sums of money were allowed to lie idle; and, on the other hand, if the Government were known, as they must be from the Bank Returns, to be large borrowers, the public would think it much against their interest, especially if the money market should be in a sensitive condition. Hon. Gentlemen, he was afraid, scarcely ap

period of the year, and the absence of such payments at others. Of course, in the weekly accounts of the Bank of England, the public would see at certain times a large addition to the item of deposits, and whether those deposits remained in the Bank or were employed to feed the discount market, the result would naturally be to lower the rate of in-preciated the delicate nature of the terest, cause considerable disturbance in the money market, and occasionally to foster undue speculation. When the rate of interest was unduly depressed speculation, as everyone knew, was the result. At another time of the year these funds would be rapidly diminished again, and that might cause a panic, for panics had been caused simply by an abnormal abstraction of money from the Bank at one of those periods of the year in which there was an ordinary drain. In such matters as these the public were very unreasoning, and it was extremely likely that if there were any disturbance in the commercial or political world generally at such a moment the abstraction of money in this way would cause a panic. We could not be too cautious in these matters; and, though the Bank of England would no doubt acquiesce in any arrangement which might be thought necessary to obviate this inconvenience, he thought it would be better if the Committee, before assenting to these Resolutions, were made acquainted with the plan that might be proposed, for the purpose of avoiding what was at once a source of inconvenience and danger.

MR. W. FOWLER said, he agreed in the opinion that considerable danger might arise from the payment of very large sums into the Exchequer at one time, and the total absence of such payments at others. His calculation of what would be paid in the January quarter was somewhat different from that which had been estimated by the right hon. Gentleman. He believed that £8,100,000 would be paid in on account of these particular taxes, instead of £4,000,000, which would be the amount under ordinary circumstances. The result would be that the Government must either have a large sum of money continually lying idle, or they would at particular times of the year be compelled to borrow very largely. It was obvious that a great loss to the Government and a great loss to the nation would accrue if large

money market, or were fully alive to the fact that the abstraction of £1,000,000 had frequently caused the Bank rate to rise 1 per cent. The abstraction of £1,000,000 of bullion had before now gone far to create a panic in Lombard Street, and he perfectly remembered an occasion when the abstraction of £1,000,000 from Scotland had seriously affected the money market. The Chancellor of the Exchequer might, perhaps, say that such a result was inevitable, as it was a necessary part of his scheme. Appreciating that scheme as he did very highly, he still thought with the right hon. Gentleman opposite (Mr. Hunt) that the Committee ought to know something more in detail before they sanctioned the arrangements proposed. No question in the whole of the Budget was, in his opinion, so important. The Bank Returns in the three years after the commercial crisis showed that there were only £7,250,000 of notes unemployed, and of that amount £4,000,000 consisted of reserves of bankers. That state of things was not satisfactory, and anything that threatened to create an oscillation in so sensitive a money market must be attended with danger.

SIR GEORGE JENKINSON said, he had had the advantage of seeing some of his constituents and others in the country since the Chancellor of the Exchequer had made his financial statement, and his attention had been called to the hardship which would result from the compulsory payment of such large sums of money in the course of six months. His constituents had urged that in October they would have to pay half-a-year's assessed taxes, in January a whole year's assessed taxes and income tax, and in the April following they would have to pay a second moiety of the assessed taxes now due. Thus, in the course of six months the public would have to pay two years' taxes. He believed the hardship resulting from this had scarcely been realized. He would suggest as a means of alleviating the

It was of very great interest to merchants in his county to know when the remission of the duty upon corn would take place, and he would suggest-as no drawback would be allowed-that the abolition should take place at the termination of the present financial quarter.

MR. READ said, that two of his alternative suggestions had been adopted in the Budget the repeal of the fire insurance duty and the abolition of that last MR. NORWOOD said, he agreed that rag of Protection-the 1s. duty on corn. there might be great inconvenience to He feared, however, that the benefit to commerce in consequence of the usual the poorer classes had been greatly ex- amount of revenue not going into aggerated. Not half of the £900,000 the coffers of the Bank of England in revenue for corn was paid for wheat and October, and he hoped that the Chanflour, and statistics showed that since Free cellor of the Exchequer would give his Trade the average price of wheat had attention to the matter. It should be not been reduced more than 11, or at all borne in mind that the autumn was a events not more than 12 per cent, and time when there was very often tightness bread not to half that amount, but the in the money market, owing to the invalue of wheat in foreign countries had creased volume of business transactions, advanced fully 20 per cent. When and to the fact that at the end of the he, as an agriculturist, considered the year many persons were anxious to make Budget, he must say that whilst they their balances at their bankers as large caught it in several ways they got no as they possibly could. At the present benefit from it whatever. As to the as- time our money market was in a somesessed taxes, farmers generally employed what delicate position, owing to the a boy in the village as groom; they now Bank of England reserve, and the Gopaid 10s. 6d. tax on this account, and vernment balances being much lower would in future pay 158. Their horses than they ought to be. Allusion had had been hitherto taxed at a less rate been made to the assistance that the than others, but now the farmer, the Bank might render to the right hon. parson, and the doctor were to pay the Gentleman; but he himself had not that same as other people; and, as to four- entire faith in the management of the wheeled carriages drawn by one horse, Bank that some other people had, and he could not understand why there should believed that it would have enough to be an extra 28. added to the £2 tax now do to protect its own position without paid, while a carriage with its pair was assisting the Government. Many in reduced from £3 10s. to two guineas. the City regarded the point to which Whilst the farmers had themselves re- he had referred with very great anxiety, ceived no remission of taxation they and he entreated the Chancellor of the were glad that other interests would re- Exchequer to take it seriously into conceive the benefits which were contem-sideration. As to the abolition of the plated by the right hon. Gentleman. The farmers would have to pay two years' taxes in twelve months, and in January, 1870, soon after they had settled their rent and paid their tradesmen's bills, they would be called on to pay their landlord's property and land tax, and the money would remain out of their pockets for six months or more. Great credit was taken for the fact that 600,000 dogs had been brought under the operation of the new Excise license; but it should be borne in mind that half the dogs in the country were exempt from taxation under the old system. This being so, they must not expect that there would be a very great increase from the transfer of these other taxes from the parish officer to the Excise for collection.

duty on wheat, he found that there was a very general impression that the poor man would get nothing from that reduction, but that the advantage would be shared between the importers, the miller, and others engaged in the trade; and he must say that he concurred in this impression. He could not concur in the remark that the farmers would derive no benefit from the Budget, for he thought that they would get considerable benefit from the taking off the 18. duty on maize. The duty on this article was something like 3 per cent, and therefore it was an important remission. It was of great pecuniary interest to many persons to know when the abolition of the duty would take place, and he believed that the practice had hitherto been that as

soon as a Resolution authorizing the introduction of a Bill for the reduction of a duty was reported to the House, the reduction took effect from that moment. There was this peculiarity about the present Budget that probably three or four weeks would elapse before it was formally sanctioned; and this period would be one of real hardship to those who had large stocks of grain on hand. He would suggest, that if the House confirmed the details of the Budget, those who paid the 18. duty should be repaid as rebate the whole amount _collected from them from the present date. MR. BAZLEY said, he thought that much of the inconvenience which, it had been alleged, attached to the admirable Budget of the Chancellor of the Exchequer would be obviated by the adoption, in respect of some of the assessed taxes, of a system of half-yearly licenses, so that there would be two collections in the course of the year. This would enable the trader to select the article that would suit his purposes during the first half and the second half of the year. As to the income tax, it might be paid by two instalments in April and October.

other articles of that kind. He therefore hoped the Chancellor of the Exchequer would persevere with his scheme, the objections to which were, in his opinion, mere creatures of the imagination.

MR. MAGUIRE said, he must congratulate the right hon. Gentleman on the success of his Budget. At the opening of his speech he regarded it with despondency, but out of darkness there came light, and he must now call the right hon. Gentleman the Professor Anderson of finance. He trusted, however, the Chancellor of the Exchequer would not harshly interfere with those who were engaged in the corn trade. He held in his hand a telegram from one of his own constituents, who was a very large importer, and who represented that unless there was a rebate of duty he would be a very considerable loser. He thought the case worthy of consideration, and the Chancellor of the Exchequer could afford to deal liberally and fairly.

they might know exactly what the Chancellor of the Exchequer meant by them. With regard to servants, he presumed it was not intended to bring under charge those who were only occasionally employed; and as to carriages, waggons and carts had never been charged, only carriages with springs being chargeable. Then, again, "every horse" was charged; were they to conclude that there were to be no exceptions whatever? What number and what classes of horses were to be brought into charge? Many horses worn out for riding or draught were kept for breeding. It would be convenient to know whether all horses were to be charged or not.

MR. BONHAM-CARTER said, he wished to direct attention to the sixth Resolution. There were several small charges made which had never been MR. ALDERMAN LUSK said, the made before, and it was desirable that Budget was universally accepted out-of-these should be pointed out at once, that doors as an excellent one, and the right hon. Gentleman was much complimented on his ability in framing it; and he was therefore astonished that, in that House, one Member after another rose and found something wrong in the Budget, starting grievances which had never before been heard of. With respect to the alleged inconvenience to the money market that might arise from the payment of a large amount of taxes at one time, why, what was the whole amount of the taxes that would be paid at the time indicated-£2,000,000 or £3,000,000— compared to the money transactions in the ordinary course of business? In the Clearing House in one week the transactions amounted to something like £60,000,000, £70,000,000, and £80,000,000. Then, as to the proposed extension of the time for the remission of the corn duty of 18. per quarter, it really was scarcely worthy of consideration. The public would not pay much attention to the matter one way or another, while they would derive great advantage from the corresponding remission of the duty on arrowroot, sago, and

MR. PIM, whose observations were inaudible, was understood to refer to the case of the cab-owners of Dublin.

MR. GOURLEY said, he thought that there ought to be some difference made in the tax charged upon precarious incomes and that upon incomes derived from realized property. The plan of the Chancellor for assessing income when first propounded had quite a magical appearance; but, on going into the matter,

he found they would have to pay fifteen convenient for them to pay the taxes, months' income tax, instead of twelve taking the rich first, because they would months', and not only so, but they would be best able to pay, and the poor afterhave to pay twelve months of it in ad- wards. No doubt it would be very vance. This would take away a large pleasant for some people that their taxes amount of money from tax-payers, and should be collected every day, or twice seriously disturb the ordinary money re- a day; but he was afraid that if such a sources of trade. It would be much course were pursued they would be better to collect the taxes in the usual ruined by the cost of collection. Hon. Members must take this remark as an way. answer to many questions that had been raised. The object is to have a system of licenses and to have it simple. We must make up our minds to be content to charge some a little more and some less for the general great benefit of collecting the taxes in this manner. The same answer I must give to the proposal to take different times of the year to collect the taxes. You must have a different collection, and that would lead to an immense extra expense. The principle I propose is to draw the whole of the taxes within this financial year; and if the House cannot make up its mind to this sacrifice it cannot have the remissions of the Budget. But then it is said that it is a financial evil and mischief to have the whole of the taxes paid in to the fourth quarter of the financial year. It is an evil and a mischief, and I particularly called attention to the matter. In fact, the House will do me the justice to admit that there has hardly been any observation made tonight which I did not anticipate in bringing in the Budget. It is a mischief, and I wish we could have had the benefits at a less price; but we cannot, and the question is whether the House is willing to pay the price. But hon. Gentlemen tell me that by paying a large sum into the Exchequer in one quarter of the year, and less in another, we shall have panics, that we shall derange commerce and frighten the money market. I can only say, with all respect to the money market, that it must take care of itself. If you wish to obtain an object the plan is to fix your eyes steadily upon it, to adopt the necessary means to attain it, and to put aside minor consequences and considerations. If, on the contrary, you wish to fail, you will try to do two things at once-to carry your object and conciliate this interest and the other. My object is at once to carry my Budget and to introduce economy in the collection of the public revenue, so as to make the payment of the taxes contemporaneous

THE CHANCELLOR OF THE EXCHEQUER: I will now, Sir, reply to the questions which have been asked of me, begging hon. Members to excuse me if I should happen to omit any. And first, with regard to Scotland, the hon. Member for Edinburgh (Mr. M‘Laren) wishes to know what is to be done for Scotland in regard to insurances. I cannot definitely answer the question to-night; but the case will be taken into consideration, and I will see that no injustice is done to Scotland. I can give him that assurance. Then the hon. Member for the Ayr Burghs (Mr. Craufurd) asks whether Scotland is included in the Paper delivered to-day. Yes, it is included. Scotland is already in that position which some hon. Gentleman seem to regard with so much terror. In Scotland, the land tax, the house tax, the assessed taxes, the income and property tax are all levied in the month of January; and the object is, as far as possible, to bring this country to the state in which Scotland is at present. I turn to the hon. Member for Huntingdon (Mr. Baring), who brought a charge against me which certainly I did not expect. He says the tendency of every Chancellor of the Exchequer is to rest everything on direct taxes, and especially on the income tax; but, considering that I repeal assessed taxes and the duties on locomotion, which are direct taxes, and take off 1d. of the income tax, when everybody anticipated that 1d. would be put on, I cannot see why he should bring such an accusation against me. Then he lays down a rule, which he says has been grossly violated, that is that it is the duty of the Government to impose taxes at the time most convenient to the people, and that we ought to take the money when we want it, and not sooner. Now, if we were to act on that rule, we should have a public officer who would have to make out a list of the wants of the Government every day, and send messengers to people as to the time when it would be most