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WEDNESDAY, OCTOBER 11, 1978
LAND SALES BOOST REVENUE
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THE GOVERNMENT'S TOTAL REVENUE FOR 1978-79 IS NOW EXPECTED TO EXCEED THE ORIGINAL ESTIMATE BY A QUITE CONSIDERABLE AMOUNT, PERHAPS BY AS MUCH AS $1,000 MILLION, THE GOVERNOR, SIR MURRAY MACLEHOSE, SAID TODAY.
IN HIS OPENING ADDRESS TO THE LEGISLATIVE COUNCIL, SIR MURRAY SAID THE INCREASED REVENUE IS ALMOST ALL LARGELY DUE TO BUOYANT LAND SALES AND THOUGH IT IS TOO EARLY TO INDICATE WITH ANY PRECISION THE LIKELY BUDGET OUTTURN, THERE CAN BE LITTLE DOUBT THAT THERE WILL AGAIN BE A SURPLUS THIS YEAR.
HE ALSO NOTED THAT A LARGE PART OF THE INCREASED REVENUE IS BEING ABSORBED IN INCREASED EXPENDITURE ON BOTH RECURRENT AND CAPITAL ACCOUNTS.
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+WE HAVE FOR EXAMPLE, INCURRED ADDITIONAL EXPENDITURE, NOT PROVIDED FOR IN THE ESTIMATES, AS A RESULT OF THE 1978 CIVIL SERVICE SALARY AWARDS, AND OF THE DECISION TO REDUCE THE QUALIFYING AGE FOR THE OLD AGE ALLOWANCE SCHEME, FROM 75 TO 70 IN ONE STEP RATHER THAN TWO AS ORIGINALLY PLANNED.+
HOWEVER, IT IS ON THE CAPITAL ACCOUNT THAT WE EXPECT
A SUBSTANTIALLY HIGHER LEVEL OF EXPENDITURE THAN PROVIDED FOR IN THE APPROVED ESTIMATES, HE SAID.
+THIS IS LARGELY ACCOUNTED FOR BY THE PUBLIC WORKS
PROGRAMME AS SUCH, AND HOUSING.
+HIGHER PRICES ACCOUNT FOR A PART OF THIS INCREASE, BUT WE HAVE ALSO MADE GOOD PROGRESS ON EXISTING CONTRACTS AND EARLIER STARTS ON NEW PROJECTS,+ SIR MURRAY SAID.
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