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HONG KONG LEGISLATIVE COUNCIL.
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There have been two major considerations in framing the estim- ates, first defence, secondly social services. Defence, it is submitted, must in present circumstances come first, but it is also submitted that in the present financial position of this Colony social services must not be allowed to lag behind, nor even to stand still, but should advance so far as circumstances permit.
The major items in the defence budget for next year are 4 million dollars for the completion of the programme for the construction of tunnels, concrete pens, etc., for the protection of the civil population against air attack and $5,220,000 for the construction of vessels to be presented to the Admiralty and War Department, in respect of which no expenditure has been incurred during the present year. No specific provision has been made for cash gifts to H.M. Government as these will depend on the financial position during the course of the year, but I venture to submit that in meeting from its own resources the relatively large local defence programme undertaken under Your Excellency's direction this Colony has made a definite contribution to the defence of the Empire.
Regarding social services, it is my firm belief that economic development must precede and be the basis of social welfare and these draft estimates include provision for a Fisheries Research Station, and an Experimental Agricultural Station in the New Territories. Provision for the building of the Fisheries Research Station was included in the printed estimates for the current year when it was anticipated that the cost would be met by a grant from the Colonial Development Fund. During the year a nucleus staff has been engaged with the approval of this Council and it is now proposed
to erect the building itself next year from Colonial funds. These schemes should not only improve the nutrition of the population of Hong Kong but help to make the Colony more self-supporting in the matter of food supplies. The draft estimates also include provision for the daily collection of nightsoil from the tenements in the urban area by labour directly employed by the Sanitary Department, in place of the present system under which the nightsoil is removed by free- lance coolies employed by the householders. This scheme is sponsored by the Urban Council and strongly recommended by my Honourable friend the Director of Medical Services, who is Government's adviser in health matters. The Urban Council has suggested, and Govern- ment favours the suggestion, that the additional annual expenditure of between 4 and 5 lakhs should be met by an increase of one per cent. on the rates. The existing unsatisfactory arrangements are estimated to cost householders half a million dollars annually, and the proposal will relieve those concerned of that expenditure and spread it over the community generally, which seems only fair in so far as the sewers provided for those whose tenements have flush systems have been paid for likewise from taxation by the community as a whole. Provision has also been made for an Infectious Diseases Hospital, and a new Public Mortuary and Disinfecting Station, Kowloon, for a new block for the Central Police Station and now
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