6 AUGUST 1921, Page 2

Inthe House of Commons on•Friday, July 29th, the Chancellor of

the Exchequer spoke on the financial situation. Mr. Mosley moved for a fresh statement of the financial positiOn, 'pointing out that the surplus of £80,000,000 estimated by Mr. Chamberlain had vanished into thin air. Sir Donald Maclean declared that the Budget " lay in ruins at the feet of the Chancellor of the Exchequer." He was staggered by -the facts. The salaries paid to Government staffs, excluding industrial employees, amounted to over •E100;000,000- a year. Little or nothing had been done in response to the Prime Minister's famous circular requiring a speedy reduction of -the Departments.