In the Commons on Monday the Chancellor of the Ex-
chequer made a statement as to the raising of the money required for the supplementary estimates. The previous borrowings by Treasury bills and the war loan had amounted to 237,550,000. But the deficit had only been 236,423,000. so he had 21,127,000 over in respect of this transaction. But the supplementary estimates required for South Africa 28,500,000, for China 23,000,000, for Ashanti £200,000, and for extra naval expenditure £l.250000.—in all 213,000,000. He had to meet this the 21,130,000 just named, and an unexhausted right in the borrowing already sanctioned of 25,000,000. Therefore, strictly speaking, he only required about 27,000,000 more. He should, however, ask for power to borrow another 213,000,000, and also ask to have a free hand in regard to the placing of the loan. The loan would be earmarked as a temporary loan, so that the duty of the Chancellor of the Exchequer in the matter of redemption should be automatically pointed out to him. The proposal seems to us a perfectly soand one. It is far better than rushing into new taxation in a hurry. Next year the whole financial situation can be reviewed, and. the incidence of the war expenditure finally decided.
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