XN000022-1977-03-02 — Page 22

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WEDNESDAY, MARCH 2, 1977

ANOTHER 20 PER CENT OF TOTAL EXPENDITURE OR $1,670 MILLION WILL BE SPENT ON IMPROVING AND DEVELOPING THOSE SERVICES AND WORKS SO ESSENTIAL TO THE ORDINARY LIFE OF THE COMMUNITY SUCH AS WATER SUPPLIES, VARIOUS CIVIL ENGINEERING WORKS, FIRE SERVICES, ROADS AND TRANSPORT FACILITIES. THIS IS 16 PER CENT MORE THAN WE SHALL SPEND THIS YEAR.

AN AREA OF INTEREST TO US ALL IS LAW AND ORDER. HERE WE SHALL BE SPENDING NEXT YEAR NEARLY $1,000 MILLION OR NEARLY 12 PER CENT OF THE TOTAL BUDGET. THIS IS 20 PER CENT MORE THAN WE SHALL HAVE SPENT THIS YEAR. AMONG OTHER THINGS, THIS INCREASE WILL ENABLE US TO EXPAND THE POLICE FORCE BY 1,400 MEN AND WOMEN AND MAINTAIN THE FORCE AT OR NEAR FULL STRENGTH. THE GOVERNMENT IS DETERMINED TO CONTINUE THE FIGHT AGAINST VIOLENT CRIME.

THE REVENUE ESTIMATES SHOW THAT WE SHALL BE COLLECTING ABOUT $170 MILLION MORE THAN WE SHALL NEED TO FINANCE THESE VAST EXPENDITURE PROGRAMMES. AND I SAY VAST BECAUSE LET US NOT FORGET THAT IN THE LAST YEAR OF THE 1960S WE SPENT A MERE ONE QUARTER OF WHAT WE ARE PLANNING TO SPEND IN THE COMING YEAR. BUT, GIVEN THE SATISFACTORY STATE OF OUR RESERVES, I PROPOSED THIS AFTERNOON THAT WE SHOULD FOREGO ABOUT $130 MILLION WORTH OF NEXT YEAR'S REVENUE IN ORDER TO IMPLEMENT CERTAIN TAX CONCESSIONS AND REFORMS.

IN THE FIRST PLACE, I PROPOSED A RELIEF RATEPAYERS WHO, DESPITE THE REDUCTION IN THE FROM 18 PER CENT TO 11-1/2 PER CENT, WILL BE SUBSTANTIAL INCREASE IN RATES BECAUSE OF THE RATEABLE VALUES.

I

SCHEME FOR TOTAL CHARGE FACED WITH A INCREASE IN

SECONDLY, PROPOSED IMPROVED BASIC PERSONAL ALLOWANCES AND CHILD ALLOWANCES FOR SALARIES AND PERSONAL ASSESSMENT TAXPAYERS. THE EFFECT WILL BE TO REMOVE 60,000 TAXPAYERS FROM THE TAX NET AND ANOTHER 150,000 MAINLY AT THE LOWER END OF THE TAX RANGE WILL ENJOY SOME BENEFIT. THOSE TAXPAYERS ON ABOUT 3,000 DOLLARS A MONTH WILL ENJOY THE GREATEST BENEFIT.

THIRDLY, I PROPOSED THAT THE MINIMUM SIZE OF ESTATE LIABLE TO ESTATE DUTY SHOULD BE RAISED FROM $300,000 TO $400,000.

AND, FINALLY, I PROPOSED THAT CONCESSIONARY RATES OF STAMP DUTY SHOULD APPLY TO MORE PROPERTIES THUS FURTHER ENCOURAGING PEOPLE IN THE LOWER INCOME RANGES TO ACQUIRE THE IR OWN HOMES.

SO THERE IT IS: THAT IS THE BUDGET FOR THE COMING YEAR. I BELIEVE IT WILL ENABLE US TO PROCEED WITH OUR PROGRAMMES WITH ALL DUE SPEED WHILE, AT THE SAME TIME, PROVIDING CERTAIN TAXPAYERS WITH A MEASURE OF RELIEF. I BELIEVE ALSO THE BUDGET IN NO WAY PUTS AT RISK AND, INDEED, WILL HELP TO SECURE THE GROWTH RATE OF OUR ECONOMY IN 1977 AND IT IS THE GOVERNMENT'S HOPE THAT THE BENEFITS OF OUR PROSPERITY WILL BE WIDELY ENJOYED.

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