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Commons Chamber

Volume 184: debated on Thursday 11 June 1925

House of Commons

Thursday, June 11, 1925

The House met at a Quarter before Three of the Clock, Mr. SPEAKER in the Chair

Private Business

PRIVATE BILLS [ Lords ] (Standing Orders not previously inquired into complied with),

Mr. SPEAKER laid upon the Table Report from one of the Examiners of Petitions for Private Bills, That, in the case of the following Bills, originating in the Lords, and referred on the First Reading thereof, the Standing Orders not previously inquired into, which are applicable thereto, have been complied with, namely:

Uckfield Gas and Electricity Bill [ Lords ],

Great Yarmouth Haven Bridge Bill [ Lords ].

Leek Urban District Council Water Bill [ Lords ].

Sheffield Corporation Bill [ Lords ].

Oldham Corporation Bill [ Lords ].

Surrey County Council Bill [ Lords ].

Nottingham Corporation Bill [ Lords ].

Blackpool Improvement Bill [ Lords ].

Pontypridd and Rhondda Joint Water Board Bill [ Lords ].

Bills to be read a Second time.

PROVISIONAL ORDER BILLS [ Lords ] (Standing Orders applicable thereto complied with),

Mr. SPEAKER laid upon the Table Report from one of the Examiners of Petitions for Private Bills, That, in the case of the following Bill, brought from the Lords and referred on the First Reading thereof, the Standing Orders which are applicable thereto have been complied with, namely:

Ministry of Health Provisional Orders Confirmation (No. 2) Bill [ Lords ].

Bill to be read a Second time To-morrow.

London and North Eastern Railway (General Powers) Bill [ Lords ] (by Order),

London County Council [Money] Bill (by Order),

Second Reading deferred till Tomorrow.

Vivisection

I beg to present a humble petition to this honourable House from 1,606 residents in the district of Brighton and Hove, which I am presenting by leave of my right hon. and gallant Friend the Member for Brighton (Major Tryon), praying that the cruel practice of vivisection be prohibited by law.

Oral Answers to Questions

Naval and Military Pensions and Grants

Disablement Pensions

asked the Minister of Pensions whether it is intended to reduce all War pensions by 10 per cent. as from the beginning of April, 1926?

asked the Minister of Pensions whether, in view of the apprehension in the minds of many pensioners that their pensions are to be decreased by 10 per cent. in 1926, he can say what are the intentions of the Government in this matter?

asked the Minister of Pensions whether the Government have come to any decision on the matter as to whether War pensions are to be reduced in 1926; and, if not, will they make a statement as soon as possible in order Eat the anxiety of pensioners may be allayed?

asked the Minister of Pensions whether it is the intention of his Department to appoint a Committee to investigate the present scale of pensions and allowances in the light of a supposed fall in the cost of living; will he state what are the intentions of the Government in this matter; and whether it is intended in April next to review or reconsider the scale of pensions and allowances in any way whatever?

asked the Minister of Pensions what he intends to do with regard to the revision of the flat-rate disability pension in April next year?

asked the Prime Minister whether he proposes to introduce a new Warrant repealing the Clause in the Royal Warrant for 1919 which provides for the reduction of war pensions to 20 per cent. above the rates authorised in the Royal Warrant for 1918?

Under Article 24 of the Royal Pension Warrant of 1919 (which followed the recommendations of the Select Committee of this House on War Pensions), the increased rates of pension then given were required to be varied in accordance with the cost of living.

If that Article were allowed to operate a considerable reduction in rates (amounting to 16 per cent. and involving an annual saving of 6½ millions) would fall to be made next April. The Government have, however, decided that under present conditions no reduction in the rates of any disablement pensions and allowances for officers, men, widows and dependants should be made next year.

The statement that a reduction of 10 per cent. had been decided upon or contemplated by the Government is a fabrication. Neither this nor any other reduction of these rates had ever been the intention of the Government.

Has the right hon. Gentleman any knowledge as to where the rumour which has caused so much anxiety originated?

I think it is quite clear from the article in the "Daily Herald" that this rumour is closely connected with the present by-elections. I very much regret that an article should have been printed causing grave anxiety in hundreds of homes and among thousands of the sick and disabled of the Great War, and based on a statement which is absolutely untrue.

Can the right hon. Gentleman tell us up to what date the present rates will be continued?

Perhaps the hon. Member will wait for my answer. it would be more courteous. I am in entire agreement with the late Government, that it is not a matter which can be settled at an early date, when we are dealing with the question as to whether the settlement should be for a term of year3 or for good. It is the intention of the Government, at a suitable time, to secure the permanent stabilisation of pensions. Whether the settlement now should be for a term of years or for good, is a matter which the Government will go into with the greatest care, safeguarding the interests of ex-service men.

Arising out of the right hon-Gentleman's first reply, in which he undertook that no reduction would be made next year, is he in a position to assure the ex-service men and their dependants that no reduction will be made the year after?

I am in a position to assure the House and the country that the statements circulated in the country are absolutely false.

Is the right hon. Gentleman aware that there is no necessity for this 10 per cent. reduction, since they are reducing pensions at the rate of 100 per cent. all over the country?

The statement made by the hon. Member is absolutely untrue. [HON. MEMBERS: "Withdraw!"]

We were all delighted to hear the original answer of the right hon. Gentleman. Does he not think that when the Debate took place a little more than a fortnight ago, his distinct refusal to say anything upon that question, when I put a question to him just before he finished, was a direct incitement to make statements to lead people to believe that there was such an intention?

I cannot admit that the fact that I did not announce the decision of the Government in that Debate is any justification for the circulation of a statement broadcast all over the country which is absolutely untrue.

My reason for the actual wording that I adopted in saying that I "cannot anticipate the decision of the Government" was the wording adopted in a reply given by the late Government on the same subject.

Motor Traffic

Charges of Drunkenness

asked the Home Secretary whether his attention has been drawn to a police regulation which does not permit of a person in custody on a charge of being drunk whilst in charge of a motor car being examined by a doctor called by any person other than the person so charged; is he aware that in the case of the Commissioner of Police v. Maloney, heard before Mr. St. John Morrow, at the West Ham Police Court dm the 13th May, attention to this matter was drawn by the learned magistrate; and whether the regulations now in force will be so amended as to allow a person charged to be examined under such circumstances by a duly qualified medical practitioner, if so desired by the friends or relatives of such person?

I understand that the regulations were framed in their existing form after very careful consideration, but I am looking into the whole question in the light of the particular case to which the hon. and gallant Member has been good enough to call my attention.

Is the right hon. Gentleman aware that sometimes it is almost impossible for a man so charged to call his own doctor? Will he give facilities to any friends of the man so charged to call in an independent doctor?

That is putting the question again in another form. I have said that I will look into the matter in the light of the particular case which the hon. Member has been good enough to put to me.

Reckless and Inefficient Driving

asked the Home Secretary whether he has had brought to his notice the great number of motoring accidents during the recent holidays; and whether he will consider taking special steps, and asking for increased legal powers if necessary, for the purpose of checking reckless or inefficient driving and safeguarding the general public from danger?

I have seen reports in the Press of several accidents. The Criminal Justice Bill, which is now before the House, contains a Clause increasing the penalty to which a motorist is liable if he drives recklessly or negligently or at a speed or in a manner which is dangerous to the public.

Is the right hon. Gentleman satisfied that the present powers enable him to deal with the great increase in motor oars every week, many of them driven by incompetent or reckless people.

Is the right hon. Gentleman satisfied that his present powers are sufficient to enable him to overlook the brakes, particularly of the bigger type of motor cars, and see whether they are in order?

The law already requires all cars to be fitted with efficient brakes; but it would not be practicable for the police to inspect brakes on private cars. The only cars with which they can deal in this way are cars licensed for the public service, such as cabs and omnibuses. In reply to the question of the hon. Member opposite, all I can say is that I am claiming further powers under the Bill, but I cannot say how that Bill will come through.

Is the right hon. Gentleman aware that there is not proper police control on the Great North Road, especially near Finchley, where there have been many serious and painful accidents?

Will the right hon. Gentleman ask for the necessary powers in regard to brakes on private cars?

I should need the assurance of the hon. and gallant Gentleman that he would be prepared to give me the powers without much discussion.

In view of the terrible accident which happened yesterday in Yorkshire, which was undoubtedly caused by defective brakes, will the right hon. Gentleman look into this matter with a view to preventing these terrible accidents in the case of the great big motors?

I will reconsider the matter carefully, and ask the police to give me their views as to whether there are any further powers which could be usefully asked for in this House consistently with public business.

Cross and Main Roads

asked the Minister of Transport whether his attention has been drawn to the large increase in the number of fatal motoring accidents on cross roads recently; and whether, seeing that this is in some measure due to the fact that users of side roads entering or crossing main roads have equal rights with users of main roads, he will consider the advisability of introducing legislation at an early date defining main roads, and placing the onus of responsibility for accident ts of this character on the drivers of the vehicles emerging from smaller roads on to the larger ones?

I am aware that recently there has been a number of fatal accidents at cross roads. The suggestion made by my hon. and gallant Friend has from time to time been considered by my Department. There are serious practical difficulties in giving effect to it, and in view of the tendency it would have to encourage a high rate of speed on the part of vehicles travelling on the main roads I am not convinced that it would necessarily reduce the number of accidents. The matter is, however, again under consideration in connection with proposed legislation, and I would remind my hon. Friend that the Roads Improvement Bill now awaiting Report stage contains provisions for the improvement of blind corners.

Can the right hon. Gentleman give us some examples of the practical difficulties?

Is it not the policy of the Minister to impress on all motorists approaching cross roads the necessity of driving with extreme caution?

Is such a law as this not in operation in the United States of America?

Drivers (Test Examination)

asked the Minister of Transport whether he is aware that, under the existing system, licences to drive motorcars have been issued to the blind, the deaf, and to those so accustomed to the rule of the road in France that they are inevitably dangerous here if driving when tired or distracted; and whether he will legislate so as to make some test or examination periodically necessary in the case of new licences?

As I have already stated on previous occasions, I am disposed to agree with the conclusion arrived at by the Departmental Committee on the Taxation and Regulation of Road Vehicles, as stated in their Second Interim Report, that any advantages which at first sight might appear likely to result from the institution of tests on the lines indicated, would be outweighed by the expense, difficulties and disadvantages inseparable from any such system.

Woollen Industry (Beam and Warp Lifting)

asked the Home Secretary whether he is aware that the National Wool (and Allied) Textile Industrial Council set up, at the instance of the Home Office, a joint sub-committee of employés and employers to advise as to the manner by which the risks attendant on the lifting of heavy beams and warps in the woollen cloth finishing trade could be minimised, and that two years have elapsed since this committee reported their agreement that suitable mechanical appliances should be installed for the use in all processes of woollen cloth manufacture necessitating the lifting of heavy materials and that 150 lbs. be recognised as the maximum weight to be lifted by an adult male by hand; and when will the Home Office give legal sanction to the agreed proposals by the issue of an appropriate Order?

Yes, Sir; but the original recommendation dealt only with the weights to be lifted by adult males, and at the request of the Home Office the investigation was extended to cover the weights to be lifted by women and young persons. It has now been completed, and Regulations under the Factory and Workshop Act embodying the recommendations have been issued in draft and will, I hope, be made shortly. I am sending the hon. Member a copy.

Will the right hon. Gentleman say what he means by "shortly"? Does he expect it in a month or two?

I hope within a month it will be issued in draft. I will send a copy at once to the hon. Member.

Will the right hon. Gentleman tell us whether the number of women and young persons engaged in dealing with warps and warp lifting is pretty numerous?

Hudson Memorial, Hyde Park

asked the Home Secretary whether the late Mr. Hudson, in whose honour a memorial has recently been put up in Hyde Park, was a British subject; and, if so, whether by birth or naturalisation?

The late Mr. Hudson was a British subject in virtue of the grant to him of a certificate of naturalisation in 1900.

Aliens

Russian Nationals

asked the Home Secretary whether, seeing that there are a number of persons at present in this country of Russian nationality whom it is wished to deport owing to their undesirable character and seditious activities here, and to whom the Soviet Government refuse permission to land in Russia, he will state what further action will be taken to get rid of these undesirables who are enabled to keep in touch with Russian revolutionary organisation through the agency of members of the Russian trade delegations?

An alien cannot be deported from the United Kingdom except to a country of which he is recognised as a national. Where the removal of an alien, whether Russian or otherwise, has proved impracticable owing to the impossibility of obtaining such national recognition, all necessary steps are taken, e.g., by the imposition of special restrictions, to ensure effective supervision of his activities so long as he remains in the country.

Can the right hon. Gentleman get into touch with the Foreign Office and see whether they can bring pressure to bear in order that these undesirable Russian nationals should not be dumped here, but should go back to their own country?

We have constantly made efforts to get the Russian Government to accept some of their nationals back, but I am afraid they do not want them back.

Will the right hon. Gentleman get into touch with the Foreign Office and see whether they will assist his Department in this matter?

I am not only in touch with the Foreign Office, but they are already assisting.

Deportation Orders

asked the Home Secretary whether, in view of the fact that it is left to the discretion of a Magistrate to order the deportation of an alien who has been duly convicted of an offence under the laws of this country, and in view of the widespread feeling prevailing that when an alien has been so convicted he should be forthwith deported, he will introduce legislation to the end that such alien or aliens shall on conviction be automatically expelled the country?

A Magistrate has no power to order deportation; he can only recommend to the Secretary of State. In my view, the existing system is working well, and many undesirable aliens are being deported.

Ruffianism

asked the Home Secretary whether his attention has been called to the increasing number of conflicts between opposing gangs of men in various parts of the country; whether he can state what causes are known to the police for the conflicts other than those associated with betting or gambling; in how many cases during the last five years the conflicts have had fatal results; in how many cases Police Court proceedings have taken place on the initiative of the police, and in how many cases on the initiative of members of the gangs; and what steps he is taking to bring to an end this growing menace?

To collect the detailed information for which the hon. Member asks would be a lengthy and difficult business, but I may say generally that, in spite of certain notorious cases, I do not feel by any means sure that ruffianism of the type to which the hon. Member refers has increased, and I have no reason to doubt that the ordinary machinery of the law is sufficient to cope with it.

School Buildings (Cost)

asked the President of the Board of Education the total expenditure on school buildings by local authorities for each year since 1905, and what propor- tion of this expenditure has been borne each year out of national funds?

I am afraid that the material for a complete answer to this question is not available. The hon. Member will, however, find a detailed statement of the capital expenditure incurred by local authoririties over a series of years on pages 11 and 12 of the Memorandum on the Board's Estimates, 1925–26 [Cmd. 2386], a copy of which I am sending him. Until 1919 the Board did not make grants to local authorities in aid of school buildings; since 1919 the loan charges, together with such capital expenditure as is charged to revenue account, have ranked for the Board's grants which are based on expenditure, at the rate of 50 per cent. for higher education and at the rate of 20 per cent. for elementary education.

Housing

Direct Labour

asked the Minister of Health how many schemes for the building of State-assisted houses by means of direct labour have been sanctioned by his Department; whether the results derived have been satisfactory; and, if so, is he prepared to encourage the extension of this method of providing houses?

Up to the 1st May last 58 local authorities had undertaken work by direct labour on schemes approved under the Housing Acts of 1923 and 1924. I regret that I have not sufficient data to enable me to say whether the results of direct labour schemes have in all oases been satisfactory. A fair comparison between the costs of houses built by this method and houses erected by contract can only be made if all the conditions such as time, place and type of house are precisely similar. As I have previously informed the hon. Member, I am quite prepared to authorise local authorities to undertake building by direct labour if satisfied that the authority can make efficient arrangements for the supervision of the work, and that the method is likely to prove financially advantageous to the ratepayers.

How much more data does the right hon. Gentleman require, and how much longer time must elapse before his Department can express an opinion as to the efficacy of building by-direct labour?

We shall have to wait until we have sufficient data. When that will be I cannot say.

Is the right hon. Gentleman aware that these schemes have been in operation for over two years, and has he not got sufficient data to give a report on the first year's working?

The right hon. Gentleman says that he has not, and the hon. Member is only repeating the question.

Houses Completed

asked the Minister of Health whether he can state for the last convenient date how many houses have been completed under the 1923 and 1924 Housing Acts, respectively?

On the 1st May last, the latest date for which figures were available, the number of houses completed in connection with schemes under the Housing Acts of 1923 and 1924 were 76,809 and 3,259 respectively.

Have any of these houses which have been completed been built under direct labour?

Telford and Atholl Houses

asked the Minister of Health the names of the local authorities which have obtained approval from his Department to erect Telford and Atholl houses, respectively, and the average price in each case for non-parlour and parlour houses?

Apart from the demonstration houses, approval has been given for the erection of Telford houses as follows: So far as I am aware, the only Atholl houses at present being erected by local authorities in England and Wales are for demonstration purposes. These are non-parlour houses and the price is £450 per house, including foundations and all work inside the foundations, but excluding paths, drains and fences.

In the case of the Telford houses are trade union prices paid? Has any agreement been come to with the trade unions?

Will the right hon. Gentleman give the comparison between the Telford house and the brick house of the non-parlour type?

I must have notice of the last question. There is no dispute about trade union rates or conditions in the case of the Telford houses.

Sub-Tenants (Excessive Rents)

asked the Minister of Health what steps the Government are taking for dealing with cases of profiteering by tenants who, protected themselves by the Rent Restriction Acts, exact exorbitant rents from sub-tenants?

Where subtenants of houses to which the Rent Acts apply are charged excessive rents, they can apply to the Courts, to have the proper rent determined, but as has already been stated, I have been in communication with the Law Officers of the Crown with a view to action in suitable cases by the Public Prosecutor, and County Court Judges have been asked to bring to his notice any cases which come before them in which the penal provisions of the Rent Acts are being infringed.

Does that answer mean that the Penal Clause is to be put into operation, in order that sub-tenants who are frightened to take action may be protected?

Yes, Sir. If we can find a case in which we have sufficient evidence to warrant a prosecution, that prosecution will take place.

Poor Law Institutions

Tasks

asked the Minister of Health what is the reason for keeping up, and in some cases- ing, the oakum task, in extending the stone-pounding task to all unions, and in increasing in some cases the stone-pounding task; and whether he will suspend the stone-pounding task?

With regard to oakum picking, I have stated that I propose to indicate to boards of guardians that this task should not in future be imposed. The recent Consolidating Order included stone-pounding as one of the alternative tasks in view of the fact that a large number of unions already had authority to use it. The order brings the task for one night into the same relation to that for two nights as is laid down in the Order of 1882 for the time to be occupied in the task. I do not propose to limit the discretion of boards of guardians in regard to the use of stone-pounding as an alternative task.

Has the right hon. Gentleman compared the task set to prisoners in our prisons, felons and others, with that set to poor people, who are homeless, inside the workhouse?

The hon. Member seems to think that the task set in these cases is a penalty. It is merely a test.

I have had some connection with boards of guardians and I know. [HON. MEMBERS: "Speech!'] Does the right hon. Gentleman not know that these tasks are set in order to prevent people who are homeless and destitute from coming in?

Is the right hon. Gentleman aware that the output demanded from these people is greater than the output demanded from the felon who is in prison? Does he agree that that sort of thing should continue?

I decline to admit that there is any comparison between the two cases.

Casual Wards (Sleeping Accommodation and Clothing)

asked the Minister of Health whether he is aware that Article 7 of the Casual Paupers (Relief) Order, 1925, requires that suitable night clothing shall be supplied; that Article 16 (1) requires that proper sleeping accommodation, bed clothing, and means of communication shall be pro- vided; and that neither of these articles makes it obligatory upon workhouse authorities to supply clean night clothing or clean bed clothing; and whether, in view of the fact that on grounds of health night clothing and bed clothing should be clean, he will amend the Order by having the word "clean " inserted in both cases and so remove any ambiguity?

I think that night clothing or bed clothing could not be regarded as suitable or proper if they were not clean; and my officers will act upon this view in inspecting casual wards.

Mentally Defective Inmates

asked the Minister of Health what are the figures for the years 1914 and 1924 of the mentally defective inmates and the total number of inmates of workhouses: and under what conditions mentally defective persons are refused admission to workhouses?

As the reply to this question involves a number of figures, I will, with the hon. Member's permission, circulate it in the OFFICIAL REPORT.

Following is the reply:

The total numbers of person in receipt of Poor Law relief in Poor Law institutions on the 1st January, 1914, and 1st January, 1924, were 248,030 and 203,757. The number of inmates of such institutions on 1st January, 1914, who were insane was 19,965. In addition there was an unknown number of mentally defective persons. The number of mentally defective persons, including insane persons, in receipt of Poor Law relief in such institutions on 1st January, 1924, was 25,207. As regards the last part of the question, perhaps the hon. Member will let me have particulars of the class of case he has in, mind.

Vagrants

also asked the Minister of Health how many workhouses refused to admit vagrants in 1914 and 1924; what are the reasons for this refusal; and whether he contemplates any change in the present administration?

In 105 unions outside the Metropolis the guardians are, with my approval, not required to provide accommodation for casuals on the ground that the proximity of other casual wards makes it unnecessary to keep both sets of wards open. I am unable to say in how many unions provision was not made for the reception of vagrants in 1914. I should add that, wherever a ward is closed with my approval, arrangements are required to be made for the admission of any casual, if the master is satisfied that he is unable to proceed to the next casual ward.

Children

asked the Minister of Health the number of boards of guardians who still keep the children in the Poor Law institutions commonly known as workhouses; and whether he can bring any pressure upon these guardians to provide more suitable accommodation for these young persons?

I am sending the hon. Member a copy of the Regulation governing this matter, from which he will see that guardians may only retain children in workhouses temporarily in special circumstances. Constant attention is given by my officers to the question of the provision of separate accommodation where this has not already been provided.

Vaccination, Lambeth

asked the Minister of Health whether he is aware that twin girls, aged 10 months, named Irene and Marjory Garrard, inmates of the institution of the Lambeth Board of Guardians, were vaccinated by the guardians' doctor shortly after admission to the institution, although the father of the children had obtained a certificate of exemption from vaccination in respect of both children: that one of the children died after the inoculation, the other still being an inmate of the infirmary; and will he state what action is being taken in this matter to safeguard the interests of those who have a conscientious objection to vaccination and secure exemption from their children's inoculation?

My attention has been called to this case and I am awaiting a report from the guardians, who are holding an investigation. I will communicate further with the hon. Member when that report is received.

Will the right hon. Gentleman circulate among the responsible authorities throughout the country a notification to the effect that where parents leave children in an infirmary, and where they have the necessary exemption certificate, the children shall not be vaccinated in their absence?

Contributory Pensions Bill

asked the Minister of Health whether, under the widows', orphans' and old age pension contributory scheme, a person insured under the National Health Insurance Acts will be entitled, after reaching the age of 65 years, to receive medical benefit and/or additional benefits either in cash or kind?

The existing position with regard to benefits under the National Health Insurance Act is not affected by the provisions of the Bill before 2nd January, 1928. As from 2nd January, 1928, members of an approved society will be entitled, after they attain the age of 65, to medical benefit and to any non-cash additional benefits provided by the society, but they will not be entitled to any additional benefits payable in cash.

asked the Minister of Health whether he is considering the deterrent effect upon emigration of the Pensions Bill as now planned; and whether provision will be made so that, upon migration within the Empire, a man or woman can draw a lump sum equivalent to the current value of his or her benefits, thus giving ready cash to a migrant when it is most needed?

asked the Minister of Health whether it will be possible under the pension proposals of the Government for payments to be made to those who migrate overseas; and whether, in view of the importance of encouraging emigration, steps will be taken administratively to secure the rights of such persons?

I regret that it is impossible within the finance of the Pensions Bill to make any payments to insured persons on emigration. Such payments would be in the nature of refund of contributions, but as shown in Table VI of the Report of the Government Actuary, the cost of pensions and allowances will considerably exceed the whole receipts from contributions from 1928 onwards, and after a short initial period, therefore, no fund arising out of contributions will be in existence. If provision were to be made for return of contributions in any circumstances it would be necessary to diminish pensions or other benefits of the scheme. To the general objections to such a course must be added the fact that all emigrants who subsequently return to this country and take up employment will re-enter insurance on the ordinary terms, and will not be called upon to make good any loss sustained by the scheme by the intermission of their contributions during the period of their absence.

asked the Prime Minister when the Committee stage of the Widows, Orphans, and Old Age Contributory Pensions Bill will be taken?

Is the right hon. Gentleman not aware that he himself this week, in a letter to the Tory candidate at Ayr, informed the electorate there that this Bill would, he hoped, be on the Statute Book within a few months? Now he cannot answer the question.

Birth Control

asked the Minister of Health if he has received a copy of a resolution recently passed by a conference of labour women asking that medical officers at maternity centres should be allowed to give information on birth control to married women who desired it; and whether he is now prepared to accede to the request contained in the resolution?

The answer to the first part of the question is in the affirmative. As regards the second part, I am in agreement with the views of my predecessors that institutions provided at the cost of public funds should not be used for so controversial a purpose with- out express directions from Parliament. In the case of women attending maternity or infant welfare centres who, on medical grounds, appear to need such information as is mentioned in the question. my view is that these cases should be referred to a private doctor or a hospital.

In view of the national importance of this subject, is the right hon. Gentleman prepared to receive a deputation of Members of this House on this matter?

Unemployment

Benefit (Sheffield)

asked the Minister of Health whether he is aware that the guardians of the Sheffield Union have passed a resolution calling attention to the recent action of the Ministry of Labour in disallowing State unemployment benefit, and calling attention to the fact that an increasing number of able bodied men are making claims upon the guardians, and that, as these men are insured against unemployment nationally, the insurance benefits are a national obligation and not one for the local ratepayers; and whether he proposes to take any action in the direction of relieving this overburdened area?

I have received a copy of this resolution. As regards the remainder of the question I would refer the hon. Member to the reply given to a previous question put by him on the 26th March last.

Has the right hon. Gentleman communicated with the Minister of Labour in this matter? I think the Minister of Labour has had representations made to him.

Employment Exchanges

asked the Prime Minister whether his attention has been called to the statement in the Report of the Select Committee on Estimates regarding the selec- tion of sites for Employment Exchanges; and whether, in the interests of economy, he will cause a special investigation to be made into the cost of these sites with a view to removing those Exchanges now occupying prominent positions in main commercial thoroughfares into equally convenient, but less expensive, situations?

The most careful inquiries will be made by the Treasury and the Departments concerned with a view to making very possible economy, and with this intention I am communicating further with the Committee on particular recommendations.

Is the right hon. Gentleman aware that it is not only a question of economy, but of men having to stand in main streets exposed to view when waiting outside the Exchanges, sometimes for hours at a time?

I saw the recommendations of the Committee in summarised form and was much interested in what they said.

Will the right hon. Gentleman consider the advisability of making it easier for casual workers to get to the Exchanges? At the present time in the Silvertown district men have to walk two miles to Poplar—casual workers.

The hon. Member should address questions on that point to the Minister of Labour.

Relief Works

asked the Chancellor of the Exchequer why, seeing that in 1911 £183,585 was expended under the Unemployed Workmen Act, only £41,828 was expended under this Act in 1923; what is the estimated expenditure under this Act for the year 1925–26; and whether there is any possibility of a reduction of administrative expenses, as it cost £6,517 to distribute or expend £41,828 in 1923?

I have been asked to reply. The figures for 1911 and 1923 which the hon. Member quotes are not strictly comparable, as the latter does not include the cost of payments made to the Distress Committees for works carried out by them on behalf of local authorities. These payments amounted to £69,260. Estimates of the expenditure of Distress Committees are not submitted to me. As regards the last part of the question I will consider whether anything can be done to secure a reduction of the administrative expenses of the Distress Committees, but I would remind the hon. Member that these bodies are committees of the local authorities.

Administrative Expenses

asked the Chancellor of the Exchequer whether, seeing that the expenditure under the Unemployment Acts for the year 1924 was £41,010,817 and the cost of administration was £4,035,057, he has any proposals to reduce the administrative expenses?

I have been asked to reply. The estimated total cost of administration for the last financial year was £4,328,000, or about 8.7 per cent. of the revenue of the Unemployment Fund. This figure includes, in addition to the expenditure of the Ministry, all costs incurred by other Government Departments ( e.g., the General Post Office, His Majesty's Office of Works, His Majesty's Stationery Office) in connection with the administration of unemployment insurance. In view of these figures, I do not think it can reasonably be suggested that the expenditure on the administration of the Unemployment Insurance Acts is excessive, but it is under constant review and every effort is made to effect economy, consistent with efficient administration. I should add, perhaps, that the total cost of administration (up to a maximum of 12½ per cent.) is borne by the Unemployment Fund.

Musical, Motor, and Watch Industries

asked the Minister of Labour the percentages of unemployment in the musical, motor and watch and clock industries for the month of April, 1922, 1923 and 1924 respectively?

At 27th April, 1924, the percentage of unemployment among workpeople covered by the Unemployment Insurance Acts was 91 in the musical instrument trades, and 6.7 in the construction and repair of motor cars, motor lorries, motor omnibuses, motor cycles, cycles and aircraft. A similar percentage cannot be given for the watch and clock industry, as the figures are not separately distinguishable. Comparable figures for dates prior to June, 1923, are not available owing to changes made at that time in the method of classification of industries.

Do I understand that the figure the hon. Member gives as regards the motor trade is in respect of construction only?

The figure I have given is given in answer to a question which asks what are the number employed in the motor industry.

Can the hon. Gentleman give the corresponding figures for a year ago and the present time in respect of the piano trade, separated from the other figures?

I should like to have notice of that question. I have not got them here.

Administration

asked the Minister of Labour whether he has yet set up the Committee of Inquiry into the organisation of employment exchanges and the administration of unemployment benefit; and is he in a position to make a statement on the matter to the House?

No, Sir. For the present, we are setting in hand certain official investigations which will necessarily occupy some little time, and the question of appointing a Committee will be dealt with later.

Can the hon. Gentleman say what kind of Committee it is proposed to appoint?

No, Sir. I cannot say anything more than my right hon. Friend said the other day. that he is going to set up a Committee.

Will the hon. Gentleman consider the advisability of putting some unemployed workers on the Committee of Inquiry?

Copies of Act (Doncaster)

asked the Minister of Labour what are the reasons for not complying with the request of the Don-caster local employment committee that they should each be supplied with a copy of the Unemployment Insurance (No. 2) Act; and whether, in future, he will direct that all members of such committees shall be supplied with copies of the Act if they so desire?

A limited number of copies of the Unemployment Insurance (No. 2) Act, 1924, has been supplied for the use of the Doncaster local employment committee in addition to the file of all Unemployment Insurance Acts which is available for -reference at the local Employment Exchange. My right hon. Friend has already explained personally to the chairman of the committee that there is no sufficient justification for saddling the Unemployment Fund with the expense of supplying copies of the Unemployment Insurance Acts to individual members of local employment committees. The effect of the Acts, together with full notes for the guidance of committees has always been supplied to members of committees in a series of memoranda, recently consolidated in a booklet. A copy of this booklet is available in the Library of the House.

Is it too much to ask that in cases where members of these committees are sufficiently interested in the work to ask for a copy each, that they should have one?

My right hon. Friend is anxious to avoid all unnecessary expense, and he has come to the conclusion that the arrangement made for the information of local committees is sufficient. This is a pretty considerable document, and one does not, naturally, want to undertake unnecessary printing.

Would not the hon. Member admit that where a person is sufficiently interested to want a copy the expense of 6d. ought not to stand in the road of his having one?

I will represent that to my right hon. Friend and tell him what the hon. Gentleman said. But my right hon. Friend has already stated that the present arrangements are, in his view, adequate.

Valuation Lists, London

asked the Minister of Health if, in view of the Metropolitan borough councils being unable to deposit the valuation lists by the 1st June, in accordance with Section 42 of the Metropolis (Valuation) Act of 1869, owing to the wholesale revisions consequent on the new Valuation Bill now before Parliament, he will take steps to legalise the deposit after that date of valuation lists which may be delayed for this reason?

The point is under consideration; but I am advised that the provisions of the Section referred to have been held by the Courts to be directory only, and that failure to deposit a valuation list by 1st June does not affect its validity.

Food Council

asked the Prime Minister, in view of the announcement that a Food Council is to be at once set up, as recommended by the Geddes Commission, whether the House will have an opportunity to discuss the Report before such a council is constituted?

If there is a general desire for an opportunity to discuss the Report of the Royal Commission on Food Prices, it will no doubt be possible to find one.

How can that desire be expressed by hon. Members who are anxious that an opportunity should be given?

Do I understand that the Prime Minister intends to proceed without first having a Debate in the House on the important Report of this Commission?

If the hon. Member is referring to the setting up of the Food Council, the Government have full power to set up any council on any subject, provided it does not require statutory powers.

Does the right hon. Gentleman think it advisable to set up a council with its' terms of reference before the matter has been considered and debated by the House?

I do not say whether I think it advisable or not. I merely say we have the powers.

asked the Prime Minister the name of the Chairman of the new Food Council, and also the members who will be invited to serve on it?

I have been asked to reply. No invitations have yet been sent to anyone to serve on the proposed Food Council. I hope, however, to be able to make a statement shortly on this matter.

Has the attention of the hon. Gentleman been called to the Press report this morning, that the Chief of the Food Department of the Board of Trade has resigned, and the explanation given is that he has refused the Chairmanship of this Council on the ground that it was not given statutory powers?

Yes, my attention has been called to the statement in the Press, and all I can do is to repeat the answer which I have given, that no invitations have been sent to anybody.

Will the hon. Gentleman say whether there have been, inside the Department, actual negotiations with the official in question?

I hardly think that arises out of the question. I have been asked a specific question, and I have given an answer.

In view of the fact that eight out of twelve of the members of this Council are to be nominees of the Government, may I ask, without unduly disparaging the Government, whether it would not inspire greater public confidence if a larger proportion of the members were direct representatives of the consumers?

( by Private Notice )asked the Prime Minister whether the Government have decided to disband the Royal Commission on Food Prices, and to transfer its functions to the proposed Food Council; and, if so, what steps have been taken in the matter?

As I announced yesterday, the Government, having decided to adopt in principle the main recommendation made in the Report of the Royal Commission, and to appoint a Food Council, do not propose to ask that Commission to continue their inquiry further.

Will he answer the last part of my question as to what steps are being taken in the matter of transferring the functions?

Will the Prime Minister, in view of the importance of this matter and of the fact that he is going to disband this Commission, be prepared to receive deputations of organised consumers with regard to the whole situation and with regard to the constitution of the Council to which he proposes to transfer the functions of this Commission, and also with regard to the question of legislation?

Of course I will consider that, but I cannot give a definite answer at this moment.

Will the right hon. Gentleman be careful not to add to the enormous body of bureaucracy in this country, who can do nothing but cause mischief?

Judicial Committee of the Privy Councl

asked the Prime Minister the names of those members of the Judicial Committee of the Privy Council who are not already in receipt of salaries or pensions by virtue of their services as Judges, but receive salaries for their services on the Judicial Committee; and what is the salary payable in each case?

Sir John Edge and Mr. Ameer-Ali receive under Section 30 of the Judicial Committee Act, 1833, the sum of £400 per annum each " as an indemnity for the expense which they … incur" by reason of their attendance at the Judicial Committee, together with a bonus upon that sum in respect of the increased cost of living, which amounts to £120 a year. Each of these gentlemen is in receipt of an annuity for past services as a Judge in India. No other member of the Judicial Committee receives any salary, pension, or other payment in respect of his service upon the Committee in addition to such salary or pension, if any, as he may receive in respect of his past services as a Lord Chancellor or a Judge.

Will the right hon. Gentleman present a time sheet, showing the number of hours put in by these gentlemen?

Proposed Security Pact

asked the Prime Minister whether, in view of the fact that the Secretary of State for Foreign Affairs, owing to his absence in Geneva, will be prevented from making any Report to this House for some days to come, His Majesty's Government will give information as to the instructions given to him, and will issue an explanatory statement showing what obligations this country is undertaking in the proposed Pact in order to prevent incorrect speculations and mischievous rumours?

I would refer the hon. Member to the reply which I gave yesterday to the hon. Member for Orkney and Shetland (Sir R. Hamilton).

I do not wish to press the Prime Minister, but I would ask whether the fact that the Government have agreed to the reply which the French Government are sending to Germany does not mean that this country has undertaken certain specific obligations and guarantees, and should not the House be informed of these at the earliest possible moment?

The House will be informed at the earliest possible moment fully. As I explained yesterday in a rather long answer which I gave, the present situation is that this Note is going or has gone to Germany, and it will be some days before a reply can be received from them. It is only in the event of that country being willing to enter into further negotiations that we shall get to close terms, which would follow on the declaration made in the House of Commons by the Foreign Secretary. The Debate which will take place in Parliament will take place prior to any possible discussions that have a direct bearing on any Pact with Germany.

Imperial Economic Committee

asked the Prime Minister when he proposes to appoint the members of the proposed Imperial Economic Committee?

The Imperial Economic Committee was set up last March, and I am sending the hon. Member a copy of a communiqué which was published in the Press on the 6th March and which will, I think, give him all the information he desires.

I do not think the right hon. Gentleman is referring to the body which I have in mind.

I beg the hon. Member's pardon. He asked about the Imperial Economic Committee. There is a definite body bearing that name, and the communiqué which I am sending him gives information about it. Perhaps if the hon. Member had some other body in mind, he will put down another question.

Imperial Bureau of Entomology

asked the Chancellor of the Exchequer what financial contributions His Majesty's Government and the Governments of the Overseas Dominions and Colonies, respectively, make towards the Imperial Bureau of Entomology?

As the reply involves a large number of figures, I propose, with the consent of the hon. and gallant Member, to circulate it in the OFFICIAL REPORT.

Is there any indication that the extremely valuable work of this bureau is being hampered by lack of funds?

I will look into that, but I am not aware of the fact.

Following is the reply:

The contributions from the Imperial and Oversea Governments to the Imperial Bureau of Entomology for the year 1925–26 will be as follow:

£

Imperial Government

1,000

Canada

1,000

Commonwealth of Australia

400

Six Australian States

600

New Zealand

400

Union of South Africa

700

Newfoundland

50

India

300

Southern Rhodesia

300

Nigeria

1,000

Gold Coast

700

Sierra Leone

200

Gambia

100

Kenya

300

Uganda

300

Tanganyika Territory

300

Zanzibar

250

Nyasaland

250

Northern Rhodesia

100

Sudan

300

Ceylon

500

Straits Settlements

200

Federated Malay States

750

Hong Kong

300

British North Borneo

100

Mauritius

250

Seychelles

50

Fiji

200

British Guiana

150

Trinidad

150

Jamaica

100

Barbados

50

Leeward Islands

50

£

Windward Islands

60

British Honduras

40

Bermuda

50

Malta

50

Cyprus

200

Palestine

25

In addition to these contributions, the Government of Iraq pays at present to the Bureau rupees 1,000 a year for ser-vices rendered, more particularly in respect of identification work. The question of annual grants for the upkeep of he Bureau for the five-year period 1926 (1926–27) to 1930 (1930–31), inclusive, will be taken up when the Report of the Imperial Entomological Conference, which is now meeting in London, has been received.

Foreign Loans (London Issues)

asked the Prime Minister whether he is now prepared to take steps, through the appropriate channels, to encourage the issue of foreign loans in this country, and thus increase employment and trade in Great Britain?

As I have stated before, the placing of foreign loans in London is a matter for the judgment of the market. I would only add that I do not think that excessive issues of external loans are in the interests of trade and employment.

Is the right hon. Gentleman aware that the Bank of England authorities are now obstructing loans of this character, which responsible issuing houses in this country are willing to undertake?

Ex-Lords Chancellor

asked the Prime Minister the number of persons now drawing pensions as ex-Lords Chancellor, their names, the total charge on the Consolidated Fund due to such pensions, and the other payments, if any, made to each of these persons from public funds?

There are two, Lord Haldane and Lord Buckmaster, each in receipt of a pension of £5,000 a year. Neither of the Noble Lords receives any other payments from public funds, and they both render continuous service as Judges in the House of Lords and in the Judicial Committee of the Privy Council. The only other ex-Lord Chancellors are Lord Finlay and Lord Birkenhead. Lord Finlay did not accept a pension and Lord Birkenhead ceased to draw his pension on accepting office as Secretary of State for India.

Lace (French and Italian Duties)

asked the Chancellor of the Exchequer what was the French duty on lace in 1914; what is the French duty to-day; and whether he can give similar figures for Italy?

I have been asked to reply. If my hon. and gallant Friend has no objection, a statement will be circulated in the OFFICIAL REPORT giving particulars for both the countries in question.

In regard to France, the duty, since 1914, in francs has been greatly increased, but that increase has been sterilised owing to the fall in the sterling value of the franc. With regard to Italy, since 1914, the increase is also very great with the exception of the case of unbleached lace, and it is greater even allowing for the reduced sterling value of the Italian lire.

Can the hon. Gentleman give us some indication of the ad valorem change?

It would be very intricate, and, therefore, I would prefer it, if the hon. Member would permit me to refer him to the answer circulated in the OFFICIAL REPORT.

Following is the reply

STATEMENT shewing the Rates of Customs Duty levied on Machine Made Cotton Lace imported into France and Italy under the Tariffs in Force (1) in 1914 and (2) at the present time.

I. France.

Tariff Classification.

"Minimum" Tariff Rate of Duty.

English Equivalents.

1914.

Present.

Of 1914 Duties.

Of Present Duties.

Francs.

Francs.

s.

d.

s.

d.

Cotton machine made lace:

per 100 kilogs.

per 100 kilogs.

per lb.

per 1b.

Unbleached:

Weighing 25 kilogs or less per 100 sq. metres (7⅓ oz. or less per sq. yard).

500

2,200

1

2

Weighing more than 25 but less than 30 kilogs per 100 sq. metres (from 7⅓ to 8¾ oz. per sq yard).

280

1,232

1

1

Weighing 30 kilogs or more per 100 sq. metres.

200

880

Bleached

Duties on unbleached increased by 20 per cent.

Dyed

Duty on unbleached according to class, plus:—

30 francs per 100 kilogs.

132 francs per 100 kilogs.

1.312d. per lb.

1.44d. per lb.

NOTE.—Lace made with bleached or dyed yarn pays 50 per cent. above the duty on unbleached lace, plus the surtax (shown above) for bleaching or dyeing.

In addition, a duty of 1.3/10 per cent. ad valorem is leviable under the legislation relating to "turnover tax." is leviable under the legislation relating to "turnover tax."

II. Italy.

Tariff Classification.

Tariff Rate of Duty.

English Equivalents.

1914.

Present.†

Of 1914 Duties.

Of Present Duties.†

Lire

Lire (gold)

s.

d.

s.

d.

per 100 kilogs.

per 100 kilogs.

per lb.

per lb.

Cotton lace , unbleached, unbleached

500

500

1

1

Cotton lace, other kinds

700

1,200

2

4

The Italian tariff does not distinguish between machine made and hand made lace.The Italian tariff does not distinguish between machine made and hand made lace.

† In addition, a "sales" tax of 2 per cent. ad valorem is leviable. is leviable.

Cabinet Ministers (Newspaper Articles)

asked the Prime Minister whether the recent decision of the Cabinet regarding contributions to the Press by Ministers of the Crown has been communicated to all concerned; whether the decision has been strictly observed since the date when it was taken; and, if not, by what Ministers it has not been observed?

The decision to which the hon. Member alludes is perfectly understood by my colleagues, and I am confident that it will be loyally and honourably interpreted by them.

May I ask the Prime Minister whether he has yet had time to read the article by Lord Birkenhead in the "Evening News" of the 9th' June?

Arising out of that answer, may I ask whether the Government will give an opportunity to discuss this question?

The next Question was called. Nothing can arise out of a question until it has been asked.

Members of Parliament (Railway Expenses)

asked the Financial Secretary to the Treasury whether, seeing that in view of the large sums of money that are paid to the railway companies for the carriage of goods, etc., the Government is entitled to receive passes or contracts payable at reduced rates similar to those given to traders, he is willing to authorise their issue to such Members of Parliament who could prove that that would be a more economical method of travelling between their constituencies and London than the system of vouchers at present in use?

Traders' season tickets are issued to a trader when the carriage account of such trader with the railway company concerned for the conveyance of merchandise amounts to a specific sum, and are granted with a view to the development of trade. Apart from any other considerations, while appreciating the hon. Member's desire for economy, I do not see my way to proceed upon the lines which he suggests.

Inspectorships of Taxes (Scottish Candidates)

asked the Financial Secretary to the Treasury whether he has yet considered the advisability of providing a board at Edinburgh for giving oral tests and interviews of candidates for Scottish candidates for inspectorships of taxes, as was the practice in pre-War times?

In order to secure equality of standard in the marks assigned, it is essential that all candidates at the same examination should be interviewed by the same board. I regret that it is not practicable to require the same board to sit both at Edinburgh and in London. I understand that the former examination for assistant surveyors of taxes did not include an interviewing board.

Post Office

Empire Cable and Wireless Services

asked the Postmaster-General whether he will consider the suggestion of putting the State- owned cable and wireless communications between the different parts of the Empire under an Empire Cable Board, to be operated on the lines of the Pacific Cable Board on an Empire-wide basis, working in close conjunction with the Post Offices of Great Britain, the Dominions, and India?

In view of the fact that most of the cable and wireless services between the various parts of the Empire are or will be operated in the Dominions by private companies, I do not think it would be practicable to establish an Empire Board with executive and financial powers on the lines suggested. As my hon. Friend was informed on Tuesday, a Standing Committee, which includes representatives of all the Governments and companies concerned, has been appointed to consider and advise on the arrangements for the working of the Imperial wireless services.

Will the Noble Lord see that that suggestion is put up to the Dominions, so that it may be considered by them?

I shall be glad to consider any suggestion that comes from my hon. Friend.

Belfast Post Office

asked the Postmaster-General when it is proposed to raise the Belfast post office to Metropolitan status?

I do not contemplate any change in the status of the Belfast post office.

Can the Noble Lord say on what principle these Metropolitan offices are graded?

Agriculture

Denham Place Estate (Smallholder's Eviction)

asked the Minister of Agriculture if he will cause an inquiry to be made into the case of Mr. W. R. Hamblin, an ex-soldier suffering from complete deafness as a result of the War, who, under Section 10 (2) of the Agricultural Act, 1920, is with his wife and five children under sentence of eviction by the Middlesex County Council from smallholding No. 23 on the Denham Place estate, in view of the fact that the holding at the present time is well cultivated and the eviction will involve the loss of the little capital invested?

( for Mr. EDWARD WOOD): My right hon. Friend will make inquiries into the case referred to by my hon. and gallant Friend and communicate with him on the subject as soon as possible.

Village Telephone Facilities

asked the Minister of Agriculture if he will, in connection with the Government's agricultural policy, make arrangements with the Postmaster-General to have telephone facilities provided in villages which form centres of rural areas, without guarantees as are now insisted on by the Post Office?

My right hon. Friend can add nothing to the reply given on the 24th February last by the Postmaster-General to a similar question, a copy of which he is sending to my hon. and gallant Friend.

Trade and Commerce

Arms and Munitions (Exports)

asked the President of the Board of Trade whether he is aware that during the last three years arms to the value of £14,000,000 were exported from this country; that in 1920 military stores aid heavy artillery to the value of £168,000 and £145,000, respectively, were sold to Russia; will he state whether this full sum of money was received, and from whom; and what percentage of the total exportation of arms and munitions were shipped to British possessions, together with the values of arms and munitions exported to China, Japan, France, Spain and Brazil, respectively?

Exports of arms, ammunition and military and naval stores amounted in the three years 1922–24 to £11,746,000 in value, but at least one-fifth of this amount was in respect of sporting guns and ammunition and explosives for industrial purposes. The total value of the exports of arms, etc., to Russia in 1920 was £232,175. I cannot state whether this full sum of money was received or not, or from whom it may have been received.

Detailed figures of exports by countries of consignment are not yet available for 1924, but for the two years. 1922 and 1923 exports of arms, etc., to Empire countries were valued at £4,625,000, or 57.5 per cent. of the total value of the exports for these two years. In the same two years, exports to Japan were valued at £549,000, to France at £96,000, to Spain at £390,000, and to Brazil at £141,000; exports to China being smaller, were not separately shown in the Annual Statement of Trade.

Can the hon. Gentleman say whether payment has been made for this very large export of guns and munitions?

Motor Cars (Exports)

asked the President of the Board of Trade the number, of British-made motor cars exported in the four months ending 30th April, 1925; and can he give similar figures for the same periods of 1923 and 1924?

The number of motor cars, of United Kingdom manufacture, including commercial vehicles, registered as exported from the United Kingdom during the four months ended 30th April in each of the years specified, was as follows: In 1923, 860; in 1924, 3,012, and in 1925, 6,387.

Depreciated Exchanges

asked the President of the Board of Trade if he can say, assuming equal cost of raw material, what is the bounty to France, Italy and Belgium on their imports to this country through depreciated exchanges?

I regret that I have not enough information regarding the various trades concerned to enable me to give the hon. and gallant Member the particulars for which he asks.

Alien Seamen (Mediterranean Ports)

asked the President of the Board of Trade whether he has received reports from the British Consuls in Mediterranean ports concerning the rates of pay at which alien seamen are being signed on in vessels in those ports; and will he state the action taken by his Department where breaches of the law have been discovered?

I have received certain reports from British Consuls in Mediterranean ports concerning the rates of pay at which alien seamen have been engaged in those ports for service in British ships. The reports indicate that hitherto the Consuls concerned have acted on the assumption that, as no standard rates have been fixed for crews engaged abroad, Section 5 (2) of the Aliens Restriction (Amendment) Act, 1919, which prohibits the engagement of aliens at less than the standard rates, did not apply in such cases. As I informed the hon. Member on the 8th April the Consular officers concerned have now been instructed to inform masters that the standard rates must be paid.

While thanking the hon. Gentleman for his answer, may I ask him if we can have an assurance that where there has been a deliberate breach of the law in this matter action will be taken against shipmasters?

Emigration

asked the Secretary of State for the Colonies whether, in future, he can arrange for the emigration statistics to show the occupations of the adults who leave this country for permanent settlement overseas?

I have been asked to reply. British subjects of 18 years of age and over, reported as leaving permanent residence in the United Kingdom to take up permanent residence in non-European countries, are classified in 10 occupational groups for males and six groups for females. These statistics are published annually; those for 1921, 1922, and 1923 will be found in the "Board of Trade Journal" for 28th August, 1924, and those for 1924 will be published in the Journal in due course.

Kenya (Juvenile Occupations)

asked the Secretary of State for the Colonies what were the ages of the 11,000 children reported as being employed in the colony and protectorate of Kenya under the agricultural census for 1923–24; and in what occupations were they chiefly employed?

I have no information which would enable me to reply to the first part of the question, and I fear that the statistical organisation of the colony is not sufficiently developed for it to be possible for me to obtain one. I understand that the chief occupation in which juveniles are employed for wages is the picking of coffee berries.

Can the right hon. Gentleman say the number that are receiving education?

East Africa (Development Loan)

asked the Secretary of State for the Colonies whether it is the intention of the Government to introduce an East African Transport Loan Guarantee Bill on the lines suggested in the Report of the East Africa Commission?

I must refer the hon. Member to the reply given yesterday to the hon. Member for West Walthamstow (Major Crawfurd).

Engineering Industry (Negotiations)

asked the Minister of Labour whether he can make any statement as to the position of negotiations in the engineering industry?

I understand that a further communication from the em- ployers will be considered by the unions concerned at a conference on 19th June.

International Labour Office

asked the Minister of Labour what is the amount of the special contributions fixed to be paid by Germany as an appropriation-in-aid to the International Labour Organisation for the years 1923, 1924 and 1925; and whether the question of the arrears of these contributions has been decided by the governing body?

As the answer contains a number of figures, I will, with my hon. and gallant Friend's permission, circulate it in the OFFICIAL REPORT.

Following is the answer :

The amounts of special contributions fixed to be paid by Germany as an appropriation-in-aid to the International Labour Organisation for the years 1923, 1924 and 1925, are:

1923 —304,042.54 gold francs.

1924 —262,907.13 gold francs.

1925 —274,781.63 gold francs.

No decision on the method of payment of arrears has yet been made, but negotiations with the German Government are being continued by the Director of the International Labour Organisation.

May I ask my hon. Friend how long Germany is to be allowed to remain in this international organisation, seeing that she does not pay anything towards the expenses of it?

asked the Minister of Labour the number of officials now employed in connection with the International Labour Office; and what was the total amount of salaries paid for the last year?

The total staff of the International Labour Office is 353, and the total amount of their salaries for 1924 was £176,895.

Is the hon. Member aware that a very large number of these officials are extreme Socialists, who use their position to carry on international Socialist propaganda?

I am not aware of that, and in any case I think their opinions are quite irrelevant.

Can the hon. Gentleman tell us what on earth all these people are doing?

Is it not a fact that we get very good value for our money?

Is it not a. fact that the scale of salaries in the International Labour Office compares favourably with the scale of Civil Service salaries in this country?

Can the hon. Member state whether these people are Socialists because of the lack of intelligence amongst the supporters of other political parties?

asked the Minister of Labour the percentage of the expenses of the International Labour Organisation which are borne by Great Britain, her Colonies and Dependencies; and if he has any information showing whether the amounts outstanding from the other members of the organisation, namely, 2 per cent. for 1921, 2½ per cent. for 1922, 11 per cent, for 1923, and 12 per cent. for 1924, are likely to be recovered?

During the year 1925 the States members included in the British Empire will bear 26 per cent. of the expenses of the International Labour Organisation. I am not in possession of any information with regard to the second part of the question.

Since Great Britain and the Colonies pay over a quarter of the whole expenses, ought we not to have more representation in the voting?

I think the representation is fixed by the Treaty of Versailles, and we have no power to alter it.

Civil Air Service, Egypt and India

asked the Secretary of State for Air whether he is now in a, position to state whether the commercial operation of the air route between Egypt, Iraq and India is now again contemplated by the Air Council; and, if so, when it is proposed to bring such a policy into effect?

His Majesty's Government have approved in principle the institution of a civil air service between Egypt and India. This service will replace the service at present carried out by the Royal Air Force between Egypt and Iraq at fortnightly intervals for strategic and training purposes. A concrete scheme for a service to be operated weekly each way between Kantara and Karachi is accordingly under consideration, and civil aviation undertakings have been invited to submit early proposals for such a service. As regards the last part of the question, I regard the development of this important link in our Imperial communications as a matter of urgency, and, whilst it is impossible as yet to give an exact date for its inauguration, I am most anxious that it should, if possible, come into operation during the winter of 1925–26.

Will the right hon. Gentleman assure the House that this new air route will not be started until we have enough landing grounds en route , to make it quite safe?

Certainly, I have myself had an opportunity of surveying some of the landing grounds, and I can certainly give that assurance to my hon. and gallant Friend.

Yes, a subsidy will be necessary, but it is intended that the subsidy should be found out of the savings to be made on the defence side of the Middle East Vote.

Royal Air Force Display

asked the Secretary of State for Air whether he can give any particulars with regard to the forthcoming Air Force display at Hendon and, approximately, the number of spectators who can be accommodated to witness this display?

The display, as in previous years, will consist of demonstrations of the results of the collective and individual training of the Royal Air Force, and exhibitions of flying by the winning teams in the Service competitions that are held annually. Approxi- mately, there will be accommodation for between 70,000 and 80,000 people.

Paris Exhibition (British Restaurant)

asked the Parliamentary Secretary to the Overseas Trade Department whether the concession for the British restaurant adjoining the British building in the Paris Exhibition has been granted to a foreign firm; and whether any offer was made to any British concern, and, if so, to which before this action was taken?

The answer to the first part of the question is in the affirmative. The matter was fully discussed with the British Chamber of Commerce in Paris, and it was felt that it was very important to the success of the venture that the cooperation should be secured of an experienced French restaurateur, especially as those to be catered for would necessarily be for the most part French. Tho3e who are familiar with conditions in Paris will, I think, appreciate the necessity for arriving at this decision unless a very grave risk were to be run of losing money. I may add that the business was discussed with a British catering firm, but without success.

Surely the hon. Gentleman agrees that there are many British firms catering in France who have done good work and are among some of the most successful in France, and on? particularly which is one of the contractors at the Exhibition at Wembley, and why should they not be capable of doing the work in preference to the present arrangement which is not satisfactory, the prices being very high?

Before the hon. Member replies to that question, may I ask him if it is right to fight with the French and then refuse to feed with them?

British Empire Exhibition (Deer Hunt Spectacle)

asked the Parliamentary Secretary to the Overseas Trade Department whether he is aware that the proposed spectacle of the hunting of carted deer by hounds and horsemen at the Stadium at the Empire Exhibition must cause terror and suffering to such a nervous animal as a deer, and that such exhibitions are painful to a large section of the public; and whether, on this account, he will urge that the proposed show be dispensed with?

I am informed by the British Empire Exhibition authorities that it has never been intended that a deer should take part in the spectacle to which the hon. Member refers and no cruelty will be involved.

May we take it that no live deer will be chased in the arena at Wembley?

Is this not setting up a spectacle in which cruelty is practised which is altogether opposed to the British character?

Dominion Affairs

Colonial Office Organisation

( by Private Notice )asked the Prime Minister if he can now state what changes it is proposed to make in the organisation and designation of the Colonial Office?

The Government have come to the conclusion that the existing organisation of the Colonial Office is no longer in correspondence with the actual constitutional position in the Empire, and is inadequate to the extent and variety of the work thrown upon it. It fails, more particularly, to give sufficiently clear recognition to the profound difference between the work of communication and consultation with the self-governing partner nations of the British Commonwealth and the administrative work of controlling and developing the Colonies and Protectorates for whose welfare this House is directly responsible. The following changes are, therefore, proposed:

The Government have been in communication with them throughout, and I hope the matter will be discussed on the Colonial Office Vote.

Irish Free State (Arrest of British Soldier)

( by Private Notice )asked the Secretary of State for the Colonies if he is aware that a young soldier of the 4th battalion, Royal Inniskillen Fusiliers, was arrested by the Civil Guard of the Irish Free State in Bundoran where he had gone in uniform with some members of his family; if he is aware that this soldier was informed by the police that he had committed an offence by entering the Free State in British military uniform, that his military cap and tunic were taken from him and that he was provided with a civilian cap and coat, and that his uniform was handed back to him when he left to return to Northern Ireland; if it is the fact that wearing British military uniform is prohibited by authority in the Irish Free State, and what action the Secretary of State proposes to take in regard to this incident?

I am making inquiry into this matter, but I have not yet received information as to the facts. I note that the hon. Member for Reading proposes to put a question to my right hon. and gallant Friend the Secretary of State for War on Tuesday next, by which date I hope that the necessary information will be available.

Business of the House

In asking the usual question about business, which I now do, may I also ask whether the Government have any intentions regarding the business for to-day and tomorrow?

With regard to to-night, we hope to continue the Committee stage of the Finance Bill on the conclusion of the Private Bill which is down for a Quarter past Eight. I hope that to-night it may be possible to take the four next Clauses, on which there are hardly any Amendments, and to start on Income Tax to-morrow. We propose to-morrow, Friday, to suspend the Four o'Clock Rule, to get on with the Committee stage, but we shall not sit beyond about seven o'clock.

May I ask the Prime Minister if that is in accordance with the announcement that he made, both yesterday and the day before, regarding the business to-day? May I just remind him of his words? He said:

"Instead of continuing the Committee Stage of the Finance Bill on. Thursday, as was first proposed, we shall submit this Resolution "—

that is, the Lace Resolution; and in the OFFICIAL REPORT of to-day, of which, unfortunately, I have not a copy by me at the moment, he said he would begin the Finance Bill as the first Order early in the sitting. The business which he now says is to be taken—after midnight, perhaps—to-night, he announced yesterday as being the first part of the business of to-day.

I have not the exact words before me, but I have looked into the business this morning. It is impossible to say any time ahead exactly what we shall be able to do, but I may remind the right hon. Gentleman that last night, or rather, at an early hour this morning, it was in our power to have taken the business a great deal farther than we actually did, and in that we should have had the assent of the majority of the Members behind me. We felt, however, after what I had said about the business to be taken yesterday, that it would have been taking an unfair advantage of a very small minority in the House if we had gone any further.

May I just press this point? May I ask the Prime Minister whether he will not consider whether the announcement ha has now made is, as a matter of fact, taking a very unfair advantage of a minority that has done its best to get the business of the House properly done, and whether he will not stick to what he stated yesterday and the day before regarding the business to be taken in connection with the Finance Bill?

I should be the last person to take advantage of a minority, but I have to consider the getting through of this Bill, and the Summer holidays of the House of Commons. That is a very important thing to every Member. [An HON. MEMBER: "No!"] I do not anticipate, myself, that the Private Bill, unless it be obstructed, will take very long. There is very little in the business I am asking the House to take to-night. There is not half a page of Amendments, and the principle of Preference which applies to tobacco was discussed at length this morning in connection with sugar. I cannot see that in asking the House to do what I am asking them to do I am asking anything unreasonable.

May I ask quite specifically whether, when the Prime Minister announced the business yesterday and the day before, he had any idea in his mind that he was going to go beyond Clause 7 to-night, and, if so, what he meant when he said:

"No, I propose to stop at the end of Clause 7"—

that was last night—

"so that when we resume we may start on Imperial Preference early in the day."

I should regret if, in any conversations conducted across the Table, any words should pass which would indicate any difference of opinion between us; I would much rather negotiate these matters through the usual channels. As the right hon. Gentleman knows, the conduct of business is largely a matter of arrangement, and, as me must, have seen yesterday, all bargains were at an end. It is, if I may say so, an illustration of the disadvantage of trying to bandy words across the Table.

When the Prime Minister says that they were in a position early this morning to pass more Clauses of the Bill, what exactly does he mean? Does he mean that the practice of announcing at a quarter to four in the afternoon what business the Government intends to take is now at an end, and has no further value?

May I ask also, before a final decision is reached, if the Prime Minister will consider the inconvenience to Members who will be prevented from returning to their homes to-morrow night in case he carries out his suggestion of continuing until seven o'clock? Surely, the right hon. Gentleman can so organise the business as to prevent that?

I will say, in answer to that, that no one dislikes sitting beyond the usual hour more than I do, but after all, the cure is in the hands of the House itself. These inordinately long sittings have not been the fault of the Government.

Will the right hon. Gentleman kindly answer the question I put to him, as to whether the statement of business made at a Quarter to Four is to be regarded as authoritative and definitive, or is the Government in a position, at Two o'Clock in the morning, to say, "We are now going to force further Clauses through"?

Has the Prime Minister any suggestion for preventing a small obstructive minority from impeding progress?

I have not yet had an answer to my question as to the business for next week.

On Monday and Tuesday of next week we shall continue the Committee stage of the Finance Bill. I hope to announce Wednesday's and Thursday's business on Monday.

Motion made, and Question proposed,

"That other Government Business have precedence this day of the Business of Supply, and that the Proceedings of the Committee of Ways and Means and on any Private Business set down for consideration at a quarter-past Eight of the Clock this Evening, by direction, of the Chairman of Ways and Means, be exempted, at this day's Sitting, from the provisions of the Standing Order (Sittings of the House)."— [ The Prime Minister. ]

On a point of Order. May I draw your attention, Mr. Speaker, to the form of this Resolution? Standing Order No. I lays it down that a Motion exempting from the operation of the Rule any specified business may be taken without Amendment or debate. I would draw your attention to the fact that this Motion comprises four distinct Motions. The first has nothing to do with the Eleven o'Clock Rule at all, but grants precedence for other Government business over the business of Supply, to-day being Thursday. Another part exempts from the operation of the Rule discussion in Committee of Ways and Means, and a third does a thing which I submit is very unusual, namely, exempts Private Business from the operation of the Rule. I would ask you whether any Member is not entitled to ask that these three separate propositions should be put separately from the Chair?

No, there are precedents for this form of Motion. The proposals all relate to the business of the day, and do not need separate Resolutions.

May I further submit this? Supposing hon. Members do not think that a Private Bill should be exempted from the Eleven o'Clock Rule, but that they are willing to discuss the Ways and Means Resolution after Eleven o'Clock, how would they vote on such a Resolution?

I am afraid that I cannot help the hon. and gallant Member in that difficulty.

Question put.

The House divided: Ayes, 238; Noes, 118.

Division No. 148.]

AYES.

[4.1 p.m.

Acland-Troyte, Lieut.-Colonel

Gilmour, Lt.-Col. Rt. Hon. Sir John

Nall, Lieut.-Colonel Sir Joseph

Agg-Gardner, Rt. Hon. Sir James T.

Glyn, Major R. G. C.

Neville, R. J.

Albery, Irving James

Gower, Sir Robert

Newman, Sir R. H. S. D. L. (Exeter)

Alexander, E. E. (Leyton)

Grace, John

Nicholson, Col. Rt. Hn. W. G. (Ptrsf'ld.)

Allen, J. Sandeman (L'pool, W. Derby)

Grant, J. A.

Nuttall, Ellis

Amery, Rt. Hon. Leopold C. M. S.

Greene, W. P. Crawford

Oakley, T.

Applin, Colonel R. V. K.

Gretton, Colonel John

Oman, Sir Charles William C.

Ashley, Lt.-Col. Rt. Hon. Wilfrid W.

Grotrian, H. Brent

Ormsby-Gore, Hon. William

Atkinson, C.

Guinness, Rt. Hon. Walter E.

Percy, Lord Eustace (Hastings)

Baldwin, Rt. Hon. Stanley

Gunston, Captain D. W.

Perkins, Colonel E. K.

Balfour, George (Hampstead)

Hacking, Captain Douglas H.

Peto, Basil E. (Devon, Barnstaple)

Balniel, Lord

Hall, Lieut.-Col. Sir F. (Dulwich)

Pielou, D. P.

Barnett, Major Sir Richard

Hall, Capt. W. D'A. (Brecon & Rad.)

Pilditch, Sir Philip

Barnston, Major Sir Harry

Hammersley, S. S.

Power, Sir John Cecil

Beckett, Sir Gervase (Leeds, N.)

Hanbury, C.

Pownall, Lieut.-Colonel Assheton

Bennett, A. J.

Harland, A.

Preston, William

Bentinck, Lord Henry Cavendish-

Harney, E. A.

Price, Major C. W. M.

Berry, Sir George

Harrison, G. J. C.

Ramsden, E.

Betterton, Henry B.

Harvey, G. (Lambeth, Kennington)

Rawlinson, Rt. Hon. John Fredk. Peel

Bird, E. R. (Yorks, W. R., Skipton)

Haslam, Henry C.

Rees, Sir Beddoe

Blades, Sir George Rowland

Headlam, Lieut.-Colonel C. M.

Remnant, Sir James

Blundell, F. N.

Henderson, Capt. R. R. (Oxf'd, Henley)

Rhys, Hon. C. A. U.

Bourne, Captain Robert Croft

Henderson, Lieut.-Col. V. L. (Bootle)

Rice, Sir Frederick

Boyd-Carpenter, Major A.

Heneage, Lieut.-Colonel Arthur P.

Ruggles-Brise, Major E. A.

Brass, Captain W.

Henn, Sir Sydney H.

Russell, Alexander West (Tynemouth)

Brassey, Sir Leonard

Hennessy, Major J. R. G.

Salmon, Major I.

Briggs, J. Harold

Henniker-Hughan, Vice-Adm. Sir A.

Samuel, A. M. (Surrey, Farnham)

Briscoe, Richard George

Herbert, S. (York, N. R., Scar. & Wh'by)

Sandeman, A. Stewart

Brittain, Sir Harry

Hoare, Lt.-Col. Rt. Hon. Sir S. J. G.

Sanders, Sir Robert A.

Brocklebank, C. E. R.

Hogg, Rt. Hon. Sir D. (St. Marylebone)

Savery, S. S.

Brooke, Brigadier-General C. R. I.

Holbrook, Sir Arthur Richard

Shaw, Capt. W. W. (Wilts, Westb'y)

Broun-Lindsay, Major H.

Holt, Captain H. P.

Shepperson, E. W.

Brown, Maj. D. C. (N'th'l'd., Hexham)

Hopkins, J. W. W.

Simms, Or. John M. (Co. Down)

Bullock, Captain M.

Hopkinson, A. (Lancaster, Mossley)

Slaney, Major P. Kenyon

Burman, J. B.

Howard, Capt. Hon. D. (Cumb., N.)

Smith, R. W. (Aberd'n & Kinc'dine, C.)

Burton, Colonel H. W.

Hudson, Capt. A. U. M. (Hackney, N.)

Smith-Carington, Neville W.

Campbell, E. T.

Hudson, R. S. (Cumberl'nd, Whiteh'n)

Spender Clay, Colonel H.

Cazalet, Captain Victor A.

Hume, Sir G. H.

Sprot, Sir Alexander

Chadwick, Sir Robert Burton

Hurd, Percy A.

Stanley, Col. Hon. G. F. (Will'sden, E.)

Chamberlain, Rt. Hon. N. (Ladywood)

Hurst, Gerald B.

Stanley, Lord (Fylde)

Christie, J. A.

Hutchison, G. A. Clark (Midl'n & P'bl's)

Storry Deans, R.

Churchill, Rt. Hon. Winston Spencer

Iliffe, Sir Edward M.

Strickland, Sir Gerald

Churchman, Sir Arthur C.

Inskip, Sir Thomas Walker H.

Stuart, Crichton-, Lord C.

Clarry, Reginald George

Jackson, Sir H. (Wandsworth, Cen'l)

Stuart, Hon. J. (Moray and Nairn)

Clayton, G. C.

Jacob, A. E.

Styles, Captain H. Walter

Cochrane, Commander Hon. A. D.

James, Lieut.-Colonel Hon. Cuthbert

Sueter, Rear-Admiral Murray Fraser

Colfox, Major Wm. Phillips

Jephcott, A. R.

Sugden, Sir Wilfrid

Conway, Sir W. Martin

Joynson-Hicks, Rt. Hon. Sir William

Sykes, Major-Gen. Sir Frederick H.

Cooper, A. Duff

Kennedy, A. R. (Preston)

Tasker, Major R. Inigo

Cope, Major William

King, Captain Henry Douglas

Thompson, Luke (Sunderland)

Couper, J. B.

Kinloch-Cooke, Sir Clement

Thomson, F. C. (Aberdeen, South)

Craig, Capt. Rt. Hon. C. C. (Antrim)

Knox, Sir Alfred

Thomson, Sir W. Mitchell- (Croydon, S.)

Craig, Ernest (Chester, Crewe)

Lamb, J. Q.

Tinne, J. A.

Craik, Rt. Hon. Sir Henry

Lister, Cunliffe-, Rt. Hon. Sir Philip

Tryon, Rt. Hon. George Clement

Crook, C. W.

Lloyd, Cyril E. (Dudley)

Turton, Edmund Russborough

Crooke, J. Smedley (Deritend)

Locker-Lampson, Com. O. (Handsw'th)

Vaughan-Morgan, Col. K. P.

Crookshank, Col. C. de W. (Berwick)

Loder, J. de V.

Waddington, R.

Crookshank, Cpt. H. (Lindsey, Gainsbro)

Lord, Walter Greaves-

Wallace, Captain D. E.

Curzon, Captain Viscount

Lougher, L.

Warner, Brigadier-General W. W.

Davidson, J. (Hertf'd, Hemel Hempst'd)

Lowe, Sir Francis William

Waterhouse, Captain Charles

Davies, A. V. (Lancaster, Royton

Luce, Major-Gen. Sir Richard Harman

Watson, Sir F. (Pudsey and Otley)

Davies, Sir Thomas (Cirencester)

Lumley, L. R.

Watts, Dr. T.

Davison, Sir W. H. (Kensington, S.)

Lynn, Sir R. J.

Wells, S. R.

Doyle, Sir N. Grattan

Macdonald, Sir Murdoch (Inverness)

White, Lieut.-Colonel G. Dairymple

Duckworth, John

Macdonald, Capt. P. D. (I. of W.)

Williams, Com. C. (Devon, Torquay)

Eden, Captain Anthony

McDonnell, Colonel Hon. Angus

Williams, C. P. (Denbigh, Wrexham)

Edmondson, Major A. J.

Macnaghten, Hon. Sir Malcolm

Williams, Herbert G. (Reading)

Ellis, R. G.

McNeill, Rt. Hon. Ronald John

Wilson, R. R. (Stafford, Lichfield)

Elveden, Viscount.

Macquisten, F. A.

Winterton, Rt. Hon. Earl

England, Colonel A.

MacRobert, Alexander M.

Wise, Sir Fredric

Erskine, Lord (Somerset, Weston-s.-M)

Makins, Brigadier-General E.

Wolmer, Viscount

Erskine, James Malcolm Monteith

Margesson, Captain D.

Wood, Rt. Hon. E. (York, W. R., Ripon)

Evans, Captain A. (Cardiff, South)

Meller, R. J.

Wood, E. (Chest'r, Stalyb'dge & Hyde)

Falle, Sir Bertram G.

Meyer, Sir Frank.

Wood, Sir Kingsley (Woolwich, W.)

Finburgh, S.

Milne, J. S. Wardlaw-

Woodcock, Colonel H. C.

Ford, P. J.

Mitchell, S. (Lanark, Lanark)

Young, E. Hilton (Norwich)

Forestier-Walker, Sir L

Mitchell, W. Foot (Saffron Walden)

Frece, Sir Walter de

Moore, Sir Newton J.

TELLERS FOR THE AYES.—

Gadle, Lieut.-Col. Anthony

Morrison, H. (Wilts, Salisbury)

Commander B. Eyres Monsell and

Ganzoni, Sir John

Morrison-Bell, Sir Arthur Clive

Colonel Gibbs.

Gates, Percy

Murchison, C. K.

Adamson Rt. Hon. W. (Fife, West)

Guest, J. (York, Hemsworth)

Pethick-Lawrence, F. W.

Adamson' W. M. (Staff., Cannock)

Hall, F. (York, W. R., Normanton)

Ponsonby, Arthur

Alexander, A. V. (Sheffield, Hillsbro')

Hamilton, Sir R. (Orkney & Shetland)

Potts, John S.

Ammon, Charles George

Harris, Percy A.

Richardson, R. (Houghton-le-Spring)

Baker J. (Wolverhampton, Bliston)

Hartshorn, Rt. Hon. Vernon

Ritson, J.

Baker, Walter

Henderson, Right Hon. A. (Burnley)

Robinson, W. C.(Yorks, W.R., Elland)

Barker, G. (Monmouth, Abertillery)

Henderson, T. (Glasgow)

Rose, Frank H.

Barnes, A.

Hirst, G. H.

Scurr, John

Barr, J.

Hirst, W. (Bradford, South)

Sexton, James.

Batey, Joseph

Hore-Belisha, Leslie

Shiels, Dr. Drummond

Beckett, John (Gateshead)

Hudson, J. H. (Huddersfield)

Simon, Rt. Hon. Sir John

Benn, Captain Wedgwood (Leith)

Hutchison, Sir Robert (Montrose)

Sitch, Charles H.

Bowerman Rt. Hon. Charles W.

Jenkins, W. (Glamorgan, Neath)

Smith, H. B. Lees- (Keighley)

Broad, F. A.

John, William (Rhondda, West)

Snell, Harry

Bromley J.

Johnston, Thomas (Dundee)

Snowden, Rt. Hon. Philip

Cape, Thomas

Jones, J. J. (West Ham, Silvertown)

Spencer, G. A. (Broxtowe)

Cluse, W. S.

Jones, Morgan (Caerphilly)

Stamford, T. W.

Clynes, Right Hon. John R.

Kennedy, T.

Sutton, J. E.

Collins, Sir Godfrey (Greenock)

Kenworthy, Lt.-Com. Hon. Joseph M.

Thomas, Sir Robert John (Anglesey)

Compton, Joseph

Kenyon, Barnet

Thomson, Trevelyan (Middlesbro. W.)

Connolly, M.

Lawson, John James

Thurtle, E.

Cove, W. G.

Lee, F.

Tinker, John Joseph

Crawfurd, H. E.

Livingstone, A. M.

Trevelyan, Rt. Hon. C. P.

Dalton, Hugh

Lowth, T.

Varley, Frank B.

Davies, Rhys John (Westhoughton)

Lunn, William

Viant, S. P.

Day, Colonel Harry

MacDonald, Rt. Hon. J. R.(Aberavon)

Wallhead, Richard C.

Dennison, R.

Mackinder, W.

Walsh, Rt. Hon. Stephen

Dunnico, H.

MacLaren, Andrew

Watson, W. M. (Dunfermline)

Edwards, C. (Monmouth, Bedwellty)

March, S.

Webb, Rt. Hon. Sidney

Fisher, Rt. Hon. Herbert A. L.

Mitchell, E. Rosslyn (Paisley)

Westwood, J.

Garro-Jones, Captain G. M.

Mond, Rt. Hon. Sir Alfred

Whiteley, W.

George Rt. Hon. David Lloyd

Montague, Frederick

Williams, Dr. J. H. (Llanelly)

Gibbins, Joseph

Morris, R. H.

Williams, T. (York, Don Valley)

Gillett, George M.

Morrison, R. C. (Tottenham, N.)

Wilson, C. H. (Sheffield, Attercliffe)

Gosling, Harry

Murnin, H.

Wilson, R. J. (Jarrow)

Graham, Rt. Hon. Wm. (Edin., Cent.)

Naylor, T. E.

Windsor, Walter

Greenall, T.

Oliver, George Harold

Wright, W.

Greenwood, A. (Nelson and Colne)

Owen, Major G.

Grenfell, D. R. (Glamorgan)

Palin, John Henry

TELLERS FOR THE NOES.—

Griffiths, T. (Monmouth, Pontypool)

Paling, W.

Mr. Warne and Mr. Hayes.

Grundy, T. W.

Parkinson, John Allen (Wigan)

Education (Scotland) (Superannuation) Bill,

"to make further provision with regard to the grant of superannuation and other allowances to teachers in Scotland and to their legal personal representatives, and to the payment of contributions towards the cost of such allowances," presented by Sir JOHN GILMOUR; supported by the Lord Advocate and Mr. Solicitor-General for Scotland; to be read a Second time upon Monday next, and to be printed. [Bill 193.]

Orders of the Day

Ways and Means

Considered in Committee.

[Captain FITZROY in the Chair.]

Lace Duty

Motion made, and Question proposed,

"That, during a period of five years beginning on the first day of July, nineteen hundred and twenty-five, there shall, on the importation into Great Britain or Northern Ireland of any of the following goods, that is to say— Sir P. Cunliffe-Lister. ]

On a point of Order. Is there any precedent for a tax being proposed in Committee of Ways and Means by a Cabinet Minister who is not connected with the Treasury and who is not supported on the Front Bench by any single representative of the Treasury?

Perhaps I might be permitted before embarking upon the discussion of this Resolution, to express what I am sure will be the common sentiment of the whole House, namely, the sincere sympathy which the whole House feels with the party opposite, and indeed with itself, in the loss we have sustained through the sudden death at the point of duty of the hon. Member for the Forest of Dean (Mr. Wignall). He was a man who was equally liked and equally respected in every part of the House, and, quite sincerely, I am sure that in all quarters of the 'House it will be felt that we have sustained no less a loss than his own party and his own constituents.

The Resolution, which stands in my name on the Paper, and which has the complete and unanimous support of all the Members of His Majesty's Government, is one upon which it is proposed to found a duty of 33⅓ per cent. upon lace and upon embroideries of types which are closely akin to lace. The duty has been the subject of two exhaustive inquiries, and therefore the whole of the facts are plainly before the Committee. The Committee will remember that as far back as July, 1923, the then Government appointed a Committee to inquire into the position of both the lace and silk industries in relation to the serious unemployment which there was in those industries and to report what steps, if any, could usefully be taken. The Committee made a very long inquiry. It held 16 meetings, it heard 50 witnesses, and it covered the whole field of those who supported it and those who opposed the proposal, and in November, 1923, that Committee made a unanimous Report in favour of a duty such as is proposed in the present Resolution.

Here we are dealing with an industry which is essentially a Nottingham industry. As a matter of fact, the whole lace industry is a product of this country. The manufacture of lace by machinery was the invention of a Nottingham man— Heathcote—and the further adaptations which are known throughout the world to-day are also a Nottingham invention. This has always been an indigenous and a staple industry of the Nottingham district. It has been something more. It is an industry—and in this respect it is perhaps peculiar—in which, more than any other, the individual worker has sunk his capital. It has been a common practice for the worker who has made a little money in the industry to sink his capital in some undertaking or himself become a small owner and a small capitalist. Whatever views one may take in favour of or against capital, there is no form of capital which is more entitled to sympathy than the savings of the worker, made at his own industry and sunk in his own industry. It is an industry, too, which is essentially localised, both in the machines and the making of the machines and in every product of lace. And therefore it is an industry which, if it is in a very bad condition, if it is hard hit, has peculiarly unhappy effects upon the area in which it is situated. It is an industry undoubtedly of national as well as of local importance. In 1907 it was employing, according to the Census of Production, over 42,000 people. It has, of course, greatly shrunk, due in part to a change in fashion, and in consequence, of course, the imports, serious though they are, are much less than the imports before the War. Although the imports are less in volume than before the War the Committee found—and they endorsed this in their second report—that we are certainly not maintaining our position. Dealing with that point, in their first Report, in paragraph 33, the Committee say: entrepôt trade. The summarised the position very concisely in paragraph 59. They say: will concur in saying that those words are not one whit too strong to describe the position. They recommend, therefore, that a duty of 33⅓ per cent. should be imposed upon machine-made lace and embroidery of a kind which is closely akin to lace—embroidery which is made on net or other dissoluble fabric. They recommend that the duty should be imposed for a period of five years. The Prime Minister has given the following pledge: great difficulty in obtaining new capital unless it can obtain the security of a, duty. I will read one extract from paragraph 17, at the end: entrepôt trade, in this case you have one of particular simplicity. They find in paragraph 23 that so far from employment becoming better it has actually become worse since they made their previous Report. They find that wages in the competing countries are considerably lower than wages in this country, and that whereas the wages in the Calais district, which is one of the competing lace districts, were about the same level as the Nottingham wages before the War, to-day they are much lower. They find that in Switzerland and in Germany they are also lower. They find as a fact that foreign goods are being sold at prices with which our manufacturers cannot compete, and they find this, which is very important in this connection, that the greater the amount of labour involved in a particular type of lace, the greater the disparity in the price, so that the more labour that is put in the less chance you have of competing in just that type of article where most labour car be employed and most wages can be paid. They find as a fact that employment is and is likely to be seriously affected, and they find that the competition from which the industry is suffering is exceptional and unfair: Commons to deal with the matter practically and come to a practical decision. On 16th February last, in the Debate on the Safeguarding of Industries Motion initiated by the right hon. Gentleman the Leader of the Opposition (Mr. Ramsay MacDonald), I said this: then might be able to say whether or not they were really exceptional, and a case in which action might fairly be taken.

As a matter of fact, the retained imports here for the first four months of 1924, making the allowance which the Committee did of 20 per cent. in increased prices for re-exports, were valued at £230,000, whilst the corresponding figure for the first four months of this year is £295,000.

These were the facts as found by the Committee. There are two points which I should like to make clear. The first relates to the question of duty where an article is both lace and silk, and second, the provisions made for safeguarding the entrepôt trade. In regard to the first, the Committee will observe that the Resolution is drawn in wide terms, but we do not in fact propose to charge a duty which in the aggregate exceeds 33⅓ per cent. on an article which is composed of silk and lace. We propose to deal with that in what I think is the best way. Where the article is not a made-up article, it will pay the Lace Duty and will not pay as silk, unless the Silk Duty would be greater. It will, therefore, generally pay only the 33⅓ per cent. Lace Duty, and no other duty. Where you come to a made-up article which is chargeable under the Schedule in the Finance Bill on a varying ad valorem scale, we propose to proceed in this way, that if the Silk Duty is 33⅓| per cent., then no Lace Duty will be charged at all. It will simply be the one duty. If there is a 2 per cent. or a 10 per cent. Silk Duty it will bear the Lace Duty in accordance with the difference. If there is a 10 per cent. Silk Duty it will bear the 23 per cent, duty on the lace, thus making the total on the lace 33⅓ per cent. The net result is a very simple proposition; it has been administered in thousands of cases in other countries with a lace duty.

I think I have, perhaps, met most of the points raised in the last three Amendments which are on the Paper. In regard to dealing with the entrepôt trade, Customs' investigation has entirely justified the finding of the Committee that there will be no difficulty at all in deal-with it. As the Committee probably is aware, the great bulk of this trade, that is to say five-sixths of it is done on Through Bills of Lading. In that case the whole of that five-sixths would be re-exported en bloc and never pay any duty at all. As it is re-exported from the country, all the exporter would have to do would be to declare it out of bond. He would, therefore, only have to pay duty in respect to his imports. That, I say, applies to five-sixths of the whole of what is imported. In regard to the remainder, you may have one of two things: You may have the merchant uncertain as to how he proposes to deal with it, whether he is going to put it on the home market or re-export it. He can, if he wishes, put it into the bonded warehouse. If it is put there: it may be packed, or unpacked, or re-packed and made up into parcels, and either re-exported or left in bond for the time being. If he sells it in the home market he has to pay the duty. If, on the other hand, he sells it on re-export, he then gets the drawback on the duty; and the same applies generally to manufacturing firms. As a matter of fact, here again, so far as the drawback is concerned, it is likely to apply to a very very small proportion of the re-export trade, and I am advised by those who are familiar with the trade that, as all lace is brought in on a serial number, it is likely to be a comparatively simple thing to trace the consignments of lace if there is a claim for drawback. Those two points, re-exports and the avoidance of double duty, I thought I would make clear as soon as possible. The details, of course, can be discussed when we come to the Clauses in the Finance Bill. With regard to the question of the period of the duty, we propose that it should be for a period of five years. It has been said over and over again that the one thing wanted in matters of this kind was a reasonable amount of security. I endorse the arguments which have been advanced in support of that proposal. Therefore, we propose that the period of the duty should be five years. We do not propose to make sudden changes in this matter.

Let me sum up. I think it is plain that if ever there was a case where a duty could be imposed without any practical difficulty, this is one. If ever there was a case where, on exhaustive inquiry, we found it reasonable to impose a duty, this is one. If ever there was a case where, by reason of the character of the capital employed in the industry, it was a reasonable ease to be dealt with, this is one. If ever there was a district which needed help, I do not believe there is any district that needs help more than the Nottingham district at the present time. I suggest to the House that if we refrain from adopting this twice-endorsed recommendation and finding of the Committee which we set up, we should really be breaking the Prime Minister's pledge and would be wilfully increasing unemployment when we might do something to better it.

Before we proceed further, it would be as well to state what is to be the procedure, so that there may be no misunderstanding at a later stage. I see that the right hon. Member for Central Edinburgh (Mr. W. Graham) has the first Amendment on the Paper If he moves that Amendment we can have a general discussion of the whole Resolution on the Amendment. If, on the other hand, he would prefer to make his speech on the Resolution and to move his Amendment at a later stage, it is open to him to do so. But we cannot have it both ways. Either we must have the general discussion on the first Amendment or on the Resolution.

I beg to move, in line 1, to leave out the words "five years," and to insert instead thereof the words "one year."

I can at once fall in with the Chair's suggestion if at this stage I move the Amendment, on the understanding that we take the general discussion on it. The President of the Board of Trade indicated that, in his judgment, there was an overwhelming case for this proposal. I take an exactly opposite view, and I take that view because a very large part of the Report of the Committee on which the right hon. Gentleman relies is in flat contradiction to the proposal which he himself has now brought forward. Let me make it perfectly plain that no one on this side of the House would willingly take any steps to impede the recovery of an industry which is undeniably in difficulty at the present time. But we have to expose a proposal of this kind to two tests. The first test is national interest, and the second is whether the proposal of the President of the Board of Trade is in keeping with the terms of the former Safeguarding of Industries Act, of 1921, or, now, with the recent Memorandum of the Government.

The right hon. Gentleman has made it abundantly plain, as the report of the Committee makes it perfectly clear, that there are circumstances affecting this industry which to a great extent account for its present position. These may be described as, first of all, the fall in the purchasing power of the people because of widespread industrial depression, and, secondly, an undoubted change of fashion as regards the use of lace, which two taken together go a very long way to explain the circumstances which we find in Nottingham and in other lace centres. These facts were made very clear indeed in the evidence which was laid before the Committee, and they are presented with some impartiality in the second of the two reports upon which this proposal is founded. Therefore, broadly, it comes to this: that we are to be invited in this House to make a case for undeniable Protection simply because there is general industrial depression, and, secondly, because fashion has changed. As I understood a great deal of the discussion in the earlier stages of the Safeguarding of Industries Bill, certain things, at all events, were plain, and certainly they are no ground at all for individual changes in our fiscal system— changes which in the aggregate, if this Government has its way, in the course of two or three years will effect a large-scale change.

This, of course, is only one more step along the road to Protection, not immediately in the nature of a general comprehensive tariff, but in the nature of individual proposals. These grounds are perfectly impossible grounds on which this House should be asked to proceed, and I suggest they are altogether contrary to national interests in Great Britain, in view, particularly, of our island position. But I am going on to argue, in the second place, that the proposals of the Government do not fulfil, first of all, the conditions of the former Safeguarding of Industries Act of 1921, and particularly those conditions which were laid down in the White Paper circulated to hon. Members some time ago. First of all, the industry must be a large and important and substantial industry in this country. Many of us recall the speech of the Prime Minister or some other Member of the Government in this connection not so very long ago, from which I think we formed the impression that by a large industry was meant some great concern analogous to iron or steel or something like that, but at all events something on which to a great extent this country depended and which was exposed to unfair foreign competition. At the very best, with all respect to the lace industry of Great Britain, I do not think you can put it in that category at all. Even if we take the higher figure of 40,000 as representing those employed in it, it is a comparatively small industry, although I do not want in any way to underestimate its importance. But at the present time, thanks largely to the changes that have taken place, not more than 20,000 to 27,000 people within certain limits are employed in the industry.

In spite of the very clear indication of the White Paper that large-scale industries were in contemplation, this industry is picked out for support and a 33⅓ per cent. tariff is proposed. If that is to be the policy regarding these comparatively small industries, of course, quite clearly, what the Government has in mind is a tariff all round. As a Free Trader I suggest that surely it would be infinitely better if the Government said to us that they were going out for a general and scientific tariff. We should then know where we were. But as the Government are going on now, you get a dose of tariffism in the Finance Act, you get another dose in the safeguarding of industries, and further doses under different heads of legislation, until the whole concern is chaotic and can only have very adverse effects upon British industry and commerce. The right hon. Gentleman was in obvious difficulty on the second head of the conditions in the recent memorandum. After all, a large part of the criticism in 1921 and succeeding years turned upon the danger to British employment of the dumping of goods within these shores from foreign countries. It was necessary to establish that they were being retained here in abnormal quantities before, presumably, this class of legislation would be applied. The President of the Board of Trade made no real attempt this afternoon to meet that, the most difficult criticism which he has to meet under that Act.

If the average of the three years from 1910 to 1913 be taken, it will be found that about £1,700,000 worth of this commodity was retained within these shores, whereas in the three years up to 1924 the value was not very much more than £747,000, and in the latter figure we must make allowance for the higher prices which prevailed. So that quite clearly, although the right hon. Gentleman tried to bolster up his case with some limited figures within recent months, the fundamental condition of the recent White Paper as to abnormal dumping within this country absolutely failed. The right hon. Gentleman cannot plead either on the facts or the figures, and, accordingly, ha tries to get round the difficulty by other arguments which are in no way relevant to the proposal now before us. You must prove that retention in abnormal quantity and you must prove that dumping before you can establish the three succeeding conditions which the Government themselves laid down when that White Paper was under discussion in the House—the three succeeding conditions which turn upon that second condition of abnormal retention of a commodity.

Let any hon. Member turn to the report of the Committee appointed by the Board of Trade, and he will find that the Committee makes it perfectly plain that those three conditions cannot be pleaded at all, because condition No. 2 has disappeared. So at the present stage we find first of all that they do not satisfy the chief condition as to the magnitude of the industry; they abandon No. 2, the important condition, and they do not plead 3, 4 and 5 at all, a most extraordinary state of affairs. I do not make any reflection at all on the Committee which considered this matter, but I think the House ought to know that, while they no doubt did their best to be impartial, two of them at least are acknowledged Protectionists. I make no reflection on them when I say that it is very difficult for people holding that view to shake off that economic fallacy, as many of us regard it; so that when they had nothing at all of a very satisfactory character to meet the first five conditions, they turned to another argument, the argument of the inferior labour conditions in other countries which manu- facture this commodity, and the benefit which the export trade of other countries derives by reason of exchange depreciation. 5.0 P.M.

Let us take the two arguments and try to put them in something like proper proportion. On the first case of the inferior labour conditions, whether in Germany or in any other part of the world, is it for one moment a sound economic argument that you are going to improve those labour conditions by the device you are adopting in trying to exclude imports into Great Britain? I do not very much mind whether a man is a Tariff Reformer or Free Trader, this is a perfectly plain economic proposition. Moreover, if the operation of this duty becomes partly or wholly prohibitive in character as regards imports, what actually happens is that you restrict the market of the foreign exporter, and how that is going to help labour conditions in any other part of the world I cannot understand. If you wanted to adopt any advice to perpetuate these awful labour conditions, in so far as they are awful, then, of course, restrict their markets, keep out their goods from other countries. By penalising their employés you achieve no object at all, and, what is worse, you damage your own trade in Great Britain in the process, because nothing can get round the fact that our export trade depends, to a large extent, on what we take from other countries, and it is no use trying to blink consideration of the fact. So that, while many of us in this House rely upon international labour legislation, upon collective bargaining in different countries, upon the organisation of labour for its proper protection, and all the rest of it, we at least agree that this is no remedy whatever for the inferiority of labour conditions in so-far as they are inferior.

Let us turn to the other part of what appears to be about the only argument that this Committee of the Board of Trade proffers. Running right through their Report, and throughout a great deal of the evidence laid before the Committee there was reference after reference to the depreciated exchange, and the export advantage that it gives to other countries in the world as against our trade here. When the Act of 1921 was passed, a great deal of the argument turned upon exchange depreciation. It was argued that there was large scale dumping, due to the export advantage enjoyed by other countries, and that they way to deal with that was to impose a tariff of 33⅓ per cent., or whatever the rate might be, in order, as far as possible, to exclude those goods. Whatever the exchange position might have been, I certainly never admitted that that was the remedy. The situation is undeniably different to-day, because this country has taken the step of definitely endeavouring to return to the gold standard, and the Cunliffe Committee themselves made it perfectly plain that it was one of the ingredients of success in a return to the gold standard in this country, and in other countries', that there should be the freest possible exchange of commodities throughout the world. It is of vital importance to us in Great Britain, because of the comparatively leading place which we have taken in the return to that standard to-day.

Hon. Members may plead that this is only one individual and specific industry-but we have got to remember that they are coming along with proposal after proposal of this kind, and that very soon there will be a great accumulation of restrictions, all of which are against the fundamental proposition that a perfectly orthodox body like the Cunliffe Committee laid down. Hon. Members cannot have it two ways. The Chancellor of the Exchequer would probably agree, if his private mind could he disclosed to the Committee, that the return to the gold standard requires every safeguard that we and other countries can employ at the present time. It is a very delicate operation, and, in any case, it requires the freest interchange of world commodities. And here we are in Great Britain, under one device after another, building up a kind of chaotic tariff, defeating these fundamental conditions, and, in the long run, and it may be, in the short run, penalising some of the most important industries on which we depend.

We must take a broad and a general view of this proposition. I have never disputed, personally, that every man, of course, could make a case for Protection, and any town and any industry could be picked out which could say: "We shall be better for the care and nurture, such as it is, of a tariff." Each man is always a Protectionist for himself, but a Free Trader in everything else, and the only way in which to view this problem is to take the national interest strictly into account: I have no doubt that the national interest in this country lies in the maintenance of a policy of fiscal freedom, and, accordingly, it is our duty to oppose every suggestion, whether it under the head of the safeguarding of industries or, like silk, for quasi-revenue purposes, or whatever it may be—it is our duty to oppose every device of that kind, because individually, and in the aggregate, they make an inroad upon that system of fiscal freedom. There might be a little in the argument if the Report of this Committee had even justified the course that the Government propose. But any student of economic problems in this House who has read the Report of that Committee, must agree that there has probably never been in ten or twelve pages of printed matter so much downright economic rubbish and contradiction, to such an extent that, actually, out of seven conditions, which they themselves summarise, they are obliged to abandon five, and very indifferently plead the other two. Under these conditions, so far as we in this part of the House are concerned, we shall do everything in our power, at all stages, to resist this proposal of the Government.

I rise in order to support, very briefly, the view which has been presented to the Committee so admirably by the right hon. Gentleman who has just sat down. I think that anybody who feels able, in spite of the heat, to attend closely to contemporary Parliamentary proceedings, must regard what is happening to-day as a very strange stage in the history of British finance. We have a proposal, which is a pure proposal for a Customs duty, recommended to the Committee, not by the Chancellor of the Exchequer, not by his colleagues at the Treasury, but by the right hon. Gentleman who is the head of the Board of Trade. Yesterday the Committee on the Finance Bill were discussing 33⅓ per cent. on silk. That, we were assured, was not Protection. To-day we are discussing 33⅓ per cent. on lace, and I think, probably, both the Chancellor of the Exchequer and the President of the Board of Trade will admit that is Protection. And there they are sitting side by side at this moment, one of them, 24 hours ago, trying to persuade anybody who was gullible enough to believe it, that his proposal was not a Protective proposal, and now the President of the Board of Trade, 24 hours later, coming forward and recommending from the same Government Bench a proposal essentially identical in scope and effect which he himself, and, of course, everybody, knows is pure Protection.

That is a very remarkable state of affairs, and it shows how very easy it is, not only for a majority but for a Government to slip into a series of Protective proposals, of which this is the latest. Let me remind the Committee what is the recent Parliamentary history of this particular portion of the scheme. Even after the last General Election, after the formation of the present Government, important and distinguished Members of it were still acting under the impression and intention that they would introduce a Safeguarding of Industries Bill. As recently as December of last year, the Prime Minister himself was saying, in reference to inquiries that were made, that really that matter must be left until we had his Safeguarding of Industries Bill before us. He said, on the 17th December, when he could not for the moment give full information: speech I made on the 16th February last. I said:

How anybody who has such a command of accurate language as the Prime Minister—nobody admires his accurate use of language more than I do—can go on pretending that what is happening here is not Protection, and the way to a general tariff, passes my comprehension. A general tariff in the mouth of any competent student of economics does not mean a tariff on everything. A general tariff means a list of duties which you apply at the port from whatever foreign country the goods come. That is what a general tariff means. Any competent person knows that well. Let me quote an authority, whom I have quoted once before in this House, who will not be suspected of being a Free Trade partisan. I refer to Professor Hewins, who was a Member of this House, and is a great student of this subject. He corrected this vulgar error, for it is nothing else, long ago. He wrote a manifesto on Conservative economic policy, in which he said: A general tariff is put upon foreign products from all countries alike. The Safeguarding of Industries Act, as hitherto understood, was, on the contrary, addressed to particular countries. We pointed this out in a Debate at the beginning of this year. We said, "Here you are producing what you call your new scheme for the safeguarding of industries. You begin by saying you will introduce a Bill. You said 'wait for the Bill. The details will all be found in the Bill.' You then said, No. We will not have a Bill. We will do it by a White Paper." When we examined the White Paper, we said" Your White Paper is not a White Paper based upon the principle that upon proof, this by reason of depreciated exchanges some particular foreign country gets an unfair advantage in our market, you put a tariff against that particular foreign country." We say that your White Paper is based upon this absurdity, that it propounds this question: "Is some particular foreign country dumping goods because of depreciated exchanges or the like," and then having got an answer, it provides a most ridiculous remedy, for it puts a tariff against all countries.

We have the President of the Board of Trade assuring the House, as the head of his Department, that nothing but unprecedented conditions of competition would ever cause him to put before us a proposal of this sort, and we have the assurance from the Prime Minister that a general tariff is a thing with which he would not soil his fingers or reputation by touching, yet we have one of his colleagues introducing within six months of that statement, proposals to tax with stiff import duties, wherever they come from, motor cars, motor bicycles, cinema films, clocks, watches, musical instruments. Silk yesterday and lace to-day. [HON. MEMBERS: "Hear, hear"!] Hon. Members opposite are quite right to cheer, because they have more honesty and less discretion and cunning than some of those who are leading them. They are in favour of Protection, and they cannot avoid saying so, but the people sitting on the Treasury Bench, whether they are in favour of Protection or not—I confess that I do not know what is the moral state of the Chancellor of the Exchequer's intelligence—are quite plainly introducing, step by step, a series of taxes which, taken together, are a general tariff and nothing else.

Hon. Members opposite are quite right to cheer. That is what they want. That is what they mean. Protection! That is what they think they are going to get, and the only hon. Members among them who will live to regret it are the agricultural Members because there is just one form of tariff which perhaps this Government will not attempt, and that is any sort of tariff which will protect the agricultural interests. [An HON. MEMBER: "Wait and see!"] The hon. Member is right. It may be that they will break that promise too. It is quite likely that they will break their promise in that respect. They made a statement in expressed terms from the Treasury Box, three months ago, excluding it in their White Paper. Perhaps the hon. Gentleman has better sources of information than I have. It may very likely be that they will break that assurance as well.

It is no good discussing the detailed merits of this proposal or that proposal, because it is true that any industry which chooses to collect material, standing by itself, and without regard to the large question of general public policy, can put forward a very persuasive case for a tariff for its own protection. Everybody knows that. [ Laughter. ] That seems to amuse hon. Members opposite. The Chancellor of the Exchequer explained it very eloquently again and again in his Free Trade days. The real issue is, Are the people who are trying to take an interest in the public policy of the country right when they say that imports are not an evil, but are an essential part of the fiscal health of this country? No doubt the imports which compete with the lace of Nottingham or the watches of somewhere else are an extremely embarrassing obstacle in the way of a complete command of the home market on the part of the home producers who, naturally, wish to sell their own wares. I do not reproach them, and I do not complain. It is only natural, and human nature.

The sort of case that is made out in this White Paper for the protection of lace curtains is the sort of case that could be made for the protection of all sorts of British products in respect of which at the present time there is not a very large sale. Does anybody really suggest that by putting a duty of 33⅓ per cent. on im- ported lace curtains that you are going to improve the taste of the householders of this country and induce them to hang up these very ugly things, in order to prevent people as they walk down the street from looking through their window, as they did 20 years ago? Of course you cannot. You might as well put a tax upon foreign painters in order to improve British art. You might as well put a tax on American golfers in order to improve Scottish golf. Though it may be embarrassing and inconvenient to be faced with these things, on the whole in our island, with its special circumstances, imports are a good thing and not a bad thing at all. [HON. MEMBERS: "Oh!"] There are plenty of people who do not think so, and the mass of the supporters behind the Government do not think so. The Government, trusting to its strength, and hoping to have a quiet life for a few years, will put a tax on this and on that and call it something other than Protection, but the two things are the same.

I agree with what has been said by the right hon. Member for Central Edinburgh (Mr. Graham) on this subject. You could not read a report which departs more widely from the conditions which were laid down in the White Paper when these Committees were set up. There may be some hon. Members who have not looked at the Lace and Embroidery Committee's report. They propound a question at the bottom of page 4 as to at all. They tear up the commission under which they were appointed. They present a perfectly different report to the Board of Trade, which is based on flimsy material; but that does not trouble the President of the Board of Trade. He comes here in order to add to this Budget, which is making the reputation of the Chancellor of the Exchequer, one more tax, and to increase the list of Protective taxes imposed upon the country.

I had not intended at this stage of my Parliamentary career to intervene in any debate, but I am impelled to do so, in spite of the fact that my knowledge of procedure at the present moment is so small. I trust that will be one of the conditions that you will take into consideration, Sir, if, for some reason or other, I find myself out of Order. On the general debate, I think I can keep well within the four corners of what your allowance will be. While I crave your indulgence, I should like to crave the indulgence of the Committee, because I am going to break what I have laid down as one of the canons that should be observed by myself for some considerable time. I was brought up to believe that silence is golden, and I find myself speaking. I am, therefore, depreciating my currency, and instead of getting back to the gold standard I am a bi-metallist, and I find that I am now using a silver currency. I crave the indulgence of the Committee because I have no intention whatsoever, either now or at any other time in the future, of debasing my currency as much as the currency of certain hon. Members opposite has already been debased by the garrulosity that has been noticed from the benches opposite, where their currency now is not even silver but has been so debased that it is hardly a known white metal.

The industry which happens to be the real staple industry of the constituency which I represent is an industry of substantial importance, although the right hon. Member for Central Edinburgh (Mr. W. Graham) does not allow that. If he will take the figures, the pre-War figures of the number of people employed in the industry, he will see that some 40,000 people were employed. Counting the wives and families, that makes a total of 110,000 or 120,000 people. The right hon. Gentleman would regard that as a small matter and that it need not be called a substantial industry. That is not the kind of thing that was in my mind or in the mind of the country when we first read the White Paper and found that an industry in order to get what it requires in the way of safeguarding should be of substantial importance.

I believe that the lace industry on that account alone is of far greater importance than the word "substantial" might at first seem to indicate. But what is the state of the industry at present? Something like half that number of people is now employed. I do not intend to go into statistics because the statistics are in the Barnes Report. Anyone who is interested in this subject will have read that Report and read it with great profit. But I will say two things about the state of this particular industry. The lace market is in the centre of my constituency, or rather I should say that the lace market was in the centre of my constituency, for it has now practically ceased to exist. In the past buyers used to come from all parts of the world. Where they used to come in their hundreds, they do not come now in their tens. And the doors are bolted, and the windows covered with dust.

But from another point of view there is something to be said about the state of the industry. This particular industry has a peculiar interest, because it is very largely finished in the homes of the people who are called the working class. The lace is taken, or was taken, into their homes and there it was scalloped, and now when you go into the houses the scalloping is conspicuous by its absence. Instead of the mother of the family being able to do the scalloping, there is none to be found. Instead of the daughters having the work to do, there is no work provided. These people know the reason, and they unanimously require and request, beg and beseech that they shall be given some relief, in order that the industry might begin to be back again upon the feet on which it used to stand.

This is not a request that comes merely from one section of a "capitalistic" public. The Federation of Lace and Embroidery Association take the lead. They are supported by the British Plain Net Manu- facturers' Association. In addition— hon. Members opposite should note this; it is a thing for which they will have to answer in that district, it may be with their political lives—the application is backed by the British Lace Operatives' Federation. We have the operative class with us. Then there is the lace workers' branch of the Workers' Union, which is likewise with us. They are demanding that some duty shall be put on, and they are demanding also that the terms of these two Reports shall be put into execution.

I have letters here—it is not necessary to read them—not only from the employers' side, but also from the side of the working people. I would only say this much about the Lace Operatives' Federation, that as soon as the election had taken place last year, they at once wrote to me, who I trust am and always shall be a staunch Conservative, to know whether I would give the Barnes Report my whole-hearted support, and work, so that it should in time be brought to a satisfactory issue. I at once wrote that I would give the very best of my time and service, not only to the employers, but also to the employed who made that request. The desire comes not from one section; there is unity of desire. We are met with certain criticism. I propose to deal with one small criticism, and also with one which I would call rather important. We are met with the criticism that the lace trade is a luxury trade. The right hon. Member for Spen Valley (Sir J. Simon) pours the utmost contempt upon the rising standard of life of those people who do their best to hang their windows with lace curtains.

I assure the hon. Member that I did not pour any contempt upon them at all.

I think that the right hon. Gentleman poured contempt on the lace curtains.

I must apologise for interrupting, but the hon. Member has misunderstood me. I think myself that the modern form of decoration is much to foe preferred to lace curtains. I am sorry that the hon. Member does not agree, but that is my opinion.

I am delighted to think that there is a rising condition of life which shows that the people can put lace curtains on their windows, because in the struggle through which they are going it shows that they have been doing their best to put aside money, perhaps week after week, in order that they shall get what some people think is not very beautiful, if I may put it in that way, but at the same time is one of the things which show that they are rising in their sphere. I would also add this. If Members of the Labour party speak of the poor girl's finery, I would myself claim that that poor girl's finery should be made by that poor girl's brother rather than that those curtains should be made by someone who lives abroad. I do not wish to be unfair to the foreigner, but I do wish to give both finery to the girl and employment to the brother.

But there is a second criticism, which is much more important, but which, I think, can be quite well met. We have been told that the conditions of the White Paper have not been satisfied. I have read the White Paper with the greatest care, and I have read it many times, and I do not find that it lays down any conditions. It lays down procedure, inquiries and instructions, but such a word as conditions is not used one single time. It gives rules for guidance to these Committees, but in no single place does it say that this White Paper is an Act of Parliament or that it has to be interpreted as a legal document. The right hon. Member for Central Edinburgh kept on using the words "condition." "The first condition has been allowed," and "the second condition has not been met." The White Paper nowhere lays down any one condition. It is not an Act of Parliament, and not to be interpreted as an Act of Parliament. It is to be interpreted in the most general and open way. The President of the Board of Trade has declined to make any close definition, for the simple reason that the Committees when set up must have a completely open course to make what inquiries they wish, and not be hampered by any legal document of any kind. It would be most inconvenient to hamper them in any way. The result of the inquiry and the Barnes Report has been already marked. The Amalgamated Society of Operative Lace Workers telegraph:

In December, 1923, the Labour party had its chance. Peradventure it was hunting. It was looking for a rabbit. I think it was looking for it in a hat, and there was the rabbit the whole time, and they could not find it. As regards the Liberals, on the other hand, speeches such as that of the right hon. Member for Spen Valley to-day, though they may be the sort of speech that harasses witnesses, do not find work for the unemployed. Even he in his accuracy of language spoke of the "conditions" in the White Paper, though there are no conditions whatever in the Paper.

I think that this industry in Nottingham has all the virtues, except that it has not got the virtue of work. It has the virtue of peace in industry, and I believe that it has that peace in industry partly on account of the depression and misery through which it has already gone. There is now confidence between the operatives and the employers, and that is not what every industry can say. There is on foot a movement of co-operation between the makers and the finishers in the Employer's Federation, and a movement for further co-operation. We have peace, we have confidence, we have the beginning of co-operation, we have the will to work, and Nottingham comes to request the House of Commons to help her in her distress and give her the aid which she requires.

Speaking quite upon my own individual responsibility—and in no way must my remarks be associated with my party as a whole—I wish to express on the Floor of the House my support of the proposed inclusion of the lace industry [HON. MEMBERS: "Hear, hear!"] That does not in any way cheer me, neither does it nonplus me. I am in the habit of speaking after I have arrived at a conclusion, and my own party quite appreciate the position with which I find myself confronted. There is no apology necessary, because, in the first place, perhaps I could tell the House a little more about the manufacturing side of the lace industry than any other Member. I happen to be the only resident Member for Nottingham, and it is because of the fact that on the manufacturing side and the industrial side, I am brought into direct contact with the problem, that I am able to come to a very definite decision. After the long period of unemployment which the operatives in this once thriving industry have been called upon to go through, no amount of economic talk to them can in any way remove the fear which they have of hunger and depression in consequence of long drawn out unemployment, and if it be possible to help those sufferers without injuring neighbours, or anybody else, then it is our duty to give that help.

I believe that in this case much of the suffering can be relieved without adversely affecting anybody else. Because I believe that I have said to the principal operatives' union—the Lacemakers' Operatives' Association, one of the oldest and most effective unions—that I am not concerned so much about the re-export branch or about the efficiency or lack of it which exists from the employers' point of view, but I am concerned from the operatives' point of view. I only hope that when the industry gets as it will get, this Protective Measure for the period of five years, it will commence to make itself as effective and efficient as it might be, and that having had five years in which to build itself up and to advance itself, at the end of the five years it will be glad of the help given to it now and will come to the Government and say, "We have no desire for any prolongation of this period." [HON. MEMBERS: "Or ask more."] Even if they do and if I am satisfied they are still suffering, I shall support it. The right hon. Baronet the Member for Carmarthen (Sir A. Mond) opposes the giving of help to a struggling industry of this character in this form, but his own proposal is simply Protection in another form provided out of the accumulated funds of the unemployment insurance scheme. The right hon. Gentleman suggests that if a trade is suffering, instead of paying unemployment benefit to the out-of-works we should pay so much to the employer for every out-of-work who is absorbed in industry. For each married man with a family the employer is to get a 23s. subsidy to help his trade. If the wage is 46s. there is a 50 per cent. subsidy to the industry coming direct from the accumulated fund jointly subscribed by employers and workpeople. In principle, will hon. Members tell me the difference between that proposal and the present proposal? One is a subsidy from workmen's contributions and the other is Protection against the introduction of cheap manufactured goods brought about by fluctuations in the foreign exchanges. I will give my vote in support of the inclusion of the lace industry as proposed for the period of five years in this protective duty of 334 per cent.

The speech to which we have just listened and the speech which preceded it, emphasised a point often raised in this fiscal controversy and it is that we are landing ourselves into a vicious circle and that we shall soon have a long procession of particular trades coming up and demanding that they shall receive the protective treatment meted out to others. I think it was the late Mr. Arthur Chamberlain who said that if Protection were adopted he would be able to make more money by lobbying in the House of Commons than by doing an honest day's work. We have already started upon that road. Already we have had the imposition of a duty on silk and now we are taking this step in regard to lace. In spite of reiteration, it is necessary to keep ever in view that this proposal is at variance with the pledge by the Prime Minister at the last election, one cannot but marvel at the ethical standard of people who try to find some refuge in asserting that the Prime Minister referred only to general tariffs while they bring in one at a time these different proposals and excuse themselves by saying they are not doing anything to infringe the pledge.

Already there is beginning to grow up among the people outside an understanding of the fact that all this is going to bring about an increase in the cost to the consumer of the commodities concerned. Nottingham is not the only place concerned in the lace industry. Such places as Honiton, Bedfordshire and Buckinghamshire are concerned in connection with hand-made lace. They specialise to such an extent that there is no question of competition with foreign trade. They have their own standard, their own particular work is sought for, and the result of this proposal will be an increase in the price of that commodity which the consumer will pay. That may be taken as an ex-parte statement coming from me and I will, therefore, quote a letter which I received to-day from a merchant in the City who is quite a stranger to me. I think it is worth quoting, having regard to the position of the Conservatives and the pledge given by the Prime Minister:

As the hon. Gentleman has quoted this letter, will he state if it is from an agent for foreign firms?

There is nothing to indicate his position but I understand it is from a gentleman who is in business himself in Cheapside. [HON. MEMBERS: "Name."]

The hon. Member who has just sat down imitated the example set in other speeches made from the opposite side and disregarded the main point which is before us, namely, whether this Resolution should be accepted or not. I do not propose to follow what was said by the right hon. and learned Gentleman the Member for Spen Valley (Sir J. Simon). He made a very serious criticism on the honour of the Prime Minister, the Chancellor of the Exchequer and our other leaders. I think the honour of the Prime Minister will not be affected much by what comes from the right hon. and learned Gentleman. The same may be said of the Chancellor of the Exchequer, who can deal faithfully with the right hon. and learned Gentleman on most subjects. The right hon. Gentleman the Member for Central Edinburgh (Mr. Graham) made a grave imputation in the course of his speech. He said that two of the Members of the Committee which recently sat on the lace industry were known Protectionists. [HON. MEMBERS: "Hear, hear!"] What does that imply? Does it imply that these gentlemen were honourable or dishonourable? Are these gentlemen here to defend themselves? Is it the practice of the House of Commons to make attacks on people who are not present? These gentlemen are known to be absolutely impartial. Whatever decision they gave was an impartial one and one upon which the House ought to rely.

6.0 P.M.

I rise to support the Resolution, and with all respect I wish to congratulate the Government on bringing it forward. Some of us who are interested in the lace industry would have preferred if action had been taken earlier in the session, because despatch is vital in this matter. I quite recognise that the Government has taken the earliest possible opportunity of bringing this matter before the House, and I doubt not that the lace industry as a whole will be grateful to the Government for bringing that trade before the House, the first of all those industries which are undoubtedly suffering from unfair and unequal competition from abroad. I think, myself, that the lace industry has some claim to priority in this matter. As has already been stated by my right hon. Friend in his opening remarks, it has twice gone through the ordeal of investigation by an impartial Committee. Every detail in regard to it has been inquired into, counsel have been engaged to examine and cross-examine witnesses, and we have before us a statement on which we surely can act. The first inquiry, in 1923, advised, as the last inquiry has advised, that this House should impose a duty of 33⅓ per cent. upon imports into this country. That advice was not adopted in their wisdom by the Labour party, and I do not propose to argue whether or not they were justified in the decision to which they came, whether on theoretical or national economic grounds; but I do say this, that the decision they came to, not to act on that advice, has resulted in the continuance and in the increase of a vast amount of unemployment in the lace districts—that is undoubted—and, further, that it has jeopardised the very existence of that industry in certain centres.

I represent a district which is dependent entirely on the lace industry, the Long Eaton district, a district which has the largest lace-producing plant in the world, and I say that, by the action of the Labour party, an enormous amount of unemployment has been created there, that they have jeopardised the existence of that industry there, and that firms have gone bankrupt through the action which they took. [An HON. MEMBER: "What action?"] Inaction would be a better word; their action in not taking action. My right hon. Friend gave some statistics about the unemployment resultant upon the depression in the industry. We all know that official figures may contain inaccuracies when you have a district like that to which I refer, where this vast depression has existed. There is an enormous drift of people into other areas, they go to seek work elsewhere, and even, I am afraid, they go on the dole somewhere else, or they go abroad, and we cannot estimate with any accuracy the amount of unemployment which has taken place in the area. The true measure of the result of the depression can only be gained by looking at the output of the machines, and we have accurate information before us from the reports of these Committees.

We find from the Report of the Committee in 1923 that the average output per week per machine in 1913 and 1914 was 115 racks per week, a rack being the unit used in the lace trade, and in 1921 and 1922, post-War, it had come down to 21 racks per week and it is obvious what that means to unemployment. The recent Inquiry has reported that, although the output in 1913 and 1914 was 115 racks, to-day it is only 31. Figures are always rather uninteresting, but I should like to give a very short resume of the situation of a firm in the district which I represent, a highly respected firm, one of the best, I believe. Their plant consists of 25 modern Leaver's lace machines. The maximum output of these machines should average 220 racks per machine per week when working the customary double shift of 20 hours a day. Occasionally, one of these machines makes 350 racks in a week. I will now give the actual figures per machine, as obtained from a wages book, of which I have a certified copy. In 1907 it was 216 racks; in 1908, 126 racks; in 1914, 127 racks; in 1915, 132 racks; after the War, in 1922, 38 racks; in 1924, 51 racks; and in 1925, 34 racks. The output now averages 34 racks, instead of 220 The wages are £14s. 9½d., instead of £8 0s. 5d. per machine per week for two men, and more than 50 of this firm's hands are drawing the dole.

These are figures which cannot be controverted, and this firm is not in such desperate straits as are many others. Hon. Members have deprecated bringing in the lace industry, but if that argument is carried to its logical conclusion, we can deprecate the introduction of every industry. Surely it is the duty of this House to look after the small industries as well as the great industries, and I cannot see the relevancy of the argument that, because an industry does not employ millions of men, it is not the duty of this House to look after its interests. I give that instance of a firm which is still in existence, and the Committee must recollect that firms have gone into liquidation and have been unable to last out. I have been over factories in this district, where they are hanging on by their eyelids, so to speak. The President of the Board of Trade has told us that, generally speaking, they are not big men in the lace industry, but small men, who have worked their way up and made a. certain amount of money. This depression came, and they hung on, making small money. Things got worse, and they were making no money, but they kept their people going. They still had hopes that things would change for the better, and they lost money, and I have been told, on more than one occasion by that sort of man, whom, I think, we ought to support, that they would have been infinitely better off to-day and would have had money if they had sold their expensive machines for scrap iron at the beginning of the War.

That is the situation to-day, and these are the men we are asked to help. That information is not private. It is known to everybody in the district. It is known to the workers what the situation is, and the workers themselves come to us and ask for help in this situation. The district which I represent is practically entirely industrial. The electorate are workers, and at the last election I had opposed to me a Member of the Labour party, who claimed that, because the electors were working people, they should vote for him. The worker, who knows the situation, has done me the great honour of appointing me the Labour Member for that district, the reason being that he finds that the Conservative party is ready and willing and determined to do something for labour and for unemployment. That proves that it is not necessary to have Socialistic proclivities to be a Labour Member. From what I have said with regard to the position in the district that I represent, I say that it is impossible to find clearer or better evidence of the necessity in certain cases of carrying out the policy which was laid down by the Prime Minister.

This depression is undoubtedly almost entirely due to the exchange, to the fall in the value of the franc. The competitor of England in this matter is France. I rather resent all this talk about Nottingham, which is not the only spot, and I do not think the depression is so evident in a place like Nottingham, where there are other industries. You see it more in a place where the whole district depends upon this industry. It is due, I say, to the fall in the value of the franc. In pre-War days the lace industry was able to hold its own, and more, and it did so when the exchanges were equal. The rates of wages before the War, in 1913 and 1914, were approximately the same in France and in England. Taking about 60 hours in those days, in France 57½ cents was the average for 60 hours, which, reduced to sterling, means 5½d. The rates in England were from 5½d. to 6d., or approximately the same, and if there was any difference, it was in favour of France, but when we come to to-day, we find that, although the French rate has gone up 150 per cent., if we take 75 as the value of the franc to-day—and that is not an excessive value; we might take 90, but I will take 75—we will find that, reduced to sterling, the wages in France to-day are 4½d., or a penny less than they were in pre-War days, and in this country they are 9¾d. [An HON. MEMBER: "What about cost of living?"] That is all taken into account. If I take the figure of 92 as the value of the franc, we find that French wages to-day are 3½d., compared with 9¾d. in this country. These are actual facts, and I ask the Committee, in all common sense, to say how this industry can exist under such conditions. It cannot go on, and the Committee has the alternative of accepting that this old British industry is to pass away altogether or that it must have some such assistance as is proposed by my right hon. Friend this afternoon.

In view of the intervention of the hon. Member for Nottingham (Mr. Hayday), who spoke from the Labour Benches, I would ask hon. Members on those benches, and on the Liberal Benches, to contrast the difference in opinion in the case of a member of the party who site for a constituency where lace is an essential industry. I think I am free to say that no member of the Labour party or member of the Liberal party who has stood for or represented a district where lace is an essential industry, and who has had the opportunity of gaining first-hand knowledge of the facts and of realising the situation, has opposed the safeguarding proposals of the Prime Minister with regard to the industry. I will go further, and say that I do not believe there is one hon. Gentleman in either of the parties opposite who, if he represented at the present time a district which relied largely on the lace industry, would not this afternoon go into the Lobby in support of this proposal. The right hon. Gentleman the ex-Chancellor of the Exchequer (Mr. Snowden) is not present, or we might, perhaps, make an exception in his case, but I am not sure that we could even there if he could see the misery and the poverty which have resulted from the depression of this industry.

I again congratulate the Government on bringing forward these proposals, not only on account of what they will do to prevent unemployment in the lace industry but also because they are an earnest of the Government's determination to carry out the pledge of the Prime Minister, which one never doubted, that other industries similarly depressed will be similarly dealt with. [HON. MEMBERS: "No Protection!"] Hon. Gentlemen talk about Protection. I, personally, do not care that for the name, but I want to see people who are employed in this industry have work, and I am delighted that this evidence of determination on the Government's part has been put before the country. It will show that concrete action has been taken when the minds of hon. Gentlemen opposite are barren on the subject of how to find employment.

The concluding sentences of the hon. Gentleman's speech are most illuminating. He, at any rate, represents the real views of his party and is not ashamed or afraid to express them. It is only the leaders of the party who always run away from the real programme of the Conservative party, which is Protection. The hon. Gentleman said in his last words—he cannot deny it— that he did not care anything about the name.

The Prime Minister gave a pledge that he would not bring in Protection, and the Prime Minister is in the habit of carrying out his pledges.

I was not saying that the Prime Minister was not going to carry out his pledges; what I said was that if the hon. Member were Prime Minister he would be a Protectionist. He said so; and that is the view of the majority of his party, though I cannot say why the leaders of the party do not take the same view as the party. At the same time, we have the Chancellor of the Exchequer standing at that Box beating his breast and casting ashes on his head and saying that he is a Free Trader. Why hon. Members allow him to be Chancellor of the Exchequer is one of the mysteries of modern politics. Like other hon. Members who have spoken, the hon. Gentleman the Member for Derbyshire, South (Mr. Grant), is interested in the industries of his particular district. He candidly remarked that probably any candidate who stood for those constituencies and wanted to get in would take the same line that he does. That is what Free Traders have always complained about. It happened in other countries, and we are beginning to find in this country that Members of the House of Commons do not come here to represent the nation, or even to consider the Empire, but to push some industry in their own district at the expense of the general public. I assure hon. Gentlemen that I am not imputing any motives to them, for that is the logical and inevitable result, as we have seen in other countries of a Protectionist system. Far from being Members of the House of Commons, we become the lobbyists and advocates of special interests. We have heard to-day the advocates of special interests, eloquent and sincere advocates, to whom the manufacture of lace in their particular constituencies is the beginning and end of the British Empire; but we here have also to think of the many millions of people in this country who want to buy goods, and of the consumers, whom they entirely disregard, and of the taxpayers too.

I must confess that I think the hon. Gentleman did not give an altogether accurate picture of the position of the industry. He did not point out that, unfortunately, this industry is depressed not merely in this country, which is Free Trade, but is equally depressed in practically every other centre where lace is made. In Calais in 1924 only 50 per cent. of the machinery was employed. That is in a protected country, and yet they had only-half their looms at work. In St. Gall in 1910 21,000 people were employed at the looms, and in 1924 only 10,000 people, showing that 50 per cent. of that trade had disappeared. The real, sad fact about the industry is not the question of foreign competition but the fact that the class of goods manufactured by the industry 'has ceased to be in demand. Fickle feminine fashions are much more responsible for the depression in Nottingham than the fall in the French franc. The Report of the Committee on Lace and Embroidery shows that the percentage of foreign importation into this country at the present time, is no greater than it was between 1910 and 1913, and the Committee find it a fact that there is no abnormal foreign competition. That being the case, I am afraid that if the industry gets this tariff it will not produce the results which hon. Members who have spoken wish to see obtained, and which we all would like to see obtained.

May I point out how large a proportion of the industry is engaged in the export trade. According to the census of production in 1907, the British lace industry exported at that time about 73 per cent. of the total output, leaving only 27 per cent. for the home trade. The Committee state

I would like to refer to a speech of another hon. Member, because it indicates that there has been some mental confusion about the scheme I put forward with the idea of helping employment. I should be out of order in going into that scheme, but I would like to point out that the object of my scheme was to reduce prices, to reduce the cost of production, in order to enable us to obtain export orders. All a tariff will do is to raise prices in this country in order that we may retain home orders. Anybody who cannot see the fundamental difference between those two things is, I am afraid, difficult to convince.

Is it not the proposal of the right hon. Gentleman that the cost of the bounty should be borne by a comparatively few working people, whereas in this instance the bounty will come from the whole of the consumers?

I do not want to go into details, because that would be out of order, but the bounty would come from all those who contribute to the Unemployment Insurance Fund.

The difference is that a tariff will raise prices, and that cannot help us to recover our export markets, as I hoped my scheme would. But I must not proceed on these lines, because it is not germane to our discussion, although I would like to do so on another occasion.

This, I believe, will be found to be the first of a series of similar Resolutions that we shall have proposed to us. This Resolution is being proposed under the Safeguarding of Industries Act and the White Paper published by the Government. In a discussion on 17th December, 1924, the President of the Board of Trade said: Government we had got a definite limitation as to the extent to which this Safeguarding of Industries Act was going to be employed, and in the very first case we find the very limitation laid down for the Government deliberately disregarded. In the Report of the Committee there is a passage showing that the Committee considered:

Is not the object to increase employment in this country, and if only one case is proved which shows that it will increase employment, surely that is the whole object of bringing in the Act.

I am not talking about employment, but I am talking about the procedure under the Act of Parliament, and I am not at all certain that that will find any employment at all. Here you have an Act of Parliament, and certain conditions have been laid down by this House under which it has to be worked.

May I point out in the first place that there is no Act at all. My right hon. Friend said he was quoting an Act on this point, but there is no Act. The only Act dealing with this question is the Finance Bill when it becomes an Act, and it is open to the House either to approve or reject claims, and that is the whole idea of having an inquiry at all. In the passages I read out, I showed that I refused to pledge myself to a formula, and I stated that we were going to ask the House, informed by a Committee's Report, to decide on the merits of the case, and by doing that we are following out what the right hon. Gentleman said was the right and proper course to pursue.

We are really not quite on the same point. Under the Safeguarding of Industries Act an inquiry is set up by a Committee, and that Committee has certain references.

Part II of the Safeguarding of Industries Act came to an end, and the right hon. Gentlemen opposite decided not to renew it, and we did not bring it in again. Consequently, all allusions to the Act are irrelevant. We decided to proceed by the Finance Bill, and this is the Bill.

In order that the right hon. Gentleman might not be able to misrepresent the facts.

I did not think the right hon. Gentleman would set up any inquiry with such a infantile object as that, or that it would have sufficient ingenuity to stop me. The right hon. Gentleman issues a White Paper showing the policy of the Government, and why did he not put in the case of competition, because he must have had something in his mind? The right hon. Gentleman stands there and argues that it is a good thing to have a tariff on lace coming into this country, and he says "By our majority we will put it through." May I point out that that has not been the procedure in the past. On this question there has not been one but two inquiries, and one Committee reported that there was no abnormal competition, and that is not denied.

Paragraph 32 says:

"The evidence submitted to us shows that 'exceptional competition comes largely from countries where the conditions are so different from those in this country as to render the competition unfair.'"

Of course the Committee did not agree with the evidence, and I would like to call the attention of hon. Members to the paragraph in italics on page 4 of the Report, which reads:

"Whether foreign goods of the class or description to which the application relates are being imported into and retained for consumption in the United Kingdom in abnormal quantities?"

That is a question addressed to them by the Board of Trade to inquire into, but why the Board of Trade should trouble to ask that question after the explanation given by the right hon Gentleman I cannot understand. The answer is that there is no abnormal competition, and that is not denied. The President of the Board of Trade on 17th December, 1924, said that only where there was unprecedented competition would the Safeguarding of Industries Act be applied, and therefore in this case the application should have been refused. Perhaps the right hon. Gentleman will enlighten me as to the procedure on this question. He said it did not matter what the Committee concluded or did not conclude, and whether they granted the application or not was of no concern, because this House was to be the judge. I ask the right hon. Gentleman if there was no case made out for the application would he then put it into the Finance Bill?

If the Committee reported that the duty was not justifiable, I do not see how it could have found its place into the Finance Bill. We, like the Committee, are of opinion that this duty is necessary and desirable.

It is true that the House of Commons judges in this matter, but whether or not the Government brings in a Bill would depend on the recommendations made by the Committee

No, the Government makes up their own mind when they have got the facts.

If the right hon. Gentleman keeps getting up I shall only take him through it again. If the Government had made up their mind, it would not ask the Committee to inquire at all, but it would ask them to decide on the facts, and decide whether or not the duty should be imposed. If there is no abnormal competition, then the matter is of no moment. I understand that there are two references. One is a genuine one, and it was turned down; and the other was a kind of official reference which practically meant, "Heads I win, tails you lose." I merely raise this point now because it is very important for the future procedure. The intention of the Government is to go on the principles laid down in. the White Paper or it is not. If the Government do not propose to do that, then they can issue a new White Paper or withdraw this, but in the country we are entitled to know, because I say that the Government have broken the assurances they gave us in the White Paper, and that is a matter of such importance that I think we are entitled to have a definite answer upon it. On this question I am not going to argue the merits of Tariff Reform or Free Trade. I am sure that everybody is grieved when they hear of the large amount of unemployment. On this point I have already expressed my view, that I do not think that this Measure will lead to any alleviation of the unemployment problem, because you cannot stimulate a vast foreign trade in that way in this country. I think the important question of administration which I have raised is worthy of some answer as a guide for the future.

As one of the Members for Nottingham, I cannot allow this opportunity to go by without congratulating the Government on their courage in carrying out the Report of the Expert Committee, and giving this pro- tective duty to lace and embroidery. I use the word "protective" advisedly, because I like to call a spade a spade. The President of the Board of Trade has said, quite rightly, that Nottingham and its surrounding district was the cradle of the lace and embroidery industry in this country. For a generation it has given employment to many thousands of skilled men and women, and the crisis through which the industry has been passing during the last few years is one which has been giving the greatest concern to many who, like myself, take a very practical interest in the welfare of Nottinghamshire. In the course of the discussion, and especially after the speech of the right hon. Gentleman the Member for Carmarthen (Sir A. Mond), who drew a red herring across the trail, we seem to have got away from the facts. I should like to point out what the real condition of the lace industry is by quoting a few figures which I have culled from the Expert Committee's Report and which show the severity of the crisis.

As the Committee have quite rightly said, there are no figures to prove what the total production of lace in this country is, but we can arrive at it from the export figures, which amount to something like 73 per cent. of the total production. These are figures which were accepted in 1907, and, apparently, they have not varied since. In the ten years 1910-19, the average export of lace from this country was just over £4,000,000 per annum. In 1920, which was the boom year, and which accordingly, I exclude from consideration, it was £8,750,000. In the period 1921-24 it was £2,659,000, or a drop of 36 per cent. on the average as compared with 1910-19. That, however, is not the whole story. The Report of the Committee states that English prices have risen since the War by at least 80 per cent., and, in making a comparison, the present values must be reduced from 180 to 100. The real comparative figures as between pre-War and post-War are, therefore, expressed in value, not as between £4,000,000 and £2,650,000, but as between £4,000,000 and £1,477,000, which is equal to a drop, not of 36 per cent., but of 63 per cent. On the same basis, taking the exports as 73 per cent. of the total output, we find, as expressed in pre-War values, that the total production of lace in this country has been re- duced since the War from £5,480,000 to £2,023,000. I doubt if there is another industry in this country that is suffering as much as these figures show the lace and embroidery industry to be suffering.

I have quoted these figures for two reasons—firstly, to bring to the attention of the Committee the severity of the crisis and, secondly, to point out that, while the expert committee did not consider that the lace trade had proved their case in so far as abnormality of imports was concerned, the figures I have quoted undoubtedly afford room for a, difference of opinion even on this point. I call the attention of the Committee to that point because so much has been made of it. The President of the Board of Trade, receiving a deputation on the 3rd January of this year, stated that the only test of abnormality which could as a rule be honestly applied was the ratio of retained exports to production before the War and at the present time. That appears to me to be only common sense, and, if we apply that test in this case, we find that, reducing the imports to the pre-War sterling value, the retained imports of lace in this country for the period 1921-24 are 28 per cent. higher than in the pre-War period 1910-1913. I venture to suggest that that may be considered abnormal.

However, I do not want to follow the opponents of this Bill, who have blown hot and cold over the Report. I am willing to accept it as it stands. The Committee stated that in their opinion the question of abnormality of retained exports was not proved. I accept that. I do not think it is fair to do what was done by the right hon. Gentleman the Member for Central Edinburgh (Mr. W. Graham), namely, to take what suited his argument from the Report, base his argument on what the Committee said had not been proved, and then turn round and say that the other findings of the Committee were economic nonsense. I think we have to take the whole Report as one, or else leave it out of the Debate altogether. My point of view as regards the Expert Committee's Report is quite clear. I was present during the Debate on the Safeguarding of Industries, and the impression I got—whether rightly or wrongly I do not know, but I think I have as much common sense as hon. Members opposite—was that these Committees of Inquiry were to be appointed in order to take evidence, that that evidence was to be submitted to the Board of Trade, and that the Government would accept or would not accept the Reports at their discretion. Let us, therefore, come back to a common-sense point of view, and give up making these debating points which lead us nowhere.

Who, after all, are responsible for imposing duties of this kind? Obviously, the Cabinet in the first instance, and, in the final instance, the House of Commons. If hon. Gentlemen opposite are going to argue against the imposition of any duties under the Safeguarding of Industries Act when expert Committees report that one out of 10, or two out of 10, of the conditions laid down in the White Paper have not, in their opinion, been proved, I ask them, will they accept the reverse side of the argument, and, if a Committee in any case states that all the conditions have been fulfilled, will they then accept the imposition of a duty? They cannot have it both ways. As a matter of fact, the argument is absurd. It is the House of Commons that is finally responsible, and it is splitting debating straws to argue anything else. In fact, what I have heard in this Debate proves to me that there can be very few real arguments against the imposition of an import duty on lace, when such able Members as the right hon. Gentleman the Member for Central Edinburgh and the right hon. Gentleman the Member for Carmarthen have to come down to splitting straws over the expert Committee's Report.

I should like to quote a letter, which I have received, because I like to be practical, and I want to try and do some good to a very suffering industry. Other letters have been quoted to-day, and I trust the Committee will allow me to read this one. It is from a constituent of mine, whom I do not know personally. He writes as follows:

May I put a question to the hon. Gentleman? Does he suggest that the wages are a deduction from production?

Anyone with any common sense at all must realise that, in the case of an article like lace, a large proportion of the cost of which is wages, if the industry in this country is paying twice as much as is paid abroad it cannot compete. I do not think it is worth arguing. I realise that 73 per cent., as far as one can make out, of this trade, is export, and that therefore imposing a duty on the home consumption will not do an enormous amount of good, but I contend that it will do a great deal. If you can protect the home market, even if it be only 25 or 27 per cent., you will reduce overhead charges, and, above all, you give a fillip to the industry. It has a psychological effect. To-day the manufacturers in Nottingham are downhearted.

7.0 P.M.

In the Report it is stated that, while the lace industry in this country is efficient, complaints have been made that it does not have a sufficient range of novelty articles. How can you expect it? Anyone who knows anything about business knows that if you are to have a large range of patterns, it will cost money, and when manufacturers know that these patterns can be produced in Calais at probably half the price at which they can be produced here, can they be expected to indulge in this luxury of a large range? If, on the other hand, you protect the home market, it will, little by little, encourage manufacturers in this country, and we shall get a greater proportion of whatever trade there is. I know perfectly well that at the bottom of all there is the sound argument that fashions have changed, but fashions may change again. The right hon. Gentleman the Member for Spen Valley (Sir J. Simon), in his usual autocratic manner, says that that will not happen. I do not agree: I think it is just as likely that we shall have more lace consumed than is the case at present. At any rate, it is our duty to help an industry struggling for its existence. I will not weary the House by going into the old arguments of Protection versus Free Trade, but, having heard the speech by the right hon. Member for Carmarthen (Sir A. Mond) and having heard the views he expressed, I cannot refrain from quoting what he said on this very subject not so long ago. The basis of his argument was that it was no use imposing this duty because of the small home market. Why has he changed his opinion? I am quoting now from the OFFICIAL REPORT of 31st May, 1921: question of fiscal policy, not as a divine law, not even as a question of political principle. I have always maintained it is a question of economic expediency. I was a Free Trader, and I do not consider I am not a Free Trader now. I am opposed to any general imposition of tariffs, but I was converted to the Safeguarding of Industries before I ceased to be a Liberal when, in fact, I fought the 1923 Election as a Liberal. I was then converted to the policy, as I understood it, of the present Prime Minister, and I was much influenced by the very speeches I have quoted by the right hon. Gentleman for Carmarthen. I was, obviously, a very apt pupil, and I am extremely disappointed that my master has now, apparently, changed his mind. If I have changed, it is because I am willing to sacrifice every single economic principle I have if by so doing I think there is even a 51 per cent. chance of giving employment to more men. What is the policy of the right hon. Gentleman and Members opposite on the Liberal benches? To do nothing. We have been doing nothing now for quite a long time, as far as the lace industry is concerned. I am willing to run the risk of anybody telling me I have no economic principles at all, but I am determined to do all in my power to safeguard lace, because, by so doing, I am convinced we shall get several thousand more skilled men back to work, men who to-day are losing their skill by, probably, working on roads, or by remaining idle.

I would like to ask the President of the Board of Trade, or any other Cabinet Minister present, whether this Cabinet, for some utterly unexplained reason, have conceived a spite against the women of the country, because in every new tax that they bring forward they seem to think that it is the women who will have to pay it. After the Silk Tax, we are now singled out for a tax on lace. I want to say to hon. Members opposite, quite frankly, that, however fashions have changed, they do not wear lace yet. Hon. Members on these benches are quite as anxious to solve the unemployment problem as any hon. Members opposite, and if one felt that this really would get more people back to work, one might be prepared to accept it, but one wants to ask whether lace is really going to do anything in that connection. As the last speaker has said, the fashions have changed, and they may change again. I want to ask hon. Members whether they have ever considered why fashions have changed? It was the pride of the housewife in the Victorian age to have lace bedspreads, to have lace on every article of her children's wear, and also to have her own clothes decorated as much as possible with lace. Those were the times when women were kept very severely to their jobs in the house. Consequently, the women of that time had a great deal of time on their hands to spend in getting up lace garments, and in looking after the lace of their household. But the modern woman is in a very different position. There are a very large number who have not got a house in which to put all those lace things, very many more are living in rooms and in the most con stricted houses possible. The woman of to-day is not going to spend her time getting up those lace fripperies which were the joy of her mother and her grandmother. We are not only faced with change in fashions which might be merely a passing thing, but we are faced with a definite change in the whole point of view of modern women, and consequently, when you are talking about solving this problem of unemployment in the lace trade by putting on a tariff, you are applying a remedy that has no connection whatever with the disease.

Will the hon. Member explain, if the modern woman is not using lace, why she began her speech by saying that the Government had a spite against modern women, and was taxing them?

The point I am coming to is this, that, if the putting on of this tax will mean that the price will be raised, therefore while there is still a remnant of women who do use a certain amount of lace, they will have to pay it. I hope I am not falling into the habit of Members opposite and generalising about everything. Surely the whole object of the Government should be to encourage lace by making it as cheap as possible. If they put a tariff on lace, all they will do will be to encourage the old-fashioned women of whom the hon. Member has pleasant recollections to come alongside their more modern sisters and be faced with more expensive articles or do without them. I suggest the Government are entirely wrong merely from the point of view of getting as much lace sold as possible. We all know that the position is serious. It is not nearly so serious in the artificial lace trade as it is in the real lace trade. I happened to notice that one of the most famous lace houses in Oxford Street has had to close its doors, and its stock is being sold at half price by a neighbouring shop. Lace has permanently gone out of fashion.

I wish, in conclusion, to remind the House of one thing. The only way in which this trade can be recovered is by the catching of the popular fancy by some other way of using the machines. I was completely astonished by the hon. Member (Mr. Bennett) who spoke before me, who said that they could not afford in trade to have novelties. All they will do will be to make the situation worse by lulling themselves into a completely false security. I am reminded of the statement of the late Lord Rhondda to the present Secretary of the Miners' Federation, when he said that the miners' eight hours' day was the best thing that happened to the mining industry, because it forced the employer to put in more modern machinery and to adopt much more modern methods. On the same analogy, I am going to say that this 33⅓ per cent. tax. will be the worst thing that could happen to the lace trade if it will give a false sense of security, and if behind these tariff walls manufacturers put up their prices and keep a restricted sale for their goods at higher prices, because the inevitable effect of those tariffs will be less employment and not more.

We have had one very interesting admission from the right hon. Member for Carmarthen (Sir A. Mond), and that is that it is impossible for the Government to put forward any White Paper that he will not be enabled to misrepresent. That is a statement that we should put on record as it evidently does represent his intention. The point I would like to put to hon. Members opposite is a very simple one. If, as they have admitted, that in so far as the lace trade is concerned the duty will be a great benefit to the lace trade, they have not carried that admission to its logical conclusion. So far no one on the benches opposite has stated that the imposition can do any harm to the country as a whole. The Report states quite clearly that the introduction of the duty will increase employment in the lace trade. I should like to put this point to hon. Members opposite, who will agree that lace is not a real necessity to the country, and that after all ladies can get on without lace, that if by putting on this duty the lace trade is going to be benefited, and if the real object of every party in the country is to endeavour to relieve the unemployment problem—

On a point of Order. May I call attention to the fact that neither the Board of Trade nor the Treasury is represented here?

Before that interruption came, I was asking the next hon. Member who speaks, who, I believe, will be the Leader of the Opposition, if he would meet this point. What possible objection can there be to introducing this duty if it will help to solve the problem which his party want to solve, namely, the relief of unemployment? They have admitted on all sides that this duty will help the lace trade. [HON. MEMBERS: "NO!"] It is admitted by the right hon. Gentleman the Member for Carmarthen (Sir A. Mond), who says he quite realises that everyone representing a constituency in which there was a large lace plant would support this duty, and he attacked the hon. Member for Nottingham (Mr. Hayday), who spoke in support of it, and my hon. Friend on this side, for supporting the lace trade and being in the position of Lobbyists representing commercial interests—not representing the nation and the Empire as a whole, but representing merely sectional interests. The right hon. Gentleman the Member for Carmarthen said he perfectly realised and admitted that it would be of great value to the lace trade. On that basis, which I think is admitted by everyone with the exception of a few academic Liberals, that it would be of great benefit to the lace trade, and observing that lace is not a real necessity, but is only a luxury, surely it is better to help our unemployment problem by putting that duty on, because it can do no harm to the trade of the country as a whole.

Lace is only an extra which is sold and put on to various parts of ladies' clothes and so forth. Therefore, it cannot hurt our export trade in any way. On the contrary, it can assist our export trade, because by concentrating more work on this side, by running our machinery full time instead of only two or three hours a week, it will reduce our overhead charges and our cost of output, and having reduced cost of output we shall be able more readily to compete in the markets overseas. If the Leader of the Opposition would answer that point, I think it would be of great benefit, not only to the House, but to the country as a whole. The Committee have reported that it will assist in the solution of our unemployment problem if this duty is imposed. For that reason I have failed to be convinced by any argument, either of the academic sort which the hon. Gentleman the Member for Leith (Captain Benn) likes so much, or by any other argument, that any detrimental effect would be caused to the trade of the country as a whole, and the only real objection hon. Members opposite have is that it runs counter to their orthodox belief in what they term fiscal purity. Except for that one fact, I do not believe there is a single Member in the House who does not believe that the imposition of this duty will be a contribution to the solution of our unemployment problem.

I understand the Board of Trade desires to make a statement before a quarter past Eight o'clock. I shall therefore try, as justly as possible, to apportion the time and shall not intervene for any length. The hon. and gallant Gentleman (Lieut.-Commander Burney) who has just sat down put a very old-fashioned Protectionist question to me. There is no difficulty in understanding him. He is a Protectionist and does not cane two straws for this White Paper. The one thing he is out for, I am sure quite honestly, is to improve unemployment by Protection. He was out for that in 1923. His leader was out for that in 1923, and went to the country and said: "I am profoundly convinced that unless you give me power to introduce a system of Protection my party and myself cannot possibly improve the condition of the unemployed." The country said, "No, we will not give you that power," and hon. Members opposite from sitting on that side came to this side after the Election. The Election of 1924 came. The Prime Minister was accused, almost straight away, of harbouring the intention of returning to the position of 1923. "All wrong," said the Prime Minister, "I have no such intention. If I receive a majority now, I shall not try to solve the unemployed problem by Protection." Yet the hon. and gallant Gentleman asks me quite innocently, after all that, "Is there any reason why the unemployed problem should not be solved, or an attempt made to solve it by the application of Protectionist principles"? If I believed that this Resolution was going to diminish the sum total of unemployment, not merely Nottingham and not merely lace—supposing it puts 1,000 men and women in lace, and takes 1,050 men and women out of Lancashire in the spinning of cotton yarn; Calais imports a very considerable amount of spun from Lancashire, for which there will be no market—if this Resolution be effective in the sense the hon. and gallant Gentleman has indicated—

The same cotton yarns would be manufactured in Manchester and supplied to Nottingham, and not Calais.

Not necessarily, because the Calais competition goes on, and the effect of this will be not merely to give psychological confidence in Nottingham, but also to square up industrial activity in the Calais manufactures. However, it is not through lack of courtesy that I wish to go on. This is the rather curious position. We are dealing with silk, and we are dealing with lace. There was a Committee appointed to consider whether silk ought to be protected. The Committee decided two for and two against. There was a Committee appointed to consider lace. The Committee decided that lace should receive a benefit of 33⅓ per cent. under the Safeguarding of Industries Act. The Government is dealing with both. Not being quite sure about the Committee appointed to deal with silk under the Safeguarding of Industries Act, it invents the fiction, "We do not want to protect the silk industry: we only want revenue." The revenue is 33⅓ per cent. They were more certain of their Lace Committee, and those two gentlemen and a lady, already having declared their opinions about lace, were reappointed to declare them a second time, and to enable the right hon. Gentleman to say. "We have had two Reports instead of one in favour." It is a very curious circumstance. A lady buying a dress made of artificial silk does not pay the extra price of Protection. She pays the extra price of revenue. But on the lace which decorates the dress she pays the extra price of Protection, and, apparently, a great many hon. Members opposite imagine that there is some difference between the two. [An HON. MEMBER: "Because there is no Excise!"] I am afraid the hon. Member, as usual, has missed the point. It is no question of Excise at all. It is a question of the lady who buys the dress. Whether she buys with or without Excise she pays 33⅓ per cent. on silk, and 33⅓ per cent. on lace. Hon. Members can imagine that the former is a Budget charge and the latter is a Protectionist charge, but they cannot have it both ways.

But has this Committee supported the Government? It has done nothing of the kind. The Government told us—and I wish to say it again lest there should be any doubt about the opinion on this side of the House—quite specifically and definitely, "We are not out to introduce Protection. We are only going to operate upon the rules and regulations laid down in this White Paper." The Committee report upon the rules and regulations laid down in the White Paper. There is no question about unemployment there. Hon. Members can search it from end to end and, saving a statement about the present state of unemployment in the lace trade compared with what it was in 1923, when the last Report was made, and the concluding statement that it is not better, the paragraph ends simply as a statement of fact without any recommendation or any conclusion whatever. But in another part of the Re-port the opinion of the Committee is perfectly clear. They point out that there is unemployment in Calais as well as in Nottingham. They point out that everything that has gone to make it difficult for the Nottingham lace makers to maintain their industry has operated in Calais, Switzerland, and every lace producing country, and the conclusion of the Committee is this. Nottingham is suffering unemployment on account of imports. It is suffering unemployment in common with Calais and the other lace-producing districts of the world, because the public taste has changed and because the general con- sumption of lace has been materially reduced. That is the conclusion of the Committee with regard to unemployment, and that conclusion does not bear out the expectation of the hon. and gallant Gentleman that I will give him an affirmative reply to his question.

Let us take the Report itself. It takes Clause after Clause of the White Paper. Clause 1 lays down that the industry shall be of substantial importance. I agree that the industry is of substantial importance. If the only way in which an industry, involving the livelihood of thousands of men and women, was to be kept going—or, rather, if the only way to make the livelihood of these people better and more secure was to protect it, no economic formula would stand in my way. Economic law has very often helped, when read in a certain fashion, to give you a very nasty backhander when you imagined you were most clear on the point. It is possible, like the hon. and gallant Member for Uxbridge (Lieut.-Commander Burney), to make a series of propositions and a series of statements and imagine, because you are making them altogether, you are connecting them up. I do hope, however, that those of us, on both sides of the Committee, who really are desirous of making some substantial contribution to the matter will do a little more than merely use words, without considering what the effect is going to be.

The first point dealt with is as to whether the industry is one of substantial importance. The Report then deals with the second point— The Committee, following this, deal with tests 3, 4 and 5.

That is all right; but 32 is one, if I might say so, of these extraordinary paragraphs in the Report, one of several which contradict each other. Let me come to the second point. The Committee turned down the second test and the third and fourth without comment, because they state "it is unnecessary for us to consider them" because "as we have turned down the second test we have also turned them down." What is in them? Nobody has pointed it out, nobody has pointed out that the third test was:

"(3) Whether the foreign goods so imported are being sold or offered for sale in the United Kingdom at prices which are below the prices at which similar goods can be profitably manufactured or produced in the United Kingdom."

The Committee has decided that there is no case for that. They do it without comment. Then take 4, which is even more important:

"(4) Whether by reason of the severity and extent of such competition, employment in the manufacture or production of such goods in the United Kingdom is being, or is likely to be, seriously affected."

The Committee say, "No, it is not." [An HON. MEMBER: "That does not arise!"] It does not arise because No. 2 has been turned down. Then we come to No. 5, which reads:

"(5) Whether such exceptional competition comes largely from countries where the conditions are so different from those in this country as to render the competition unfair."

That includes rates of exchange and lower wages. The Committee say that no case rests upon the rates of exchange or upon low wages because the promoters and manufacturers and the petitioners have failed to substantiate Test No. 2. Then they finish their powers and end the White Paper.

Will the right hon. Gentleman read the last sentence of paragraph 16?

Certainly, but the point is this that as far as these things can be tested—and the Government themselves decided that they should be tested by these conditions and by Test No. 2— the Committee say that, judged by that test, these things do not exist; although they inquired, and figures were produced, they came to no conclusions at all in regard to the figures. Paragraphs 20 and 32 I think the Noble Lord the Member for South Nottingham (Lord H. Cavendish-Bentinck) will see at once are quite contrary to each other. Para-graph 20 seems to be the sole declaration in the form of a considered conclusion by which the Committee stands. It reads as follows:

"As stated above (paragraphs 11 to 15) the applicants have not been able to answer question (2) in the affirmative, and if an affirmative answer to this question is to be considered a condition precedent to the establishment of a claim to a duty, we consider that the applicants have failed to bring their case within the strict terms of the White Paper."

What has happened. When this Committee met in 1923, it was working under the old Safeguarding of Industries Act. It was acting under a reference, under the idea, and in the general frame of mind which was embodied in the Safeguarding of Industries Act. Then they say, having practically come to a finish of the White Paper, and having considered whether rates of wages or tariffs had anything to do with the matter, they would consider whether the amount of unemployment was still as great! You have had the comparisons given as between the wages in Calais and Nottingham. Hon. Members opposite say that Protection is going to cure unemployment and increase wages. Roughly, you may say that there is 90 per cent. protection given to French laces; yet the wages under Protection are about half, in many cases, the wages paid under Free Trade. Hon. Members say that Protection is going to cure unemployment and increase wages! As a matter of fact one of the reasons why wages have gone down in Calais is that there is so much unemployment under Protection. There is no doubt about it. It is not a question of wages. It is not a question of what are the economic factors—

It is a question of the main figures—as to what is the implication of the figures! We can give cases where low wages mean high costs of production, and you can give cases where high wages mean high costs of production. [HON. MEMBERS: "Lower."] No. I say there are cases where high wages mean high costs of production. But merely putting the figures together teaches you nothing at all. One can draw no conclusions at all from them unless one understands the whole social conditions from which these economic factors come. That is the whole of my case. I feel now, and I have always felt, that it is not a question of capital, it is not a question of skill, it is in this business, as in so many other cases, a question of confidence. People imagine that certain things are going to happen. At any rate, that increases the chance that they will happen. I will not put it higher than that. Part of the case is purely psychological. You have the figures of exports and imports and other figures in these Appendixes to this Report bearing upon the problems the House has to consider. They show that the anticipations of the 1923 Report were not fulfilled by the actual facts of the situation. There, again, I leave it. What I say is this: I do not like all this playing fast and loose with figures, for I am a constitutionally-minded person. There is the moral effect, the public effect, of your action. You undertook to work upon the lines of the White Paper and not to have Protection. People understood what you meant, and I believe you yourselves understood. Certainly the Prime Minister understood what he meant. The Committee says that the conditions in the White Paper are not fulfilled. I am very glad that I am not responsible for this proposal. Even if I were a Protectionist I would not wish to be responsible for it. I hope that even now the Government's majority is not going to be used in this way. I put in my caveat against this way of doing business. I do not think it is right. If you want to cure unemployment by Protection you ought to go to the country again and get the 1923 decision reversed. As long as the 1923 decision is in operation, you should respect it, and you are not respecting it by passing this Resolution.

I have been asked to put a question to the Prime Minister with reference to business. Would the right hon. Gentleman give us any information about business to-day and to-morrow?

With the permission of the House I can make a statement. I have been endeavouring, as far as possible, to arrange the business on the Finance Bill to suit the convenience of the greater number of Members. I do not propose to ask the House to go to-night beyond the Resolution upon which we are now engaged—the Lace Resolution. But I desire to give notice that on Monday the Report stage of this Resolution will be, put down as second Order. I do not propose to ask the House to suspend the Four o'Clock Rule to-morrow. I realise that a suspension of the Rule at such short notice would mean a great inconvenience to many Members. I understand that the official Opposition will do their best to bring the Committee stage to an end on Wednesday.

I wish to ask the Prime Minister what is to be the first Order on Monday. I presume it is the Finance Bill, and that the Report stage of this Resolution is to be taken later?

We cannot associate ourselves with this arrangement to bring the Debate on the Finance Bill to a premature conclusion, owing to the grave objections we feel to the Budget.

In listening to the Debate I could not help thinking of the 20,000 lace workers in Nottingham, and wondering what they will think of all these abstruse and academic speeches on a comparatively simple proposal to treat this question in the way in which it is open to us to treat it. I think it right that, before I attempt to reply to the matters raised in the Debate, I should read a telegram which has just been handed to my right hon. Friend from the delegates to the Annual Conference of British Lace Operatives' Federation, who say that they instruct their secretary to beg that the recommendations of the Board of Trade Inquiry Committees be put into operation without undue delay, and that the position being desperate compels this further appeal. That is signed by the secretary of the lace makers' union in Nottingham. [HON. MEMBERS: "Name?"] It is signed "Cope." Other encouraging words came from Mr. Wiggins, who was recently nominated as the Liberal candidate for Oldham. Mr. Wiggins expressed himself in this way:

"He did not think that a tax on lace was a breach of Mr. Baldwin's pledge, as Mr. Baldwin stated at the last Election that he would use the Safeguarding of Industries Act."

That comes from Oldham, where there is a strenuous election in progress. The Debate to-day has been marked by an absence of that partisan feeling which is often aroused in discussions of this subject, when feelings run high because convictions are deep-seated. There has been a general tendency in the speeches to try to reach a satisfactory conclusion, and that is a conclusion which will bring us nearer to the point at which we are all aiming, rightly or wrongly, according to our ideas, of improving the trade of the country. It was inevitable that some of the speeches should follow the well-worn path of fiscal controversy. They will always follow that path as long as these matters are left to politics to be decided. I had hoped that during the Debate some new thought would emerge, some new criticism arise from practical experience-But nothing new has been suggested. Not only have the arguments been time-worn, but they have been regardless of probability, regardless of reasonable estimates, regardless of the experience of other people, and regardless and in face of the overwhelming advice collected after exhaustive efforts from those in and dependent upon the lace trade. My right hon. Friend the President of the Board of Trade has explained the reason for the proposed duty. He has described the incidence of the duty, and has given his views as to the results of the duty. He has covered the ground so thoroughly that I shall not attempt to go over that ground, except so far as it is necessary for me to do so in dealing with the many points that have been raised. I take, first, the remarks of the right hon. Gentleman the Leader of the Opposition. What he said is characteristic of a great deal more that has been said. With great respect, I say it was characteristically incorrect, as other speeches on the same lines have been incorrect. In referring to the Committee's Report the right hon. Gentleman said that there was in it no word from beginning to end regarding unemployment. Has the right hon. Gentleman read the document? Unless my eyes deceive me, I read in paragraph 29 of the 1925 Report:

"We are satisfied that 'by reason of the severity and extent of such competition, employment in the manufacture or production of such goods in the United Kingdom is being,' and is likely to he seriously affected."

I have given the right hon. Gentleman a clear answer to his statement that there is no word about unemployment in the Report. With regard to his other point, that "Nottingham is not suffering from imports," let me quote page 10 of the original Report, which says:

That, also, is a fair reply to the right hon. Gentleman. It is quite impossible for me, in the short time available, to deal in any comprehensive way with the detailed points which have been raised. I would say that the speeches, as we would have expected, that have fallen from the right hon. and learned Member for Spen Valley, the right hon. Member for Central Edinburgh and other prominent Free Trade Leaders, have been precisely what we have listened to ever since we ever listened to any speeches on Free Trade. But they do not help me in this particular, because it seems to me those right hon. and hon. Members are not speaking from any kind of experience, but entirely from theory, while other people are able to speak and continue to act on practical experience in all parts of the world. That is my general criticism of the kind of speech to which we have been listening this afternoon on this particular subject. The right hon. Member for Central Edinburgh, in one of those clear, analytical speeches for which he is so well known, made a startling statement. He said that a large proportion of the evidence that was given to the Committee was against a tax. Surely that is not so. I gather it was a comparatively unimportant proportion, and an example of that type of evidence was quoted to us by the hon. Member for North Camber well Mr. Ammon) when he read out the letter of some importer of foreign goods. Of course, there are many people—middlemen—who have not the same interest in stimulating British employment. I say this is in no sense a general tariff, and I commend that to some of the other speakers who have been criticising this Government for breaking faith—

In my view—I must not commit anyone else—it would be a general tax on all articles where it was considered at all desirable to levy an import tax. We see examples of a general tariff in almost every country under the sun except this country of ours. The right hon. and learned Member for Spen Valley also stated that the Committee had completely ignored the White Paper. That matter has been dwelt upon by several speakers, and it seems to me they have been answered in the course of the Debate to a great extent by being referred to the evidence which they seem to have overlooked. I can only say that on question 2 the Committee have not found the retained imports to be abnormal. The Committee's definition of the word "abnormal" is not given such weight by the Government that they consider they must abandon the whole idea of a tax, because in that one particular the Committee have not given an out-and-out yes. Therefore, there is no question the Government are perfectly entitled to do what they are doing, and would have been so entitled if the Committee had in that respect given a no.

Many hon. Members on the other side of the House, I think, must have felt in a great difficulty about opposing this legislation in view of such a speech as that to which we listened from the hon. Member for West Nottingham (Mr. Hayday), one who knows this industry as no Member on those benches and as no Member on this side of the House does from his own practical experience. I should not have been easy in my conscience if I had been a Member on that side of the House among people who profess to call themselves the representatives of labour, if I had continued to oppose this tax after listening to a speech of that kind. The hon. Member for East Middlesbrough (Miss Wilkinson) was concerned that the Government could find no one else to tax but ladies. I would say to the hon. Lady that we are not alarmed about the effect of the tax on the wearing apparel of ladies in this country. We are concerned, if I may say so, with taxing the lace contained in the goods, and we are not anxious about the goods contained in the lace.

The hon. Member for Central Nottingham (Mr. Bennett) cut to ribbons all those specious arguments in face of the dire necessity with which we are faced. He speaks as an ex-Liberal, and he remarked that the Liberal party had shed most of its successful business men. There is one right hon. Gentleman in this House it has not shed yet. He is a successful business man, but I think the greatest part of his success has been obtained by pursuing a rigid Protectionist policy in his business. I heard some years ago he was challenged by someone who asked him why he did not apply his business principles to his politics. He certainly is an exception. The right hon. Member for Colne Valley (Mr. Snowden) for once has not seized his opportunity to flay us alive on the subject of Protection. I am disappointed that he has not intervened this afternoon in the Debate. I listened to him on another subject yesterday, and I am perfectly certain that every argument he used then he would have used to-day. I was struck with the way he criticised the Chancellor of the Exchequer and Members on this side, how scornfully he treated them, and how at one point in his speech he said that it took a certain amount of intelligence to understand his advice. I can well understand, however, that it takes very little intelligence to resist it.

I am going to vote for this proposal, and therefore want to give a reason. It is not on the lines of being afraid of my constituents, because I am not aware that I have any lace hands in my constituency at all. If I have, they are very few. But I do happen to live in the town of Nottingham, and I am so acquainted with the distress prevailing in that town that I am constrained to give my vote to-night in favour of this proposal. I am, like most other people, impressed by the contradictory statements in this Report, but I think if the Report be carefully read, it clearly indicates that a case has been made out so far as the Committee are concerned for—

It being a Quarter-past Eight of the Clock, and there being Private Business set down by direction of the Chairman of Ways and Means under Standing Order No. 8, further Proceeding was postponed without Question put.

North Metropolitan Electric Power Supply Company Bill [Lords] (By Order)

Order for consideration, as amended, read.

Motion made and Question proposed, "That the Bill, as amended, be now considered."

With regard to the Motion to re-commit the Bill standing in the name of myself and three hon Members, it will be necessary to give a few reasons why that notice was put upon the Paper. We carefully examined, not only the Bill but the financial position of this company and the charges they were making for services rendered in various parts of the areas which they served. I particularly refer to the area under the administration of the East Barnet Urban District Council. The matter was carefully considered, not only by those who are associated with myself in this matter, but by the East Barnet Urban District Council, when representations were made from that body that a deputation should meet the representatives of the company, and put their views before it. Their views were listened to courteously, and they were promised very favourable consideration.

I am glad to say that, as a result of the representations we made and the manner in which the company met us, the company have been able to announce that they are prepared to make a reduction of 15 per cent. to 20 per cent. in the price of electricity in that particular neighbourhood. As far as that is concerned, they have met our views, and while not entirely satisfied, and without prejudice to the representations made by the local urban council, and anybody else who may have something to say in the matter, I do not propose the Motion standing in my name and in that of other hon. Members.

Perhaps the hon. Member will formally move his Amendment.

I beg to move, to leave out from the word "Bill" to the end of the Question, and to add instead thereof the words

"be re-committed to the former Committee."

I beg to second the Amendment.

As one of those whose names are associated with the Motion which we are now considering, I should like to say that in the statements which the promoters of the Bill have circulated in support of the Bill, they point out that the county councils and the local councils, if they are not satisfied with the price charged, have the right to apply for a revision of prices. Our case was that the revision of prices ought to take place now, and not in three years' time. I associate myself with the sentiments expressed by the Mover of the Motion that, while not completely satisfied, we are glad that the company has made some step towards meeting the objections which we have raised.

In the statement sent round by the promoters of the Bill, they point out that the Bill was lodged, first of all, in this House or in the precincts of this House, in December, 1923, but that the Second Heading was blocked early in 1924. Then they say: that large concessions were offered by the companies to get these Bills through. Then came the General Election, and the friends of these companies were returned to power. Immediately, the concessions which had been offered to the public during the term of office of the Labour Government were withdrawn, and the Bills have been pushed through this House in their original form.

On the last occasion when we discussed this particular Bill on the Second Reading, the Parliamentary Secretary to the Ministry of Transport said that in his judgment these Bills should receive benevolent support. No satisfactory explanation—that is the principal point, indeed almost the only point I want to stress—has ever been given as to why the concessions that the companies were prepared to give during the term of office of the Labour Government have been withdrawn, and why they have gone back to their original Bills. Why is the Parliamentary Secretary to the Ministry of Transport supporting these Bills now. when he knows that only a year ago these companies offered far better terms than they are offering now? Has pressure been brought to bear upon the Government by the shareholders of these electricity companies, many of whom are Members of this House? If that point were satisfactorily cleared up, it would provide some interesting information to the House.

On the specific point on which the Motion is put down, I associate myself with what the Mover has said, that we are glad that some concession has, at last, even at this late stage, been made by the company in regard to the prices they propose to charge to the consumer. I am also glad to acknowledge the fact that an announcement appears in the local Press in the district in which I reside, and in which the company operates, stating that a reduction in charges is about to take place in that district also. In view of that fact, and with no desire merely to put up a blind obstruction to this Bill, and, having put down a specific point, and that point having to some extent been met, I, in conjunction with the Mover of the Motion, feel disposed to be in a somewhat reasonable frame of mind, and I do not propose to press the matter further.

I beg leave to withdraw the Amendment.

Amendment, by leave, withdrawn.

Main Question put, and agreed to.

Bill, as amended, considered accordingly.

Motion made, and Question proposed, "That Standing Orders 223 and 243 be suspended, and that the Bill be now read the Third time."—[ The Chairman of Ways and Means. ]

We have now reached the last stage in a great controversy that has lasted for two or three years in regard to the electricity supply of London. On behalf of Members represening London and Greater London constituencies on these benches, I wish to say that we cannot allow this Third Reading to go through without a protest. We feel that the whole of this great source of energy and power is being handed over to the private companies simply for the purpose of exploitation on behalf of their shareholders, that the public interest is being neglected and we have fought these Bills. The promoters of the Bill have complained about the time which has been spent, but that shows how we have fought them on behalf of the public interest. To-night in the ordinary way we would have pressed the matter to a Division, but as the House has sat up for two nights, if we were to press the matter to a Division it might be regarded as being merely obstructive tactics. We do not want to indulge in obstructive tactics merely for the sake of obstruction, but because we stand for the public ownership we make this protest.

Question put, and agreed to.

Bill accordingly read the Third time, and passed, with Amendments.

Ways and Means

Again considered in Committee.

[Mr. JAMES HOPE in the Chair.]

Postponed Proceeding resumed on Amendment to Question

"That, during a period of five years beginning on the first day of July, nineteen hundred and twenty-five, there shall, on the importation into Great Britain or Northern Ireland of any of the following foods, that is to say—

Question again proposed, "That the words 'five years' stand part of the Question."

As my friends are not here at present, I do not propose to occupy the time of the Committee any further. I think it right to make perfectly plain why I am going to vote for the Resolution. I need say no more than I am going to vote for the retention of the period of five years.

Question put, "That the words 'five years' stand part of the Question."

The Committee divided: Ayes, 196; Noes, 120.

Division No. 149.]

AYES.

[8.29 p.m.

Agg-Gardner, Rt. Hon. Sir James T.

Bird, Sir R. B. (Wolverhampton,

W. Churchman, Sir Arthur C.

Albery, Irving James

Blades, Sir George Rowland

Clarry, Reginald George

Alexander, E. E. (Leyton)

Bourne, Captain Robert Croft

Cobb, Sir Cyril

Ashley, Lt.-Col. Rt. Hon. Wilfrid W.

Briggs, J. Harold

Cochrane, Commander Hon. A. D.

Atholl, Duchess of

Brittain, Sir Harry

Cockerill, Brigadier-General G. K.

Atkinson, C.

Brocklebank, C. E. R.

Conway, Sir W. Martin

Baldwin, Rt. Hon. Stanley

Brooke, Brigadier-General C. R. I.

Cooper, A. Duff

Balfour, George (Hampstead)

Burgoyne, Lieut.-Colonel sir Alan

Cope, Major William

Balniel, Lord

Burman, J. B.

Couper, J. B.

Barnett, Major Sir Richard

Burney, Lieut.-Com. Charles D.

Courthope, Lieut.-Col. Sir George L.

Barnston, Major Sir Harry

Burton, Colonel H. W.

Craig, Ernest (Chester, Crewe)

Beckett, Sir Gervase (Leeds, N.)

Campbell, E. T.

Craik, Rt. Hon. Sir Henry

Bellairs, Commander Carlyon W.

Cassels, J. D.

Crook, C. W.

Bennett, A. J.

Cayzer, Maj. Sir Herbt. R. (Prtsmth. S.)

Crooke, J. Smedley (Deritend)

Bentinck, Lord Henry Cavendish

Cazalet, Captain Victor A.

Cunliffe, Joseph Herbert

Berry, Sir George

Chadwick, Sir Robert Burton

Curtis-Bennett, Sir Henry

Betterton, Henry B.

Chilcott, Sir Warden

Curzon, Captain Viscount

Bird, E. R. (Yorks, W. R., Skipton)

Christle, J. A.

Davies, A. V. (Lancaster, Royton)

Davies, Sir Thomas (Cirencester)

Jacob, A. E.

Ruggles-Brice, Major E. A.

Davison, Sir W. H. (Kensington, S.)

Jephcott, A. R.

Russell, Alexander West (Tynemouth)

Dean, Arthur Wellesley

Kennedy, A. R. (Preston)

Rye, F. G.

Dixon, Captain Rt. Hon. H.

King, Captain Henry Douglas

Sandeman, A. Stewart

Edmondson, Major A. J.

Lamb, J. Q.

Sanders, Sir Robert A.

Elliot, Captain Walter E.

Leigh, Sir John (Clapham)

Savery, S. S.

Ellis, R. G.

Lister, Cunliffe-, Rt. Hon. Sir Philip

Shaw, Capt. W. W. (Wilts, Westb'y)

Erskine, Lord (Somerset, Weston-s.-M)

Lloyd, Cyril E. (Dudley)

Shepperson, E. W.

Erskine, James Malcolm Monteith

Looker, Herbert William

Simms, Dr. John M. (Co. Down)

Everard, W. Lindsay

Lougher, L.

Skelton, A. N.

Ford, P. J.

Luce, Major-Gen. Sir Richard Harman

Slaney, Major P. Kenyon

Forestier-Walker, Sir L.

McDonnell, Colonel Hon. Angus

Smith, R. W. (Aberd'n & Kinc'dine, C.)

Foxcroft, Captain C. T.

Macmillan, Captain H.

Smith-Carington, Neville W.

Frece, Sir Walter de

Macquisten, F. A.

Spencer, G. A. (Broxtowe)

Galbraith, J. F. W.

MacRobert, Alexander M.

Stanley, Col. Hon. G. F.(Will'sden, E.)

Ganzoni, Sir John

Makins, Brigadier-General E.

Stanley, Lord (Fylde)

Gates, Percy

Malone, Major P. B.

Stanley, Hon. O. F. G. (Westm'eland)

Gee, Captain R.

Margesson, Captain D.

Steel, Major Samuel Strang

Gilmour, Lt.-Col. Rt. Hon. Sir John

Merriman, F. B.

Storry Deans, R.

Glyn, Major R. G. C.

Milne, J. S. Wardlaw-

Stott, Lieut.-Colonel W. H.

Goff, Sir Park

Mitchell, S. (Lanark, Lanark)

Styles, Captain H. Walter

Gower, Sir Robert

Mitchell, W. Foot (Saffron Walden)

Sueter, Rear-Admiral Murray Fraser

Grace, John

Moore, Sir Newton J.

Sugden, Sir Wilfrid

Grant, J. A.

Moore-Brabazon, Lieut.-Col. J. T. C.

Sykes, Major-Gen. Sir Frederick H.

Greene, W. P. Crawford

Morrison, H. (Wilts, Salisbury)

Tasker, Major R. Inigo

Grotrian, H. Brent

Morrison-Bell, Sir Arthur Clive

Templeton, W. P.

Gunston, Captain D. W.

Nall, Lieut.-Colonel Sir Joseph

Thompson, Luke (Sunderland)

Hacking, Captain Douglas H.

Newton, Sir D. G. C. (Cambridge)

Thomson, F. C. (Aberdeen, South)

Harland, A.

Nicholson, O. (Westminster)

Titchfield, Major the Marquess of

Harrison, G. J. C.

Oakley, T.

Vaughan-Morgan, Col. K. P.

Haslam, Henry C.

Oman, Sir Charles William C.

Waddington, R.

Hayday, Arthur

Percy, Lord Eustace (Hastings)

Wallace, Captain D. E.

Headlam, Lieut.-Colonel C. M.

Perkins, Colonel E. K.

Warner, Brigadier-General W. W.

Henderson, Capt. R. R.(Oxf'd, Henley)

Pielou, D. P.

Watts, Dr. T.

Henderson, Lieut.-Col. V. L. (Bootle)

Pilcher, G.

Wells, S. R.

Hennessy, Major J. R. G.

Pilditch, Sir Philip

Wheler, Major Sir Granville C. H.

Herbert, Dennis (Hertford, Watford)

Pownall, Lieut.-Colonel Assheton

Williams, Herbert G. (Reading)

Hilton, Cecil

Price, Major C. W. M

Wilson, R. R. (Stafford, Lichfield)

Hogg, Rt. Hon. Sir D.(St. Marylebone)

Ramsden, E.

Windsor-dive, Lieut.-Colonel George

Holbrook, Sir Arthur Richard

Rawilnsor, Rt. Hon. John Fredk. Peel

Winterton, Rt. Hon. Earl

Holland, Sir Arthur

Rawson, Alfred Cooper

Wise, Sir Fredric

Holt, Captain H. P.

Reid, Capt. A. S. C. (Warrington)

Womersley, W. J.

Hopkins, J. W. W.

Reid, D. D. (County Down)

Wood, E. (Chest'r, Stalyb'dge & Hyde)

Hudson, Capt. A. U. M. (Hackney, N.)

Remer, J. R.

Wood, Sir Kingsley (Woolwich, W.)

Hudson, R. S. (Cumberl'nd, Whiteh'n)

Remnant, Sir James

Hutchison, G. A. Clark (Midl'n & P'bl's)

Rhys, Hon. C. A. U.

TELLERS FOR THE AYES.—

Iliffe. Sir Edward M.

Rice, Sir Frederick

Commander B. Eyres Monsell and

Inskip, Sir Thomas Walker H.

Roberts, Samuel (Hereford. Hereford)

Colonel Gibbs.

Jackson, Sir H. (Wandsworth, Cen'l)

Ropner, Major L.

NOES.

Adamson, Rt. Hon. W. (Fife, West)

Gosling, Harry

MacLaren, Andrew

Adamson, W. M. (Staff., Cannock)

Graham, Rt. Hon. Wm. (Edin., Cent.)

March, S.

Alexander, A. V. (Sheffield, Hillsbro')

Greenall, T.

Mitchell, E. Rosslyn (Paisley)

Ammon, Charles George

Grenfell, D. R. (Glamorgan)

Montague, Frederick

Baker, J. (Wolverhampton, Bilston)

Griffiths, T. (Monmouth, Pontypool)

Moreing, Captain A. H.

Barr, J.

Grundy, T. W.

Morris, R. H.

Batey, Joseph

Guest, J. (York, Hemsworth)

Morrison, R. C. (Tottenham, N.)

Benn, Captain Wedgwood (Leith)

Hall, F. (York, W. R., Normanton)

Murnin, H.

Bowerman, Rt. Hon. Charles W.

Hall, G. H. (Merthyr Tydvil)

Naylor, T. E.

Briant, Frank

Harris, Percy A.

Newman, Sir R. H. S. D. L. (Exeter)

Broad, F. A.

Hartshorn, Rt. Hon. Vernon

Paling, W.

Bromley, J.

Henderson, Right Hon. A. (Burnley)

Parkinson, John Allan (Wigan)

Brown, MaJ. D. C.(N'th'l'd., Hexham)

Henderson, T. (Glasgow)

Pethick-Lawrence, F. W.

Cape, Thomas

Henn, Sir Sydney H.

Potts, John S.

Charleton, H. C.

Hirst, G. H.

Richardson, R. (Houghton-le-Spring)

Cluse, W. S.

Hirst, W. (Bradford, South)

Riley, Ben

Clynes, Right Hon. John R.

Hopkinson, A. (Lancaster, Mossley)

Ritson, J.

Colfox, Major Wm. Phillips

Hudson, J. H. (Huddersfield)

Robinson, W. C. (Yorks, W. R., Elland)

Compton, Joseph

Jenkins, W. (Glamorgan, Neath)

Saklatvala, Shapurji

Connolly, M.

John, William (Rhondda, West)

Salter, Dr. Alfred

Cove, W. G.

Johnston, Thomas (Dundee)

Scrymgeour, E.

Dalton, Hugh

Jones, Morgan (Caerphilly)

Scurr, John

Davies,' Rhys John (Westhoughton)

Kennedy, T.

Sexton, James

Day, Colonel Harry

Kenyon, Barnet

Shiels, Dr. Drummond

Dennison, R.

Kirkwood, D.

Short, Alfred (Wednesbury)

Duckworth, John

Lawson, John James

Simon, Rt. Hon. Sir John

Edwards, C. (Monmouth, Bedwellty)

Lee, F.

Sitch, Charles H.

Evans, Capt. Ernest (Welsh Univer.)

Livingstone, A. M.

smith, Ben (Bermondsey, Rotherhithe)

Forrest, W

Lowth, T.

Smith, H. B. Lees- (Kelghley)

Garro-Jones, Captain G. M.

Lunn, William

Smith, Rennie (Penistone)

Gibbins Joseph

MacDonald, Rt. Hon. J. R.(Aberavon)

Snowden, Rt. Hon. Philip

Gillett, George M.

Mackinder, W.

Stamford, T. W.

Sutton, J. E.

Wallhead, Richard C.

Williams, T. (York, Don Valley)

Taylor, R. A.

Walsh, Rt. Hon. Stephen

Wilson, C. H. (Sheffield, Attercliffe)

Thomas, Sir Robert John (Anglesey)

Watson, W. M. (Dunfermline)

Wilson, R. J. (Jarrow)

Thomson, Trevelyan (Middlesbro. W.)

Watts-Morgan, Lt.-Col. D. (Rhondda)

Windsor, Walter

Thurtle, E.

Webb, Rt. Hon. Sidney

Wright, W.

Tinker, John Joseph

Westwood, J.

Young Robert (Lancaster, Newton)

Trevelyan, Rt. Hon. C. P.

Whiteley, W.

Varley, Frank B.

Wilkinson, Ellen C.

TELLERS FOR THE NOES.—

Viant, S. P.

Williams, Dr. J. H. (Llanelly)

Mr. Warne and Mr. A. Barnes.

I beg to move in lines 1 and 2 to leave out the words "July, nineteen hundred and twenty-five" and to insert instead thereof the words "January, nineteen hundred and twenty-six."

On behalf of the right hon. Gentleman the Member for Central Edinburgh (Mr. W. Graham) I move this Amendment postponing the date for the imposition of these duties of six months. There are many grounds on which I could support this Amendment, but I will confine myself to quoting certain figures with regard to the imports of lace into this country. The Lace Committee's report stated that the amount of the imports was not abnormal. In point of fact the. imports for this year compared with the year before were very small—I think only about one-third. Apart from that, I have obtained more recent figures dealing with the importation of lace, and if it can be shown that within the next six months the situation as regards imports may materially change in the same direction there should be a considerable measure of support for the Amendment. I take the latest figures from the "Nottingham Guardian," and according to them both the export and import returns for April indicate a movement in favour of the British producers. The exports are, broadly speaking, about 10 per cent. better than those for March The imports of cotton lace are down by about £4,000 and those of silk and mixed silk by about £9,000. The change is not very great in the cotton lace, but in silk and silk mixtures the decline is nearly 30 per cent., and if we compare the imports of cotton lace in April with those in the corresponding months of last year the fall is found to be very considerable, the drop being from £150,000 to £104,000.

There is reason to think that the volume of imports which is supposed to be the cause of the imposition of this duty is declining, and the recent figures hold out the hope that the volume may so far decline that the duty may become unnecessary. Therefore, I suggest the Government would be well advised to consider this Amendment which has been put down by an ex-Financial Secretary to the Treasury, and to postpone the application of the duty for six months. I do not know what the loss of revenue would be. Perhaps the Parliamentary Secretary to the Board of Trade will tell us. It is very important that we should have the figures in reference to this duty. We are in Committee of Ways and Means. Taxes are being proposed, and it is a subject of legitimate comment that new taxes are being proposed without any representative of the Treasury having been present for more than a few minutes in the course of the whole Debate. That circumstance must be almost unprecedented in the history of the Ways and Means Committee of this House. Perhaps the Parliamentary Secretary to the Board of Trade has more recent figures. Perhaps he can tell us if the import of foreign lace is declining and if there is a likelihood that it will continue to decline. Perhaps he will also be able to tell us the loss involved to the Exchequer by the suggested postponement.

In supporting the Amendment, I would impress on the Committee the importance of having a few months in which to go into all the ramifications of this proposal before taking, for the first time, the very important step of protecting the lace industry. In the discussion of this subject hon. Members have been inclined to speak of lace as though the only business in lace was that done across the counter. It is a very important raw material for a number of industries. I represent an East End constituency which has been through very bad times, and I may say that probably there has been more suffering not of a vocal character in the East End of London than in any other part of the country. All the ordinary channels of trade have been disorganised, but owing to the fact that they have been able to draw supplies of raw material untaxed from all parts of the world, since the War they have built up a large and important trade in made-up garments. I observe from the Report that one thing which disturbed the Committee was the consciousness that a tax of this kind might seriously interfere with the making-up trade, which all the time has to face serious competition from Austria, Belgium and France. Before the War it was generally considered that English manufacturers could not compete in style, finish, cut or general appearance with the Continental makers. It was almost an insult to say to a woman that she was clothed in an English dress. She always liked to pretend that it had been made abroad. All that is changed. Not only has a large home trade been built up, but a very large important and growing export trade has been organised, sending out ladies' garments to all parts of the world. Lace may be regarded as a very small thing, but it is one of the essentials, one of the raw materials, used in the production of all kinds of garments, jumpers, dresses, hats and other articles, in the manufacture of which a large number of people are employed. When I ventured to interrupt the President of the Board of Trade, he kindly gave way, and tried to answer me on the point of drawbacks.

I suppose the hon. Member is coming to the question of postponement, but he is trying a somewhat circular approach.

What I wanted to drive home to the Committee is that, if we are going to have a proper and a satisfactory system of drawbacks, it will take a great many months to organise it on the right lines, if it is not to disturb our manufacturers, many of whom have contracts, and it will upset their prices if they find suddenly, without notice, that the State steps in, and levies a big duty. It will be a revelation to the Parliamentary Secretary to the Board of Trade when he starts to provide machinery for dealing with drawbacks on an article like lace, and he will find that he is taking on himself a burden which will mean a considerable amount of work, the printing of a great variety of forms, and a very large horde of officials. Artificial silk will pale when you start to define drawbacks on lace on all sorts of ladies' garments, and it will be very difficult to estimate the value, because the importer of the lace will not be the exporter of the lace. The exporter will probably not be the manufacturer of the garment, who will have sold it to a shipper, buying for houses throughout the Dominions, Aus- tralia, Canada, South Africa, and New Zealand, to say nothing of Continental countries. It will be very difficult to prove that the lace on a garment is of foreign importation, and if he is able to prove it, it will be difficult to say who paid the duty, how much it was, and so on. You cannot brand lace with its country of origin like you can some goods. Lace will be appearing on all sorts of garments, and I submit that unless the Minister takes several months to develop elaborate machinery, he will find that all the proposals for providing drawbacks will break down.

For that reason, and the reason that I think the trade should have time to adjust itself to this new condition of taxation, we ought to postpone this duty for six months. I speak of London in particular, and London has built up a great reputation as the drapery depot of the world. All through the City of London there are these big warehouses, employing enormous staffs, and there are large packing departments and thousands of men employed as carmen, and case-makers, all employed in the business of exporting to the four quarters of the globe. That export trade in textiles is built up on free imports, and now you are going on to a new system of tariffs, and all the paraphernalia of drawbacks, a system, it is true, built up by experience on the Continent of Europe, but foreign to us for the last 50 years. I think the Government will be wise, if they are convinced of the necessity of a duty of this kind, to postpone it for six months, so that the trade may realise the position, and the Government have time to organise the new system of drawbacks.

I support the Amendment, because I think this is a very hurried action on the part of the Government in bringing forward this question of a duty on lace for the first time in the House to-day and desiring to have it brought into operation in 19 days' time. It seems to me that it is a tremendous hurry in which to bring about this protective means of getting what they are pleased to call revenue. I think it would give them a better opportunity of considering the whole position if they were to accept the Amendment, and then see whether they could find out in the meantime anything in regard to the trade. It is a well known fact that lace really is not used to the extent that it used to be, but in the East End of London, as the hon. Member for South-West Bethnal Green (Mr. Harris) has said, it is used to some extent. As a matter of fact, in the East End of London they have not really got silk or artificial silk, and they are very glad to fall back upon lace and lace curtains, being cheaper, but I can quite understand that if Protection is coming, there will not be many people in the East End of London who will have lace curtains adorning their windows. You will probably find a few more sheets of brown paper round them than there is at the present time. Therefore, I think the Government are putting this penalty on the very poor people who are using the lace and that they ought to take this back.

With regard to the drawback, I notice that, in accordance with the Resolution, the duty is 33⅓ per cent. of the value of the goods, which means the value of the whole goods, in regard to what little lace there may be on any of those goods, and there will be a great deal of expense incurred in considering how much of the drawback has to be allowed for the small quantity of lace that may be on some of the blouses or goods which come in, and I wonder whether they have taken into consideration all the expense that is likely to be incurred by the Customs officers, and so forth. I think this is one of the worst things the Government have ever introduced in connection with this Finance Bill, and I strongly protest and oppose it as far as I can.

I hope we shall have some reply from the Government, for surely it is a most important business point for the trade to know the position in which they are placed with regard to drawbacks. In the Finance Bill we have pages and pages of detailed particulars, where the trade are well informed in advance of their position, but in regard to the Lace Duties and the possibility of drawbacks, they have no information whatever. To-day is 11th June, and this is to come into force in July. What possibility has any ordinary commercial man to put his house in order and get to know where he stands in regard to this most important question? I think, in all fairness to the trading community, we ought to have some announcement from the Government as to what the position of the trade will be. Here we are, making an excursion, for the first time in recent years, into the uncertain land of tariffs, and it is surely right that every precaution ought to be taken and due notice given, and I press that before we are asked to go to a Division we shall have some reply from the responsible official representing the Government. I think we have a right to ask for the attendance of somebody representing the Treasury on a question of this sort connected with finance, but, at any rate, we ought to have a reply from the Board of Trade.

By some misunderstanding, I think there was some slight suspicion that I was not going to reply. With regard to the remarks of the hon. and gallant Member for Leith (Captain Benn), he spoke of the decline in imports, and he quoted figures for forget what period.

At any rate, I find that the retained imports for 1923 for the whole year were £675,000, and the total retained imports for 1924 were £510,000. For the four months January to April, 1924, the retained imports were £155,272, and for the same four months in 1925 they were £201,419. A postponment of the date would have serious results in view of the importation which goes on in anticipation of the imposition of a tax. That would be a very serious menace, and on that ground alone the Government could not possibly accept this Amendment. As to notice, I do not know how much more notice is wanted by the country. This has been before the country for at least six months, and I do not think that longer notice would assist anybody concerned.

With regard to drawbacks, it does not seem to me that the difficulty here is anything like as great as has been forecast. The hon. Member for South-West Bethnal Green (Mr. Harris) has described the complicated journey of a piece of lace as it passes from the importer to the manufacturer—from the manufacturer to the shop—from one place to another until ultimately it is re-exported. There will be difficulty in that, and frankly I cannot tell him how the lace is to be traced for the purpose of checking the application for a drawback, but we are assured by the officials of the Customs, of whose efficiency he is aware, that it will not be anything like as difficult as has been represented. I have nothing further to add, except to say that I am sorry the Government cannot accept the Amendment.

Can the hon. Gentleman give us any indication of the amount of the drawback? It is not so much a question of the machinery of the Customs as what is the amount of the drawback.

Is it intended to move into the Finance Bill a new schedule of provisions as to the payment of drawback?

I am not able to give the hon. Gentleman a reply just at the moment without making inquiries, but I will see that an opportunity is given to the House for obtaining that information, and that the House shall have it. In any case, I do not think that has any substantial bearing on this Amendment.

9.0 P.M.

I apologise for detaining the Committee. [HON. MEMBERS: "Hear! hear!"] But there is a point of substance here. I sympathise very much with the Parliamentary Secretary, who is left alone in charge of a Bill which is really a Customs and Revenue Bill. He is not, of course, as closely in touch with the Customs authorities as the Treasury would be. I submit that this Amendment has great force if the Government have not yet devised the Schedule to the Bill which will be necessary for the granting of the drawback; because if we pass this Resolution as it is, and do not postpone its operation, we impose a Customs Duty and make no provision whatever for granting a drawback. I am very certain there must be some provision ready, and perhaps the President of the Board of Trade will tell us what Schedule for the granting of drawback he has prepared for this scheme.

I would like the hon. Member to give us a little further explanation with regard to the retained lace imported from July to January. He has been kind enough to give us the figures for January to April in the two years, but he has not told us the amounts retained in the period we have asked for, that is, from July to January in each of those years.

The figures for 1924 are given, I think, in the report. The figures which I gave in the course of my speech to-day are figures for 1925. We are bringing the figures up to date, and if there is any detailed figure the hon. Member would like to have and he will put down a. question on the Order Paper, I will see that he gets an answer. I am afraid I cannot undertake to carry in my head a complete statistical abstract month by month. Why I alluded to the figures was that I thought it only fair to give the House the figures for the first four months of this year, which are not covered in the report. With regard to the question of drawback, I think I made it quite plain when I spoke what the principle would be. Of course provision will be made for it, and the proper stage for discussion will be when we get in to the Committee stage of this on the Bill.

Will it be put on the Order Paper so that we may examine it," and will it provide for a measure of Imperial Preference?

The hon. and gallant Gentleman, who has been much longer in the House than I have, knows that you do not need, nor would it be in order, to put matters dealing with either a drawback or Imperial Preference into a financial resolution, which is only the authority upon which to found the Clause. In answer to his other question, we do propose to give Imperial Preference, as we do in the case of any duty.

I am not at all satisfied that this Amendment ought not to be carried. I think it ought to be carried in the light of the fact that the Government have nothing to say against it. I would remind the Government that there are other industries just as much down and out as the lace industry, and what will happen is that as soon as you put this duty on we shall be asked—

The hon. Member is speaking to the merits of the proposal, and not on the question of the date.

I am asking for a delay of another six months before people are asked to pay any more from their little incomes than they are paying to-day. This method of Protection piecemeal is far worse than a complete measure of Protection. With that we should know-where we were going, but so long as trades are to be sheltered at the expense of other trades which are in a worse position, I cannot support any proposal of this kind. I am a Free Trader up to the present moment. I admit that straight out. But I am not a hidebound Free Trader. I want to do the best I can for this country, and I am asking the Government to accept this Amendment to defer these duties for at least six months. It has been said that the people of Nottingham have neglected their industry by not bringing into at up-to-date machinery. I want to give them time to do this. I think they could do a great deal in six

months if they had the will to do it, and I do not think any Protection is necessary for that trade.

I want to urge the Government to make haste slowly in this particular matter. It seems to me that this Government alternates long periods of extreme dilatoriness with moments of excessive and extreme haste. Of course, we never noticed this hurry in relation to measures recommended by Royal Commissions, such as the one which dealt with food prices, but in the interests of a larger number of people in this country who will be affected by this proposal I think the Government ought to accept this Amendment, and postpone the bringing into operation of these duties for six months.

Question put, "That the words proposed to be left out stand part of the Question."

The Committee divided: Ayes, 201; Noes, 121.

Division No. 150.]

AYES.

[9.7 p.m.

Acland-Troyte, Lieut.-Colonel

Conway, Sir W. Martin

Hacking, Captain Douglas H.

Agg-Gardner, Rt. Hon. sir James T.

Cooper, A. Duff

Harland, A.

Albery, Irving James

Cope, Major William

Harrison, G. J. C.

Alexander, E. E. (Leyton)

Couper, J. B.

Haslam, Henry C.

Ashley, Lt.-Col. Rt. Hon. Wilfrid W.

Craig, Ernest (Chester, Crewe)

Hayday, Arthur

Atholl, Duchess of

Craik, Rt. Hon. Sir Henry

Headlam, Lieut.-Colonel C. M.

Atkinson, C.

Crook, C. W.

Henderson, Capt. R. R.(Oxf'd, Henley)

Baldwin, Rt. Hon. Stanley

Crooke, J. Smedley (Deritend)

Henderson, Lieut.-Col. V. L. (Bootle)

Balfour, George (Hampstead)

Cunliffe, Joseph Herbert

Hennessy, Major J. R. G.

Balniel, Lord

Curtis-Bennett, Sir Henry

Hilton, Cecil

Barnett, Major Sir Richard

Curzon, Captain Viscount

Hogg, Rt. Hon. Sir D.(St. Marylebone)

Beckett, Sir Gervase (Leeds, N.)

Dalziel Sir Davison

Holbrook, Sir Arthur Richard

Bennett, A. J.

Davies, A. V. (Lancaster, Royton

Holland, Sir Arthur

Bentinck, Lord Henry Cavendish

Davies, Sir Thomas (Cirencester)

Holt, Captain H. P.

Berry, Sir George

Davison, Sir W. H. (Kensington, S.)

Hopkins, J. W. W

Betterton, Henry B.

Dean, Arthur Wellesley

Hudson, Capt. A. U. M.(Hackney, N.)

Bird, E. R. (Yorks, W. R., Skipton)

Dixon, Captain Rt. Hon H.

Hudson, R. S. (Cumberl'nd, Whiteh'n)

Blades, Sir George Rowland

Edmondson Major A. J.

Hutchison, G. A. Clark (Midl'n & P'bl's)

Bourne, Captain Robert Croft

Elliot, Captain Walter E.

Ilifffe, Sir Edward M.

Briggs, J. Harold

Ellis, R. G.

Inskip, Sir Thomas Walker H.

Briscoe, Richard George

Erskine, Lord (Somerset, Westom-s.-M)

Jackson, Sir H. (Wandsworth, Cen'l)

Brittain, Sir Harry

Erskine, James Malcolm Monteith

Jacob, A. E.

Brocklebank, C. E. R.

Jephcott, A. R.

Brooke, Brigadier-General C. R. I

Everard, W. Lindsay

Kennedy, A. R. (Preston)

Broun-Lindsay, Major H.

Falle, Sir Bertram G.

King, Captain Henry Douglas

Bullock, Captain M.

Ford, P. J.

Lamb, J. Q.

Burgoyne, Lieut.-Colonel Sir Alan

Forestier-Walker, Sir L.

Leigh, Sir John (Clapham)

Burman, J. B.

Foxcroft, Captain C. T.

Lister, Cunliffe-, Rt. Hon. Sir Philip

Burney, Lieut.-Com. Charles D.

Frece, Sir Walter de

Lloyd, Cyril E. (Dudley)

Burton, Colonel H. W.

Galbraith, J. F. W.

Looker, Herbert William

Campbell, E. T.

Ganzoni, Sir John

Lougher, L.

Cassels, J. D.

Gates, Percy

Luce, Major-Gen. Sir Richard Harman

Cautley, Sir Henry S.

Gee, Captain R.

McDonnell, Colonel Hon. Angus

Cayzer, Maj. Sir Herbt. R. (Prtsmth. S.)

Gibbs, Col. Rt. Hon. George Abraham

Macmillan, Captain H.

Cazalet, Captain Victor A.

Gilmour, Lt.-Col. Rt. Hon. Sir John

Macquisten, F. A.

Chadwick, Sir Robert Burton

Glyn, Major R. G. C.

Mac Robert, Alexander M.

Chilcott, Sir Warden

Goff, Sir Park

Makins, Brigadier-General E.

Christie, J. A.

Gower, Sir Robert

Malone, Major P. B.

Churchman, Sir Arthur C.

Grace, John

Merriman, F. B.

Clarry, Reginald George

Grant, J. A.

Meyer, Sir Frank.

Cobb, Sir Cyril

Greene, W. P. Crawford

Milne, J. S. Wardlaw-

Cochrane, Commander Hon. A. D.

Grotrian, H. Brent

Mitchell, S. (Lanark, Lanark)

Cockerill, Brigadier-General G. K.

Gunston, Captain D. W.

Mitchell, W. Foot (Saffron Walden)

Monsell, Eyres, Com. Rt. Hon. B. M.

Ruggles-Brice, Major E. A.

Templeton, W. P.

Moore, Sir Newton J.

Russell, Alexander West (Tynemouth)

Thompson, Luke (Sunderland)

Moore-Brabazon, Lieut.-Col. J. T. C.

Rye, F. G.

Thomson, F. C. (Aberdeen, South)

Morrison, H. (Wilts, Salisbury

Salmon, Major I.

Titchfield, Major the Marquess of

Nail, Lieut.-Colonel Sir Joseph

Sandeman, A. Stewart

Tryon, Rt. Hon. George Clement

Nicholson, O. (Westminster)

Sanders, Sir Robert A.

Vaughan-Morgan, Col. K. P.

Nuttall, Ellis

Savery, S. S.

Waddington, R.

Oakley, T.

Shaw, Capt. W. W. (Wilts, Westb'y)

Wallace, Captain D. E.

O'Connor, T. J. (Bedford, Luton)

Shepperson, E. W.

Warner, Brigadier-General W. W.

Oman, Sir Charles William C.

Skelton, A. N.

Watts, Dr. T.

Percy, Lord Eustace (Hastings)

Slaney, Major P. Kenyon

Wells, S. R.

Perkins, Colonel E. K.

Smith R. W. Aberd'n & Kinc'dine, C.)

Wheler, Major Sir Granville C. H.

Pielou, D. P.

Smith-Carington, Neville W.

Williams, Herbert G. (Reading)

Pilcher, G.

Spencer, G. A. (Broxtowe)

Wilson, R. R. (Stafford, Lichfield)

Pownall, Lieut.-Colonel Assheton

Spender Clay, Colonel H.

Winby, Colonel L. P.

Price, Major C. W. M.

Stanley, col. Hon. G. F.(Will'sden, E.)

Windsor-Clive, Lieut.-Colonel George

Ramsden, E.

Stanley, Lord (Fylde)

Winterton, Rt. Hon. Earl

Rawlinson, Rt. Hon. John Fredk. Peel

Stanley, Hon. O. F. G. (Westm'eland)

wise, Sir Fredric

Rawson, Alfred Cooper

Steel, Major Samuel Strang

Womersley, W. J.

Reid, Capt. A. S. C. (Warrington)

Storry Deans, R.

Wood, E. (Chest'r, Stalyb'dge & Hyde)

Reid, D. D. (County Down)

Stott, Lieut.-Colonel W. H.

Wood, Sir Kingsley (Woolwich, W.)

Remer, J. R.

Styles, Captain H. Walter

Rhys, Hon. C. A. U.

Sueter, Rear-Admiral Murray Fraser

TELLERS FOR THE AYES.—

Rice, Sir Frederick

Sugden, Sir Wilfrid

Major Sir Harry Barnston and Mr.

Roberts, Samuel (Hereford, Hereford)

Sykes, Major-Gen. Sir Frederick H.

Margesson.

Ropner, Major L.

Tasker, Major R. Inigo

NOES.

Adamson, Rt. Hon. W. (Fife, West)

Hall, G. H. (Merthyr Tydvil)

Salter, Dr. Alfred

Adamson, W. M. (Staff., Cannock)

Harris, Percy A.

Scrymgeour, E.

Alexander, A. V. (Sheffield, Hillsbro')

Hartshorn, Rt. Hon. Vernon

Scurr, John

Ammon, Charles George

Henderson, Right Hon. A. (Burnley)

Sexton, James

Baker, J. (Wolverhampton, Bilston)

Henn, Sir Sydney H.

Shiels, Dr. Drummond

Barnes, A.

Hirst, G. H.

Short, Alfred (Wednesbury)

Barr, J.

Hirst, W. (Bradford, South)

Simon, Rt. Hon. Sir John

Batey, Joseph

Hopkinson, A. (Lancaster, Mossley)

Sitch, Charles H.

Benn, Captain Wedgwood (Leith)

Hudson, J. H. (Huddersfield)

Slesser, Sir Henry H.

Bowerman, Rt. Hon. Charles W.

Jenkins, W. (Glamorgan, Neath)

Smith, Ben (Bermondsey, Rotherhithe)

Briant, Frank

John, William (Rhondda, West)

Smith, H. B. Lees- (Keighley)

Broad, F. A.

Johnston, Thomas (Dundee)

Smith, Rennle (Penistone)

Bromley, J.

Jones, Morgan (Caerphilly)

Snowden, Rt. Hon. Philip

Cape, Thomas

Kennedy, T.

Stamford, T. W.

Charleton, H. C.

Kenyon, Barnet

Sutton, J. E.

Cluse, W. S.

Kirkwood, D.

Taylor, R. A.

Clynes, Rt. Hon. John R.

Lawson, John James

Thomas, Sir Robert John (Anglesey)

Colfox, Major Wm. Phillips

Lee, F.

Thomson, Trevelyan (Middlesbro. W.)

Collins, Sir Godfrey (Greenock)

Livingstone, A. M.

Thurtle, E.

Compton, Joseph

Lowth, T.

Tinker, John Joseph

Connolly, M.

Lunn, William

Trevelyan, Rt. Hon. C. P.

Cove, W. G.

MacDonald, Rt. Hon. J. R.(Aberavon)

Varley, Frank B.

Dalton, Hugh

Mackinder, W.

Viant, S. P.

Davies, Rhys John (Westhoughton)

MacLaren, Andrew

Wallhead, Richard C.

Day, Colonel Harry

March, S.

Walsh, Rt. Hon. Stephen

Dennison, R.

Mitchell. E. Rosslyn (Paisley)

Watson, W. M. (Dunfermline)

Duckworth, John

Mond, Rt. Hon. Sir Alfred

Webb, Rt. Hon. Sidney

Edwards, C. (Monmouth, Bedwellty)

Montague, Frederick

Westwood, J,

Evans, Capt. Ernest (Welsh Univer.)

Morris, R. H.

Whiteley, W.

Forrest, W.

Morrison, R. C. (Tottenham, N.)

Wilkinson, Ellen C.

Garro-Jones, Captain G. M.

Murnin, H.

Williams, Dr. J. H. (Llanelly)

Gibbins, Joseph

Naylor, T. E.

Williams, T. (York, Don Valley)

Gosling, Harry

Paling, W.

Wilson, C. H. (Sheffield, Attercliffe)

Graham, Rt. Hon. Wm. (Edin., Cent.)

Parkinson, John Alien (Wigan)

Windsor, Walter

Greenall, T.

Pethick-Lawrence, F. W.

Wright W.

Grenfell, D. R. (Glamorgan)

Potts, John S.

Young, E. Hilton (Norwich)

Griffiths, T. (Monmouth, Pontypool)

Richardson, R. (Houghton-le-Spring)

Young, Robert (Lancaster, Newton)

Groves, T.

Riley, Ben

Grundy, T. W.

Ritson, J.

TELLERS FOR THE NOES.—

Guest, J. (York, Hemsworth)

Robinson, W. C. (Yorks, W. R., Elland)

Mr. Warne and Mr. T. Henderson.

Hall, F. (York, W. R., Normanton)

Saklatvala, Shapurji

I should like to have the advantage of your ruling, Mr. Hope, with regard to the further Amendments. The short point is, that we want to avoid a double duty, and I think that, perhaps, that will be best achieved by leaving out lines 10 and 11. If, on the other hand, it is necessary to move to leave out the word "silk" now, I should like to do so?

The last Amendment on the Paper, standing in the name of the hon. and gallant Member, to leave out from "charged" to "a," will be in order.

I gather, from what you say, that the purpose I wish to achieve, namely, to prevent a double duty being charged, will be achieved better by moving to leave out from "charged" to "a" than by leaving out the word "silk"?

Yes. Captain BENN: I beg to move to leave out lines 7 and 8.

This is a totally different point. The purpose of this Amendment is to exempt, from the operation of the duty—

I should like to say a little more about the embroidery trade. I think it can be stated, without casting any aspersion upon anyone engaged in trade and industry in this country, who may be doing their best, that the embroidery trade referred to in this Resolution is not what is technically called an efficient industry. I understand, from the evidence given before the Committee by experts, that there are 20,000 hand machines in the world, and of these the British embroidery makers use 300. I am told that the industry is small and undeveloped as compared with those which have been established in foreign countries, and that it is, and would be for some time, capable of supplying only a small part of the demand of Great Britain for embroideries in general. That is part of the statement made before the Committee which investigated the question. Then, further on, it is stated that there are 300 shuttle machines and 400 hand machines, and, as Mr. Lichfield, who was one of those giving evidence, I think on behalf of the duty, said, there were 251 shuttle machines and hand machines to 511 workers. The same proportion of workers in the case of the remaining machines would give a total of about 2,500 workers employed, assuming all the machines to be in employment.

Furthermore—and this is the last piece of evidence from the Committee's inquiry that I shall quote—the imports of embroidery into this country in 1924 were £2,515,000, or, making the figure comparative by a change in the price value, £1,404,000, as compared with £3,207,000 in 1913. Therefore, it will be seen that from the figures I have quoted three things are clear. The first is that the industry is not an industry of substantial importance. No one can really say that it comes within the terms of the pledge given by the Prime Minister. The second is that it is not what is technically called —I am very anxious to avoid giving offence in any way to any section of the industry—it is not what is termed, for the purposes of the White Paper, reasonably efficient. The third thing that is clear is that, as regards imports, so far from there being an abnormal quantity retained, there is, in fact, a considerable decline.

Does the hon. and gallant Gentleman suggest that because this industry is small it is not efficient?

The hon. and gallant Gentleman is, I think, mistaking what a great deal of our argument has been here to-day. We are arguing, not on the general merits of a duty or no duty, but on the terms of the pledges given by the Government, and one of the pledges was that the industry should be of substantial importance.

Exactly. I think that case was admitted, even by the Members of the Committee themselves. What I am trying to say is this: There is no harm in an industry being a small industry, but, if you promise not to give protection to any but an industry of substantial importance, you must not, under that pledge, give protection to what is really a small industry.

The fact that the industry is unable to supply home requirements shows it does not satisfy the technical requirements of the White Paper. This is an Amendment justified by the terms of the Report. It is an Amendment to leave out the duty on an article which has even less claim than lace to a duty under the pledges given by the Prime Minister, and therefore I beg the right hon. Gentleman to accept my Amendment and confine the duty which he is proposing to confer to lace, excluding the embroidery mentioned.

I think the hon. and gallant Gentleman has really moved this Amendment under, at any rate, a partial misapprehension. He quoted some figures about the amount of imports of embroidery which I think show that he did not appreciate the class of embroidery. It is a very limited kind. We are not proposing to put a duty on all embroidery. What the Committee is recommending is that no duty should be put on the type of embroidery which is distinct in its character and appearance, but that a duty should be put on that class of embroidery which is in appearance and fact really indistinguishable from lace. If he will study the first Report of the Committee he will see that the Committee have been very careful in this matter. They say in paragraph 61 of that Report on page 16:

"The product of these machines may be divided into two classes, namely (1) Embroideries on materials such as muslin, voile, organdie, and cambric and (2) Embroideries on net which may afterwards be removed partially or wholly, or on some fabric which is afterwards eliminated by chemical or other means. While the machine operation is in both cases substantially the same there is a considerable difference between those products, one being a decorated woven fabric, and the other to all intents and purposes a lace."

If the hon. Gentleman and his friends will make a closer investigation I think they will find that the embroidery on wire and the other substrata is something which they will at once recognise, whether men or women, as embroidery, and in regard to the other article worked on net or another fabric, nine times out of 10 he would lose his bet if he was betting against it as lace.

I think it is right. The figures refer to a much larger sphere. The class the right hon. Gentleman is dealing with now is that class referred to by the Committee, for they say the broad exception in itself is not of substantial importance.

Yes, if he will look on paragraph 78 of the Report, they dealt with that with very great care. They say:

"In considering the proposals ( a ) and ( b ) (that is the two classes of embroidery) we have had to take into account the fact that embroideries on net and dissoluble fabrics are in many cases scarcely distinguishable from and often sold as lace. If, therefore, a duty is imposed on lace in accordance with the recommendation in paragraph 55 we feel sure that it would fail to achieve the object of assisting the home lace industry and providing employment unless measures are taken at the same time to restrict the import of embroideries of this class."

I am so much obliged to the right hon. Gentleman for going so fully into the case. Is it not a fact that the Report he is quoting from was a Report from a Committee with general terms of reference in 1923, whereas the terms of reference under the White Paper required that they shall show substantial importance.

I would like to satisfy each branch of the inquiry, but let me satisfy him first that what we are dealing with here is a very limited kind of embroidery and a kind indistinguishable from lace and therefore the first point is met. They go on:

"We are unable to recommend the imposition of an import duty on all embroidery. The industry is small and undeveloped as compared with those which have been established in foreign countries."

Therefore what is proposed by the Committee in their first Report confirms their second Report and, enshrining this Resolution, is a proposal for a duty on embroidery of a very limited class, embroidery on net and other dissoluble fabrics and really indistinguishable from lace. This was not a case of an industry coming forward and asking Protection. It may or may not be a small industry. It is part of what is admitted even by himself and all sections of his own party as being an industry of substantial importance. The lace industry produces lace. It also produces embroideries, and embroideries which are absolutely indistinguishable from lace and which, as the Committee find, are frequently sold as lace, and therefore the Committee, as practical people, find that if you are going to protect lace, an important product of an important industry, you would be making your Protection ineffective unless you included in it the exactly similar and almost indistinguishable embroideries by net. Therefore it is for this reason that the Committee have recommended that the duties should be extended to this kind of embroidery. The Customs could not finally distinguish between the two. Therefore, for the industry and for the practical convenience of the Customs, it is absolutely necessary to include this type of embroidery.

We have had a very interesting disquisition on lace. It shows what we would be engaged on if we embarked on a general tariff. We find so many subtleties and differences in regard to various articles that, before we are aware, we should be embarked upon an elaborate schedule with all sorts of friction with the Customs. I have the knowledge to know that there are various grades of embroideries. If you erect barriers and say one is lace and one embroidery, obviously you will have complications and law cases, fines for wrong definition, and, what is far more serious, you will have a great temptation to importers to put an article in the category that will be exempt from the duty. I agree that we ought to have a very much more precise definition than the President of the Hoard of Trade has been able to give us to-night. He admits himself that if he were given various embroideries and laces he would be in considerable difficulty to say what was lace and what was embroidery. What will be the difficulty of a poor unfortunate trader who is trying to carry on his business within the four corners of the law when he has to state, when he is importing ladies' dress or ladies' underclothing, whether it is trimmed with lace or with embroidery?

That is exactly what he will not have to do, because the lace and the embroidery, which are mutually interchangeable and indistinguishable, are both subject to exactly the. same duty.

I happen to know something about this trade through family circumstances. The right hon. Gentleman is very cocksure, but I think he will find, when he has had a few months' experience, that he will have many test cases with his Customs officials. I should like him to go to a City warehouse and make the same speech there and tell them their troubles are to be non-existent. I think he will find that is very far from the truth. In embarking on elaborate definitions in a complicated trade like the lace trade, which is dependent, as all these Reports show, not so much on the home trade as on a world-wide trade— dependent on markets all over the globe —he will find that his Department has taken on a responsibility that he will very much regret. Even if you limit your tax to this particular kind of embroidery made on net the case has not been made out. I assume it is the embroidery made at Plauen as opposed to St. Gall. It. is pointed out in the second Report that in regard to the former centre the machines are idle and there is a very heavy per-

centage of unemployment amongst the 100,000 workers in the lace and embroidery trade. It goes on to say the same about St. Gall. The whole of the Nottingham lace industry is conscious that the real trouble is that the fashion has changed. Ladies are wearing jumpers and knitted goods instead of goods requiring embroidery. The enterprising Nottingham manufacturers have awoke to the fact, and many of them have transferred their plant and capital and labour to making knitted goods. That is the way to meet trade depression and not to come whining to the Government asking for special favours at the expense of other industries —special favours that confer very doubtful benefits on them and will not remedy the general depression.

Question put, "That the words proposed to be left out stand part of the Question."

The Committee divided: Ayes, 220; Noes, 120.

Division No. 151.]

AYES.

[9.40 p.m.

Acland-Troyte, Lieut.-Colonel

Conway, Sir W. Martin

Grotrian, H. Brent

Agg-Gardner, Rt. Hon. Sir James T.

Cooper, A. Duff

Guinness, Rt. Hon. Walter E.

Albery, Irving James

Cope, Major William

Gunston, Captain D. W.

Alexander, E. E. (Leyton)

Couper, J. B.

Hacking, Captain Douglas H.

Ashley, Lt.-Col. Rt. Hon. Wilfrid W.

Craig, Capt. Rt. Hon. C. C. (Antrim)

Harland, A.

Atholl, Duchess of

Craig, Ernest (Chester, Crewe)

Harrison, G. J. C.

Atkinson, C.

Craik, Rt. Hon. Sir Henry

Haslam, Henry C.

Baldwin, Rt. Hon. Stanley

Crook, C. W.

Hayday, Arthur

Balfour, George (Hampstead)

Crooke, J. Smedley (Deritend)

Headlam, Lieut.-Colonel C. M.

Balniel, Lord

Cunliffe, Joseph Herbert

Henderson, Capt. R. R. (Oxf'd, Henley)

Barnett, Major Sir Richard

Curtis-Bennett, Sir Henry

Henderson, Lieut.-Col. V. L. (Bootle)

Barnston, Major Sir Harry

Curzon, Captain Viscount

Herbert, Dennis (Hertford, Walford)

Beckett, Sir Gervase (Leeds, N.)

Dalkeith, Earl of

Hilton, Cecil

Bellairs, Commander Carlyon W.

Dalziel, Sir Davison

Hoare, Lt.-Col. Rt. Hon. Sir S. J. G.

Bennett, A. J.

Davies, A. V. (Lancaster, Royton)

Hogg, Rt. Hon. Sir D.(St. Marylebone)

Bentinck, Lord Henry Cavendish.

Davies, Sir Thomas (Cirencester)

Holbrook, Sir Arthur Richard

Betterton, Henry B.

Davison, Sir W. H. (Kensington, S.)

Holland, Sir Arthur

Bird, E. R. (Yorks, W. R., Skipton)

Dean, Arthur Wellesley

Holt, Captain H. P.

Blades, Sir George Rowland

Dixon, Captain Rt. Hon. H.

Hope, Capt. A. O. J. (Warw'k, Nun.)

Bourne, Captain Robert Croft

Edmondson. Major A. J.

Hopkins, J. W. W.

Brassey, Sir Leonard

Elliot, Captain Walter E.

Horlick, Lieut.-Colonel J. N.

Briggs, J. Harold

Ellis, R. G.

Hudson, Capt. A. U. M.(Hackney, N.)

Briscoe, Richard George

Erskine, Lord (Somerset, Westom-s.-M)

Hudson, R. S. (Cumberl'nd, Whiteh'n)

Brittain, Sir Harry

Erskine, James Malcolm Monteith

Hurst, Gerald B.

Brocklebank, C. E. R.

Everard, W. Lindsay

Hutchison, G. A. Clark (Midrn & P'bl's)

Brooke, Brigadier-General C. R. I.

Falle, Sir Bertram G.

Iliffe, Sir Edward M.

Broun-Lindsay, Major H.

Finburgh, S.

Inskip, Sir Thomas Walker H.

Bullock, Captain M.

Ford, P. J.

Jackson, Sir H. (Wandsworth, Cen'l)

Burgoyne, Lieut.-Colonel Sir Alan

Forestier-Walker, Sir L.

Jacob, A. E.

Burman, J. B.

Foxcroft, Captain C. T.

Jephcott, A. R.

Burney, Lieut.-Com. Charles D.

Frece, Sir Walter de

Kennedy, A. R. (Preston)

Burton, Colonel H. W.

Fremantle, Lieut.-Colonel Francis E.

King, Captain Henry Douglas

Campbell, E. T.

Galbraith, J. F. W.

Lamb, J. O.

Cassels, J. D.

Ganzoni, Sir John

Leigh, Sir John (Clapham)

Cautley, Sir Henry S.

Gates, Percy

Lister, Cunliffe-, Rt. Hon. Sir Philip

Cayzer, Maj. Sir Herbt. R.(Prtsmth. S.)

Gault, Lieut.-Col. Andrew Hamilton

Lloyd, Cyril E. (Dudley)

Cazalet, Captain Victor A.

Gee, Captain R.

Looker, Herbert William

Chadwick, Sir Robert Burton

Gilmour, Lt.-Col. Rt. Hon. Sir John

Lougher, L.

Chilcott, Sir Warden

Glyn, Major R. G. C.

Luco, Major-Gen. Sir Richard Harman

Christle, J. A.

Goff, Sir Park

McDonnell, Colonel Hon. Angus

Clarry, Reginald George

Gower, Sir Robert

Macmillan, Captain H.

Cobb, Sir Cyril

Grace, John

Macquisten, F. A.

Cochrane, Commander Hon. A. D.

Grant, J. A.

Mac Robert, Alexander M.

Cockerill, Brigadier-General G. K.

Greene, W. P. Crawford

Makins, Brigadier-General E.

Malone, Major P. B.

Rhys, Hon. C. A. U.

Styles, Captain H. Walter

Margesson, Captain D.

Rice, Sir Frederick

Sueter, Rear-Admiral Murray Fraser

Merriman, F. B.

Roberts, Samuel (Hereford, Hereford)

Sugden, Sir Wilfrid

Meyer, Sir Frank.

Ropner, Major L.

Sykes, Major-Gen. Sir Frederick H.

Milne, J. S. Wardlaw-

Ruggles-Brise, Major E. A.

Tasker, Major R. Inigo

Mitchell, S. (Lanark, Lanark)

Russell, Alexander West (Tynemouth)

Templeton, W. P.

Mitchell, W. Foot (Saffron Walden)

Rye, F. G.

Thompson, Luke (Sunderland)

Monsell, Eyres, Com. Rt. Hon. B. M.

Salmon, Major I.

Thomson, F. C. (Aberdeen, South)

Moore, Sir Newton J.

Samuel, A. M. (Surrey, Farnham)

Titchfield, Major the Marquess of

Moore-Brabazon, Lieut.-Col. J. T. C.

Sandeman, A. Stewart

Tryon, Rt. Hon. George Clement

Morrison, H. (Wilts, Salisbury)

Sanders, Sir Robert A.

Vaughan-Morgan, Col. K. P.

Murchison, C. K.

Savery, S. S.

Waddington, R.

Nall, Lieut.-Colonel Sir Joseph

Shaw, Capt. W. W. (Wilts, Westb'y)

Wallace, Captain D. E.

Nicholson, O. (Westminster)

Sheffield, Sir Berkeley

Warner, Brigadier-General W. W.

Nuttall, Ellis

Shepperson, E. W.

Waterhouse, Captain Charles

Oakley, T.

Skelton, A. N.

Watts, Dr. T.

O'Connor, T. J. (Bedford, Luton)

Slaney, Major P. Kenyon

Wells, S. R.

Oman, Sir Charles William C.

Smith, R. W. (Aberd'n & Kinc'dine, C.)

Wheler, Major Sir Granville C. H.

Percy, Lord Eustace (Hastings)

Smith-Carington, Neville W.

Williams, Com. C. (Devon, Torquay)

Perkins, Colonel E. K.

Spencer, G. A. (Broxtowe)

Williams, Herbert G. (Reading)

Pielou, D. P.

Spender Clay, Colonel H.

Wilson, R. R. (Stafford, Lichfield)

Pilcher, G.

Sprot, Sir Alexander

Winby, Colonel L. P.

Pownall, Lieut.-Colonel Assheton

Stanley, Col. Hon. G. F. (Will'sden, E.)

Windsor-Clive, Lieut.-Colonel George

Price, Major C. W. M.

Stanley, Lord (Fylde)

Winterton, Rt. Hon. Earl

Ramsden, E.

Stanley, Hon. O. F. G. (Westm'eland)

Wise, Sir Fredric

Rawlinson, Rt. Hon. John Fredk. Peel

Steel, Major Samuel Strang

Womersley, W. J.

Rawson, Alfred Cooper .

Storry Deans, R.

Wood, E. (Chest'r, Stalyb'dge & Hyde)

Reid, Capt. A. S. C. (Warrington)

Stott, Lieut.-Colonel W. H.

Wood, Sir Kingsley (Woolwich, W.)

Reid, D. D. (County Down)

Strickland, Sir Gerald

Remer, J. R.

Stuart, Crichton-, Lord C.

TELLERS FOR THE AYES.—

Colonel Gibbs and Major Hennessy.

NOES.

Adamson, Rt. Hon. W. (Fife, West)

Harris, Percy A.

Salter, Dr. Alfred

Adamson, W. M. (Staff., Cannock)

Hartshorn, Rt. Hon. Vernon

Scrymgeour, E.

Alexander, A. V. (Sheffield, Hillsbro')

Henderson, Rt. Hon. A. (Burnley)

Scurr, John

Ammon, Charles George

Henderson, T. (Glasgow)

Sexton, James

Baker, J. (Wolverhampton, Bilston)

Henn, Sir Sydney H.

Shiels, Dr. Drummond

Barnes, A.

Hirst, G. H.

Short, Alfred (Wednesbury)

Barr, J.

Hirst, W. (Bradford, South)

Simon, Rt. Hon. Sir John

Batey, Joseph

Hopkinson, A. (Lancaster, Mossley)

Sitch, Charles H.

Benn. Captain Wedgwood (Leith)

Hudson, J. H. (Huddersfield)

Slesser, Sir Henry H.

Bowerman, Rt. Hon. Charles W.

Jenkins, W. (Glamorgan, Neath)

Smith, Ben (Bermondsey, Rotherhithe)

Briant, Frank

John, William (Rhondda, West)

Smith, H. B. Lees- (Keighley)

Broad, F. A.

Johnston, Thomas (Dundee)

Smith, Rennie (Penistone)

Bromley, J.

Jones, Morgan (Caerphilly)

Snowden, Rt. Hon. Philip

Cape, Thomas

Kennedy, T.

Stamford, T. W.

Charleton, H. C.

Kenyon, Barnet

Sutton, J. E.

Cluse, W. S.

Kirkwood, D.

Taylor, R. A.

Clynes, Rt. Hon. John R.

Lawson, John James

Thomas, Sir Robert John (Anglesey)

Compton, Joseph

Lee, F.

Thurtle, E.

Connolly, M.

Livingstone, A. M.

Tinker, John Joseph

Cove, W. G.

Lowth, T.

Trevelyan, Rt. Hon. C. P.

Dalton, Hugh

Lunn, William

Varley, Frank B.

Davies, Rhys John (Westhoughton)

MacDonald, Rt. Hon. J. R.(Aberavon)

Viant, S. P.

Day, Colonel Harry

Mackinder, W.

Wallhead, Richard C.

Dennison, R.

MacLaren, Andrew

Walsh, Rt. Hon. Stephen

Duckworth, John

March, S.

Warne, G. H.

Edwards, C. (Monmouth, Bedwellty)

Mitchell, E. Rosslyn (Paisley)

Watson, W. M. (Dunfermline)

Edwards, John H. (Accrington)

Mond, Rt. Hon. Sir Alfred

Watts-Morgan, Lt.-Col. D. (Rhondda)

Evans, Capt. Ernest (Welsh Univer.)

Montague, Frederick

Westwood, J.

Forrest, W.

Morris, R. H.

Whiteley, W.

Garro-Jones, Captain G. M.

Morrison, R. C. (Tottenham, N.)

Wilkinson, Ellen C.

Gibbins, Joseph

Murnin, H.

Williams, Dr. J. H. (Llanelly)

Gosling, Harry

Naylor, T. E.

Williams, T. (York, Don Valley)

Greenall, T.

Paling, W.

Wilson, C. H. (Sheffield, Attercliffe)

Grenfell, D. R. (Glamorgan)

Parkinson, John Allen (Wigan)

Wilson R J (Jarrow)

Griffiths, T. (Monmouth, Pontypool)

Pethick-Lawrence, F. W.

Windsor, Walter

Groves, T.

Potts, John S.

Wright W

Grundy, T. W.

Richardson, R. (Houghton-le-Spring)

Young, E. Hilton (Norwich)

Guest, J. (York, Hemsworth)

Riley, Ben

Young, Robert (Lancaster, Newton)

Hall, F. (York, W. R., Normanton)

Ritson, J.

Hall, G. H. (Merthyr Tydvil)

Robinson, W. C. (Yorks, W. R., Elland)

TELLERS FOR THE NOES.—

Harney, E. A.

Saklatvala, Shapurji

Sir Godfrey Collins and Mr.

Trevelyan Thomson.

I beg to move, in line 10, to leave out from the word "charged" to the word "a," in line 11.

It will perhaps save the time of the Committee if I say little, because I imagine the President of the Board of Trade is going to accept this Amendment.

Then it will be necessary to consider the whole situation. The first thing one notices in this Debate is that we are in Committee of Ways and Means; and the second thing is that this deals with a duty and the amount and the incidence of it. Yet never, except for a fleeting moment, has the person responsible for the practical balancing and arrangement of the Budget, and the making of all the parts properly fit, given us the honour of his presence. Never, either, has the Financial Secretary to the Treasury been with us here in order to give us the benefit of his advice. Never have we been told what he will do. Moreover, the controversy—perhaps the term "discrepancy" would be better— between the Board of Trade and the Treasury is most marked. Let me explain what I mean. After the Chancellor of the Exchequer unfolded his Budget, and when we were dealing with the Finance Bill, we put to him the question as to whether the duty on lace and on silk would not amount to a double duty. We repeated that question more than once, and then the Chancellor of the Exchequer rose up and said, "Of course, certainly not. We do not intend to levy more than 33⅓ per cent. on any one article." At that very moment, however, the Private Secretary or someone else on behalf of the right hon. Gentleman was handing in at the Table this Motion. What the Chancellor of the Exchequer will tell us in relation to this matter I am not at all sure—

I am sure the hon. and gallant Gentleman would not like to misrepresent the case. If he had been here at the earlier stage of this debate he would have heard me in the opening of my speech explain precisely what the arrangement was. I explained it in considerable detail, and exactly how there would never be more than 33— per cent. levied.

That is precisely what I thought, that the Board of Trade and the Treasury must have come to some concord. Therefore I do not understand why the right hon. Gentleman does not accept my Amendment. Since, however, he will not accept it, I am bound to explain that there seems some lack of understanding or lack of touch between the two Departments, because, as I have said, at the very moment—on the 9th June I think it was—when the Chancellor of the Exchequer was rising in his place to say that there was no intention at all of putting on a double duty, on the same day the right hon. Gentleman handed in at the Table a Motion showing that a duty was to be payable in addition to any duty payable as a silk tax. We had, therefore, a complete conflict, and it seems desirable that we should have some one present so that at least there should be some conference between the representatives of the Treasury and the Board of Trade. I understand that when the Chancellor of the Exchequer saw this Resolution he told the President of the Board of Trade it was all wrong and that he could not allow him to levy a double tax, and it seems that in his speech to-day the right hon. Gentleman explained that a double tax was not going to be levied.

Then perhaps the right hon. Gentleman in that case will tell the Committee this: Does he deny that this Resolution in this form gives him the power to levy a double tax? Will he answer that question?

If this Resolution gives the right hon. Gentleman power to levy a double tax I say he has no right to ask the House of Commons to pass it. If he says that he intends to take power to levy a double tax but does not intend to use it, then the purpose of this Committee is to put a ring around his powers and only to give him enough power to carry out the financial policy of the Government. Because I believe that the Amendment which I am proposing does in fact carry out such purpose—and I know it carries out what the Chancellor of the Exchequer has said—and because it is an adequate safeguard to those trades which are going to be penalised by these duties, against a duty of 66⅔ per cent., that I move it.

The solicitude of the hon. and gallant Gentleman as to the relationship between the Treasury and the Board of Trade is quite unnecessary. I cannot accept his com-misseration under false pretences. I must really accept the advice of the draftsman who was invited to draw up this Resolution, and not the form of drafting of the hon. and gallant Gentleman as the most suitable to give effect to what is the intention of His Majesty's Government. What we propose to do is perfectly simple, and that is to give full effect to the Section we introduced when the House passed the Financial Resolution through Committee and Report. We propose that where an article is an article of silk it shall bear a duty of only 334 per cent., but that duty may be partly a Silk Duty and partly a Lace Duty. That is why it is not possible to accept the Amendment. Possibly the hon. and gallant Gentleman would allow me, after consultation with my experts, to be the best judge of that. If I am advised that the effect of accepting his Amendment would be to prevent the Government carrying out their intentions, he can hardly expect me to accept his Amendment. We propose, in levying this tax, to levy only 334 per cent. in any case. We shall do so as follows: The silk lace may come in either as silk lace in a package, a separate article by itself, or it may come in as silk lace made up into an article. If it is introduced as a separate article, not a made-up article, then we propose to levy the 334 per cent. as lace and not as subject to any Silk Duty at all. Therefore, it will bear the Lace Duty of 334 per cent. and no Silk Duty, and the aggregate paid will be 334 per cent.

10.0 P. M.

That is where it comes i n as lace by itself. Then it may come in as part of a made-up article. In that case it will bear again only 33⅓ per cent. As the hon. and gallant Gentleman is aware, the duty put upon made-up articles under the Second Schedule of the Finance Bill is not a consistent duty. It is a duty of 334 per cent. if the value of the silk content is 20 per cent. or over; it is a duty of 10 per cent. if the value of the silk content is between 5 and 20 per cent.; and it is a duty of 2 per cent. if the value of the silk content is under 5 per cent. Therefore, you cannot do the simple thing which the hon. and gallant Member suggests, which is to subject this article only to the Silk Duty, if you are going to charge 33⅓ per cent. We take the simple and practical course. If the whole article is subject to 33⅓ per cent. ad valorem as a silk article, it will bear the Silk Duty and no Lace Duty at all. It will be 33⅓ per cent. in the aggregate. If, on the other hand, the made-up article bears only 10 per cent. of the Silk Duty, it will bear 10 per cent. under the Schedule of the Finance Bill, and it will also bear an additional duty of 234 per cent. on the value of the lace. Observe what that does. It does not do what the hon. and gallant Gentleman says, that is, make 66⅔ per cent., because if you add 234 to 10 you get 33⅓ per cent. In that simple way, although you are charging both a Silk Duty and a Lace Duty, the aggregate duty paid by the lace is 33⅓ per cent. Exactly 10.0 P.M. the same process is followed if the article is subject only to a two per cent. Silk Duty. In that case two per cent. ad valorem is paid on the whole imported article, and 31⅓ per cent. is paid on the lace value; the lace will have borne a duty of 31⅓ per cent., plus two per cent., which makes 33⅓ per cent. Therefore, in every single case silk lace or embroidery will pay 33⅓ per cent., and no more, and it will do it in the simple and practical way which I have explained. Having heard that explanation, I am sure that the hon. and gallant Gentleman will appreciate that it would not be possible to accept his Amendment.

The right hon. Gentleman kindly promised to answer questions. Will he answer this question? Does this Resolution give him the power, if he cares to use it, to levy double duty?

Really the hon. and gallant Gentleman has been long enough in the House not to make specious points of that kind. He knows quite well that a Financial Resolution by itself gives me no power to do anything. It gives me power to bring in a Clause, and the House will have the Clause before it, founded upon the Financial Resolution, and the House will see that I am keeping within the limits.

I rise to get a, matter explained which I do not understand. I listened with great interest to the right hon. Gentleman's speech, which reminded me of what I heard in my school days from a professor of mathematics. The simple question is this: The Resolution, as it stands, says that during a period of five years, beginning on a certain date, on any off the following goods, whether the goods form part of, or are attached to, garments or other articles or not, there shall be charged, in addition to any Customs Duty payable in respect of the goods as being, or containing, or being made wholly or in part of silk or artificial silk, etc., something in addition to that, and the thing that has to be charged in addition to that is a Duty of Customs equal to 33⅓ per cent. of the value of the goods. In my submission, there cannot be the slightest doubt, whatever may be the intention of the Chancellor of the Exchequer or the President of the Board of Trade, that that gives power to charge 33⅓ per cent., plus something, and the "something" is defined to be "any Customs Duty payable in respect of the goods as containing, etc." That duty is 33⅓ per cent. Therefore, unless I am entirely ignorant of the English language, this Resolution says that power is given to the Chancellor of the Exchequer to charge (i) 33⅓ per cent., being the Silk Duty, in addition to (2) 33⅓ per cent on the Lace Duty?

There is no use in the President of the Board of Trade making long and learned mathematical speeches. There is the fact and he ought to answer my hon. and gallant Friend's question whether there is really any intention of charging the double duty or not. He says there is no such intention. If there is no such intention he ought to see that the Resolution is framed properly by adopting an Amendment in conformity with what is intended by the Chancellor of the Exchequer.

I think we are entitled to have the advantage of the very distinguished Law Officer present as to the very curious drafting of this Resolution. I know we are told to accept the words of a Parliamentary draftsman as if they were a law of the Medes and Persians, but I do not think it is quite fair to take refuge behind the Parliamentary draftsman. The Minister is responsible for the form of Resolution, and I have no doubt his intention is honourable; but this Committee has its traditional right to keep control over Supply and the form of Supply. I suggest that, although he may not intend to use these powers, undoubtedly any Member of the Committee who reads these words must see what I pointed out a couple of days ago, that if the Resolution be passed in its present form, there will be a power given to make lace made out of artificial silk, subject first to a duty as artificial silk, and, secondly, to a duty as lace of 33⅓ per cent. For that reason, I do ask that the words proposed by my hon. and gallant Friend be either accepted or the Minister amend his Resolution in such a form as to bring it in order, and so as to represent what he tells us is his real intention.

I hope I may be allowed to make an appeal to the Minister on this matter. As a matter of fact, I think he must admit he is taking much more power by the wording of the Resolution than he says he is going to exercise. If the bracketed part of the Resolution is put at the end in instead of in the middle, it makes no difference to the sense, but it makes the point a. little clearer. May I ask why he does not make the alteration of the words that would give him the powers in the Resolution for which he asks? Surely it is good Parliamentary practice to do that.

I thought I had made it quite clear. I cannot accept the Amendment. I do not want to be the least unreasonable, and I am quite sure the right hon. Gentleman will not suggest for a moment that when we bring in the Clause in a particular form we are going away from our intention. The Amendment proposed would make it quite impossible to bring in the Clause which I want, because what I propose to do is to leave 33⅓ per cent. in the aggre gate. Where the Silk Duty is 33⅓, then no duty is going to be levied, but where the Silk Duty is only 10 per cent. ad valorem, then there is a 234 per cent. ad valorem duty upon the lace content, making an aggregate of 33⅓. [An HON. MEMBER: "Why not say 'in the aggregate'?"] Because it would require an extraordinarily complex Resolution, and, as my hon. Friend knows, one has to be very careful in framing a Resolution that it gives you the full power to do whatever is desired. From the practical point of view, I would ask the House to pass the Resolution in this form. The Amendment is obviously unsuitable, and cannot be accepted. There is really no difference between us, and I give an absolute undertaking—

Because the words would want extremely skilful drafting by a very skilful draftsman. I am not going to accept across the Floor of the House some roughly-drafted Amendment which, subsequently, skilful critics might say did not give me the power to carry out the intention which is the common intention, I believe, of the Committee. Nobody knows better than the hon. and gallant Gentleman that you have to be very careful in accepting any form of words in a Financial Resolution. For that reason, I give an absolute undertaking that the Clause, which will have to be on the Order Paper before this Resolution is passed, will be limited in the way I have indicated, and I submit it is quite unreasonable for the hon. and gallant Gentleman to press his own Amendment, which is so unsuitable. It is quite true this Resolution gives rather wider powers—

The hon. and gallant Gentleman has obstructed many Measures. I am in the recollection of the Committee that I have answered his point.

On a point of Order. I am not quite sure, but I rather gather that the charge of obstruction is unparliamentary.

If I have said anything unparliamentary I withdraw it, but it is suggested that I have not given a full answer to the points that have been raised. I am in the recollection of the Committee that I have answered every point the hon. and gallant Gentleman has raised. I am sorry he has made the suggestion. I ask the Committee to accept the Resolution, with my undertaking.

I do not at all question the intention of the right hon. Gentleman, nor that when the Clause appears his intention will not be carried out, but I am prejudiced in favour of a good business Resolution all the same. The Government were warned yesterday that this question would be raised, and is there any real objection to a form of words which says there shall be charged a duty of Customs in the aggregate, including any Customs duty payable, and so on, equal to and not more than 33⅓?

I do not think if the right hon. Gentleman were in my place he would accept an Amendment to a Financial Resolution thrown across the Table at him, but if my right hon. Friend is anxious to put down on Amendment, and he does not think what I have suggested is reasonable, and if he wants to put down an Amendment, I can see it before the Report stage. From the practical point of view, I think we could agree to vote on the Resolution as it stands, with that understanding.

May I point out that a moment or two ago the right hon. Member assured the hon. and gallant Member for Leith (Captain Benn) that he would prefer the drafting of his own experts to anything that my hon. and gallant Friend might suggest? He now admits that this Clause does give him greater powers than he has a right to expect, and that the Amendment moved by the hon. and gallant Member is in order and within the rules of the House. It does seem to me that the Amendment is quite right and proper. If the right hon. Gentleman has at his disposal expert draftsmen he has had plenty of time to draft a Resolution which exactly expresses what he wanted to convey to the Committee.

I cannot be accused of obstruction, because this is the first time that I have spoken. [HON. MEMBERS: "The second."] I would not have risen now if it had been possible to accept the attitude that has been taken up by the right hon. Gentleman. As I understand it, he says, "My intention was that in the aggregate the duty should be 33⅓ per cent. The words I have used make it possible for me to charge 66⅔ per cent. Will you, because I have made a mistake in drafting—[HON. MEMBERS: "NO!"] —It is so. Anyone who reads the Order Paper will see that two and two make four, and there it is in plain language. If we pass this Resolution, it becomes operative at once on the 1st July, and we have consented to the Chancellor of the Exchequer charging on these goods 66⅓ per cent. The right hon. Gentleman does not deny that. He says, "I really only intended that we should charge 33⅓ per cent." He knew about this yesterday. He says he has expert Parliamentary advisers, and it is his own fault if he has not called in those expert Parliamentary advisers to assist him in putting the intentions of the Government into clear English. It could be done in five minutes. Until he takes the trouble to do so, I think the House will be playing very loosely with its responsibilities if it commits itself to giving the Government the power on the 1st July to charge 66⅔ per cent, when they really only intend to charge 33⅓ per cent.

I think we can bring the Debate to an end, because I under-

stand that if an Amendment is put down —in regard to it I should like to consult my right hon. Friend, because I put down the original Amendment—the President of the Board of Trade will give favourable consideration to it, in view of the intention of the Government which he has declared. On that understanding, I am not anxious to press the Amendment.

I do not undertake to accept an Amendment which I have not seen, but, of course, if an Amendment is put down on the Report stage I will give it full consideration.

Amendment, by leave, withdrawn.

Main Question put.

The Committee divided: Ayes, 233; Noes, 123.

Division No. 152.]

AYES.

[10.20 p.m.

Acland-Troyte, Lieut.-Colonel

Crook, C. W.

Hilton, Cecil

Agg-Gardner, Rt. Hon. Sir James T.

Crooke, J. Smedley (Deritend)

Hoare, Lt.-Col. Rt. Hon. Sir S. J. G.

Alexander, E. E. (Leyton)

Cunliffe, Joseph Herbert

Hogg, Rt. Hon. Sir D.(St. Marylebone)

Ashley, Lt.-Col. Rt. Hon. Wilfrid W.

Curtis-Bennett, Sir Henry

Hohler, Sir Gerald Fitzroy

Atholl, Duchess of

Curzon, Captain Viscount

Holbrook, Sir Arthur Richard

Atkinson, C.

Dalkeith, Earl of

Holland, Sir Arthur

Baldwin, Rt. Hon. Stanley

Dalziel, Sir Davison

Holt, Capt. H. P.

Balfour, George (Hampstead)

Davies, A. V. (Lancaster, Royton)

Hope, Capt. A. O. J. (Warw'k, Nun.)

Balniel, Lord

Davies, Sir Thomas (Cirencester)

Hopkins, J. W. W.

Barnett, Major Sir Richard

Davison, Sir W. H. (Kensington, S.)

Horlick, Lieut.-Colonel J. N.

Barnston, Major Sir Harry

Dean, Arthur Wellesley

Hudson, Capt. A. U. M. (Hackney, N.)

Beckett, Sir Gervase (Leeds, N.)

Dixon, Captain Rt. Hon. Herbert

Hudson, R. S. (Cumberland, Whiteh'n)

Bellairs, Commander Carlyon W.

Edmondson, Major A. J.

Hume, Sir G. H.

Bennett, A. J.

Elliott, Captain Walter E.

Hurst, Gerald B.

Bentinck, Lord Henry Cavendish-

Ellis, R. G.

Hutchison, G. A. Clark (Midl'n & P'bl's)

Betterton, Henry B.

Erskine, Lord (Somerset, Weston-s.-M.)

Iliffe, Sir Edward M.

Bird, E. R. (Yorks, W. R., Skipton)

Everard, W. Lindsay

Inskip, Sir Thomas Walker H.

Blades, Sir George Rowland

Falle, Sir Bertram G.

Jackson, Sir H. (Wandsworth, Cen'l)

Bourne, Captain Robert Croft

Finburgh, S.

Jacob A. E.

Brassey, Sir Leonard

Ford, P. J.

Jephcott, A. R.

Briggs, J. Harold

Forestier-Walker, Sir L.

Kennedy, A. R. (Preston)

Briscoe, Richard George

Foxcroft, Captain C. T.

King, Captain Henry Douglas

Brittain, Sir Harry

Frece, Sir Walter de

Lamb, J. Q.

Brocklebank, C. E. R.

Fremantle, Lt.-Col. Francis E.

Leigh, Sir John (Clapham)

Brooke, Brigadier-General C. R. I.

Galbraith, J. F. W.

Lister, Cunliffe-, Rt. Hon. Sir Philip

Broun-Lindsay, Major H.

Ganzoni, Sir John

Lloyd, Cyril E. (Dudley)

Bullock, Captain M.

Gates, Percy

Looker, Herbert William

Burgoyne, Lieut.-Colonel Sir Alan

Gault, Lieut.-Col. Andrew Hamilton

Lougher, L.

Burman, J. B.

Gee, Captain R.

Luce, Major-Gen. Sir Richard Harman

Burney, Lieut.-Com. Charles D.

Gibbs, Col. Rt. Hon. George Abraham

Lynn, Sir R. J.

Burton, Colonel H. W.

Gilmour, Lt.-Col. Rt. Hon. Sir John

McDonnell, Colonel Hon. Angus

Campbell, E. T.

Glyn, Major R. G. C.

Macmillan, Captain H.

Cassels, J. D.

Goff, Sir Park

Macnaghten, Hon. Sir Malcolm

Cautley, Sir Henry S.

Gower, Sir Robert

Macquisten, F. A.

Cayzer, Maj. Sir Herbt. R. (Prtsmth. S.)

Grace, John

MacRobert, Alexander M.

Cazalet, Captain Victor A.

Grant, J. A.

Makins, Brigadier-General E.

Chadwick, Sir Robert Burton

Greene, W. P. Crawford

Malone, Major P. B.

Chilcott, Sir Warden

Grotrian, H. Brent

Margesson, Captain D.

Christie, J. A.

Guinness, Rt. Hon. Walter E.

Marriott, Sir J. A. R.

Churchman, Sir Arthur C.

Gunston, Captain D. W.

Merriman, F. B.

Clarry, Reginald George

Hacking, Captain Douglas H.

Meyer, Sir Frank.

Cobb, Sir Cyril

Harland, A.

Milne, J. S. Wardlaw-

Cochrane, Commander Hon. A. D.

Harrison, G. J. C.

Mitchell, S. (Lanark, Lanark)

Cockerill, Brigadier-General G. K.

Haslam, Henry C.

Mitchell, W. Foot (Saffron Walden)

Conway, Sir W. Martin

Hayday, Arthur

Monsell, Eyres, Com. Rt. Hon. B. M.

Cooper, A. Duff

Headlam, Lieut.-Colonel C. M.

Moore, Sir Newton J.

Couper, J. B.

Henderson, Capt. B. R (Oxf'd, Henley)

Moore-Brabazon, Lieut.-Col. J. T. C.

Craig, Capt. Rt. Hon. C. C. (Antrim)

Henderson, Lieut.-Col. V. L. (Bootle)

Morrison, H. (Wilts, Salisbury)

Craig, Ernest (Chester, Crewe)

Henniker-Hughan, Vice-Adm. Sir A.

Murchison, C. K.

Craik, Rt. Hon. Sir Henry

Herbert, Dennis (Hertford, Watford)

Nall, Lieut.-Colonel Sir Joseph

Nicholson, O. (Westminster)

Rye, F. G.

Sykes, Major-Gen. Sir Frederick H.

Nicholson, Col. Rt. Hn. W.G.(Ptrsf'ld.)

Salmon, Major I.

Tasker, Major R. Inigo

Nield, Rt. Hon. Sir Herbert

Samuel, A. M. (Surrey, Farnham)

Templeton, W. P.

Nuttall, Ellis

Sandeman, A. Stewart

Thompson, Luke (Sunderland)

Oakley, T.

Sanders, Sir Robert A.

Thomson, F. C. (Aberdeen, South)

O'Connor, T. J. (Bedford, Luton)

Savery, S. S.

Titchfield, Major the Marquess of

O'Neill, Major Rt. Hon. Hugh

Scott, Sir Leslie (Liverp'l, Exchange)

Tryon, Rt. Hon. George Clement

Oman, Sir Charles William C.

Shaw, Capt. W. W. (Wilts, Westb'y)

Vaughan-Morgan, Col. K. P.

Percy, Lord Eustace (Hastings)

Sheffield, Sir Berkeley

Waddington, R.

Perkins, Colonel E. K.

Shepperson, E. W.

Wallace, Captain D. E.

Peto, G. (Somerset, Frome)

Simms, Dr. John M. (Co. Down)

Warner, Brigadier-General W. W.

Pielou, D. P.

Skelton, A. N.

Waterhouse, Captain Charles

Pilcher, G.

Slaney, Major P. Kenyon

Watts, Dr. T.

Power, Sir John Cecil

Smith, R.W. (Aberd'n & Kinc'dine, C.)

Wells, S. R.

Pownall, Lieut.-Colonel Assheton

Smith-Carington, Neville W.

Wheler, Major Sir Granville C. H.

Preston, William

Spencer, G. A. (Broxtowe)

Williams, Com. C. (Devon, Torquay)

Price, Major C. W. M.

Spender Clay, Colonel H.

Williams, Herbert G. (Reading)

Ramsden, E.

Sprot, Sir Alexander

Wilson, R. R. (Stafford, Lichfield)

Rawlinson, Rt. Hon. John Fredk. Peel

Stanley, Col. Hon. G. F. (Willsden, E.)

Winby, Colonel L. P.

Rawson, Alfred Cooper

Stanley, Lord (Fylde)

Windsor-Clive, Lieut.-Colonel George

Rees, Sir Beddoe

Stanley, Hon. O. F. G. (Westm'eland)

Winterton, Rt. Hon. Earl

Reid, Capt. A. S. C. (Warrington)

Steel, Major Samuel Strang

Wise, Sir Fredric

Reid, D. D. (County Down)

Storry Deans, R.

Womersley, W. J.

Remer, J. R.

Stott, Lieut.-Colonel W. H.

Wood, E. (Chest'r, Stalyb'dge & Hyde)

Rhys, Hon. C. A. U.

Strickland, Sir Gerald

Wood, Sir Kingsley (Woolwich, W.)

Roberts, Samuel (Hereford, Hereford)

Stuart, Crichton-, Lord C.

Ropner, Major L.

Styles, Captain H. Walter

TELLERS FOR THE AYES.—

Ruggles-Brise, Major E. A.

Sueter, Rear-Admiral Murray Fraser

Major Hennessy and Major Cope.

Russell, Alexander West- (Tynemouth)

Sugden, Sir Wilfrid

NOES.

Adamson, Rt. Hon. W. (Fife, West)

Hall, F. (York, W. R., Normanton)

Salter, Dr. Alfred

Adamson, W. M. (Staff., Cannock)

Harney, E. A.

Scrymgeour, E.

Alexander, A. V. (Sheffield, Hillsbro')

Harris, Percy A.

Scurr, John

Ammon, Charles George

Hartshorn, Rt. Hon. Vernon

Sexton, James

Baker, J. (Wolverhampton, Bilston)

Henderson, Rt. Hon. A. (Burnley)

Shiels, Dr. Drummond

Barnes, A.

Henn, Sir Sydney H.

Short, Alfred (Wednesbury)

Barr, J.

Hirst, G. H.

Simon, Rt. Hon. Sir John

Batey, Joseph

Hirst, W. (Bradford, South)

Sitch, Charles H.

Benn, Captain Wedgwood (Leith)

Hopkinson, A. (Lancaster, Mossley)

Slesser, Sir Henry H.

Bowerman, Rt. Hon. Charles W.

Hudson, J. H. (Huddersfield)

Smith, Ben (Bermondsey, Rotherhithe)

Briant, Frank

Hutchison, Sir Robert (Montrose)

Smith, H. B. Lees- (Keighley)

Broad, F. A.

Jenkins, W. (Glamorgan, Neath)

Smith, Rennie (Penistone)

Bromley, J.

John, William (Rhondda, West)

Snowden, Rt. Hon. Philip

Cape, Thomas

Johnston, Thomas (Dundee)

Stamford, T. W.

Charleton, H. C.

Jones, Morgan (Caerphilly)

Sutton J. E.

Cluse, W. S.

Kennedy, T.

Taylor, R. A.

Clynes, Rt. Hon. John R.

Kenyon, Barnet

Thomas, Sir Robert John (Anglesey)

Colfox, Major Wm. Phillips

Kirkwood, D.

Thurtle, E.

Collins, Sir Godfrey (Greenock)

Lawson, John James

Tinker, John Joseph

Compton, Joseph

Lee, F.

Trevelyan, Rt. Hon. C. P.

Connolly, M.

Lowth, T.

Varley Frank B.

Cove, W. G.

Lunn, William

Viant, S. P.

Dalton, Hugh

MacDonald, Rt. Hon. J. R. (Aberavon)

Wallhead, Richard C.

Davies, Evan (Ebbw Vale)

Markinder W.

Walsh, Rt. Hon. Stephen

Davies, Rhys John (Westhoughton)

MacLaren, Andrew

Warne G. H.

Day, Colonel Harry

March, S.

Watson, W. M. (Dunfermline)

Dennison, R

Mitchell, E. Rosslyn (Paisley)

Watts-Morgan, Lt.-Col. D. (Rhondda)

Duckworth, John

Mond, Rt. Hon. Sir Alfred

Westwood, J.

Dunnico, H.

Edwards, John H. (Accrington)

Montague, Frederick

Whiteley W.

Evans Capt. Ernest (Welsh Univer.)

Morris, R. H.

Wilkinson, Ellen C.

Fenby, T. D.

Morrison, R. C. (Tottenham, N.)

Williams, Dr. J. H. (Llanelly)

Forrest, W.

Murnin, H.

Williams, T. (York, Don Valley)

Garro-Jones, Captain G. M.

Naylor, T. E.

Wilson, C. H. (Sheffield, Attercliffe)

Gibbins, Joseph

Pailing, W.

Wilson, R. J. (Jarrow)

Gillett, George M.

Parkinson, John Allen (Wigan)

Windsor, Walter

Gosling Harry

Pethick-Lawrence, F. W.

Wright, W.

Greenall T.

Potts, John S.

Young, E. Hilton (Norwich)

Grenfell, D. R. (Glamorgan)

Richardson, R. (Houghton-le-Spring)

Young, Robert (Lancaster, Newton)

Griffiths, T. (Monmouth, Pontypool)

Riley, Ben

Groves, T.

Ritson, J.

TELLERS FOR THE NOES.—

Grundy T. W.

Robinson, W.C. (Yorks, W. R., Elland)

Mr. Charles Edwards and Mr. T.

Guest, J. (York, Hemsworth)

Saklatvala, Shapurji

Henderson.

Resolution to be reported To-morrow. Committee to sit again To-morrow.

The remaining Orders were read, and postponed.

Adjournment

Resolved, "That this House do now adjourn."—[ Commander Eyres Monsell. ]

Adjourned accordingly at Half after Ten o'Clock.