Mr. Lloyd George replied at great length to Mr. Boner
Law's criticisms of Liberal finance at a meeting of the City Liberal Club last Saturday. As to the charge that the Government had increased national expenditure by £40,000,000 in six years, he maintained that eleven millions of the alleged increase were due to a more honest method of book-keeping in dealing with local taxation grants and to the payment of loans out of current revenue. According to Mr. Boner Law a large part of tbe increased expenditure had gone in paying new officials. As a matter of fact only ono. thirtieth was due to that cause. The new officials required by the Pensions Act were filled exclusively from the ranks out of those who had passed examinations for the Excise, and none were appointed from outside. For the Labour Exchanges the appointments were made by a committee of three, none of whom belonged to the Liberal Party. The new officials under the Finance Act were all appointed by the Inland Revenue without ever being submitted to the Prime Minister or himself, and in the vast majority of eases were Unionists. As for the Insurance Act the Commissioners appointed were either Civil Servants or persons who by their occupations could take no part in political work. There were only two politicians on the Welsh Commission, and one of them was a Moderate on the London County Council.