XN000022-1979-03-28 — Page 4

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WEDNESDAY, MARCH 28, 1979

WHILE HE KNEW THAT MUCH IS BEING DONE ABOUT LAND SHORTAGE, WHICH CAUSES MANY OF THE UNDERLYING PROBLEMS OF HONG KONG, HE WONDERED IF THE TARGETS OF NEW LAND PROVISION WERE GENEROUS ENOUGH AND WHETHER THE SPECIAL COMMITTEE ON LAND PRODUCTION WAS SATISFIED.

NEW AIRPORT

MR. BREMRIDGE SAID THE TIMING OF A DECISION ON A NEW AIRPORT IS HIGHLY POLEMICAL AND THERE IS INDICATION FOR +A SPRINKLE OF COLD WATER, WHILE IT IS OBVIOUS THAT A NEW AIRPORT WOULD BENEFIT HOTELS, AIRLINES, THE TOURIST INDUSTRY, AND PRIMA FACJE THE HONG KONG ÉCONOMY, AND WOULD IMPROVE THE ECOLOGY AND AVOID THE CONSEQUENCES OF A CRASH AT KAI TAK, IT WILL HAVE TO BE SET AGAINST THE CLAIMS OF PUBLIC HOUSING, BETTER TRANSPORT, BETTER SCHOOLS AND ABOVE ALL LESS INFLATION CAUSED BY HEAVY GOVERNMENT SPENDING.

FERRY PIERS

MR. BREMRIDGE ASKED WHY THE FERRY PIERS IN ALL CASES WERE PAID FOR BY THE TAXPAYER AND NOT BY THE FERRY COMPANIES. THE COMPANIES COULD HAVE RECOVERED THE COST FAIRLY BY IMAGINATIVE BUILDING OF COMMERCIAL PREMISES OR HIGHER FARES. THERE IS NOW A DISGRACEFUL WASTE AT THE STAR FERRY WHERE HALF OF THE VALUABLE AND EXPENSIVE PIERS ARE LYING EMPTY AND UNUSED.

LUXURY TAXES

IF IT BECOMES NECESSARY TO INCREASE TAXATION OR TO FIND NEW FORMS OF TAX +TO BALANCE FURTHER VERY NECESSARY MIDDLE CLASS BENEFITS,+ MR. BREMRIDGE SUGGESTED THAT THE FINANCIAL SECRETARY CONSIDER FURTHER SUMPTUARY TAXATION.

HE SAID SUCH TAXES ALREADY EXIST FOR WINES, SPIRITS AND TOBACCO BUT SUGGESTED THAT OTHERS, WHICH WILL BE RELATIVELY PAINLESS TO THE VAST MAJORITY OF OUR POPULATION, CAN BE INTRODUCED, ON EXPENSIVE MOTOR CARS, PERFUMES, HOTEL ROOM RATES, JEWELLERY, PRIVATE SWIMMING POOLS, OVERSEAS TRAVEL BY WAY OF INCREASED AIRPORT TAX, AND IMPORTED PLEASURE BOATS.

HE SAID ANOTHER POSSIBILITY WORTH INVESTIGATING, THOUGH REJECTED ELSEWHERE, IS THE TAXATION OF ADVERTISING EXPENDITURE, WHICH SEEMS IDEALLY COUNTER-INFLATIONARY.

STOCK EXCHANGES

MR. BREMRIDGE BELIEVED THAT THE TIME HAS COME TO IMPOSE STRICTER CONDITIONS ON MARGINAL TRANSACTIONS AND SUPPORTED THE GOVERNMENT'S CONTINUED EFFORT TO PRESS FOR ONE UNIFIED STOCK EXCHANGE.

/ED CALLAND