the defence of these merchant
ships,
Thon
easter than
the U-boats have found 1 of large chartering operations, by. to attack neutral shipping prizes taken from the enemy, and the vessels of Britain
by the now vessels we are buliding and
France, They prefer increasingly on a large scale, about 200,000 tons, to attack the ships of countries with leaving a net loss of about 00,000.
whom they are at pence, rather than lons.
those of the countries with whom they are at war. The figures are remarkable.
*
*
THERE has been a strong and steady diminution of loss among all ships obeying Admiralty direc tions or joining our convoys,
WE
**
E have the means, and we have the opportunity, of marshal- ling the whole vast strength of the British Empire and of the Mother Country, and directing them stend- fostly and unswervingly to the ful» tment of our purpose, and the
Quilo contrary has been the case vindication of our cause. with the neutrals. They lost half as
For each and all, as for the Royal much in the third month as they did Navy, the watchword should be, in the seconda
"Carry on and dread nought.”