I
exp
C. S. O. M.F. 237.
}
by
ex-
this to be effected in administrative economy penditure rather than by increased taxation.
As I have said, the Colony is suffering from an economic depres- sion never equalled in its history. It was bad enough in the years 1925 and 1926, when the economic and financial fabrics of the Colony were shaken to their very founda- tions by the general strike and boycott directed from Canton. But at that time it was onlv trade with the neighbouring provinces that we lost for a while; we still did a fairly large volume of business with other countries which then enjoying varying degrees of prosperity. To-day the economic depression is world-wide, and con- sequently our trade with many countries has greatly diminished, almost and with certain others stopped.
were
Though I am optimistic of the future, I think it nevertheless im- prudent, to delude ourselves with the belief, that the downward course of our trade has touched that lowest level or that its present condition will not continue for some time.
Any unwise action on the part of the Government in the way of taxation would therefore impair our Fortunately chance of recovery. for the Colony, the present Budget clearly indicates that Your Excel- lency is of the same mind.
A Better Outlook.
If the present careful and en- lightened policy of the Government were continued, I have not the least doubt that Hongkong, with its geo- graphical and other advantages, would
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of justice and tolerance which characterises Your Excellener's administration-I am confident that this Colony will have its share in the recovery of international trade and prosperity, which from all in- dications are at last returning to a sorely stricken world.
HỌN. MR. T. N. CHAU.
Concurs With Views Of Colleagues.
ASSESSMENT TAX.
The Hon. Mr. T. N. Chau said: Sir: As my two Chinese col- leagues have dealt with the Budget so fully, it only remains for me to express concurrence in their re- marks. There is, however, a sub- ject about which, because of its great importance to the Chinese community, I should like to sav a few words in addition to the obser- vations of the senior Chinese mem- ber. I refer to "Assessed Taxes" commonly called "Rates".
The recent request of the Hong- kong and Kowloon Property Own-
ers' Association for a change in the method of assessment
deserve to me to
serious and sympathetic consideration.
eeing
The present system of assessing tenement houses by the house in- stead of by each floor, and of al- lowing a refund of rates only when the whole house is vacant, is one that is clearly inequitable. It does
seem to be fair that rates should be required to be paid in respect of a floor that is vacant, and from which no rent has been re- ceived.
not be among those countries first to recover from the general depression. There are, however, not wanting a class of people- though fortunately the number is small-who believe that Hongkong will never regain its former pros- perity, and who go about bemoan- ing to all and sundry their dismal forebodings. Such people do infinite harm to the Colony in these days ( when investors are holding tight their purse-strings, and financiers are pursuing a policy of more than ordinary caution.
was
I should like to see evinced a greater spirit of optimism in my fellow-citizens-a greater faith in the Colony and its future. Only a week ago we read in the Press the heartening words of Mr. Neville Chamberlain, who is not a man given to making extravagant state-
Britain ments, that Great seeing the beginning of a perman- ent advance and progress, and that she could look forward to the fu- ture with every confidence, for the upturn was definite and continuing steadily. These good signs have not yet manifested themselves here, but knowing Hongkong as I do- its natural advantages, its remark- able resiliency, the peace and security it affords the people, its good government, and the policy
!
Nor is the system economically sound, for it has the tendency of compelling landlords, as has been pointed out by the senior Chinese member, to close the whole house when there are two or more floors vacant, in order to enable them to obtain a refund of rates.
This may have the effect of spreading the population, but in these days of extreme commercial depression, the sight of entirely empty houses dotted about all over the town does not conduce to a restoration of confidence, so essen- tial to our economic recovery. sincerely hope that the Government will accede to the request of the petitioners, and I venture to believe that if the concession is made the
I
revenue will not suffer, since many of the houses now entirely vacant will be at least partially occupied, and rates will be payable in res- pect of such partial occupation. The proposed method of assessment might be treated as an experiment which could be abandoned in favour of the old method in case the re- venue were found to have material- ly suffered by the change.
OFFICIALS REPLY.
41
Delay In Erection Of C.B.S. Explained.
P.W.D.'S STATEMENT.
The Hon. Director of Public to Works said: Sir, I propose
observations of reply to the honourable members which refer particularly to works under the control of the Public Works De- partment.
The preparation of the new site for the Central British School was put in hand as soon as was possible after the Board of Educa- tion had signified its concurrence in September, 1932. As the new site included the portion of land offered to and accepted by the Church Missionary Society for the re-erection of the new Victoria Home and Orphanage, it was first necessary to re-open negotiations with that body with a view to their accepting an alternative site. Next a contour survey and schedules of quantities had to be prepared, and finally tenders had to be invited and scrutinized.
Harbour Pipe Line.
As stated by Sir Cecil Clementi in 1929 the construction of this type of cross harbour pipe was in the nature of an experiment, and it was essential that its behaviour should be carefully watched be- fore taking a decision on the second line. The experience now gained is being kept in view in en- quiries at present being made in England in connection with the second pipe.
It will not be possible to com- plete the second pipe line and connected works by the end of 1934, but, provided it is decided to make no radical changes in design, it is anticipated that it will be completed by the middle of 1935.
Dredging.
The sum of $320,000 shown in the Draft Estimates 1934 for dredging is the estimated net cost of this Government's share in the scheme. The contributions of the Admiralty and the Hongkong & Kowloon Wharf and Godown Co. will be based on a similar unit cost to that used in computing the proportion chargeable to the Co- lony.
Contract Penalty.
P.W.D. Contract No. 59 of 1929. This contract was for the filling in of areas north-west of Nan Chang Street and west of Taipo Road. Instructions to commence work were given to the contractor on the 28th October, 1929, and the completion date under the contract was April 27, 1931.