A FIVE-YEAR COMPARISON.
It is not only natural but fitting that Mr. Churchill in presenting his pre-election Budget should have reviewed the general course of finance during the present Admini- stration and should have compared to-day's position .with that of a twelve-month ago. At the same time, it must be confessed, from the taxpayer's point of view, the comparison is not a very impressive one. According to a White Paper accompanying the Budget, Expenditure for 1929-80 as compared with five years previously shows a decrease of £15,782,000. This, at first sight, is thoroughly satisfactory, but it has to be viewed in the light of the fact that in War Pensions alone there was a reduction of nearly £16,000,000 and outlays for Local Services, including HouSing, Old Age Pensions, Beet Sugar Subsidy and the like, show a material increase over the five-year period. The biggest decline during the five years has been one of about £7,500,000 under the head of Imperial Defence. A further point, however, which must not be forgotten in considering any comparison of current Expenditure with that of five years ago, is the decline which has taken place in_ the price level. Mr. Churchill made much of this point when emphasizing the reduction in the cost of living, but he appeared to forget it when dealing with the five-7-year comparison of Expenditure.
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