21 JANUARY 1922, Page 4

TOPICS OF THE DAY.

THE GENERAL ELECTION. THE danger of the Prime Minister forcing a dissolution on the country is for the present over. Mr. Lloyd George received a very plain-spoken but, as we believe, thoroughly well-justified warning of what would be the consequences of such an act from Sir George Younger. He had another warning, though one put in tenderer tones and also with a good deal more personal sympathy, from Lord Derby. Lord Derby's speech was in form an appeal to a trusted chief, whom he believes to be indispensable, not to take a step which would be injurious to himself as well as to the country. Yet, if one looks at the actual pro- posals of the speech, it was a very strong and serious pronouncement. We propose to take Lord Derby's proposals as to the policy of the Government at the present time point by point, for they are of importance apart from the question of an immediate dissolution. Before we do so, however, we want to say something as to the spirit which should inspire all Unionists, Conservatives, Constitutionalists, Anti-Revolutionaries, and true Democrats—that is, all those who honestly desire that the Will of the People shall be accomplished whatever it may be, and that the nation shall not have forCed upon it certain abstract views which our neo-Jacobins think ought to prevail. The first, the essential object of the present Govern- ment, should be to draw together all those whose aim is the same, though they reach it by so many different ways, to unite them, and to form out of them a homogeneous and permanent Party, pledged to act together and to do all that can be legitimately and honourably required from the loyal members of a political party in order to achieve their purpose. Let no one suppose that by this we mean a new and larger Coalition. We mean nothing of the knd. The Coalition, like other Coalitions, has been found wanting, and wanting for the very reason that it is not a true and homogeneous Party. It is rather a fortuitous concourse of political atoms. It is not, as it ought to be, united by a sense of loyalty to a particular set of principles, and to all its members, and advised and led by a chief who is inspired by the views that inspire his party, and who is as loyal to his followers and supporters as to his country. We have got to lay our foundations strongly and truly, and make a new Party just as Peel in fact, though not in name, had to make a new Party when the old Tory Party was hopelessly broken up by the blood- less and necessary revolution caused by the great Reform Bill. But if this new Party, like so many new things in this world, is in reality only a new phase of the old, its foundation must be the existing Unionist Party. That is the largest section of those forces the unification of which we have named as essential. It holds the field and has got an organization, sound and thoroughly Demo- cratic in character, which stretches throughout the country. It has also in Sir George Younger a very capable adminis- trator. In a word, the prime object in the creation of the new structure to be raised on the old foundations must be unification. By this means we can achieve not merely co-operation, but incorporation, the quality that makes a homogeneous body, and not merely a piece of patchwork. Let us proceed to test Lord Derby's appeal with this condition in our minds.

1. The first point in Lord Derby's appeal is that the General Election shall be postponed. That, of course, is essential. If Mr. Lloyd George forced an election against the will of his colleagues and of the great majority of the Unionist Party one of two things must happen. Either he would be beaten, which would be almost a certainty con- sidering the bitterness and confusion which must occur in the constituencies—remember, it would be a split within the Party as well as a split between the two sections of Coalitionists—or else he would just win, which would mean that he had achieved a personal triumph over his Unionist colleagues and their Party organization, and so had sacrificed the life and power of the Party to his personal ambition. From such a momentary triumph, if it occurred, though we feel sure it would not occur, de reaction would be certain, and it would be as damaging to Mr. Lloyd George's career as to the dearest interests of the nation. Mr. Lloyd George would have gained a personal, and therefore neces- sarily ephemeral and temporary, success at the price of the destruction of the largest and most efficient anti- revolutionary, and stabilizing influence in the country—an influence at this moment urgently demanded by the voice of the Majority.

2. Lord Derby's next point is that, instead of a General Election, there should be a vote of confidence by the House of Commons directly given in order to enable the Government to finish its programme. Here we agree. We should rejoice in such a vote of confidence, which would not only be a very proper laying of the foundation-stone of what we will call once more the old Constitutional Party made new, but would show, the moment the votes were analysed, how mad it would be to strike down the Unionist Party in a paroxysm of hurry, excitement and ill-inspired political panic. 3. The third point of Lord Derby's programme need not detain us. It is the passing of legislation intended to give effect to the Irish Settlement. That, of course, is now only a formal matter.. Any and every Parliament is practically bound in honour to carry out what, for right or wrong, was the decision embodied in the " Treaty " with the Sinn Feiners. If Sir James Craig himself were to become Prime Minister to-morrow he would have to carry through this necessary legislation.

4. Another item of Lord Derby's illustrative programme is essential, and must be carried out before a dissolution : that is, fixing upon a definite. scheme of retrenchment and economy, and, what is more, putting it into effect. The cutting of our fiscal coat according to our cloth is an Execu- tive matter, and one about which the country primarily expects to be advised by those whom it has appointed as its trustees. No Government can properly ask the country to what extent it would like to be taxed, or whether it would prefer that this or that apparently essential expenditure should be maintained. The Government must make up its mind to take the responsibility of saying what is the amount of taxation which the country can bear without being destroyed, and then must take the further responsi- bility of allotting the money ; of saying what things it is safest to do without—things which very likely in them- selves seem essential. If you have got to lighten a ship in a storm you must throw away things for keeping which a very good- case could be made out. It might be said it would be madness to sacrifice them. If, however, you start with the idea that some things have got to be thrown out, and that, compared with other essentials, these are less essential, the jettisoning can be done. But the nation must look to its Government to tell it what exactly are the things to go—in what cases it is necessary to run certain risks through jettisoning. As part of this policy of retrenchment and economic reform, we desire to make a parenthetical appeal to the Government. One of the first things they should take up is the reform and reconstruction of the Income-tax and Super-tax and other direct taxes. We do not suppose that it will be possible to reduce very greatly the amount which the well-to-do will have to pay, but we do think it essential that the form should be altered so that it can be made clear to the poorer part of the population what is the exact amount of the sacrifice which the aforesaid well-to-do are required to make. At present, owing to our policy of " Muddle and Carry On," the direct contri- bution of the well-to-do is concealed under three or four heads. There is not only the Income-tax itself, but there is the Super-tax, there is the Corporation Tax, there is the Inhabited House Duty, and there are the Licence Taxes—those strange anomalies which in effect dictate to a man how he shall spend his money. They say to him, " If you will not spend your money in the use of armorial bearings, or men servants, or carriages, or motor-cars, we can let you off more cheaply. It will be cheaper for you to spend your money, for example, on diamonds, pictures, Chinese porcelain, Sevres ware, or Japanese bronzes. We shall fine you £1 a year for keeping a four-wheel pony carriage, another £1 for a man to look after it and the pony, and £23 a year for keeping a Ford i car. No, there is no charge for keeping a female chef at. £150 or even £300 a year, or for a lady's maid and private dressmaker at similar wages." What we desire is that all these taxes on the well-to-do should be consolidated so that it can be made apparent that the rich man is paying, as he often does pay, over twelve shillings or thirteen shillings in the pound of his income to the Government, and retaining only seven shillings for himself. We make no complaint. We do not suggest that to tax thus is a crime, an injustice, or an act of cruelty. We are well aware of the menacing and persistent necessities of the nation. All we say is that the country should have the facts made clear to it. Instead, we give the impression that the tax on people's incomes is only six shillings in the pound as a maximum. " The rich man ought to be jolly glad with so moderate an Income- tax " is the feeling raised in the minds of a great many handworkers, and they proceed to ask why the Income-tax is not higher, and to feel a grievance that it is not. When, however, they are given the actual facts, we are sure that they will realize that as many feathers have already been plucked out of the goose as can be plucked without actually destroying the bird which is now laying a large supply of depreciated paper eggs. 5. The next point in Lord Derby's political programme is the reform of the House of Lords. That is a matter on which we are afraid we shall not convert the Unionist Party ; but, all the same, we feel certain that the future will justify what we are going to say. It is this. Instead of tinkering with the House of Lords—a most able and useful body which is growing rapidly in the confidence of the country—let us make the Referendum, or Poll of the People, an essential part of our programme. Let us use it as a veto to curb, if necessary, the extravagances and futilities of some future House of Commons con- trolled by a weak Government in the hands of a series of log-rolling groups. Let us have in the Constitution an appeal to the Majority in the case of doubtful legislation and thus prevent the passage of Minority laws. This is the real danger before us. We do not fear the carrying out of the true Will of the Majority, for its decisions demand an acquiescence such as is demanded by the working of natural laws. What we do fear, and indeed regard with loathing, is being forced by the power of an Executive sustained by an organized system of political chicanery to acquiesce in the Will of the Minority.

6. It is only when we come to the last item of Lord Derby's proposals that we find ourselves in active disagree- ment with him. He proposes that the question of the future relations of Coalition Unionists and Liberals should be postponed. In our opinion, that is a most dangerous suggestion. Instead of postponing the consideration and realignment of these relations, we ought to face frankly that amalgamation of diverse elements the foundation- stone of which should be the Unionist Party. That is essential before the next appeal to the people. If we go to the country as a mixed mob, and without the confidence which can alone be created by the sense of homogeneity, we shall be beaten. If we appeal to the country as a homogeneous political entity, which the country can recog- nize and understand, and present also a clear programme we have not the slightest doubt as to the result. Surely Mr. Lloyd George, with his great experience and his extraordinary keenness of political vision, at short range, if not always at long range, will see the truth of these statements. Surely he will see also that his own interests will be best served by securing for himself the support of such a homogeneous party as we have described. What he has never had throughout his life and therefore may not perhaps fully understand, but what we feel sure he would find confers a strong sense of stability in troublous times, is a homogeneous party behind him—a party with full confidence in its chief. The way to inspire this confidence is to refuse to force an election at the present moment and to prepare and maintain that amalgamation of forces which we have suggested. Here is Mr. Lloyd George's chance. Here is the test.