XN000022-1984-04-25 — Page 6

WEDNESDAY, APRIL 25, 1984

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HE EXPLAINED THAT ONCE THE EXECUTIVE COUNCIL HAD APPROVED IT, THE ADMINISTRATION WOULD DISCUSS THE PROPOSED AMENDMENT BILL WITH THE WORKING GROUP OF UNOFFICIALS.

+

+HAVING FAIRLY CONSIDERED ALL REPRESENTATIONS, OF WHICH THERE HAVE BEEN SEVERAL, I AM SURE THAT THEY WILL ASSIST THE GOVERNMENT TO ACHIEVE THE DESIRED EFFECTS WITHOUT UNFAIR RETROACTIVITY, DISTORTION OR INEQUITY.

+ IT WILL BE UNUSUAL IF SOME CHANGES FOR THE BETTER ARE NOT AGREED FOR COMMITTEE STAGE AMENDMENT BEFORE FINAL READING,+ SIR JOHN SAID.

ON THE CONTROL OF PUBLIC SECTOR SPENDING, SIR JOHN SAID THAT RECURRENT EXPENDITURE WAS THE MAJOR TARGET.

HE SAID THAT FAIR-MINDED CRITICS WOULD NOTE THE FORECAST DROP OF 1.1 PERCENTAGE POINTS, OR A CUT OF OVER $2.6 BILLION, ON THE RELATIVE SIZE OF THE PUBLIC SECTOR THIS FINANCIAL YEAR.

+OUR LIKELY PUBLIC SECTOR EXPENDITURE THIS FINANCIAL YEAR WILL BE ABOUT 18.3 PER CENT OF GDP. THE AVERAGE FIGURE FOR EEC MEMBERS IN 1982 WAS 50.8 PER CENT, HE POINTED OUT.

ON THE SUGGESTION BY AN UNOFFICIAL MEMBER THAT EXPENDITURE BE CUT TO 15 PER CENT OF GDP, SIR JOHN SAID THAT THIS WOULD REPRESENT A CUT OF MORE THAN $7 BILLION.

THE GOVERNMENT'S TOTAL EXPENDITURE ON EDUCATION WILL BE $7.1 BILLION, ON MEDICAL SERVICES $3.5 BILLION AND ON THE POLICE $2.1 BILLION.

+A CUT OF THE SIZE SUGGESTED, HOWEVER SPREAD, WOULD HAVE TRULY RESOUNDING REPERCUSSIONS, SIR JOHN SAID.

DEFICIT REVISED DOWN TO $3,1 BILLION

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THE FINANCIAL SECRETARY THE HON SIR JOHN BREMRIDGE TODAY REVISED THE OVERALL DEFICIT FOR FISCAL 1983-84 DOWN TO $3.1 BILLION.

IN HIS RECENT BUDGET SPEECH, SIR JOHN HAD GIVEN THE ESTIMATES OF REVENUE AND EXPENDITURE FOR 1983-84 AS $30.3 BILLION AND $33.6 BILLION RESPECTIVELY, THUS PRODUCING A DEFICIT OF $3.3 BILL ION.

TAKING INTO ACCOUNT THE PERFORMANCE OVER THE PAST THREE MONTHS, HE SAID THAT THE LATEST ASSESSMENT OF TOTAL REVENUE WAS SLIGHTLY HIGHER, WHILE TOTAL EXPENDITURE WAS LOWER.

+BECAUSE OF THIS IMPROVED SITUATION, FOLLOWING LAST YEAR'S PATTERN, THE OPPORTUNITY HAS BEEN TAKEN TO TRANSFER A FURTHER $200 MILLION TO THE CAPITAL WORKS RESERVE FUND AND $180 MILLION TO THE DEVELOPMENT LOAN FUND, HE SAID.

STR JOHN