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Commons Chamber

Volume 246: debated on Tuesday 16 December 1930

House of Commons

Tuesday, December 16, 1930

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

Private Business

Cumberland Market (St. Pancras) Bill,

Mr. SPEAKER laid upon the Table Report from one of the Examiners of Petitions for Private Bills, pursuant to the order of the House of the 8th day of December, That in the case of the following Bill, the Standing Orders, which are applicable thereto, have been complied with, namely:

Cumberland Market (St. Pancras) Bill.

East India (India Office, Retirement at 65)

Address for Return

"of Copy of Minute by the Secretary of State for India, stating the circumstances under which an officer belonging to his permanent establishment has been retained in the service after he has attained the age of 65."— [ Mr. Parkinson. ]

Oral Answers to Questions

British Army

Woolwich Arsenal (Workers' Representation)

asked the Secretary of State for War with reference to the respective claims of the Government Workers' Union and the Shops Stewards Committee at Woolwich Arsenal as to representation, the date when he asked these two bodies to formulate their claims; whether any such claims have been presented to him by either of these two bodies; and whether he has given his consideration to them and with what result?

I received communications from both parties last summer and gave my personal consideration to the representations contained in them. As I informed the right hon. Member on 2nd December, I am not prepared to disturb the present arrangement which is working satisfactorily.

Will the right hon. Gentleman answer that part of my question which asks about the two bodies formulating their claims? Does he remember an undertaking which was given that both these parties were to be asked to formulate their claims and that judgment would then be given?

No, I do not remember that, but, if the right hon. Gentleman will put down a specific question, I will answer it.

I have put a specific question, and I will repeat the question and ask the right hon. Gentleman the date when he asked these two bodies to formulate their claims and whether they have done so.

Yes, it was last summer, and I said that I could not meet both at the same time but could only deal with one body.

Has the right hon. Gentleman followed out his undertaking, and, if not, why has he not done so?

British Legation, Denmark (Military Attaché)

asked the Secretary of State for War whether His Majesty's Government still maintain a military attaché in Denmark; and, if so, what duties of a military nature does he perform?

No separate military attaché is maintained in Denmark, but the military attaché in Berlin is also a member of the staff of His Majesty's Legation at Copenhagen, in which capacity he acts as military attaché and occasionally visits Denmark to carry out his duties of watching military affairs in that country.

Yes, I understand that there are still some military affairs in that country.

Civilian EmployéS (Gratuity)

asked the Secretary of State for War whether his attention has been called to the case of Richard McKnight, of 61, Pownall Crescent, Colchester, who was compulsorily retired on the ground of age from the Ordnance Department on 3rd December, 1930, after 14 years and two months' service, and whose application to serve a further 10 months in order to qualify for the usual gratuity after 15 years' service was refused, and who has since been informed that no gratuity at all will be paid in his case; and whether, having regard to the man's record, he will give further consideration to the application for a modified gratuity?

The grant of pension or gratuity to civilian employés is governed by the Superannuation Acts, and there is no power to make any award to an un-established employé who is discharged on the grounds of age, as Mr. McKnight was, before having completed 15 years' service. Mr. McKnight was allowed to serve up to the age of 65, and I regret that it was not possible to extend his service for a further period of nearly a year in order to permit him to qualify for gratuity.

Do I understand the right hon. Gentleman to say that no discretion whatever is used?

I think it must be understood that it is a very different matter to use discretion when one does not know how far the discretion has to be pushed, and this case is certainly beyond any discretion which has ever been exercised.

Pensions (Forfeiture)

asked the Secretary of State for War whether, in view of the fact that Army pensions that are not drawn for 12 months are liable to be forfeited, he can state the number of pensions so forfeited and the amount of money involved?

About 30 to 40 pensions awarded to soldiers are forfeited each year owing to the pensioner's failure to draw his pension. Over one-third of the cases relate to men whose pensions are paid outside the British Isles. About £2,000 a year is the amount involved, but as a pension is normally restored when the man applies for payment, subject to proof of identity, and proof that he has not rendered himself liable to forfeiture for crime, the amount ultimately forfeited is much smaller.

Is he aware that he is acting in a very arbitrary manner; that there are cases in which this money has not been refunded; and that no private firms would dare to act in such a way?

No, I am not aware of anything of the kind, and, if the hon. and gallant Member has any particulars of cases like that, he ought to supply them in order to give me a chance of dealing with them.

Recruiting

asked the Secretary of State for War the steps he has taken, or proposes to take, to stimulate recruiting, in view of the existing volume of unemployment?

A special recruiting campaign will be undertaken early in the new year, when efforts will be made to arouse local and county interest, and recruits will be given every opportunity of joining their county regiments. The Army authorities will welcome the good will and assistance of any hon. Members and public authorities who desire to help in the steps which are to be taken. As men are asked to join the Army of their own free will, no special pressure will be brought to bear on unemployed men.

Are particulars of the Army placed in Employment Exchanges so that men can see for themselves, in the employment bureaux, the possibilities of the Army?

I understand that details are to be found in Employment Exchanges, but I would not vouch for it.

Is the right hon. Gentleman going to take any personal part in this recruiting campaign?

Can my right hon. Friend say whether notices are also published in Cambridge and Oxford University?

Questions

Wages (Girls, Ordnance Factories)

4 and 5.

asked the Secretary of State for War (1) what is the result of his Department's consideration of the rates of pay of girls operating machines in the ordnance factories;

(2) whether he is aware that in contravention of Treasury regulations, which prescribe a 39-hour week for girls under the age of 16, girls under the age of 16 in the ordnance factories at Woolwich are conditioned to a 47-hour week; and whether he will take steps to bring their hours into conformity with those prescribed by the Treasury?

It has been decided to introduce the following maximum rates for these workers: 21s. 5d. a week for those 15 years and over, 26s. for those aged 16 and over, and 32s. 1d. for those aged 17 and over. These rates are based on a cost of living figure of 65 and are subject to review in the light of changes in that figure. The actual rates paid to individual workers will be fixed within these maxima according to age, experience and efficiency, but normally a girl at the age of 15 will in future receive on entry about 15s. instead of 10s. a week as hitherto, rising to 17s. 6d. and 20s. after three months and six months respectively, if her progress is satisfactory. The above rates are based on a working week of 42 hours which is common to all clerical grades at the Royal Ordnance Factories. I understand that the Treasury regulations to which my hon. Friend refers had reference primarily to clerical staff in Headquarter Offices and even in those cases do not preclude a longer attendance week should circumstances justify it.

While thanking my hon. Friend for the reply, may I ask whether he will give further consideration to the question about the length of the working week in the case of girls under 16?

I would suggest to my hon. Friend that he should bring the matter again before the War Office Administrative Whitley Council Outstation Committee, and then I will be able to give him the decision arrived at there.

Does the hon. Gentleman think it is possible to get domestic servants when these rates are paid?

Scotland

Rabbit Warrens, Kincardine

asked the Secretary of State for Scotland whether he is aware that lands in the county of Kincardine have within recent years been converted into rabbit warrens; and if he can give particulars as to the areas involved and the population displaced?

I am not aware of any such conversion within recent years, but, if my hon. Friend will supply me with the information on which his question is based, I will have inquiry made.

Ayr County Council (Loan)

asked the Secretary of State for Scotland if he is aware of the condition under which the Ayr County Council recently floated a loan, and that the council chairman underwrote part of the said loan; and if he is prepared to take steps to prevent a recurrence of such a practice?

The county council of Ayr recently created and issued stock with my sanction, and I am informed that the chairman of the council sub-underwrote part of that stock at a commission. With regard to the latter part of the question, I would refer the hon. Member to the provisions of Section 9 of the Local Government (Scotland) Act, 1889. It is not my province to determine whether that Section applies in any specific case.

Is my right hon. Friend aware that underwriting is not this person's profession, that, as a matter of fact, he is an estate factor? Is it not within the right hon. Gentleman's province to determine whether the under- writing of part of this loan for a sum of £40,000 was not violating the County Council Act, and has my right hon. Friend no power to take steps to prevent this thing from occurring in the future?

If there is any breach of the law, the county council can put the Act into operation.

I must press the matter. Does my right hon. Friend suggest that the political friends of the chairman should allow him to go about the country doting this, and that my right hon. Friend can take no action in the matter?

Has the Secretary of State any information in regard to this loan, as to whether the sum underwritten was underwritten because the public did not take it up? If he has that information, can he give it, and, if he has not the information, will he get it?

I have no information on the particular point which the hon. Member raises, but I will make inquiries.

Housing

asked the Secretary of State for Scotland the number of local authorities in Scotland that by 1st December, 1930, had not complied with Subsections (1) and (2) of Section 22 of the Housing (Scotland) Act, 1930, with respect to the submission to the Minister of proposals for the provision of new houses for the working class; the number of local authorities that by the same date had complied with these Sub-sections of the Act; and the approximate number of persons to be dealt with by such proposals?

Subsection 1 of Section 22 of the Housing (Scotland) Act, 1930, does not require the submission of proposals by any specified date. Sub-section 2 requires the submission of a general statement in 1930. The number of local authorities who had not submitted that statement by the 1st December is 183. The number of local authorities who had submitted their proposals by the date referred to is 43. I am not in a position to furnish the particulars asked in the last part of the question. According to the statements which have been submitted to the Department up to 11th December by 55 local authorities, the estimated number of houses required in the districts of these local authorities is 14,088, and the estimated number of houses likely to be provided by these local authorities in the next three years is 11,198.

Tenant's Imprisonment

asked the Secretary of State for Scotland if he is now in a position to give any further information in connection with the case of McMillan, of Bridgend, Elderslie, who was imprisoned for failure to obey an order to remove from his house?

I have been in communication with the local authority regarding this case, and I understand that they are considering it at their meeting to-day. I shall communicate the result to my hon. Friend.

Steel Houses

asked the Secretary of State for Scotland the cost of the land upon which steel houses were built in the Garngad district of Glasgow?

I am informed that the price paid by the Second Scottish National Housing Company for the land purchased at Garngad, Glasgow, was £3,790. The land in question is 7.918 acres in extent. The price included the cost of sewers which had already been formed, and of roads which had already been constructed.

asked the Secretary of State for Scotland whether he can give any report on the durability of steel houses; if non-metal houses are preferred by tenants when such are available; and the costs of upkeep of steel houses as compared with non-metal houses?

I am not in a position to express an opinion on the durability of steel houses, but I am informed that the Second Scottish National Housing Company, who have erected 2,552 steel houses in different parts of Scotland take the view that, with due attention to maintenance, including regular pointing of the outside steel, these houses will outlast the period of the loan allowed for houses of this type, namely, 40 years. I have no information to show to what extent tenants vacate steel houses when houses of other types become available, but I am informed by the company in question that of the 2,552 houses belonging to them only four are unlet and that the tenants generally are satisfied with the houses. No information is meantime available to permit of a reliable estimate of the relative costs of upkeep of steel and non-metal houses, but I am informed that the company provide for 20 per cent. of the rental being carried to a repairs fund, although the actual expenditure on repairs during the last financial year of the company was just over 16 per cent. of the rental.

National Housing Company

asked the Secretary of State for Scotland whether the grant given to the Second Scottish National Housing Company is a fixed amount or is it flexible so as to permit reductions of rent?

The Second Scottish National Housing Company is not financed by way of grants but by way of loans from the Public Works Loan Board and the Department of Health for Scotland. The rents of the houses provided by the Company must, in terms of the agreement made between the Company and the Department, and approved by the Treasury, be fixed with reference to rents charged for houses with similar accommodation in the district.

Sentence of Fugitation

asked the Secretary of State for Scotland what steps he proposes to take in regard to the sentence of outlawry recently passed at Inverness upon Andrew Ross; under what statute or other law the sentence was passed; and whether he intends to take steps to secure any amendment of the law of Scotland in this respect?

My right hon. Friend does not propose to take any steps in the matter referred to. The power to pass a sentence of fugitation is inherent in the High Court of Justiciary as the Supreme Criminal Tribunal of Scotland. The answer to the last part of the question is in the negative.

Coal Industry

Scandinavia (British Delegation)

asked the Secretary of Mines whether he has been able to trace orders for United Kingdom coal, as apart from other merchandise, as a direct result of the recent visit of the British delegation to Scandinavia?

The object of the delegation was not to book orders, which continue to be placed through trade channels, but to study the position of the British coal export markets in Scandinavia and to consider such steps as might be found possible to improve it. Some of the delegation's recommendations are of a far reaching character, particularly those relating to improved marketing arrangements and international agreement, but the hon. Member may be assured that they are at present engaging the serious attention of coal owners and coal exporters with whom I am in close touch.

Can the hon. Member say whether he did not find that the price of British coal was the chief difficulty?

Is the hon. Member aware that not one single order is traceable to this delegation?

Miners' Hours

asked the Secretary for Mines whether he will make a statement as to his negotiation with coal owners and mine workers' officials on a proposed Bill dealing with miner's hours?

Am I to understand that the newspaper statements in regard to the Act of 1926 are inaccurate, and that the hon. Member has no intention of interfering with the Act of 1926?

Pit Head Prices, Lancashire and Cheshire

asked the Secretary for Mines the average pithead price of coal in Lancashire and Cheshire for the year 1913 and for the year ended 30th September, 1930?

The average net selling value at the mine per ton of coal raised in Lancashire and Cheshire in 1913

The information, so far as it is available, is as follows:

No. of Pits working.

Total Number of Persons employed.

Number of Persons employed under 16 years of age.

Males.

Females.

Males.

Females.

During the year 1913

347

105,192

2,829

5,731

249

At 14th December, 1929

224

76,088

1,793

1,995

135

End of October, 1930

213

74,700 (estimated).

Particulars not available.

asked the Secretary for Mines if he will give the figures of the persons employed in the coal mines for the years 1928 and 1929; the number of man shifts worked for the same periods; and the average of each worker?

The average number of wage-earners employed in and about coal mines in 1928 was 921,300, and the estimated total number of shifts worked 225,500,000, an average of 245 shifts per wage-earner. The corresponding figures for 1929 were 939,400, 241,000,000 and 257.

Output

asked the Secretary for Mines whether he can inform the House whether any reduction in the national coal output has been decided upon for the first quarter of 1931 by the central council of the National Coal Marketing Scheme as compared with the was 10s. 2½d. The estimated figure for the year ended 30th September, 1930, was 15s. 11½d. The average proceeds per ton for coal commercially disposable during the latter period was 16s. 9d., but I am unable to give a corresponding figure for 1913.

Statistics

asked the Secretary for Mines the number of collieries working in Lancashire and Cheshire at the end of 1913 and at the end of October, 1930; and the total number of males and females employed, specifying those under 16 years of age?

As the reply involves a number of figures, I will, with my hon. Friend's permission, circulate it in the OFFICIAL REPORT.

Following is the reply:

corresponding quarter of this year; and whether this will affect unemployment and the cost of coal to the consumers of the country?

asked the Secretary for Mines to what extent the Central Council has decided to reduce output; whether this will involve a reduction in employment or the earnings of the men employed in this industry; and, if so, to what extent?

I am informed by the Central Council that the first district allocations made under the provisions of the Central (Coal Mines) Scheme in respect of the first quarter of 1931 are on the basis of a lower level of output than obtained in the March quarter of this year. Output in the latter quarter was, however, at a high level and since then there has been a steady fall in the demand. I understand that in fixing the allocations the Central Council acted after consultation with the district executive boards and full consideration of the probable demand for coal in the first quarter of 1931. If it should be found that in any district the allocation is insufficient to enable the demand to be met, application can be made for an increased allocation, machinery being provided under the provisions of the central scheme for dealing promptly with any such application. There is in my view no ground for assuming that the Central Council will attempt to limit the output of coal at a level below the effective demand, and accordingly the suggestions made in the questions as to the effect of these allocations on employment, earnings of the workpeople and cost of coal to the consumer do not arise.

Is it true that the allocation means a decrease of 10 per cent., so far as the hon. Member is aware?

May I ask whether it is not a fact that a decision has been arrived at to reduce the output of coal by 10 per cent.; and, if that is so, what effect is it going to have on wages and employment?

May I ask the Secretary for Mines if he can tell the House how many millions of tons of coal are on stock at the moment?

Miners' Welfare Levy

asked the Secretary for Mines if it is the intention of the Government to introduce legislation to continue at its present rate the miners' welfare levy which expires this year?

Yes, Sir. The Government hope to introduce a Bill early next Session providing for the continuance of the miners' welfare levy at its present rate, and I take this opportunity of informing the industry of the Government's intentions.

If it is the intention to introduce this Bill, may I ask whether my hon. Friend will make arrangements for pensioning off aged miners out of the welfare fund?

South Wales (Wages and Royalties)

asked the Secretary for Mines the average wages paid in the South Wales coalfield for underground workers, and the average paid to surface workers, in the following years: 1913, 1916, 1922, 1925, 1926, 1929, and 1930, each year separately?

As the reply involves a number of figures, I will, with my hon. Friend's permission, circulate such information as is available in the OFFICIAL REPORT.

Following is the information:

From information supplied to the Royal Commissions on the Coal Industry, 1919 and 1925, the following are the particulars available in respect of certain periods in the years 1914, 1918, and 1923.

Period.

Cash earnings per Man-shift worked.

Underground workers.

Surface workers.

s.

d.

s.

d.

June, 1914

7

5

5

November, 1918

14

11

1

September, 1923

10

8

8

No official information is available for subsequent years but the Mining Association of Great Britain has furnished the following particulars in respect of the years 1926, 1929–30 and 1930, based on inquiries carried out by the association.

Cash earnings per Man-shift worked.

Underground workers.

Surface workers.

s.

d.

s.

d.

Quarter ended March, 1926.

11

9

Year ended January, 1930.

9

8

8

6

Nine months ended October, 1930.

9

9

8

asked the Secretary for Mines the average rate per ton charged for royalty in the South Wales and Monmouthshire coalfields; will he give the lowest rate and the highest rate charged for 1913, 1920, 1925, and 1930; and whether royalty owners re ceive any other advantages from the collieries on their estates?

No information is available with regard to royalties and wayleaves in South Wales and Monmouthshire for the year 19l3. In 1920, 1925 and 1930, the average royalty per ton of coal disposable commercially was 10¼d.,9d. and 8¼d., respectively. The rates for 1925 and 1930 include the rental value of freehold minerals worked by the proprietor. The only information available with regard to the lowest and highest rates relates to the year 1925, when they varied from 2d. to 1s. 9d. per ton of coal disposable commercially. I have no specific information with regard to any other advantages which royalty owners may receive.

Wages

asked the Secretary for Mines an estimate of the loss in the total amount of wages paid to miners in coal mines in Great Britain in the period January to March, 1931, resulting from the decision under the provisions of Part I of the Coal Mines Act, 1930, to reduce compulsorily the output of coal in the country in the period January to March, 1931, by 10 per cent. below that of the same period in 1930?

An estimate such as is referred to by the hon. Member could only be made if it could be assumed that, but for the operation of the schemes made under the provisions of Part I of the Coal Mines Act, 1930, the output of coal in the period January-March, 1931, would be the same as in the corresponding period of 1930. In this connection I would refer my hon. Friend to the answer I have given today to questions by the right hon. Member for West Woolwich (Sir K. Wood) and the hon. Member for Newcastle North (Sir N. Grattan-Doyle).

If there is to be a reduction in the output of 6,000,000 tons per quarter, does not that mean a corresponding reduction in the amount of employment?

I do not admit that there will be a reduction in the actual output of 6,000,000 tons per quarter.

Did not the Secretary for Mines, in answer to the hon. Member for Leith (Mr. E. Brown), who suggested that there would be a reduction of 6,000,000 tons per quarter, say that that was the approximate figure?

My hon. and gallant Friend must understand that there is a world of difference between theory and practice.

Accident, Houghton Main Colliery, Yorkshire

asked the Secretary for Mines whether he can give any further information in connection with the explosion which occurred at the Houghton Main Colliery in Yorkshire on Friday last, when of 17 men who were badly burned 14 were admitted into hospital and four have since died?

This accident is still under investigation, and I have at present very little to add to the accounts which have already appeared in the Press. I understand that the explosion followed upon the firing of a shot in the ripping of the main loading gate of a conveyor face, and the flame of the explosion spread for some distance both to the right and to the left of the gate. There was very little coal dust present, and it does not appear to have entered into the explosion. The cause of the explosion has not yet been determined. I feel sure that the House will join me in sending a message of deep sympathy to the injured men and to those who have been bereaved.

Has the hon. Gentleman ever taken into consideration introducing gas alarms into gaseous mines?

That matter is under consideration, but until the cause of the accident has been determined, the question referred to by the hon. Gentleman is not relevant.

Has the hon. Gentleman had time to examine the evidence given in the last five or six inquiries, which goes to prove that in every case lack of ventilation and lack of attention had been largely responsible for the explosions and the loss of life?

My hon. Friend is aware that a sub-committee of the Miners' Federation and a sub-committee of the Mining Association are engaged in discussing these matters with the officials of the Department and myself.

In view of these continuing explosions, cannot the investigation into automatic gas detectors be hastened and more lives saved?

It is much too early to assume that there is any close connection between gas detectors and the explosions which have occurred recently. That is a matter which is under consideration, and, until a report has been issued, it is impossible to speak with accuracy on the subject.

Questions

Empire Settlement (Victoria)

30, 35 and 36.

asked the Secretary of State for Dominion Affairs (1) whether, in view of the terms of the Victorian land scheme, the British Government intend to ask the Victorian Government to repay the contributions made by the British Government;

(2) the date upon which he was in formed that it was the intention of the Government of Victoria to set up a Royal Commission to inquire into the conditions of British settlers in that State placed upon the farms through the operation of the Overseas Settlement Act; and what was he informed were the terms of reference of this commission;

(3) the date upon which the Dominions Office inquired as to when the Royal Commission set up by the Government of Victoria would probably make its report; whether he has since inquired as to the reason that has led to delay in the issue of the report; and, if not, whether he will have inquiries made?

I was informed by the Prime Minister of the Commonwealth of Australia on 28th July last that the Government of Victoria had agreed to appoint a Royal Commission consisting of three members, one of whom is a Commonwealth Judge, to inquire into the complaints of settlers under the Victorian land settlement scheme. As the terms of reference of the commission are somewhat long, I will, with the permission of the hon. and gallant Member, circulate them in the OFFICIAL REPORT.

As I informed him on the 18th November last there has been considerable delay in the beginning of the commission's inquiries—delay which I much regret, though it will of course be realised that His Majesty's Government in the United Kingdom are in no way responsible for it. A I also informed him, I communicated with His Majesty's Government in the Commonwealth of Australia on the matter and subsequently discussed it personally with the Prime Minister of the Commonwealth, and I am glad to say that I have now learned that the formal appointment of the Royal Commission was issued by the Government of Victoria on the 10th instant. I have no doubt that their inquiries will begin forthwith, but I am not in a position to say when their report will be presented.

Can the right hon. Gentleman give me an answer to Question 30, as to whether the British Government will ask for their contribution to be repaid unless the conditions are proved by the Commission to be what they were represented when the men went out?

I could not be expected to give an answer to that question offhand. I want to see the findings of the Commission.

Would it not be possible to have a representative of the Imperial Government on this Commission, as the interests of the Imperial Government are as much concerned as the interests of the Victorian Government?

Having regard to the present position of Dominion status, I am quite sure the House will realise that I cannot make any further statement at present.

Is it not a fact that the terms of the Victoria Land Settlement were agreed by this Government and the Victoria Government before the scheme came into operation; and in view of the fact that a Royal Commission has only been appointed within the last six days and has not had time to take evidence and make its report, are not questions of this nature calculated to give an entirely wrong impression to the people of this country as to the attitude of the Victorian Government in this matter?

The hon. Member must be aware that I have answered questions on this subject for the last three weeks. I am compelled to answer them if they are put down. I am not responsible for the questions being put down.

Is not this a question which interests the Imperial Government and the State Government, and, in view of the fact that most of the money was subscribed by the Imperial Government, is it not right that in a case of this kind a representative of the Imperial Government should be a member of the Commission?

All migration schemes where State assistance is involved are naturally a matter of joint interest, but the House must clearly understand that no one resents more than the Dominions the suggestion that we are in any way responsible for the individuals after they have landed there.

May I ask whether the British Government have anyone present at these proceedings to watch and report to the right hon. Gentleman?

No, Sir, and the House must realise that there are continual inquiries of different kinds going on, and, if once it were laid down that the British Government had some jurisdiction on what is after all a purely Dominion matter, a very dangerous situation would arise.

"1. Whether the said complaints or any of them are justified, having regard to the facts of each particular case and to the provisions of the undermentioned agreements, namely:

Agreements dated 21st September, 1922, 11th September, 1925, 26th March, 1926, and 5th November, 1928, respectively, made between the Government of the Commonwealth of Australia and the Government of the State of Victoria.

Agreements dated 12th April, 1923, 29th November, 1923, 8th April, 1925, and 27th March, 1928, respectively, made between His Majesty's Imperial Government and the Government of the Commonwealth of Australia.

2. Whether the Government of the said State has failed to fulfil any, and if so, what, obligations arising out of or under the said agreements and toy it agreed to be performed.

3. In what respects, if at all, has the said Government failed to fulfil the said obligations.

4. Are there any, and if so, what, circumstances, directly or indirectly contributing to the subject matter of the said complaints, or any of them, over which the said Government had no control."

Dominions (Governors and High Commissioners)

asked the Secretary of State for Dominion Affairs if it is proposed to appoint a High Commissioner or other official to represent this country in the Commonwealth of Australia?

asked the Secretary of State for Dominion Affairs whether it is intended to appoint a High Commissioner in Australia?

asked the Secretary of State for Dominion Affairs whether, in view of the changed functions of the Governor-General of the Commonwealth of Australia, it is proposed to appoint a High Commissioner for the Home Government to represent this country in the Commonwealth?

asked the Secretary of State for Dominion Affairs whether it is intended to appoint a High Commissioner to represent His Majesty's Government an the Commonwealth of Australia?

asked the Secretary of State for Dominion Affairs whether, in view of the fact that the Governor-General of Australia is no longer the recognised channel of communication between the Commonwealth and the British Governments, it is the intention of the Government to appoint a High Commissioner as its representative in the Commonwealth; if so, who will be the first occupant of that office; when the appointment is likely to be made; for what term of years; and at what salary?

It is my intention to review the question, of representation of the United Kingdom in the Commonwealth of Australia, but I am not in a position to make any statement at the present time.

asked the Secretary of State for Dominion Affairs whether, in view of the decisions of the recent Imperial Conference, it is proposed to modify the present system of appointing Governors to Australian States?

asked the Secretary of State for Dominion Affairs whether, in view of the decision recently arrived at in the Imperial Conference with reference to the appointment of Governors-General in the Dominions, and taking into consideration the sovereignty of the Australian States, it is proposed to make any change in the method of appointing their Governors?

The conclusions of the Imperial Conference with regard to the appointment of Governors-General of the Dominions do not apply to the Governors of the Australian States or affect the constitutional position in relation to them.

Are we to understand from the right hon. Gentleman's answer that the procedure which is followed at present will still be followed, namely, that the Secretary of State for Dominion Affairs recommends to His Majesty the appointment of a suitable gentleman, after consultation with the State Government.

It follows, as nothing was done at the 1926 or 1930 Conferences, which affects the position of the State Governors, that the procedure relating to them will continue as before.

asked the Secretary of State for Dominion Affairs whether the Government contemplates the appointment at an early date of High Commissioners to those Dominions in respect of which such appointments have not already been made; and whether he is in a position to make a statement as to when, and on what terms, such appointments will be made?

I would invite reference to the reply which I have just given on the question of representation of the United Kingdom in the Commonwealth of Australia. I am not in a position to make any further statement.

Will the right hon. Gentleman bear in mind when he is considering this question, that the Government of the United Kingdom is represented in every foreign country, and also in some of the Dominions; and will he take early steps to see that it is also represented in the remaining Dominions?

I must not be taken as accepting the view that there is the same necessity for representation of the United Kingdom in a foreign country and in the Dominions, but the question of representation by Commissioners arises directly out of the change which, as I have explained to the House, it was necessary for me to make with regard to South Africa. There is another factor now, and that is the position in relation to governorships generally, all of which requires further consideration, and I am sure that the hon. Member would not expect me to make a hasty decision.

Trade and Commerce

Empire Marketing Board

asked the Secretary of State for Dominion Affairs whether the necessary changes in the organisation of the Empire Marketing Board, as a result of decisions arrived at during the Imperial Conference, have been carried out; and what contributions have been promised from sources outside Great Britain?

The question of changes in the organisation of the Empire Marketing Board, resulting from the conclusions reached at the Imperial Conference, is at present under consideration, and I am not as yet in a position to make a statement on the subject. In the meantime, the question of contributions from sources outside Great Britain does not arise.

I understand, therefore, that the whole of the contributions continue to be borne by the taxpayer of this country?

That is clearly so, and that was intended when this Board was constituted; but at the last Conference when there was a discussion to widen the Board certain Dominions felt that they could themselves make a contribution. We have encouraged that idea.

May I ask whether it is intended to increase the advertisements of British goods in the Dominions under the Empire Marketing Board?

Yes, it is the intention, if possible, for the Dominions to do with our goods what we do with theirs.

Is there a woman representative on the Empire Marketing Board? Does not my right hon. Friend think it provides a splendid opportunity for women?

asked the Secretary of State for Dominion Affairs whether there are any sound and/or silent films at present in preparation for the Empire Marketing Board; and will he say what arrangements have been made for their presentation?

Seven films are at present being prepared by the Empire Marketing Board. Four of these are silent and are designed for non-theatrical display only; they will be exhibited in the cinema maintained by the Board at the Imperial Institute, at exhibitions and through similar channels. Arrangements regarding the remainder will be determined when they have reached a more advanced stage of production.

Does not the right hon. Gentleman think that it would be advisable to get a sound machine in the cinema of the Empire Marketing Board?

I am sure it would be. Perhaps the hon. Member would undertake to present one.

Will the right hon. Gentleman give me an undertaking that he will accept it on behalf of the Empire Marketing Board, if I do so?

Can the right hon. Gentleman say if these films are British-made, and if British projectors are used?

Before the right hon. Gentleman accepts the machine which has been offered by the hon. Member for Central Southwark (Mr. Day), may we be assured that it will be of an up-to-date type?

We could not expect anything that is not right up-to-date from my hon. Friend.

Tariff Truce

asked the President of the Board of Trade the names of the countries which sent representatives to the Tariff Truce Conference which have not yet ratified?

The following countries which were represented at the preliminary Conference on Concerted Economic Action held at Geneva in March last have not, so far as I am aware, yet ratified the commercial convention drawn up at that conference:

Austria, Bulgaria, Colombia, Czechoslovakia, Estonia, France, Germany, Greece, Hungary, the Irish Free State, Lithuania, the Netherlands, Peru, Poland, Portugal, Spain, Rumania, Turkey and Yugoslavia.

Would it not be right to say that the vast majority of those attending have no wish at all to ratify the convention?

No; in the first place, the date of ratification has been extended till the 25th January, and in the second place, and what is more important, is the fact that non-ratification does not mean that they will_ not take part in the negotiations.

The Dominions indicated that they would not be a party in the sense of signing.

Was the right hon. Gentleman encouraged to go on by the attitude of the others?

Yes, I am always encouraged. I think a very great deal can be done in the coming negotiations, and, as I have already told the House, I am quite satisfied that we have, up to this point at least, arrested the upward growth of tariffs.

asked the President of the Board of Trade whether he will issue a White Paper giving an account of the last meeting of the Economic Conference held at Geneva to consider the tariff truce?

The conference in question embodied its conclusions in a final act, and it is proposed to present this to Parliament shortly.

Shipbuilding Industry

asked the President of the Board of Trade whether his attention has been called to the scheme for assisting the German shipbuilding industry now being worked out by the German Government, under which long-term credits equivalent to £5,000,000 will be granted free of interest for two yeans and for a further three years at 3 per cent. interest, on condition that shipowners taking advantage of the scheme scrap an equal quantity of old tonnage; and whether, in view of the depression in the British shipbuilding industry, any similar scheme for the assistance of our own shipyards is under examination?

I have seen Press references to proposals put to the German Government for credits in favour of shipbuilding. Apart from the work of the Export Credits Guarantee Department, no similar proposals involving assistance from public funds are under consideration in this country, but, as my hon. and gallant Friend is aware, I recently appointed a committee to consider whether it is desirable in the national interest that steps, net involving a grant from public funds, should be taken to hasten the disposal of old ships and their replacement by new. I am sending him a copy of the terms of reference, with the names of the members of this committee.

Is my right hon. Friend aware that the most up-to-date shipyards in this country are hampered by lack of finance, having used up their available means of getting credit, and will he take that fact into consideration if these foreign Governments subsidise their own shipping?

All the facts are before us, but there is a scheme, of course, for the reorganisation of the shipyards in this country—

Will the right hon. Gentleman bear in mind that the present depression in shipping is in face of our protest at the time due to the fact that assistance was given under the Trade Facilities Act for building unnecessary ships in the past?

That is precisely what I had in mind. That is one of the points to which I referred. Part of the great difficulty in this case is the large amount of unused tonnage.

Leather (Bark-Tanned)

asked the President of the Board of Trade what proportion of the leather manufactured in this country is barktanned?

I regret that the information desired by the hon. and gallant Member is not available.

Cannot the right hon. Gentleman endeavour to get it, and does he not think that it will be of some help to the forestry industry of this country if the bark-tanning industry is encouraged?

I shall be glad to give the hon. and gallant Member personally such further information as I can get, but I am afraid that it is practically impossible to get the details for which, he asks.

Iron and Steel Industry

asked the President of the Board of Trade if he will be able, before the House adjourns for the Christmas Recess, to state the proposals of the Government in regard to the iron and steel industry?

A full statement of the policy of His Majesty's Government in relation to the iron and steel industry was made in debate on the 5th November last.

Does the right hon. Gentleman realise that the workers of this industry are facing the worst winter for many years, and at the same time the importation of foreign steel— [ Interruption. ]

asked the, President of the Board of Trade how many copies of the report on the Iron and Steel Industry have been printed, and to whom have they been issued?

It would be contrary to established practice to give the particulars asked for in this question.

As there has been a leakage of this report in the Continental papers, does not the right hon. Gentleman think that it is time the report was issued to the general public?

No; I have already given the House information regarding our views as to leakage, for which we cannot account. I am still satisfied that, for many reasons, the Government decision not to publish the report is sound.

The right hon. Gentleman has already stated that the report will not be published.

Raw Cotton Imports (Classification)

asked the President of the Board of Trade whether he has come to a decision as to the desirability of enlarging the present classification of imports of raw cotton, and especially as to the separate enumeration in the trade returns of the imports of raw cotton of ⅞-inch staple and under?

Yes, Sir. As from the 1st January next, imports of raw cotton, except linters, will be recorded under three headings of "¼-inch staple and over," "under ¼-inch staple and over ⅞-inch staple" and "⅞-inch staple and under."

Questions

Imperial Conference, Ottawa

asked the Secretary of State for Dominion. Affairs if the Government is continuing preparations for the discussion of mutual preference in the Empire at the Ottawa Conference?

asked the Secretary of State for Dominion Affairs whether the Government will (include in, the preparations which they are making for the Ottawa Conference data to enable them to give further consideration to the question of Imperial Preference on the lines suggested by Mr. Bennett, the Prime Minister of Canada, and supported by the Prime Ministers of all the other Dominions at the recent Imperial Conference, or whether it is the intention of the Government that further consideration of the proposal for the extension of mutual tariff preferences should be excluded from the consideration of the Ottawa Conference?

As I explained on 11th December, in reply to a question by my hon. Friend the Member for East Woolwich (Mr. Snell), the Government are taking active steps to study further the problem of closer economic association within the Empire. As regards the scope of the Conference to be held next year, I would invite attention to No. 2 of the Resolutions recommended to the recent Imperial Conference by the Heads of Delegations and adopted by the Conference, which deals with the preparations for the meeting at Ottawa.

Will the right hon. Gentleman be good enough to give me a reply to Question 44, which he said he would answer along with Question 39? The substance of my question is: Do the Government intend to go to Ottawa with their hands tied on the question of tariff preferences or not?

Electoral Reform Bill

asked the Prime Minister whether he can now state if the text of the Electoral Reform Bill will be available to Members before the Christmas recess?

I would refer the right hon. Gentleman to the reply given yesterday in answer to a question by the hon. Member for Twickenham (Sir J. Ferguson).

Is there any hitch about this Bill? Is everything proceeding satisfactorily?

The last inquiries which I made indicated that things were going well. I am sure that the right hon. Gentleman's anxiety is caused by his feeling that this Bill might impede his progress from that side of the House to this side.

Is it not a fact that certain Labour Members are beginning to think that someone has tried to sell them a pup?

Did my right hon. Friend say that things were going well, or that they were doing well?

Pre-War Pensions

asked the Chancellor of the Exchequer whether he is now in a position to state what action he proposes to take to increase the pensions of pre-War pensioners?

My right hon. Friend is not yet in a position to make any further statement in this matter.

May we entertain the hope that some statement will be made before Christmas?

May we ask the hon. Gentleman if he does not mean to do anything to let us know soon—it is so much fairer to the pensioners.

I cannot give any further answer in the absence of my right hon. Friend.

Will the hon. Gentleman approach his right hon. Friend with a view to a statement being made when the House meets again?

German Reparations

asked the Chancellor of the Exchequer what is the total value of the reparations paid by Germany to date; and, approximately, how much of this was in goods and services?

The total payments made by or for account of Germany to the Allied and Associated Powers for reparation and cost of occupation from the Armistice to 15th December, 1930, inclusive amount to 19,711,000,000 gold marks (£966,000,000 at par). Of this total, cash payments in foreign currencies have amounted to 4,781,000,000 gold marks (£234,000,000), payments through the Reparation Recovery Act and similar procedures to 2,263,000,000 gold marks (£111,000,000), payments in German currency to 1,012,000,000 gold marks (£50,000,000), and goods and services (including the value of transferred State Properties, etc., not yet realised) to 11,656,000.000 gold marks (£571,000,000).

Government Departments

Staffs

asked the Chancellor of the Exchequer the annual increased charge to the Treasury for the salaries payable to the additional 9,038 members appointed to the Government staffs?

The increase in question represents the net increase in the total number of whole-time and part-time civil staffs employed at 1st October, 1930, over the corresponding number employed on 1st October, 1929. As the majority are ex-service temporary clerks recruited at different dates for indeterminate periods at rates which vary with the locality and the hours worked, it is not possible to make any forecast of the annual charge involved.

Does the hon. Gentleman anticipate any further increase in the immediate future in the number of staff?

No, I could not tell. Of course, a good many of these are due to the necessities of the Ministry of Labour on account of the Exchanges.

Can the hon. Gentleman say if these 9,000 persons are to be included in the total of 160,000 for whom the Government claim to have found work.

asked the Financial Secretary to the Treasury how many additional persons have been added to the Civil Service since the present Government took office; and what is the total amount of their salaries?

I would refer the hon. Member to the answer which I gave to a similar question from the hon. and gallant Member for South Leicester (Captain Waterhouse) on the 20th November last, a copy of which I am sending him, together with a copy of Command Paper 3736, which shows the alterations in the number of civil staffs between 1st July and 1st October, 1930.

Does the Treasury recognise the urgent necessity of economy in administrative expenditure?

Inland Revenue Department

asked the Financial Secretary to the Treasury whether he can give the total number of civil servants of all grades employed in the task of collecting direct taxation, the salaries of these officials, and the amount of such taxation collected in each year since 1924 up to the latest date?

I would refer the hon. and gallant Member to the printed Estimates for the Inland Revenue for the several years in question, where he will find a detailed analysis of staff employed in collecting direct taxation, and of their salaries. In the reports of the Commissioners of Inland Revenue, which are also annually laid before Parliament, he will find particulars of the taxation collected up to 31st March, 1929, and of the cost as a percentage of the gross Revenue. The receipts for 1929–30 will be found in the Financial Statement for the current year.

What percentage of the total revenue collected does the cost of collection represent?

If my1 hon. Friend will put down a question on that point, I will give him an answer.

Admiralty and War Office (Higher Officials)

asked the Financial Secretary to the Treasury whether he can give the number of officials in the Admiralty and War Office drawing salaries over £1,000 a year in the years 1914, 1918, and 1930?

Are not these figures a great indication of extra expenditure, which is unnecessary at the present time, and will the hon. Gentleman seriously look into the matter of the greatly increased numbers of highly-paid officials in all these Departments?

If the hon. and gallant Member will bear my proviso in mind, he will see that a comparison along these lines does not give the indication which I think he is endeavouring to urge.

Will the hon. Member be good enough to tell the House how the salaries in the cases referred to in the question compare with the salaries paid by big business for corresponding responsibilities?

Will the hon. Gentleman say whether the £1,000 includes allowances or not, and, if not, does it not mislead the House to state the figure at £1,000 only?

Writing Assistants and Shorthand Typists

asked the Financial Secretary to the Treasury what is the total number of writing assistants and established female shorthand typists promoted to the established general and departmental clerical classes to date?

The number of promotions up to and including the 30th September last, which is the latest date for which figures are available, were as follow:

Questions

United States (Loans to Germany)

asked the Chancellor of the Exchequer if lie has any estimate of the total sterling value of the loans made by America to Germany since the Armistice; and of the amount lent to the Federal Government, State Governments, and municipalities of Germany by America?

How is it that my hon. Friend has not got this information, in view of the fact that the question of German reparations very largely hangs on the accuracy of these figures? I think the figures would be available if they were asked for in America.

The question which my hon. and gallant Friend has asked is not only a question of the official loans. There are all sorts of loans, private and public, covered by his question, and it would be quite impossible to get the information for which he asks.

Australia (Loans)

asked the Financial Secretary to the Treasury whether he is aware that a reduction is to be made in the Sinking Fund of the Australian National Debt, which will entail an alteration in the prospectus terms upon which certain Australian loans now on the Treasury trustee list were raised here; and will he state what he proposes to do to protect United Kingdom trustees and others against alterations of the terms upon which the loans were subscribed?

I have only seen a summary of the Australian Budget proposals in the Press and am looking into the matter.

When the hon. Gentleman looks into the matter, will he consider whether it will not be necessary to take definite steps to protect the interests of people in this country who have invested their money on terms which are apparently now to be changed?

Obviously, I cannot answer that question until I have the exact facts.

Will the hon. Gentleman bear in mind that most of these loans are held by widows and by trustees, and that it will be a great hardship for them if the terms are altered?

Companies Act

asked the President of the Board of Trade how many public and private limited companies have failed to comply, according to the latest date available, with the Companies Acts in the matter of issuing accounts and holding statutory meetings?

It is not possible until after the expiration of a calendar year to state how many companies are in default in filing their annual return for that year, and consequently the latest figures at present available relate to 1929. In respect of that year 12 public companies—none of which are of any public importance—and 120 private companies are in default in filing their annual return, which in the case of public companies has to be accompanied by a copy of the last audited balance sheet. It is not possible to say how many companies are in default in holding annual meetings, as the information required by law to be filed with the Registrar does not enable him to ascertain the precise dates at which annual meetings fall due to be held.

Does not the right hon. Gentleman realise the great importance, in the public interest, of the law being promptly complied with, and will he take steps to see that these firms are prosecuted?

That was the object of the large number of questions which were addressed to me some time ago, and, as a result of our efforts, the numbers were very largely reduced. The very small list now remaining consists really of companies of no importance.

Should there not be a semi-annual investigation rather than an annual?

I have already replied on that point. Without going into details in a supplementary answer, I am afraid that we cannot do anything more under the legislation as it stands.

Will the right hon. Gentleman say what constitutes a company of no importance; is it of no importance to those holding shares in it?

I must not mislead the House; by "no importance" I mean some small local athletic clubs or something like that which do not carry on any business, and in many cases have been moribund for a considerable time.

Cinematograph Films Act

asked the President of the Board of Trade the number of applications that are at present under consideration by his Department for an exemption certificate for non-compliance with the quota conditions as laid down in the Cinematograph Films Act, 1927?

Applications are being received daily, and any statement of the number received up to the present moment would be misleading.

Does not the right hon. Gentleman agree that the numerous applications which he has had show what a farce the Cinematograph Films Act is?

I cannot agree to that. So long as the Act stands, I have to operate it, and I try to do so to the best of my ability with the assistance of an advisory committee.

Business of the House

May I ask the Secretary of State for Dominion Affairs what business it is proposed to take to-night in the event of the Motion to suspend the Eleven o'Clock Rule being carried, and what business it is proposed to take in the next few days.

The object of the suspension of the Rule is to enable the House to dispose at this sitting of the Committee stage of the Supplementary Estimates for the Ministry of Agriculture and Fisheries and the Department of Agriculture for Scotland. It is also proposed to complete the further stages of the Consolidated Fund Bill, the Report stage of the National Health Insurance Money Resolution, which are exempted business.

Perhaps it may be for the convenience of the House if I indicate the business for the rest of the week, as modified by the agreement reached yesterday. To-morrow, the first Order will be, a already announced, the consideration of the Lords Amendment to the Expiring Laws Continuance Bill. This will be followed by all stages of the National Health Insurance Bill, and by the Report stage of the Supplementary Estimates for the Ministry of Agriculture and Fisheries and the Department of Agriculture for Scotland; and, if there is time, by the Report stage of the Education (School Attendance) Bill. The Report stage of the Education (School Attendance) Bill will be continued on Thursday.

We were told yesterday that the Report stage would be concluded on Thursday. Does that still stand?

No!

Motion made, and Question proposed,

"That the Proceedings on Government Business be exempted, at this day's Sitting, from the provisions of the Standing Order

(Sittings of the House)."—[ Mr. J. H. Thomas. ]

The House divided: Ayes, 256; Noes, 160.

Division No. 80.]

AYES.

[3.52 p.m.

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

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

Mosley, Lady C. (Stoke-on-Trent)

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

Hall, G. H. (Merthyr Tydvil)

Mosley, Sir Oswald (Smethwick)

Addison, Rt. Hon. Dr. Christopher

Hall, J. H. (Whitechapel)

Muff, G.

Aitchison, Rt. Hon. Craigie M.

Hall, Capt. W. G. (Portsmouth, C.)

Nathan, Major H. L.

Ammon, Charles George

Hamilton, Mary Agnes (Blackburn)

Naylor, T. E.

Angell, Norman

Hardie, George D.

Noel Baker, P. J.

Arnott, John

Hartshorn, Rt. Hon. Vernon

Noel-Buxton, Baroness (Norfolk, N.)

Attlee, Clement Richard

Haycock, A. W.

Oldfield, J. R.

Ayles, Walter

Hayes, John Henry

Oliver, George Harold (Ilkeston)

Baker, John (Wolverhampton, Bilston)

Henderson, Thomas (Glasgow)

Oliver, P. M. (Man., Blackley)

Baldwin, Oliver (Dudley)

Henderson, W. W. (Middx., Enfield)

Owen, Major G. (Carnarvon)

Barnes, Alfred John

Hirst, G. H. (York W. R. Wentworth)

Palin, John Henry

Barr, James

Hirst, W. (Bradford, South)

Paling, Wilfrid

Batey, Joseph

Hoffman, P. C.

Palmer, E. T.

Bellamy, Albert

Hopkin, Daniel

Parkinson, John Allen (Wigan)

Bennett, William (Battersea, South)

Horrabin, J. F.

Perry, S. F.

Benson, G.

Hudson, James H. (Huddersfield)

Peters, Dr. Sidney John

Bentham, Dr. Ethel

Isaacs, George

Pethick-Lawrence, F. W.

Bondfield, Rt. Hon. Margaret

Jenkins, W. (Glamorgan, Neath)

Phillips, Dr. Marion

Bowen, J. W.

John, William (Rhondda, West)

Picton-Turbervill, Edith

Bowerman, Rt. Hon. Charles W.

Johnston, Thomas

Pole, Major D. G.

Brockway, A. Fenner

Jones, F. Llewellyn- (Flint)

Potts, John S.

Bromfield, William

Jones, Henry Haydn (Merioneth)

Price, M. P.

Bromley, J.

Jones, Rt. Hon Leif (Camborne)

Pybus, Percy John

Brooke, W.

Jones, Morgan (Caerphilly)

Quibell, D. J. K.

Brothers, M.

Jones, T. I. Mardy (Pontypridd)

Ramsay, T. B. Wilson

Brown, C. W. E. (Notts. Mansfield)

Jowett, Rt. Hon. F. W.

Rathbone, Eleanor

Brown, Ernest (Leith)

Kedward, R. M. (Kent, Ashford)

Raynes, W. R.

Brown, Rt. Hon. J. (South Ayrshire)

Kelly, W. T.

Richards, R.

Brown, W. J. (Wolverhampton, West)

Kennedy, Thomas

Richardson, R. (Houghton-le-Spring)

Buchanan, G.

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

Riley, Ben (Dewsbury)

Burgess, F. G.

Kinley, J.

Riley, F. F. (Stockton-on-Tees)

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

Lambert, Rt. Hon. George (S. Molton)

Romeril, H. G.

Cameron, A. G.

Lansbury, Rt. Hon. George

Rosbotham, D. S. T.

Cape, Thomas

Lathan, G.

Rothschild, J. de

Carter, W. (St. Pancras, S. W.)

Law, Albert (Bolton)

Rowson, Guy

Charleton, H. C.

Law, A. (Rossendale)

Russell, Richard John (Eddisbury)

Chater, Daniel

Lawrence, Susan

Salter, Dr. Alfred

Church, Major A. G.

Leach, W.

Samuel, Rt. Hon. Sir H. (Darwen)

Clynes, Rt. Hon. John R.

Lee, Frank (Derby, N. E.)

Sanders, W. S.

Cocks, Frederick Seymour

Lee, Jennie (Lanark, Northern)

Sandham, E.

Compton, Joseph

Lees, J.

Sawyer, G. F.

Cowan, D. M.

Lloyd, C. Ellis

Scott, James

Daggar, George

Logan, David Gilbert

Scurr, John

Dallas, George

Longbottom, A. W.

Sexton, James

Dalton, Hugh

Longden, F.

Shakespeare, Geoffrey H.

Davies, Rhys John (Westhoughton)

Lovat-Fraser, J. A.

Shaw, Rt. Hon. Thomas (Preston)

Day, Harry

Lowth, Thomas

Shepherd, Arthur Lewis

Denman, Hon. R. D.

Lunn, William

Sherwood, G. H.

Dukes, C.

Macdonald, Gordon (Ince)

Shield, George William

Ede, James Chuter

McEntee, A.

Shiels, Dr. Drummond

Edmunds, J. E.

McEntee, V. L.

Shillaker, J. F.

Edwards, E. (Morpeth)

McGovern, J. (Glasgow, Shettleston)

Shinwell, E.

Elmley, Viscount

McKinlay, A.

Short, Alfred

England, Colonel A.

Maclean, Sir Donald (Cornwall, N.)

Simmons, C. J.

Evans, Capt. Ernest (Welsh Univer.)

MacNeill-Weir, L.

Simon, E. D. (Manch'ter, Withington)

Forgan, Dr. Robert

Macpherson, Rt. Hon. James I.

Sinclair, Sir A. (Caithness)

Freeman, Peter

McShane, John James

Sinkinson, George

Gardner, B. W. (West Ham, Upton)

Malone, C. L'Estrange (N'thampton)

Sitch, Charles H.

Gardner, J. P. (Hammersmith, N.)

Mander, Geoffrey le M.

Smith, Ben (Bermondsey, Rotherhithe)

George, Major G. Lloyd (Pembroke)

Mansfield, W.

Smith, Frank (Nuneaton)

George, Megan Lloyd (Anglesea)

Marcus, M.

Smith, Rennie (Penistone)

Gibson, H. M. (Lancs. Mossley)

Markham, S. F.

Smith, Tom (Pontefract)

Gill, T. H.

Marley, J.

Smith, W. R. (Norwich)

Gillett, George M.

Marshall, F.

Snell, Harry

Glassey, A. E.

Mathers, George

Snowden, Thomas (Accrington)

Gossling, A. G.

Matters, L. W.

Sorensen, R.

Gould, F.

Maxton, James

Stamford, Thomas W.

Graham, D. M. (Lanark, Hamilton)

Milner, Major J.

Stewart, J. (St. Rollox)

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

Morgan, Dr. H. B.

Strachey, E. J. St. Loe

Granville, E.

Morley, Ralph

Strauss, G. R.

Grenfell, D. R. (Glamorgan)

Morris, Rhys Hopkins

Sullivan, J.

Griffith, F. Kingsley (Middlesbro' W.)

Morrison, Herbert (Hackney, South)

Sutton, J. E.

Griffiths, T. (Monmouth, Pontypool)

Morrison, Robert C. (Tottenham, N.)

Taylor, R. A. (Lincoln)

Groves, Thomas E.

Mort, D. L.

Taylor, W. B. (Norfolk, S. W.)

Grundy, Thomas W.

Moses, J. J. H.

Thorne, W. (West Ham. Plaistow)

Thurtle, Ernest

Watkins, F. C.

Williams, T. (York, Don Valley)

Tinker, John Joseph

Watson, W. M. (Dunfermline)

Wilson, J. (Oldham)

Tout, W. J.

Wellock, Wilfred

Wilson, R. J. (Jarrow)

Townend, A. E.

Welsh, James (Paisley)

Winterton, G. E. (Leicester, Loughb'gh)

Trevelyan, Rt. Hon. Sir Charles

Welsh, James C. (Coatbridge)

Wise, E. F.

Vaughan, D. J.

West, F. R.

Wood, Major McKenzie (Banff)

Viant, S. P.

Westwood, Joseph

Walker, J.

White, H. G.

TELLERS FOR THE AYES. ——

Wallace, H. W.

Whiteley, Wilfrid (Birm., Ladywood)

Mr. Charles Edwards and Mr. William Whiteley.

Wallhead, Richard C.

Williams, David (Swansea, East)

Walters, Rt. Hon. Sir J. Tudor

Williams, Dr. J. H. (Llanelly)

NOES.

Acland-Troyte, Lieut.-Colonel

Forestier-Walker, Sir L.

Penny, Sir George

Albery, Irving James

Fremantle, Lieut.-Colonel Francis E.

Percy, Lord Eustace

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

Ganzoni, Sir John

Pilditch, Sir Philip

Astor, Maj. Hn. John J. (Kent, Dover)

Gault, Lieut.-Col. Andrew Hamilton

Pownall, Sir Assheton

Astor, Viscountess

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

Ramsbotham, H.

Atholl, Duchess of

Glyn, Major R. G. C.

Rawson, Sir Cooper

Baillie-Hamilton, Hon. Charles W.

Graham, Fergus (Cumberland, N.)

Reid, David D. (County Down)

Baldwin, Rt. Hon. Stanley (Bewdley)

Grattan-Doyle, Sir N.

Remer, John R.

Balfour, George (Hampstead)

Guinness, Rt. Hon. Walter E.

Richardson, Sir P. W. (Sur'y, Ch't'sy)

Balniel, Lord

Gunston, Captain D. W.

Roberts, Sir Samuel (Ecclesall)

Beaumont, M. W.

Hacking, Rt. Hon. Douglas H.

Rodd, Rt. Hon. Sir James Rennell

Bellairs, Commander Carlyon

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

Ross, Major Ronald D.

Berry, Sir George

Hamilton, Sir George (Ilford)

Ruggles-Brise, Lieut.-Colonel E. A.

Betterton, Sir Henry B.

Hammersley, S. S.

Russell, Alexander West (Tynemouth)

Boothby, R. J. G.

Hartington, Marquess of

Samuel, A. M. (Surrey, Farnham)

Bourne, Captain Robert Croft.

Harvey, Major S. E. (Devon, Totnes)

Sandeman, Sir N. Stewart

Bowater, Col. Sir T. Vansittart

Haslam, Henry C.

Sassoon, Rt. Hon. Sir Philip A. G. D.

Bowyer, Captain Sir George E. W.

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

Savery, S. S.

Boyce, Leslie

Heneage, Lieut.-Col Arthur P.

Shepperson, Sir Ernest Whittome

Briscoe, Richard George

Hennessy, Major Sir G. R. J.

Sinclair, Col. T. (Queen's U., Belfst)

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

Hills, Major Rt. Hon. John Waller

Skelton, A. N.

Brown, Brig.-Gen. H. C. (Berks, Newb'y)

Hope, Sir Harry (Forfar)

Smith, Louis W. (Sheffield, Hallam)

Buchan, John

Horne, Rt. Hon. Sir Robert S.

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

Bullock, Captain Malcolm

Howard-Bury, Colonel C. K.

Smith-Carington, Neville W.

Burton, Colonel H. W.

Hurd, Percy A.

Somerville, A. A. (Windsor)

Butler, R. A.

Hurst, Sir Gerald B.

Somerville, D. G. (Willesden, East)

Cadogan, Major Hon. Edward

Hutchison, Maj.-Gen. Sir R.

Southby, Commander A. R. J.

Carver, Major W. H.

Knox, Sir Alfred

Spender-Clay, Colonel H.

Castle Stewart, Earl of

Lamb, Sir J. Q.

Stanley, Lord (Fylde)

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

Lane Fox, Col. Rt. Hon. George R.

Stewart, W. J. (Belfast, South)

Cazalet, Captain Victor A.

Law, Sir Alfred (Derby, High Peak)

Sueter Rear-Admiral M. F.

Chamberlain, Rt. Hn. Sir J. A. (Birm., W.)

Leighton, Major B. E. P.

Taylor, Vice-Admiral E. A.

Chapman, Sir S.

Lewis, Oswald (Colchester)

Thomas, Major L. B. (King's Norton)

Christle, J. A.

Llewellin, Major J. J.

Tinne, J. A.

Churchill, Rt. Hon. Winston Spencer

Locker-Lampson, Rt. Hon. Godfrey

Titchfield, Major the Marquess of

Clydesdale, Marquess of

Lockwood, Captain J. H.

Todd, Capt. A. J.

Cockerill, Brig.-General Sir George

Long, Major Hon. Eric

Tryon, Rt. Hon. George Clement

Colfox, Major William Philip

Lymington, viscount

Turton, Robert Hugh

Colville, Major D. J.

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

Wallace, Capt. D. E. (Hornsey)

Courtauld, Major J. S.

Maitland, A. (Kent, Faversham)

Ward, Lieut.-Col. Sir A. Lambert

Cranborne, Viscount

Makins, Brigadier-General E.

Wardlaw-Milne, J. S.

Crookshank, Cpt. H. (Lindsey, Gainsbro)

Marjoribanks, Edward

Warrender, Sir Victor

Davies, Maj. Geo. F. (Somerset, Yeovil)

Meller, R. J.

Waterhouse, Captain Charles

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

Mitchell, Sir W. Lane (Streatham)

Wayland, Sir William A.

Dawson, Sir Philip

Mitchell-Thomson, Rt. Hon. Sir W.

Wells, Sydney R.

Dugdale, Capt. T. L.

Morris-Jones, Dr. J. H. (Denbigh)

Williams, Charles (Devon, Torquay)

Eden, Captain Anthony

Morrison, W. S. (Glos., Cirencester)

Windsor-Clive, Lieut.-Colonel George

Elliot, Major Walter E.

Muirhead, A. J.

Womersley, W. J.

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

Nicholson, O. (Westminster)

Wood, Rt. Hon. Sir Kingsley

Everard, W. Lindsay

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

Worthington-Evans, Rt. Hon. Sir L.

Falle, Sir Bertram G.

Nield, Rt. Hon. Sir Herbert

Ferguson, Sir John

O'Connor, T. J.

TELLERS FOR THE NOES. ——

Fermoy, Lord

Oman, Sir Charles William C.

Sir Frederick Thomson and Captain Margesson.

Fielden, E. B.

Ormsby-Gore, Rt. Hon. William

Fison, F. G. Clavering

Peake, Capt. Osbert

Sunday Observance Act (1780) Amendment Bill,

"to amend the Law relating to proceedings for the recovery of penalties under the Sunday Observance Act, 1780," presented by Mr. Leslie Boyce; supported by Mr. Charleton, Miss Rathbone, Mr. Croom-Johnson, Mr. Hore-Belisha, Captain Balfour, Mr. Knight, Vice-Admiral Taylor, and Viscount Elmley; to be read a Second time To-morrow, and to be printed. [Bill 72.]

Vivisection Experiments

I beg to move,

I would appeal to hon. Members opposite that here is a great opportunity to put into practice the theory of public economy. £130,000 to £145,000 from rates and taxes is spent on these experiments, and we say that much of it is unnecessary and a good deal of it useless and harmful. As a practical means of economy, I can think of nothing better, and I hope that that will appeal to hon. Members on both sides of the House. I would only point out that there has been a tremendous increase in the number of these experiments, and I do not think that that increase can possibly be warranted by the results. I will trouble the House with only three or four figures. In 1927, there took place 13,871 cutting operations with anaesthetics, and 279,431 experiments without anaesthetics—a total, in 1927, of 293,302. In 1928, the figure had risen to 315,891, and in 1929 to 403,142—an increase of 87,250 in 12 months. We say that that is unjustified, and that it leads to a great deal of unnecessary expenditure and undue extravagance.

In 1929, there were 513 animals, including cast Army horses, the old cast artillery horses, some of which may have carried hon. Gentlemen opposite in the Great War, exterminated by poison gas experiments, all paid for by the taxpayers' money against the conscience and the desire of, I believe, a large majority of people in this country. I, therefore, suggest that this House should stop this expenditure of public money. I introduced this Bill in 1922 and in 1924. I was supported by the present Secretary of State for Scotland, the present Home Secretary, the present Foreign Secretary, the present Secretary of State for War, and the present Dominions Secretary. Therefore, I ought to have unanimous support on these benches. This is a short Bill of only three Clauses. It is backed by Members of all three parties, and with confidence I ask the House to give it the First Reading.

It is with a certain amount of reluctance and diffidence that I rise to oppose the furtherance of this Bill. I think that very few Members of this House would be in the least degree reluctant to have a full discussion on this very interesting, and shall I say, very important subject, which the House might well consider more fully during the time which would be allowed in a Second Reading of the Bill, or a Bill introduced on a Private Members' day giving adequate time for discussion. Since that is not possible in the circumstances, I must, on behalf of the Medical Research Council, on which body I have the honour to represent this House, oppose this Bill, not because I believe in giving unnecessary pain to animals. There are very few of us in this House who would like to see the slightest harm done to any of the smaller creatures. There are very few of us who would view with anything but a feeling of misgiving any experiment clumsily carried out on any animal, whether it is for the purpose of curing it of a disease, or in the course of experiment upon that animal with the object of saving human life.

A great deal of sentiment is naturally brought to bear upon a subject of this kind. All of us who keep animals, all of us who have the faintest regard for dogs, cats, or any dumb animals, feel a certain sympathy with anyone who raises his voice on behalf of such animals. But we have to consider not merely sentiment; we have to take into regard other than sentimental considerations. We have to take into account the advance of knowledge, and the uses to which animal experiments are put for the purpose not merely of saving human life, but also of saving animal lives themselves. When I remind my hon. and gallant Friend that we should probably have half the cattle of the Dominions destroyed if we were not able to use animals for the purpose of experiment, I hope that he will consider seriously the position in which he would place this country or any country if he pursued this Bill.

I am sure my hon. and gallant Friend does not want to misrepresent me. I do not prevent these experiments; I only prevent our money being spent on them.

I would like to remind my hon. and gallant Friend that it would be extremely difficult to differentiate between money spent directly by the State in State research institutions, such as the National Institute for Medical Research at Hampstead and similar institutions, and that which is granted for universities and other research bodies in the country carrying out experiments on animals. I want to plead also to the House to display, shall I say, some common sense with regard to the figures which my hon. and gallant Friend has quoted with, of course, no intention of misleading the House. He quoted the number of experiments that were carried out on animals in three consecutive years, and he gave apparently some alarming figures which mounted from 300,000, approximately, in 1927 to over 403,000 in 1920. I want my hon. and gallant Friend to realise that the greater number of these experiments are experiments in which there is not the slightest suspicion of pain being inflicted on the animals, in which there is neither anaesthetic used nor anaesthetic necessary. A large number of these experiments are carried out on mice, rats, guinea pigs and animals of that kind for the purpose of testing the various diets which are afterwards standardised for the cure of certain specific diseases among children, rickets for example. A cure for rickets was established by experiments on animals. Every one of these experiments, involving merely the feeding of animals with certain foods in a certain way, has to be tabled as an experiment, and done under licence by the Home Secretary himself. [ Interruption. ] The experiments to which my hon. and gallant Friend referred are experiments which include feeding experiments in a large number of cases, and under the terms of his Bill such experiments would necessarily be excluded.

Let me give another illustration. Many friends of mine at the present time are engaged in a whole series of experiments on mice and rats, hedgehogs and other similar animals, for the purpose of carrying out certain tests with regard to pituitary and other glandular extracts. These experiments are of the simplest possible kind. They consist of the injection by hypodermic syringe at certain times of certain substances. Experiments like these are well within the ambit of the Act. Every experiment of that kind, the tiniest injection that is made has to count, for the purpose of this Bill, as an experiment. There is no time for me to deal with the various points which may be raised in opposition to a Bill of this kind. All that I would say at the moment is that the case against the Bill has been stated quite clearly and specifically by the British Medical Association in a circular which, I understand, has been sent round to every Member. The case has been more fully considered, and stated more specifically, and even more clearly and pointedly by the State body itself, the Medical Research Council, in a Memorandum which was issued for the information of Members of Parliament in the year 1927, since when there have been really remarkable results from experiments on animals. Hon. Members may feel that a good deal of pain is inflicted, but I would remind them that experiments of a serious nature are only allowed under regulations, and that only under the most stringent conditions are animals allowed to live after serious experiments have been carried out on them. In all other cases the animals are destroyed. The experiments are carried out under an anaesthetic. I think the House will acquit me of any desire to perpetuate a system that would lead to inhumanity.

Question put,

"That leave be given to bring in a Bill to prevent the application of public money to vivisection experiments."

The House divided: Ayes, 156; Noes, 170.

Division No. 81.]

AYES.

[4.17 p.m.

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

Henderson, W. W. (Middx., Enfield)

Potts, John S.

Ammon, Charles George

Hirst, G. H. (York W. R. Wentworth)

Quibell, D. J. K.

Ayles, Walter

Hirst, W. (Bradford, South)

Raynes, W. R.

Baker, John (Wolverhampton, Bilston)

Hoffman, P. C.

Richards, R.

Baldwin, Oliver (Dudley)

Hopkin, Daniel

Richardson, Sir P. W. (Sur'y, Ch'ts'y)

Barnes, Alfred John

Hudson, James H. (Huddersfield)

Richardson, R. (Houghton-le-Spring)

Barr, James

Isaacs, George

Riley, Ben (Dewsbury)

Batey, Joseph

John, William (Rhondda, West)

Riley, F. F. (Stockton-on-Tees)

Bellairs, Commander Carlyon

Jones, T. I. Mardy (Pontypridd)

Ritson, J.

Bellamy, Albert

Jowett, Rt. Hon. F. W.

Romeril, H. G.

Bennett, William (Battersea, South)

Kelly, W. T.

Sawyer, G. F.

Bondfield, Rt. Hon. Margaret

Kennedy, Thomas

Sexton, James

Bowerman, Rt. Hon. Charles W.

Kinley, J.

Shepherd, Arthur Lewis

Boyce, Leslie

Lansbury, Rt. Hon. George

Shield, George William

Brockway, A. Fenner

Lathan, G.

Shillaker, J. F.

Bromley, J.

Law, A. (Rossendale)

Simmons, C. J.

Brooke, W.

Leach, W.

Sinkinson, George

Brown, Ernest (Leith)

Lee, Frank (Derby, N.E.)

Sitch, Charles H.

Brown, Rt. Hon. J. (South Ayrshire)

Lee, Jennie (Lanark, Northern)

Smith, Frank (Nuneaton)

Brown, W. J. (Wolverhampton, West)

Lees, J.

Smith, Tom (Pontefract)

Burgess, F. G.

Longden, F.

Smith, W. R. (Norwich)

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

Lowth, Thomas

Snell, Harry

Cameron, A. G.

Lunn, William

Sorensen, R.

Cape, Thomas

Macdonald, Gordon (Ince)

Stamford, Thomas W.

Carter, W. (St. Pancras, S.W.)

McElwee, A.

Stewart, J. (St. Rollox)

Charleton, H. C.

McEntee, V. L.

Sullivan, J.

Chater, Daniel

McGovern, J. (Glasgow, Shettleston)

Sutton, J. E.

Clydesdale, Marquess of

McKinlay, A.

Tillett, Ben

Cocks, Frederick Seymour

MacNeill-Weir, L.

Townend, A. E.

Day, Harry

Malone, C. L'Estrange (N'thampton)

Viant, S. P.

Dudgeon, Major C. R.

Mansfield, W.

Wallace, H. W.

Dukes, C.

Marcus, M.

Ward, Lieut.-Col. Sir A. Lambert

Duncan, Charles

Markham, S. F.

Wardlaw-Milne, J. S.

Ede, James Chuter

Marshall, Fred

Watkins, F. C.

Edmunds, J. E.

Mathers, George

Watson, W. M. (Dunfermline)

Edwards, C. (Monmouth, Bedwellty)

Matters, L. W.

Wellock, Wilfred

Edwards, E. (Morpeth)

Maxton, James

Wellock, Wilfred

England, Colonel A.

Messer, Fred

Welsh, James C. (Coatbridge)

Freeman, Peter

Middleton, G.

West, F. R.

Gardner, B. W. (West Ham, Upton)

Milner, Major J.

Westwood, Joseph

Gardner, J. P. (Hammersmith, N.)

Mort, D. L.

White, H. G.

Gibson, H. M. (Lanes. Mossley)

Moses, J. J. H.

Whiteley, Wilfrid (Birm., Ladywood)

Gossling, A. G.

Muff, G.

Whiteley, William (Blaydon)

Gould, F.

Naylor, T. E.

Wilkinson, Ellen C.

Graham, D. M. (Lanark, Hamilton)

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

Williams, T. (York, Don Valley)

Grenfell, D. R. (Glamorgan)

Oliver, George Harold (likeston)

Wilson, J. (Oldham)

Griffiths, T. (Monmouth, Pontypool)

Oliver, P. M. (Man., Blackley)

Wilson, R. J. (Jarrow)

Groves, Thomas E.

Owen, H. F. (Hereford)

Winterton, G. E. (Leicester, Loughb'gh

Grundy, Thomas W.

Palin, John Henry

Wise, E. F.

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

Palmer, E. T.

Hall, J. H. (Whitechapel)

Parkinson, John Allen (Wigan)

TELLERS FOR THE AYES. ——

Hardie, George D.

Perry, S. F.

Lieut.-Commander Kenworthy and Captain W. G. Hall.

Hayes, John Henry

Pethick-Lawrence, F. W.

Henderson, Thomas (Glasgow)

Pole, Major D. G.

NOES.

Acland-Troyte, Lieut.-Colonel

Bowater, Col. Sir T. Vansittart

Colville, Major D. J.

Addison, Rt. Hon. Dr. Christopher

Bowen, J. W.

Cowan, D. M.

Albery, Irving James

Briscoe, Richard George

Cranborne, Viscount

Allen, Sir J. Sandeman (Liverp'l., W.)

Brothers, M.

Crookshank, Cpt. H. (Lindsey, Gainsbro)

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

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

Daggar, George

Angell, Norman.

Brown, Brig.-Gen.H.C.(Berks, Newb'y)

Dalton, Hugh

Arnott, John

Buchan, John

Davies, Maj. Geo. F. (Somerset, Yeovil)

Atholl, Duchess of

Bullock, Captain Malcolm

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

Baillie-Hamilton, Hon. Charles W.

Butler, R. A

Dawson, Sir Philip

Beaumont, M. W.

Carver, Major W. H.

Denman, Hon. R. D.

Benson, G.

Chamberlain, Rt. Hon. N. (Edgbaston)

Dixon, Captain Rt. Hon. Herbert

Bentham, Dr Ethel

Chapman, Sir S.

Duckworth, G. A. V.

Berry, Sir George

Christie, J. A.

Dugdale, Capt. T. L.

Boothby, R. J. G.

Churchill, Rt. Hon. Winston Spencer

Elliot, Major Walter E.

Bourne, Captain Robert Croft.

Collox, Major William Philip

Elmley, Viscount

Evans, Capt. Ernest (Weish Univer.)

Law, Sir Alfred (Derby, High Peak)

Samuel, A. M. (Surrey, Farnham)

Everard, W. Lindsay

Leighton, Major B. E. P.

Samuel, Rt. Hon. Sir H. (Darwen)

Falle, Sir Bertram G.

Llewellin, Major J. J.

Sandeman, Sir N. Stewart

Ferguson, Sir John

Long, Major Hon. Eric

Sandham, E.

Fielden, E. B.

Maclean, Sir Donald (Cornwall, N.)

Sassoon, Rt. Hon. Sir Philip A. G. D.

Fison, F. G. Clavering

McShane, John James

Savery, S. S.

Forestier-Walker, Sir L.

Maitland, A. (Kent, Faversham)

Scott, James

Forgan, Dr. Robert

Makins, Brigadier-General E.

Shakespeare, Geoffrey H.

Fremantle, Lieut.-Colonel Francis E.

Marjoribanks, Edward

Shepperson, Sir Ernest Whittome

Ganzoni, Sir John

Meller, R. J.

Sherwood, G. H.

Gault, Lieut.-Col. Andrew Hamilton

Mitchell, Sir W. Lane (Streatham)

Shiels, Dr. Drummond

George, Rt. Hon. D. Lloyd (Car'vn)

Montague, Frederick

Sinclair, Sir A. (Caithness)

George, Major G. Lloyd (Pembroke)

Morgan, Dr. H. B.

Sinclair, Col. T. (Queen's U., Belfst)

George, Mepan Lloyd (Anglesea)

Morris-Jones, Dr. J. H. (Denbigh)

Smith, Louis W. (Sheffield, Hallam)

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

Morrison, W. S. (Glos., Cirencester)

Smith, Rennie (Penistone)

Glassey, A. E.

Mosley, Lady C. (Stoke-on-Trent)

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

Graham, Fergus (Cumberland, N.)

Mosley, Sir Oswald (Smethwick)

Smith-Carington, Neville W.

Grattan-Doyle, Sir N.

Nathan, Major H. L.

Somerville, A. A. (Windsor)

Guinness, Rt. Hon. Walter E.

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

Southby, Commander A. R. J.

Hacking, Rt. Hon. Douglas H.

Nicholson, O. (Westminster)

Stanley, Lord (Fylde)

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

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

Stanley Maj. Hon. O. (W'morland)

Hamilton, Sir George (Ilford)

Nield, Rt. Hon. Sir Herbert

Stewart, W. J. (Belfast, South)

Hamilton, Mary Agnes (Blackburn)

Noel Baker, p. J.

Strachey, E. J. St. Loe

Hartington, Marquess of

O'Connor T J

Taylor, Vice-Admiral E. A.

Harvey, Major S. E. (Devon, Totnes)

Oman, Sir Charles William C.

Taylor, W. B. (Norfolk, S.W.)

Haslam, Henry C.

Ormsby-Gore, Rt. Hon. William

Thorne, W. (West Ham, Plaistow)

Hastings, Dr. Somerville

Peake, Capt. Osbert

Thurtle, Ernest

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

Peters, Dr. Sidney John

Tinker, John Joseph

Hills, Major Rt. Hon. John Waller

Pilditch, Sir Philip

Tinne, J. A.

Hope, Sir Harry (Forfar)

Pownall, Sir Assheton

Tout, W. J.

Horrabin, J. F.

Price, M. P.

Walker, J.

Howard-Bury, Colonel C. K.

Pybus, Percy John

Wayland, Sir William A.

Hurst, Sir Gerald B.

Ramsay, T. B. Wilson

Wells, Sydney R.

Hutchison, Maj.-Gen. Sir R.

Rathbone, Eleanor

Williams, David (Swansea, East)

Jenkins, W. (Glamorgan, Neath)

Roberts, Sir Samuel (Ecclesall)

Williams, Dr. J. H. (Llanelly)

Jones, F. Llewellyn- (Flint)

Rodd, Rt. Hon. Sir James Rennell

Womersley, W. J.

Jones, Henry Haydn (Merioneth)

Rosbotham, D. S. T.

Wood, Rt. Hon. Sir Kingsley

Jowitt, Sir W. A. (Preston)

Ross, Major Ronald D.

Worthington-Evans, Rt. Hon. Sir L.

Kedward, R. M. (Kent, Ashford)

Rothschild, J. de

Young, Rt. Hon. Sir Hilton

Knox, Sir Alfred

Rowson, Guy

Lamb, Sir J. Q.

Ruggles-Brise, Lieut.-Colonel E. A.

TELLERS FOR THE NOES. ——

Lambert, Rt. Hon. George (S. Molton)

Russell, Alexander West (Tynemouth)

Major Church and Captain Gunston.

Lane Fox, Col. Rt. Hon. George R.

Salter, Dr. Alfred

Juries (Exemption of Firemen)

I beg to move,

"That leave be given to bring in a Bill to exempt firemen from service on special, common, and other juries."

This Bill would grant, to a most deserving section of the community, exemption from service on juries. [ Interruption. ] If I may judge of the sense of the House, there will be very little opposition to the Measure. The promoters of it, acting on behalf of the National Fire Brigades Association, which covers 920 brigades, and the London Private Fire Brigades Association, take advantage of the Ten Minutes Rule to draw special attention to the fact that the Bill is supported in all quarters of the House. By the Juries Act of 1870, certain classes of persons were exempted from jury service: Members of Parliament, Officers of the House, ministers of religion, barristers, solicitors, keepers in public lunatic asylums and members of police fire brigades. Since that time, hundreds of thousands of women have been added to the jury list so that the exemption of the comparatively small number of fire brigades would not cause any difficulty. The Bill consists of one operative Clause granting the exemption, and a Clause defining firemen. I hope the House will agree to this Measure, as an expression of the community's gratitude to its fire brigades.

Question put, and agreed to.

Bill ordered to be brought in by Mr. Annesley Somerville, Sir John Withers, Mr. Wells, Mr. Foot, Mr. Ernest Brown, Mr. Morris, Mr. Knight, Mr. Mills, Mr. Brooke, and Sir Walter Greaves-Lord.

Juries (Exemption of Firemen) Bill,

"to exempt firemen from service on special, common, and other juries," presented accordingly, and read the First time; to be read a Second time upon Thursday, and to be printed. [Bill 73.]

Unemployment

Motion made, and Question proposed, "That this House do now adjourn."—[ Mr. T. Kennedy. ]

I do not think it is necessary that I should offer any apology to the House for raising again the grave and serious question of unemployment. I venture to say that it would hardly be decent for the House to adjourn for the Christmas Recess without taking stock of the work that has been done for the relief of the vast number of our fellow citizens who are now out of employment. Those Members of the House who are students of Parliamentary records will remember that in the 18th century, when there were times of severe national distress, the House of Commons was accustomed to resolve itself into a Committee and to sit day by day in continuous session to discuss the condition of the nation, and it did not terminate its deliberations until it had devised and put into operation measures for the relief of the national distress. We profess to be more democratic in these times, and our policy is not to sit in continuous session, not to impose upon the House of Commons the responsibility of dealing with a great emergency like this; but we just have a full-dress debate, in which the various parties wave their flags and shout their battle cries, and then we hand over a difficult and delicate business to Ministers. They in their turn, not feeling disposed to tackle the job themselves, pass it on to the Civil Service, and this distinguished body of men, for whom we all have a very great respect, of course at once sets to work in the orthodox manner to investigate, to deliberate, to report, to hold inquiries, and circulate reports. That goes on at great length, wonderful schemes are prepared, and large sums of money are voted, but nothing really happens.

That is not an ungenerous statement of what is happening at the present time. The best that is submitted to us is a five-years' scheme, which, to make it seem respectable, is called a quinquennial scheme, and a sum of, I think, £135,000,000 is being voted, in accordance with the decision of the Government, to be spread over a period of five years. Of course, what I want to know, and what I fancy most ordinary people who are neither Members of the Government nor civil servants want to know, is what money is being spent here and now, and how many people are in fact being placed in employment. I shall be very much indebted to the Minister who speaks after me if he will refrain from giving us figures with regard to quinquennial schemes and the number of men that so many years hence will find employment, and will tell us in plain and simple language how many men, as the result of the first year's operation of this scheme of the Government's have, in fact, found employment. I do not mean how many men are now working on the roads; I mean how many men are working on the roads who would not have been working on the roads if it had not been for these special unemployment schemes.

I observe that, when the Lord Privy Seal was speaking at the end of October last, he said that an investigation of the figures would show that the record of the present Government compared favourably with the annual expenditure of previous Governments during the past 10 years. What would have been thought during the War if the officer responsible for recruiting had said, "Yes, there is a war on; we have been at work trying to get recruits; and our record of recruits compares favourably with the 10 years before the War"? It is no satisfactory statement to make to the House of Commons, in this time of grave national emergency, to say that you are spending as much money as the last Government spent on the roads, when the problem was less acute and the need less urgent.

I beg the Government to take the House of Commons into their confidence, and let us know precisely what they are doing and what is the immediate, direct result. It always puzzles me that Governments should be so suspicious of the House of Commons. This House, whatever may be its defects, certainly has among its Members people who can speak with authority on almost any question. Whether we talk about home or foreign affairs, or whatever branch of activity we talk about, there is sure to be someone in this House who is an authority upon it. I do not think it can always be said that any Government, even the present Government, possesses men who have had experience of every department of national and international work, such as the House of Commons itself has, and I never can understand why, at a time like this, the Government of the day does not see fit to call into conference and assistance some of the back benchers, to set up committees of two or three back benchers from each part of the House who have knowledge of the particular case in question, and who would assist them in the arranging and devising and carrying out of schemes. Why it should be assumed that no one but a Minister or a civil servant knows anything is a thing that I never could understand, and I think that nothing effective will really be done until the House of Commons takes it upon itself to insist upon being consulted, demands the fullest information, and goes on badgering the Government until they do supply it with information, and do in fact get to work upon some real schemes to assist those who are unfortunately unemployed.

The question may be asked: Is it possible to do anything? I know that many people have been in despair. We hear criticisms of the number of people who are receiving the dole, as it is called, in all parts of the country. It is said that we are demoralising the people by giving so many hundreds of thousands of men and women, and even boys, the dole. If that be true, and possibly it is true, what is the alternative? They cannot starve. No one suggests that. It is not possible to allow vast bodies of our fellow-countrymen, men, women and children, to be suffering extreme privation, to be deprived of the necessities of life. If they are not to starve, and are not to have the dole, what are they to do? Your only alternative is to find them work. It used to be said, and I think it was a good saying, that, if a man will not work, neither shall be eat. But if he is not given the chance to work, how can he do it? If you lay down these maxims, you must find him employment.

It is said, and I agree, that this continued idleness, particularly of young men, is demoralising in the last degree; but that imposes upon you to an increasing degree the responsibility and duty of providing work for those people who are unemployed. Not a quinquennial scheme that is going to give employment five years hence; not the voting of huge sums of money which, after passing through all the machinery of inspectors, inquiries, reports and other documents, will some day set a few people to work; but something that will put people to work at once, some scheme that will visualise the necessities of the case.

Someone will say, "Oh, yes; that sort of talk in the abstract is all very well, but let us come down to the concrete; let us face the situation in detail." For this purpose I have made a study of the figures as to the men and women who are on the unemployment list. Naturally, from my own occupations in life, I turned pretty early to the building trade, and I discovered to my amazement that there were 143,731 members of the building trade unemployed. Just think of that for a moment. Does the House know how many houses in 12 months 143,000 men could build? I will tell them. They could build 100,000 houses in 12 months, while they are now in idleness doing nothing. Moreover, another 100,000 men would be employed in connection with the provision of materials. That is to say, if you were to set to work now and build 100,000 houses, you would employ 250,000 men who are now out of work. I do not suggest that you would get an economic return from the rents, but let the House listen for a moment. If you added the saving in unemployment benefit, you would get the 100,000 houses at what would be more than an economic rent, and the net result of this suggestion of mine would be 250,000 people at work in their own vocation—and it is a very important consideration to get them back to their own job—the providing of 100,000 houses for slum dwellers or others, and all the increased employment that would come by reason of the wages paid to and the spending power of these 250,000 people. I suggest that that is a thing which is worth considering.

"Oh, yes," you say, "but will you pass that on to the Department? The Department will tell you at once that the plans take a long time to prepare, that the land has to be surveyed, that contracts have to be arranged." I know something about preparing plans, making surveys, and arranging contracts, and they can take either a long time or a short time according to what you determine shall be the case. There are hundreds of architects and surveyors out of work to-day who would tackle that scheme if you gave them the job to do, and they would not be many weeks about it, because they would work all their time and overtime. It would not be many weeks before thousands of men were at work, happily and joyously engaged in the job for which they have been trained.

You tell me that you cannot get on with slum clearance. Why not? Why cannot you build more houses? "Oh," you say, "of course you cannot interfere with the discretion of the local authorities." So you have to go through with the machinery; houses have to wait until they make reports, until they have negotiated with adjoining authorities; they have to send up to the Ministry of Health, inquiry has to be made, and so on. Really, in times of great emergency, this strikes me as sheer and arrant nonsense. I wish I had the job 61 building the 100,000 houses, with no one to interfere with me and no officials to say a word. I would have them up and inhabited in less time than it takes to make all the necessary reports under the present system. There is no need for any delay; there is no need for endless negotiations. I do not want to use language which is not strictly in accordance with Parliamentary usage, but what you want to do is to get on with the job. That is the simplest way of putting it. And until you make up your mind to do that, it is no use coming here and making quinquennial reports and all that sort of thing.

I can suggest another direction, in addition to slum clearance. How about the housing conditions of agricultural labourers? We who sit on these benches most heartily agree with the Minister of Agriculture in the bold attempt that he is making to deal with this great question. We think that it means no only an increase of employment on the land in the near future, but that it means a permanent increase of the population who live on and out of the land. But here is one difficulty, so far, at any rate, as my opinion is concerned, in the Minister's Agricultural Bill. He proposes to do a great deal for new settlers and, as far as I can ascertain, nothing for those who are at present on the land. New settlers will have all sorts of assistance. I want something done now for men at present on the land as agricultural labourers.

I should like to see some Department of the State live enough and sane enough and bold enough to undertake this task. I want to see 100,000 houses built for agricultural labourers. If you wait until the small rural authorities can get up schemes and pass them through the machinery, you will wait until the crack of doom. Some Department in the State should say: "We will build 100,000 houses, and the way we will do it is this. We will group together 10,000 houses in each of 10 areas, and we will buy the materials and arrange the programme of building so that we shall at least have the advantage of mass production." You would then get your 100,000 houses built at a price which would bring them somewhere in the capacity of the agricultural labourers to pay. If you do not want the State to own the houses, you can ultimately pass them on to the local authorities. They could undertake the administration and management on a basis which would not involve them in any loss. Why in the name of reason and common sense do we not tackle a question like this? Why do we try to create work and to make things that are not wanted?

My hon. Friend the Member for Shettleston (Mr. McGovern) introduced a Bill exactly along those lines. In the drafting of it, Liberal publications were taken into serious consideration. One Liberal voted for it and the others voted against.

The hon. Member must not expect me to be in favour of any scheme of houses which I have not invented myself. Perhaps he will allow me to continue on my own lines. I suggested that the 100,000 houses that I first referred to would find employment for 250,000 people. I am thoroughly convinced that, if you combine with that scheme the proposal for agricultural houses, it will easily add another 100,000 to the numbers who will get employment. That is 350,000. That is milestone No. 1.

Now let us take milestone No. 2, which is allied to the same aspect of the question, that is town planning. Most people think this is some sort of mystic phrase which means nothing. They think it has something to do with artists, architects and irresponsible people of that kind. What we mean by town planning is something that would enable them to take a survey of the present position of our towns and villages and attempt to forecast the direction in which future developments will take place. There are some 80 regional town planning committees to-day doing very useful work. It is all a question of "What thou doest, do quickly." I want to see at once a national regional planning committee which shall have power to get to work and do something as well as make schemes.

Let me illustrate what I mean. Supposing in clearing the slums of London you design, as you will naturally design, that large numbers of the dispossessed Londoners may be taken into the outskirts. It is impossible to go on adding further to the congestion in the central parts of London. What are the difficulties that always confront them when they try to do that? They find that the distances are so great, they have to buy land so far out and so shut off from the portions of London where the people have to work, that it becomes almost impossible for a man and his family to live at this distance, at any rate when it takes as long as it takes now to get backwards and forwards. If you had any sound scheme of regional planning, you would cut your main arteries right through the districts in which you want the people to live.

In many of these outlying garden cities or suburbs you have to make a circular tour to get there. Omnibuses have to go all round the side streets. If you could get to work at once with an authoritative body of regional planning, you could so arrange it that you. could cut your streets right through and you could get there in half the time that it takes now. It is the same with your tube railways and general transport. Here again, under present methods all sorts of adjoining authorities have to confer with each other. You cannot get a move with these arterial roads. Local authorities A, B and C want them, but D does not, and you are held up.

It reminds me of the story of the fire that broke out at a farmhouse in a village which had no fire brigade. There was one in the adjoining parish, so they sent there post haste to ask for the fire engine. The superintendent of the fire brigade could not act on his own authority and had to call the parish council together. It took these wiseacres some time to decide whether they could or could not send their fire engine. After a long consulting of precedents they decided that they would send it, but that it was not to be considered as a precedent. During these weighty and sagacious deliberations, in which the wise men of the parish exhausted their resources of logic and argument, the farmhouse was burnt to the ground. That is what is happening to-day. While you are carrying on negotiations, holding your inquiries, writing your reports and preparing your quinquennial schemes, the community is being overcome by the conflagration of continued unemployment.

I apologise for having devoted so much time and attention to the building aspect of the new employment that might be found. I mentioned to my right hon. Friend the Member for Carnarvon Boroughs (Mr. Lloyd George) that I proposed to say something about this aspect of it and he said, "Yes, it is a good idea. You know something about that," and knowledge of a question is not an absolute disqualification for speaking about it. But that is not by any means the only direction in which rapid movement ought to take place for the purpose of absorbing the unemployed. I lay down a first rule, that the object of all these proposals should be as much as possible to get men back into the trades to which they are accustomed, or at least to similar occupations. We must have regard to the future when men can return to their normal trade. I do not want the work they do now to unfit them for that, and, therefore, you want various kinds of work.

You want work for the skilled men as well as for the labourers, and, with this in view, I cannot at all understand why His Majesty's Postmaster-General is so slow and so timorous in connection with his telephone system. Why in the world should this country continue to be tenth on the list of telephone users? I understand that something like 30,000 technical men, electrical engineers and the like, are at present employed in making telephone apparatus and in installing the telephones. Why not double the number? There are certainly 30,000 men in the engineering trade out of work and in receipt of unemployment pay and why not add another 20,000 or 30,000 manual labourers for the purpose of laying cables. The answer that is given is that the Post Office is keeping pace with the demand for telephones. I cannot accept that. Why are they not canvassing possible users of telephones? If they would set to work, I am persuaded that they would find an immediate demand for a vastly larger telephone installation programme than they have suggested.

The suggestion has been made that you cannot lay the cables until you have secured all your customers. Suppose that I did that with my housing schemes. Suppose that I was making roads and was going to build 2,000 houses and said, "I will not put down any electric light cables until I find out whether each householder wants electric light, I will wait and, when they all say they want it, I will lay the cables." What would be the result? I should have to open all my roads again, causing incredible delay and inconvenience to the tenants. I assume that everyone wants electric light, and the assumption is always justified. I do not say that every cottage dweller wants a telephone.

The hon. Member is going further than I was going. I want to be moderate. In any event, you may be sure that three-fourths of the people who live in houses would have the telephone if they could get it. There I suggest that you could considerably extend the area of useful employment, providing something that is valuable and productive of revenue, and something that would employ men in the job to which they are accustomed and it would not unfit them for a return to their ordinary work.

5.0 p.m.

In another direction I should like to refer to harbours. That word is often used in perorations, but since I have represented a maritime constituency I have found that there is a reality about this demand. I find that the improvement of harbours is a very popular proposition. I wish, you would get to work at once and begin on Cornwall, and make them more suitable for carrying on the fishing industry. We might have a survey of the harbours round our coast.

There is also the matter of water supply. We do not think the House realises how inadequate and dangerous is the water supply in rural districts. In former days I sat on committees of this House which dealt with the granting of powers for water supplies for our large northern cities. I did not at the time realise how astute and far-seeing were the men who represented those municipalities. Of late many municipalities have been pressing in this matter of water supplies, and watersheds are not available for a large number. Again, I say that this must be a national question. You must look at it broadly with a view to utilising the great watersheds of the country so that every part may be supplied with water. I have in mind the case of a village in Cornwall which is adjacent to tin mines which were recently closed down and the whole of the population are out of work. I am putting forward a scheme for grants by the Department, in aid of a water supply, and we are informed that this is a scheme which the local authorities should carry out itself and that, in spite of the fact that the population is entirely workless. I would say to the Government that if care be not taken in such matters there is a danger of an outbreak of typhoid and diphtheria in the district. Surely such a case as this should command the sympathy of the Government and the support of a grant.

I would point out to the Government that Members on these benches do not bring these matters forward in any spirit of hostility. We do not wish to embarrass but to help. Our criticism is not meant to discourage but to stimulate. We want what we say to be a tonic to you so that your outlook may be clearer and your conscience more susceptible, your courage more real, and your activities greater. That is all we want. If you will take up these matters, you will have no warmer support from anywhere than from us, but, if you do not, then we will have your blood. That is all. That is not a threat but merely a prophecy. On behalf of my colleagues I wish to say that what we want is to see greater achievements, and we respectfully suggest that you should put more vigour into the business. More than that, you should be bolder. After all, big things wisely conducted are no more dangerous than small things unwisely conducted. A bold policy, pursued with courage, will win our warmest support. The people of these islands are law-abiding and patient and put up with a great deal, but you may overtax the patience even of English people, and that may lead to consequences that no one desires. I shall become a rebel myself if something is not done. I should be sorry if my eminently respectable and relatively prosperous career was to terminate in such a way as to require as an epitaph: "Tory by nature, Liberal by grace, rebel by the inaction of the Socialist Government."

I can assure the right hon. Gentleman who opened this debate that we will endeavour to benefit from the advice which he has administered this afternoon in order that the beneficial results which he has indicated shall follow. But I confess to a little uncertainty as to the reception which the House of Commons would give to a Bill which would constitute the right hon. Gentleman the Member for Penryn and Falmouth (Sir T. Walters) a Cabinet of one so far as housing conditions are concerned, giving him total powers over the Treasury, complete power to dismiss the entire Civil Service occupied on this work and enable him to employ a great army of new people who will never be civil servants but be in the employ of the right hon. Gentleman; and, when he has finished building houses when and where he wants to build, giving him complete power to hand them over, with maintenance charges to the local authorities, and making quite sure that the local authorities would be willing to take them over with gratitude and cordial thanks to the right hon. Gentleman for his energy and courtesy. I cannot see the House doing it, and I am bound to say, as one who has taken a large part in local government and still respects it, that this doctrine of taking service after service out of the hands of local government until it has practically nothing to do and concentrating it in the hands of State dictators does not appeal to me. I do not like it, and I am not going to say that I do. I still believe that the spirit of local government is vital in any British administration, although it may be popular to say, "Scrap local authorities; concentrate everything in Whitehall." All this talk may sound all right, but I think it is wrong, and I do not think it is getting us anywhere. May I assure the right hon. Gentleman that if his Cornwall water supply undertaking would puts its proposals to the Government, the Government would consider the question of a grant to enable it to go on.

I should like to know the circumstances in which it was rejected. I am told that it was rejected because there was no acceleration. If his harbour undertakings will make their proposals, then I can say that we have favourable terms for harbours and small ports in order to meet their special needs. We cannot, however, adopt the position that every local undertaking in the country will automatically solve its problems by "passing the baby on" in every case. I suggest that the right hon. Gentleman has a duty to perform by gingering up the local people in Cornwall as well as Ministers in Parliament. Therefore, some of the medicine which he has proferred to-day should be administered to his friends in Cornwall in order that they may be incited to go forward.

I propose to deal, broadly and comprehensively, with the unemployment situation, and I shall have to talk about the affairs of Departments of State which are not mine and with which I am not familiar in detail. I hope the House, therefore, will let me proceed with my speech and not interrupt by interjections asking me to deal with all the details which affect every Department of State. We are faced with a world depression of exceptional severity. The depression of 1920 to 1921 was not as great or as difficult as the world depression which faces us now. I know that hon. Gentlemen of the Conservative party say that this talk of world depression is all wrong, but world depression is a fact. The economic blizzard which the late Chancellor of the Exchequer referred to is also an important fact and the depression of 1920 to 1921 did not see so severe a collapse in the prices of primary commodities as the present depression has done. The House must face the fact that crisis produces crisis, that a depression and collapse in primary commodity prices works round the vicious circle of primary producers, manufacturers, shipping, iron and steel, and so on.

The cause of the trouble is international in scope. It is affecting other countries equally with Great Britain, and indeed, the figures indicate that the severity of the problem for other leading countries is even greater than for us. I would give the House three figures, comparing the position of the decline of manufactures for the United Kingdom, Germany and the United States of America. It is estimated, as far as a decline in manufacturing production is concerned, that in the United Kingdom for the third quarter of 1930 there was a decrease of 9.9 per cent. as compared with the same period of 1929. Next, take Germany. There, according to the index figure of the Institut fuÜr Konjunkturforschung, there was a decrease, not of 9.9 per cent. as in our case, but of 20.4 per cent—including coal mining—comparing the same two periods. So far as the United States of America is concerned, the index of manufactured products compiled by the Federal Reserve Board for the period of June to August, 1930—September not being available—shows a decrease of 23.5 per cent. compared with the period June to August, 1929. The fact has to be faced that Germany is a Protectionist country, and that America is a Protectionist country, and therefore the figures indicate that we must set aside in this connection the controversy as to Protective tariffs and Free Trade, and look somewhat wider and deeper. [An HON. MEMBER: "Not at all!"] No doubt the hon. Gentleman will have an opportunity of explaining away those figures later in the debate, but at the moment they are quite good enough for me.

Already it is possible to detect, both at home and abroad, a marked change in the prevailing feeling as to the industrial future of Great Britain. A few years ago, when things appeared to be better in Great Britain than they are to-day, there was a prevalent feeling in other countries that Great Britain was going down the industrial slope and that there was little hope of British industrial recovery. Our information is, that that feeling abroad as to the industrial future of Great Britain is passing, and that other countries now feel that when the depression passes Great Britain will come out of it not only, comparably, in as good a position as the other countries, but possibly in a better position than the other countries.

I ask the hon. Gentleman to wait until later when other Ministers will take part in the debate. It is dangerous to prophesy, but the information which I give to the House is information to be relied upon as far as foreign commercial opinion is concerned. While we believe that this is so, we certainly deprecate—and I do strongly deprecate—the spreading among our people of a feeling of economic and industrial defeatism. This would be the worst service that hon. Members of this House could render to the country. While I would urge that point of view, nevertheless we should be wrong, unwise, and open to censure if we did not put forth every effort to deal with the present emergency with the greatest possible energy in order that recovery may be promoted at the earliest possible moment.

In addition to the unemployment created by the world depression, we have, of course, the normal pre-War unemployment, which, it is not generally realised, was probably in excess of 600,000 persons. The figures before the War were not complete. The Board of Trade in those days had to rely upon the returns of certain skilled trade unions, and we are advised now that the probable normal unemployment before the War was over 600,000 persons. Moreover, hon. Gentlemen in all quarters of the House must face the fact that you cannot have a war and come out of it with a burden of £8,000,000,000 of National Debt and bear the interest charges and the repayment charges without industry having to go through pretty long economic depression, because industry must carry the £8,000,000,000 of debt. It must carry the £1,000,000 a day interest and Sinking Fund charges.

Why did not hon. Gentlemen opposite, at the end of the War, when the War profiteers were known, do the bold thing and conduct a surgical operation by adopting the policy of the Labour party in favour of a capital levy, which, in all seriousness, ought to have been done? It would have been of great commercial benefit to-day in relieving the burdens of British industry and of advantage to the Income Tax paying community. [An HON. MEMBER: "Why did you drop it?"] Because conditions changed. I should have thought that hon. Gentlemen would know that things have changed. What the Coalition could have done then is not possible for the Government to do in a period of depression when War profiteers have passed into the realm of anonymity. Having refused to do what they were advised ought to be done, it is a little ungrateful that they should come along now, when we are carrying the burdens which they left for us, and say that we are entirely responsible for the present situation.

Therefore, we have to take into account those three factors in the unemployment situation. It was assumed by the right hon. Gentleman the Member for Penryn and Falmouth (Sir T. Walters), as it is commonly assumed for political purposes by a good many pesons, that the Government have been slow, lacking in initiative and lacking in drive. [HON. MEMBERS: "Hear, hear!"] Hon. Members opposite have the assurance to cheer. I should expect them to cheer anything however indefensible it might be. If the present Government have been slow and unenergetic and lacked drive, what are we to say about the right hon. Gentlemen who now sit opposite but who formerly sat upon this bench and said deliberately that their policy was to slow down the putting in hand of works of economic reconstruction?

That is not the point, and it is not true. The hon. and gallant Gentleman the Member for Bournemouth (Sir H. Croft) cannot get away as easily as that. It has been put to us that the amount of work which we have put in hand and the energy we have displayed in putting it in hand merit censure. I throw it back in the teeth of hon. Members opposite in the belief that their record cannot, neither in the last Government, nor in any other Government, even in the Coalition Government, stand comparison with the record of this Government. [ Interruption. ] If hon. Members assume the offensive they must not be surprised if I take the counter-offensive. I am not used to taking things lying down, and I am not going to do so.

The Government have pursued, first, a short-range policy of works of economic development, and, secondly, a long-range policy of promoting industrial efficiency and the vigorous development of British economic life. The slump has made this work of great importance, but it has also made it difficult, for a slump produces fear, and fear is being encouraged in the industrial world by hon. Gentlemen opposite in speeches here and in speeches in the country, and, sometimes, I am tempted to think, deliberately encouraged. The slump produces fear, and fear is destructive of courage and enterprise. It is unnecessary for me to detail the magnitude of the short-term policy. [An HON. MEMBER: "Who wrote that book?"] I think that I am entitled to ordinary courtesy from hon. Members. I do not expect too much.

Is it in order for an hon. Gentleman to read a speech in the House, especially after he has informed the House that he is not responsible for details, and not able to answer questions?

The hon. Gentleman is entitled to have as copious notes as possible for a House which requires clear information.

It is obvious that if I am to give the House the necessary details I must refer to notes. I think that hon. Gentlemen opposite should extend normal courtesy. I will not give these figures in extensive detail, but I will summarise works of economic reconstruction which have been sanctioned or approved by the Government. [An HON. MEMBER: "And carried out?"] I will come to that in a moment. Under Part I of the Development Act, which includes railways, docks, water, gas, and electricity, the schemes amount, in round figures, to £28,500,000. The schemes under Part II of the Development Act, Unemployment Grants Committee schemes, including sewage, land reclamation and drainage, sea defence works, and £6,000,000 to be spent upon unclassified road works, amount to nearly £47,000,000. The Colonial Development Act schemes, including £3,300,000 to be spent in this country, exclusive of schemes under the Palestine and East African Loans Act amounting to £-4,820,000, total £8,375,000. The Road Fund schemes, which absorbed the previous programme for 1929-30, amount to £49,000,000. Miscellaneous schemes amount to £3,300,000, giving a grand total of approximately £136,000,000. Those figures, I am reminded, are to the end of September and, of course, exclude October and November.

The hon. Gentleman asked for information as to the number of men who were actually to-day working upon these schemes. That is a request which is often, and not unnaturally, made, and it is a request which I am reluctant to meet, if it is upon the basis of firm figures. [An HON. MEMBER: "Why?"] I am about to tell the House. Really, one has to choose between encouraging people to get on with the work and compelling people all over the country, including the companies, to fill up numerous forms for Whitehall.

The right hon. Gentleman will not do either. He was objecting, I gathered, to too much Whitehall interference, and we are often criticised for compelling people to fill up too many forms.

The right hon. Gentleman has made his speech, and he should allow me to make my reply.

I do not wish to be discourteous to the hon. Gentleman. I want him to make a reply, and not to tell me fairy tales of that description.

I hope that we shall not accept the language of fairy tales, or we shall soon be out of order. I am saying why I am not going to give firm figures If we were to compel every local authority undertaking these schemes, every railway company, every electricity company, every gas company and every water company and similar undertakings, to give the actual figures as to the number of unemployed, we should be devoting more of our attention to the collection of statistics, and less attention to getting on with the work. What the Government are doing is to stimulate the acceptance of every possible available scheme, and to encourage the local authorities and other undertakings to go forward with their schemes, and that we shall continue to do. But we shall only irritate them and only clog our central machine if we concern ourselves with a meticulous collection of statistics. What we want to do is to get on with the work.

The best estimate that we can make is an estimate based upon what information is available. The local authorities make certain returns, but they are by no means always up to date. There is sometimes backwardness in sending in the returns of figures, but my right hon. Friend the Lord Privy Seal has supplied me with certain statistics up to the end of October, 1930. They are approximate figures, and they must be taken as approximate. We cannot get to the position when we can say that these are definitely firm figures, that we can adhere to for all time and in all circumstances. The Lord Privy Seal advises me that it is estimated approximately that the number of men employed at the end of October, 1930, direct and indirect, on roads was 60,000, and on Unemployment Grants Committee schemes 86,000, making a total of 146,000. In addition to these schemes, there are other schemes as to which we have no information. There are schemes under that part of the Home Development Act which have been approved of £31,400,000, of which schemes involving £11,000,000 are in actual operation. There are schemes under the Colonial Development Act which have been approved to the amount of £9,000,000, and actually in operation are schemes amounting to £4,500,000.

We estimate that for every £1,000,000 of expenditure, employment is found for 4,000 men, direct and indirect, for a year. The figures which the Liberal party have so far estimated provide for 5,000 men. Therefore, they will need to add 25 per cent. to the figures which I have given. Taking into account the other schemes for which I cannot give figures in men, it is fair to estimate that up to the end of the year the number of men in direct and indirect employment upon Stateassisted schemes will be towards 200,000. That is a much, larger figure than was ever secured by any previous Government.

I am very sorry to interrupt the hon. Member but this is important, and it is the crux of the whole matter. If he cannot give us anything like an accurate estimate of the number of men, surely the Treasury can tell him how much money will pass from the Treasury this year for this particular purpose. If he can tell us that, we can make an estimate for ourselves upon the basis of either 4,000 or 5,000. If he does not give us those figures, we shall be in a difficulty. It is no use talking about the money which has been allocated or sanctioned either for colonial or home development. The question is how much money will be spent this year upon this particular purpose. Then we can easily estimate the number of men for ourselves.

I am sorry that I cannot give the information, but that information will not help us.

Can we get the figures, whether they will help us or not? I think we are entitled to that information. The right hon. Gentleman is speaking on behalf of a number of Ministers, and he must know that this is very vital information. We have already had certain figures from the Lord Privy Seal which on cross-examination across the Floor of the House have broken down completely, as I can point out, but the actual figures as to the money that will pass from the Treasury is something that can be verified, and there ought to be no difficulty in ascertaining that information. The House of Commons is entitled to it, and we really must have it before this debate closes.

It is also for me to judge. I am entitled to put a point with great respect to my right hon. Friend, and I am going to put it. The Treasury cannot say with precision how much money will pass in aid of these schemes by the end of the year. [HON. MEMBERS: "How much has already gone?"] It would not matter which Government were in office, they could not give the information precisely. They could give only approximate figures in the same sense as the approximate figures that I have already given. I have responded to the appeal of the right hon. Gentleman that I should give what figures I could as to the number of men employed. I have given the figures with every desire to meet the right hon. Gentleman, and I think that he ought to accept them in that spirit.

I am very sorry to interrupt, but this is very important. The hon. Member has given us approximate figures with regard to the men, but it is purely an estimate so far; it is guesswork. Surely, if the Treasury could give us approximate figures—and by December they ought to be able to give us a little more than that—if they could give us the figures up to the present date of what has actually passed out from the Treasury, and they would also give us an estimate of what is likely to go out before 31st March, we should be able to understand the situation better. The Treasury could give that figure. If the hon. Member has not got the information at the present moment, will he undertake that before the debate goes very much further he will get it from the Treasury?

I will undertake that I will see whether the figures can be given, but it assumes that we know absolutely how soon, for instance, a railway company will complete a certain amount of work—[ Interruption. ] At any rate, we will look into the matter with the Treasury before the end of the debate, and if I am wrong and the figures can be given, they shall be given. More than that I cannot say. Relating to a total expenditure of nearly £136,000,000, the number of man-years involved, on the basis of 4,000 men employed, direct or indirect, for each £1,000,000 of expenditure, is 500,000 man-years, or over 150,000,000 days of work. For the purposes of hon. and right hon. Members below the Gangway opposite, it will be necessary, on the basis of their own figures, to add 25 per cent. to the more moderate figure which I have given on behalf of the Government. It must be remembered that the previous Government adopted a slowing-down policy. Therefore we had to start largely from zero. We inevitably had to spend a few months in preparation. In the programme which I have indicated as to the approval of schemes involving £136,000,000, it should not be assumed that in all cases they will take five years to complete. We are trying to compress all we can. To have achieved so much within a year of effective work is not a matter over which we need hang our heads, but it is far and away a greater achievement than any other Government in this country, or probably any other Government working in the circumstances that this Government is working, has achieved.

We are still going on, and we are still perfectly willing to give favourable consideration to economic schemes which can be usefully assisted by State funds, and encouraged. Clearly, a policy merely confined to the institution of works of economic development would not be adequate and could not possibly be complete. Therefore, the Government must pursue every available avenue having as its object the promotion of industrial efficiency and industrial reorganisation. Moreover, the limit of the possible catching up of post-War arrears is bound to be reached as the years go on and, in my judgment, although the work of economic reconstruction may not be as quick or in some respects as dramatic, it is more lasting in its importance, even though temporarily it may intensify the situation so far as concerns the numbers of unemployed with whom we are faced at the present time. I would mention the Coal Mines Act which was passed by the Government on the initiative of the President of the Board of Trade. The reorganisation of that industry presented complex problems in every direction, and problems which have not been faced by any previous Administration. We faced the problem of the coal industry in our first Session, and we are going forward as rapidly and as energetically as possible with the reorganisation of that industry.

Will the Minister tell us how many more miners are employed as the result of that Act?

The hon. Member must know that that question is quite unreasonable. What I have said is that we have passed an Act for the reorganisation of the coal industry, and I have said that, taking the long view, that was even more important than relief work, although it may temporarily intensify the unemployment situation. To come along with a query as to how many more miners are at work is quite outside the question. The House will remember that just before the Election there was a newspaper agitation in connection with 20-ton wagons. In accordance with the definite recommendations of the Committee on Mineral Transport we have gone very thoroughly into that matter and, although the railway companies, the mining undertakings and the iron and steel concerns had their own difficulties to put before us, we did the best we could to persuade these various elements in industry to co-operate. We have now agreed upon a scheme with the railway companies, the Mining Association and the iron and steel people whereby the railway companies will be assisted under the Development Act to recondition certain of the terminals not only on their own undertakings but on the undertakings of the mineowners and the iron and steel concerns. They will finance the business out of their own resources, aided by grants under the Development Act. The benefits that the railway companies get from the Development Act will be passed on to the industrialists at the coal mines and the iron and steel undertakings. We cannot say what response these industries will make to this new arrangement, but it was the best possible arrangement that we could make with the various interests concerned, and it indicates that the Government are very anxious to push on with the development of the 20-ton wagon which, in the long run, will be an advantage not only to transport but to coal mining and other industries.

Only in so far as the railway companies are assisted with respect to interest charges under Part I of the Development Act.

Can the hon. Member say whether the maintenance of wage conditions is to be a condition of these further grants to the railway companies?

I am afraid that is not the way to get things done quickly. I assure my hon. Friend, who repeatedly brings this matter forward, and I am not complaining at all, that if we tried to control to that extent the undertakings which are being assisted, our prospect of schemes involving £136,000,000 would be nearer £6,000,000, and the remaining £130,000,000 would be knocked out. I am afraid that in the existing organisation of society we do not get as far as that. The cotton inquiry has been conducted. The report has been published, and the Government are in continuous and close contact and consultation with the industry upon the basis of the report. We are trying to deal with all these industries on the basis of helpfulness and mutual co-operation. It must not be assumed that nothing is being done because Bills on the subject are not before this House. The same observations apply to the iron and steel industry, and the President of the Board of Trade will be able to give more information on the matter later on. As the House knows, the Bankers Industrial Development Company has been floated by the banks for the purpose of assisting financial reorganisation. The House is familiar with the steps taken to secure the building of a Cunard ship, or ships. The Treasury has given attention to monetary conditions and its policy in connection with the Floating Debt and Conversion Loans will free a good deal of money for the use of ordinary private industry. The Chancellor of the Exchequer attaches importance to his policy in this direction.

The Government have not forgotten the export trade, which is bound to be of importance. There is a school of thought which takes the view that we are beaten in the export field, and that it does not matter in any case. I do not agree; we must further our export trade as far as we can. The Government have organised the Overseas Trade Development Council, and trade commissions have been sent to South Africa. An important mission, including the cotton sub-mission, have gone to Japan and China. Trade investigations overseas for particular industries are also proceeding, and the Master Cutler of Sheffield has gone on a mission to South America. [ Interruption. ] These jeers really are preposterous. These are definite and real, constructive efforts to improve our foreign trade market, and when the Government are endeavouring to provide openings for British goods in overseas markets, all that the patriotic party opposite can do is to pour scorn upon it. Moreover, a mission in connection with the boot and shoe industry is making investigations in Northern Europe. We are co-operating in the British Empire Trade Exhibition to be held at Buenos Aires in 1931, while 14 additional trade commissionerships have been created or restored for the furtherance of British trade. Export credits, which began in 1926, have reached a total value of £5,661,000 for the 12 months ending 31st March, 1930, and for the last six months ending 30th September of this year the figure is almost equal to the figure for the whole of last year, namely, £5,041,000.

Now I come to electricity. The Central Electricity Board has been urged to press forward with the erection of the national grid and has responded, and we are encouraging 600 local authority undertakings to go forward with various schemes. We are assisting the standardisation of frequency on the North-east coast. The scheme has one or two purposes, first of all, to enable the Northeast of England to be linked up with the rest of Great Britain, and, in the second place, to standardise equipment and also to reduce the separate units of plant which manufacturers in Great Britain have to manufacture. I attach great importance to the scheme which has gone forward on the North-east coast. I should like the House to be familiar with what is happening in electrical development. The eight schemes prepared by the Electricity Commissioners and adopted by the Electricity Board cover now all England and Wales and also central Scotland. They cover 63,000 square miles, or no less than 72 per cent. of the total territory, while the population covered by the grid schemes of the Central Electricity Board is 41,200,000, or over 97 per cent. of the entire population. All that has been done since the passing of the Electricity Supply Act, 1926, which has been encouraged with great vigour by the present Government. I am not going to decry the establishment of the Central Electricity Board in 1926. To me it has impressed itself as so valuable an institution that I am following it to some extent in connection with London traffic, and I hope that I shall have the enthusiastic support of hon. Members opposite.

Up to the end of 1929, the Central Board had placed contracts for £12,000,000. During 1930 it placed contracts to the extent of £7,500,000 on account of the grid and £3,500,000 for standardisation, making £11,000,000 for 1930 and a total of £23,000,000 altogether. The House will be interested to know that to-day 400 miles of main transmission lines are in operation, that a further 500 miles are being constructed, or are under construction, and that further sections will be brought into operation at an early date. We have communicated with the 600 supply undertakings and local authorities in the various districts. It is, perhaps, a misfortune that our electricity supply grew up on the basis of local geographical areas as far as distribution is concerned. The late Lord Privy Seal and myself met the representatives of the supply undertakings soon after the Government came into office, and urged upon them that this industry was so prosperous that it was legitimate to anticipate the demands of the consumer in the future. I am pleased to say that some response was secured.

We followed that up by a circular sent out to each undertaking by the Electricity Commissioners asking them to go forward with the laying of mains for the improvement and efficiency of their undertaking and in order to provide employment. In order that that effort should be followed up, I have arranged for a conference or conferences with the various electricity supply undertakings to discuss with them the ways in which they can forward still more the development of electricity supply. We are particularly keen that supply undertakings shall pursue a progressive policy. Local supply undertakings vary enormously. Some company undertakings are progressive; others are the reverse. Municipal undertakings on the whole are progressive, but there are some of them who are not as progressive as they might be. If we are to make electricity universally available, supply undertakings must adopt schemes of assisted wiring, hire and hire-purchase of equipment, and popular tariffs, which will encourage the use of electricity for all classes of domestic supply. The Electricity Commissioners appointed two committees to deal with these subjects, and their reports have been circulated to the whole of the industry. It can now be said that generation and main transmission are under substantial national control. The same cannot be said of the 600 supply undertakings, which are under local control, and all that we can do with them under existing legislation is to encourage them to go forward in every possible way.

The right hon. Gentleman referred to housing, and I have no doubt that information on that point will be available from the Minister of Health if it is desired. The agricultural legislation now before the House is calculated to absorb an additional number of persons into the agricultural industry, and every effort will be made to settle unemployed persons in smallholdings and by the promotion of organised markets to add to the prosperity of British agriculture in the interests of the unemployed. The Minister of Labour is developing and reorganising the Employment Exchanges in order to deal with the needs of special industries where necessary, and develop schemes for the training not only of men and women but of boys and girls as well. As far as the position of the unemployed is concerned, we are going to see that the legislation of this Government will improve the condition of those who remain unemployed, beyond the point at which it would have been if the Conservative party had remained in office. They were doing all they could to knock people off benefit. We have no desire to encourage abuses—[ Interruption ]—certainly not, but we have seen to it that people are not improperly deprived of benefit, and we have insisted that the unemployed shall receive justice and humanity from the State.

6.0 p.m.

To summarise what I have said, we have provided emergency works equal to employment for 500,000 man-years, we have encouraged the technical development of industry and pushed forward the readjustment of the balance of British economic life as between industry and agriculture. The ultimate test of this work will be the position in which British industry comes out from the present industrial depression; and we believe that as a result of these activities we shall come out of this depression better than would otherwise have been the case. There is one announcement I must make. The latest Liberal proposal for dealing with unemployment includes a proposal for the establishment of a body to investigate regional town-planning schemes, and it is urged that these works would probably employ 150,000 men at an early date. Subsequently, as the right hon. Member for Carnarvon (Mr. Lloyd George) knows, it was urged that a national development board should be established to carry through these schemes. There is disagreement between various experts as to whether it would be wise to establish a national board with executive powers and replace local authorities and town-planning and regional-planning committees. The Government policy so far has been not to disturb the duties and responsibilities of local self-government, and the House will see that the appointment of an executive body on regional development would be inconsistent with the policy of the Government in working through local self-government and using them as partners and agents of the central Government at Whitehall. Bearing in mind all these considerations, the Government have thought that the proper course to adopt is to set up a body composed of recognised experts in the main classes of works which arise under town planning, as, for instance, roads, garden cities, satellite towns, general public works, land valuation, etc., together with some leading representative men in local government. It is not proposed that State officials or politicians as such should serve upon this committee. It will be rather of a technical and expert character and not committed, so far as this House is concerned, to the points of controversy I have mentioned. We propose to attach to this body as assessors expert representatives of the Government Departments concerned. They will be there, not as members of the committee, but as assessors to give the committee whatever information or guidance the committee may wish to obtain. The terms of reference of this body which we propose immediately to set up will be to consider the reports issued by the regional planning committees, many of which are of course in existence, or in process of being set up under existing legislation, and to recommend ( a ) what schemes of work can be put in hand, with due regard to the return to the community from the expenditure incurred, the need of pressing forward with the work as expeditiously as possible, and of avoiding the delay of other works now being or shortly to be executed, and ( b ) what measures should be taken in order to secure that the works shall be speedily carried out, with an estimate of the probable cost of the several schemes, the economic return, and the amount of employment likely to be afforded by them. Immediately that report is received, considerable elements of policy will, obviously, arise, which we shall all have to consider and upon which the Government will come to the necessary conclusions.

I cannot say exactly, but I think that the right hon. Gentleman may take it, that immediate steps are being taken to appoint this committee, and to get it actively engaged upon its work. The names cannot be given at the present time.

I am sorry that I have kept the House for some time, but it was fair to the Government, and fair to the House that a comprehensive and, I hope, intelligible view of the whole range of Government policy should be given, and I think if hon. Members will endeavour to examine that statement with fairness and impartiality they will see that this Government has really been very active, very comprehensive, and also very detailed in its examination of and its action upon this problem. I know that, inevitably, the unemployment question, as things are, is bound to be a party issue, and hon. and right hon. Gentlemen opposite may say that when my hon. Friends were in Opposition it was a party issue then. We must not be unduly sensitive as to the attacks which take place, but I ask the House to recognise that we have not been asleep upon this question. We have been continually active upon it and we are not going to sleep, as the last announcement which I have made indicates.

But may I appeal to the House in this sense? There is a great danger, perhaps the greatest of our dangers, that British industrialists, employers, and, to some extent, workmen, may become victims of a sense of hopelessness and depression, and of what we call economic or industrial defeatism. I hope that hon. Members opposite will not try to encourage that view. I hope that they will not rejoice in it, because if our people psychologically collapse, if they spiritually collapse, in these difficulties that is, indeed, worse than the economic collapse itself or the economic difficulties. What the leaders of industry need to-day, what our working people need to-day, and what the politicians need to-day, is a spirit of hope and determination and the refusal to go up and down the country, saying that our country is whacked, that we are going down the hill, and that there is no hope for us. I would appeal to all parties in the House to try—and I know how difficult it is to try—to examine this problem free from what I may call the lower element, the mere scoring in party debates, but to examine it determined to do their duty by the country and the people we all love, determined, above all, to try to lead our people onward with courage, and with the determination that British industry shall go forward and shall revive, and shall in the future, as in the past, play a great part in the economic life of the world.

There is only one part of the speech of the hon. Gentleman with which we on this side feel disposed to agree, and that is the passage in which he pointed out that the Government have been very active during the last 18 months in developing the Employment Exchange industry. For the rest of it, to what does the hon. Gentleman's speech amount? The Master Cutler has gone to South America; the Master Bootmaker has gone to North Europe; a trade commission has gone somewhere else; a few schemes have been approved, about which the hon. Gentleman was unable to give any accurate figures, either as to the amount which has been spent, or as to the amount of fresh workers absorbed into employment. I think we can say with truth on this side of the House that we have heard many dismal speeches on unemployment, particularly during the last two years, but we have never heard a more barren, a more hopeless effort than the speech of the hon. Gentleman, a speech which was, if I may say so, quite unworthy of him. But I suppose if you allow the Civil Service to settle your policy, you have to allow the Civil Service to settle your speeches as well, because I am certain that the hon. Gentleman, if he used his own intelligence, would never have concocted a speech of that character.

Will the hon. Member forgive me for saying that I resent his cool assumption, that I cannot prepare my own speeches, and that they are prepared by the Civil Service? The notes of that speech were dictated by myself this morning. I am just as capable of making my own speeches without professional assistance as some hon. Gentlemen opposite, and perhaps more capable.

The hon. Gentleman opened his speech by pointing out that he was speaking for a number of different Departments, and that he could not answer as to details, because he did not know the details of the different subjects with which he was dealing, and when he came to important passages in the speech, in which he had to quote figures, he read them meticulously from the typewritten sheets lying before him. However, I was only trying to excuse the hon. Gentleman by saying that he could never have made a speech of that kind himself.

I think, perhaps, I was unfair, and I would like to withdraw what I have said. But one question which I would put to the right hon. Gentleman the Member for Carnarvon Boroughs (Mr. Lloyd George) is: What is he going to do after that speech? Is he going to keep them in? I do not think there is a single peg in the whole of the Minister's speech from the first word to the last upon which the right hon. Gentleman can possibly hang a justification for any further action to retain the present Government in office as far as this question of unemployment is concerned. The Minister gave certain estimated figures with regard to work schemes, and quoted at great length from the operations of the Electricity Board. I agree that these have been good up to a certain point, but only up to a point, and I would draw attention to the fact that the North of Scotland is worse served as regards electricity than any other substantial district in the whole of Europe. There is not a town of small size or even of reasonable size there supplied with electricity from a central source, and the state of electrical development in the North of Scotland is something of a scandal at the present time.

But it was not merely these schemes about which the hon. Gentleman was unable to give accurate figures. It was not merely in regard to schemes of this kind, and in regard to the short-term policy by which it is hoped to pull the country out of the difficulties through which we are now passing, that the hon. Gentleman failed to give us information. The hon. Gentleman, in fact, in one passage in his speech said that we had to restore a measure of prosperity to the basic industries and to get those people, who are now unemployed, back to work at their own jobs. But as to how he or the Government propose to do that, he did not offer the faintest suggestion of an idea. He pointed out, not for the first time, that we were undergoing a world depression, and he rightly attributed that depression primarily to the continuous fall in commodity prices. Everybody knows that that fall is due, to some extent, to monetary causes which are perfectly plain. We have asked the Chancellor of the Exchequer, not once but repeatedly, whether the Government propose to take any action, international or otherwise, to check the fall in commodity prices. For the last six months the Chancellor of the Exchequer has treated questions of that kind almost as an affront. For a long time he fobbed us off with the excuse that he was waiting for the report of the Macmillan Committee, but when the hon. Member for East Leicester (Mr. Wise) asked him whether he would take any steps to hasten the report of that committee, the Chancellor of the Exchequer turned on the hon. Member and gave him a sharp reply, and said he would certainly do no such thing. That is the only answer that has been made to the request that the work of the Macmillan Committee should be expedited. Now the Chancellor of the Exchequer has changed to another of those committees which sit at Geneva and which achieve so little.

We have every right to press the Government on this point and to ask whether the Chancellor of the Exchequer has in mind any action, either international or on the part of this country alone, designed to check the disastrous fall in world commodity prices due very largely to the policy of certain central banks in hoarding gold. That position is worse to-day than it has ever been, and during the last fortnight it has been almost disastrous, and we are entitled to know whether the Chancellor of the Exchequer proposes to take any steps, or whether in fact he has any ideas whatever upon the matter. There is another subject which is of the greatest importance to this country, and that is the enormous trade disturbance due to these great international transactions in money, either in the form of reparations or of debt due from one country to another. [HON. MEMBERS: "Oh!"] The right hon. Gentleman the Chancellor of the Exchequer did not assist matters very much in that respect at The Hague, but I would like to ask whether he or the Government have considered the holding of an international conference to reconsider this question, because there is no other single cause which is so disturbing to international trade.

There is a third financial point, and that is the dead-weight of internal debt, the £8,000,000,000 of internal debt which we have to repay and which is a very heavy drain on industry, involving a great transfer every year from the producer to the rentier class, from the active end to the more passive end, if I may put it in that way. This is a great drag upon industry. What is the only remedy for it unless you are to go in for a policy of repudiation—which the right hon. Gentleman does not suggest? The only other remedy is conversion, and the Minister of Transport had actually the effrontery to say that the Chancellor of the Exchequer was pursuing a conversion policy. What does that mean? He had one magnificent opportunity of carrying out a conversion scheme on an enormous scale when money was cheap just before the last Budget. He lost that opportunity, and he has lost it for ever, and if hon. Members consult any responsible financial authorities in the City, or industrialists throughout the country, they will find that the chief reason was the psychological effect of putting another 6d. at that time on the Income Tax. Anybody will tell you that after that a conversion scheme of the kind which had been anticipated, that might have relieved the taxpayers of an immense burden, was absolutely impossible. In the face of that fact, how can the right hon. Gentleman the Chancellor of the Exchequer claim, through the mouth of the Minister of Transport, to have been pursuing what he called a conversion policy?

Take the question, which the Minister of Transport ignored altogether, of the enormous burden of direct taxation upon industry at the present time, and the psychological effect of that burden on trade and industry. How can he make appeals to hon. Members on this side not to dispirit industry, and how can he appeal to industry to pull itself together and to march forward with confidence, when not only was the burden of direct taxation increased by £40,000,000 in the last Budget, but, so far as one can see, so far as industry at any rate can see, it will be absolutely impossible not still further to increase those burdens when the next Budget comes to be introduced? It is that more than anything else that is undermining confidence in British industry and in the future of industry in this country altogether, and the right hon. Gentleman knows that perfectly well. So long as he pursues this financial policy and goes on increasing purely unproductive expenditure, so long as he goes on piling direct taxation on to industry, he may claim that it is the right policy to pursue, but do not let him come down to this House of Commons with all this cant about providing confidence in the future of British industry, because that simply will not wash.

Why should British industry have any confidence? Does he think the revenue from direct taxation is going to expand? If the Chancellor of the Exchequer makes an honest estimate next year, he will have to cut down the revenue that he expects to receive from direct taxation by £25,000,000 or £30,000,000, or more, because he will have to estimate it on the profits which have been made in the previous year, and, as hon. Members know, the profits which are being made now are negligible and in many cases hardly exist at all. At present we are working on the basis of profits made last year, which is a very different thing. Again, with regard to the causes of the present trouble, I do not want to drag in the red herring of Protection, but it is a fact—and hon. and right hon. Members opposite know it, and more and more do the trade unions know it—that under present conditions this country is the dumping-ground for the surplus products of every important manufacturing country in the world. What has been the contribution of the present Government? What has been their effort in this connection to restore confidence in British industry? It has been not only to afford it no greater protection than it has now got, but to take away from it all the protection, or all that they could possibly manage to take away, that it has been given during the last three or four years. Is that calculated to restore the confidence of British industry? It certainly is not.

You get speeches like that which has been delivered by the hon. Member for Smethwick (Sir O. Mosley), analysing the present world situation, and proving conclusively that there is practically no hope for a revival of British industry, or for an expansion of the home market for our own goods unless and until you do something to insulate, as he calls it, or to protect, as we prefer to call it, the home market from the shocks of the disorganised world competition which exists to-day and which is quite different from anything with which we had to compete prior to the War. The hon. Gentleman the Minister of Transport attached great importance to foreign markets and said that he did not think we could depend in future solely on the home market to restore some measure of prosperity to British industry.

We are entitled, I think, therefore, to ask the Government how they contributed to an extension of our foreign markets within the Empire at the Imperial Conference. What did they do to restore confidence in British industry? The hon. Gentleman knows perfectly well that it is the only chance which we have of extending our foreign markets. It may not be a very good one, but we have no chance of extending them anywhere else. Our share, our proportion, of the world's foreign trade elsewhere has gone steadily down for the last 10 years, and there is no apparent reason why it should not continue to go down, but, on the other hand, in striking contrast, our export trade with the Empire has in fact steadily risen. It affords the only, and, of course, infinitely the best, hope of a revival in our export trade. The contribution of the Government was to smash the Imperial Conference upon its economic side, and that is all that they have done to extend our foreign trade.

The hon. Gentleman talked about agriculture. He wants to settle smallholders on the land; he wants to create a lot of allotments. What on earth is the use of sending people on to the land when you have created for them conditions, long-standing conditions, under which it is impossible for them to make a living out of the land? The difficulty at the present time is to stop people leaving the countryside. The hon. Gentleman knows that farmers all over England and Scotland are now, under severe pressure, remorselessly turning their land down to grass. What is the result? Every week and every day there is a drift of workers from the countryside to swell the volume of unemployment in the towns. The problem of agriculture is first and last a problem of prices. It is nothing else, and what is the use of passing a great and elaborate Bill to settle more people on the land, when you are at the present time having the very greatest difficulty in trying to persuade those who are already on the land to stay there, because they cannot make a living out of it? Until and unless you can give the farmer, the market gardener, or the smallholder a chance to cover his costs of production, you will never be able to solve the agricultural problem or substantially to alleviate the problem of unemployment.

Finally, when it comes to unemployment insurance and the actual handling of that problem, I noticed that the Minister of Transport kept well clear of that question, but the fund is running into debt at the moment to the tune of over £40,000,000 a year. Who is going to pay that? What has been the contribution of the Government so far as the actual handling of the unemployed themselves are concerned? How have they restored confidence in British industry along that line? They continue to allow the fund to run into debt, and three times they have come down to the House of Commons to ask for power to increase the borrowing powers of the fund; and now they have chucked the whole thing over to a Royal Commission—about the twentieth committee of inquiry, of one kind or another, that they have set up since they came into office. They have in fact abrogated the whole power of Government, and now the Minister comes down here, in that concluding passage of his speech, and takes great pride to himself in having set up yet another committee.

If ever the Government find themselves up against a difficulty, they do nothing for about six or seven weeks, and then they say, with pride and triumph, as if it were a substantial achievement, that they are going to set up a committee. We have had a committee on the cotton trade. That has reported, but nothing so far has happened about it. We have had a committee on the steel trade, and we have had a committee on my own friend, the fishing industry, but nothing has happened there either; that committee has been sitting for months. It is not surprising, in view of these facts, which cannot be disputed, that there is a lack of confidence in the future of British industry, and I think that that is the chief cause of the trouble at the present time.

The Government appear completely to fail to realise the gravity of the emergency at the present time. The hon. Gentleman seemed quite pleased—in fact, he indulged in a bit of what I should describe as fatuous optimism—about the future, for which I see no ground whatsoever. He said it was confidently anticipated that when the end of the slump came we should emerge better than any other country in the world, but what grounds has he for making that statement? What grounds has he indeed for any optimism whatsoever? Is it not a fact that the unemployment figures are rising week by week? Is it not a fact that industrial depression is deepening week by week? Is it not a fact that the financial situation is getting worse week by week?

The hon. Gentleman is unable to give a single factor in the situation which would lead anyone to suppose that there is going in the near future to be a lightening of the situation, and I want to ask if he and the Government are satisfied with the machinery that they have to operate in this crisis, for it is nothing less than a crisis. Are they satisfied with the existing administrative machinery? Do they think the organisation of the Government and of the Cabinet is adequate to meet the present situation? The troubles, the problems, are not spiritual, as the hon. Gentleman suggested at the conclusion of his speech. They are not metaphysical, like religious problems; they are practical, physical problems of economics which have to be grappled with. Is the hon. Gentleman quite satisfied that he has the best machinery to deal with these problems, that the Government have the best economic advice at their disposal? Is the organisation of the administrative machine adequate to suit the needs of the day? I confess I doubt it, but we have had no proposals from the Government in that respect to meet what is admitted to be a grave defect in our present machinery. Are the Government entirely satisfied with the legislative machine that they have to operate now? Are they completely satisfied with the machinery that they have to handle the immediate economic problems inside the House of Commons?

It is stupid to pretend at the present moment that the pull, the tug, as between organised labour—the trade unions—on the one side and the employers on the other has come to an end, as the hon. Gentleman seemed to imagine in his speech. That tug is not at an end; it is going on. It is holding up many things in this country, and some of us on this side are frightened that, unless you have far more drastic action to deal with the problem, and to get to the roots of the problem, you will be faced next year with a series of wage struggles which will precipitate a crisis perhaps greater than we have ever experienced in this country. I think that is obvious. We, on this side, claim with absolute sincerity that a policy of Protection would eliminate and obviate the necessity for any grave struggle of that kind, and we are perfectly ready—

As an anxious inquirer, I want to hear the reason that leads the hon. Member to believe that better wages will be assured to the workers when we have Protection?

This is an hour's speech; it is one of my favourite topics, and if the hon. Member will arrange to meet me in a quarter of an hour, I will enlarge upon it, but I do not think I could go into the whole question of Protection and Free Trade at this moment. What I have said is that we believe—[ Interruption. ] Perhaps the hon. Member for West Wolverhampton (Mr. W. J. Brown), or the hon. Member for Smethwick, or the hon. Member for the Aston Division of Birmingham (Mr. Strachey) might equally oblige. I am pointing out that that tug between employers and employed does exist in this country. There is an awful lot of talk in this House about co-operation between employers and employed. That co-operation is more desirable perhaps than anything else in this country, and indeed upon it, I think, depends the survival of British industry, but I do not think it is much use talking about co-operation in industry when we make not the slightest attempt to achieve co-operation of any sort or kind in politics, when, on the other hand, almost everything is done to fan the flames of the most bitter party strife that this country has ever known. One is not even able to give a dinner party at the present moment! Meanwhile, there are the "footlers" in a row on the Treasury Bench.

There might be some hon. Members so irreverent as to add, with regard to the Front Bench below the Gangway, "And there as well!" The right hon. Gentleman certainly described the Government, which he is now keeping in office week by week, as "footlers," and there they sit. Meanwhile, the country goes on sinking slowly into the grip of a severe economic and industrial depression. You may get a lift in the world situation, I admit, but, on the other hand, you may not, and there are certainly no indications of a lift at the present time. That being the case, and if we go on as we are now, I believe that the country will take things into its own hands, as it did once before, in 1916, when it was faced with a grave emergency. This country often takes a long time before it realises what it is up against when a crisis comes and when it is really faced with a serious situation. When it realised in 1916 what it was up against it took the situaton in hand, and I believe that the country, if things go on as they are going at present, will say, "This is not a time for interminable days and nights of jaw about an Education Bill, which may or may not come into operation in 1932. How is that going to affect the immediate economic situation? Put a stop to all this bargaining about the Alternative Vote in 1932 or 1933. We do not want any of these bargainings or Bills which do not deal immediately with the crisis." I believe that the country will say that, and say it before it is too late; and I hope that, when they do say it, they will get a Government which will face up to the realities of the situation, which the Minister has not attempted to do in a single word of his speech, and, above all, a Government that will not be afraid to govern.

This is the eighth debate on unemployment that has taken place in the House since the present Government took office, and this debate so far has been characterised by the same complete lack of reality as has marked the six or seven earlier debates that we have had upon the subject. The speech of the Minister of Transport makes one thing perfectly plain; there is not in sight any policy for dealing with unemployment sufficiently comprehensive to cope with more than the fringes of the problem with which we are confronted.

He showed that the State has sanctioned schemes to a capital value of £135,000,000, and he gave an estimate that a total number of 200,000 persons might be in employment to-day as a result of those schemes. I have heard that figure of £135,000,000 before, and I have always found it extraordinarily difficult to get any clear idea as to the period that it will cover. I have asked questions publicly about it, and I have asked them privately, but I can get no estimate as to whether it is to cover a period of one year or five years. I do not in the least understand the hesitation of the Minister of Transport in producing the figure asked for by the right hon. Member for Carnarvon Boroughs (Mr. Lloyd George). The Treasury must know how much money it has issued this year or last year under these schemes. That amount, if multiplied by 4,000 or 5,000, will give a more favourable figure than would actually be the case, because at least some of the money which has been passed out under these schemes has not been spent. The demand, therefore, for the production of the figure of expenditure so far, which is to be multiplied by 4,000 or 5,000, as the case may be, is a reasonable demand, and the figures resulting from it will give, if anything, a rosier aspect to the numbers of men who have been found work than is really the case.

Let us suppose that there is no difficulty under that head, and that there are, in fact, 200,000 persons now at work upon Government schemes. That figure represents one-sixth of the number of unemployed when we took Office. It represents also one-fifth of the number of persons who have lost their jobs while we have been in office. Clearly, unless there is in contemplation some infinitely more far-reaching scheme or programme than we have heard about to-night, the whole of what has been said does no more than touch the fringe of the problem of unemployment.

The second point I wish to make is that so far as the short-term policy is concerned we are compelled, under present Government intentions, to rely in the main upon the policy of the municipalities in carrying through that programme. The hon. Member who spoke first in the debate urged strongly that it was not enough to wait upon the local government authorities, but that we should endeavour to short circuit the tremendous delay which attaches to proceeding through that avenue. The reply of the Minister of Transport was that the transfer to the State of municipal burdens does not appeal to him, (although it used to do so in his local government days) and that we ought to beware of people who want to do well out of the State, and be exceedingly cautious as to how far Whitehall takes over functions which are proper to municipalities, and so on.

The net effect of that massive attitude of invincible caution is that we are conditioned to the pace of the municipalities. The municipalities may be divided into two parts: the rich municipalities, which are almost invariably Tory, and the poor municipalities, which are not so invariably Labour. In the rich Tory boroughs, we cannot get ahead because of the political complexion of the governing authority. In the poor Labour boroughs, we cannot get ahead because many of them are so destitute that they cannot face the increase in rates involved, even allowing for the contribution which is made from the national Exchequer. If the Government contemplate continuing to proceed through that channel, and are unwilling to attempt to short-circuit the local government authorities, then even with a much more comprehensive programme than we have heard about to-day, the pace at which we are to achieve that programme would be probably very much the same as the pace at which we are proceeding now.

Municipal machinery is inadequate for dealing with the situation, and however much we try to shelter ourselves from the responsibility of facing that situation by referring to the undesirability of Whitehall taking on burdens which are proper to the municipalities, we have to take the consequence of our refusal, which is a continuation of the crawling pace at which we are now proceeding. Even on the narrowest of narrow political grounds, the Government ought not to be content to acquiesce in that situation. The Slum Clearance Bill of the Minister of Health, which is capable of yielding a tremendous return, even in party capital, will accrue not to this party, but to its successors, because of the enormous period of time that will be required in working through municipal machinery to get the maximum effort made under that Bill. I should like publicly to support the demand that the Government should review their position in regard to the municipal authorities, and see whether they cannot take steps to circumvent the delays which exist in that machinery.

The next point I should like to make is that, if the Government could be persuaded to embark upon a much more extensive programme than we have so far heard about, it would then be faced with another difficulty; that is, the complete inadequacy of present Parliamentary institutions to cope with economic crises in this country. This machine was not built for handling economic crises. It was built primarily to deal with political issues. With its cumberous procedure and its seventeenth century forms, it might be adequate for dealing with the kind of political issue that arose when this country was a relatively simply organised agricultural community, but it becomes hopelessly inadequate for the economic problems thrown up by a highly-organised industrial State, especially when that State enters upon a period of decline. Recently some of us on this side issued a document in which we ventured to offer some contributions to political thought on the problem of unemployment, and one of the suggestions which we threw out was that this machinery was in need of overhauling in two respects. The first was that we ought to have somebody definitely responsible for unemployment. Nobody is responsible for it now. [HON. MEMBERS: "The Prime Minister!"] No. A little time ago we had a Lord Privy Seal who was responsible, and who bore upon his shoulders the sins of us all. When that system was abolished, the Prime Minister announced that he would be answerable, but he has since made it perfectly clear that we have to address questions about trade to the President of the Board of Trade, about labour to the Minister of Labour, and so forth, so that we have again departmentalised the treatment of the unemployment problem.

The other suggestion we made was that this House, so long as it continues to be a place which concerns itself not merely with general principles, but with every Clause, every line, and every word of every Bill that is introduced, cannot expect to cope with the kind of problem that a declining capitalism is throwing up. We have been attacked for saying that. The words "Mussolini" and "Dictator" have been hissed at my hon. Friend the Member for Smethwick (Sir O. Mosley), and the wit of the Smoking Room has for the last week been busy on that problem. I have heard it suggested that the Council of Five whom we suggest should be set up should con- sist of "Sir Oswald Mosley, Mr. Mosley, Comrade Mosley, Tom Mosley and the Member for Smethwick." An exceedingly witty observation, but this kind of problem demands a better answer than the exercise of wit. If it were the case that my hon. Friend possessed such diverse and interesting qualities as to necessitate the application of five titles to him, his claim for the job would be very much stronger than the claim of some of his critics.

A more serious answer than that is required. No trade union executive could carry out the work of its union with the annual conference in permanent session. No board of directors could carry out their job with a shareholders' meeting in permanent session. In trade union and in business practice we use the small assembly for executive work and the large assembly for control of principles. Even if we had in this House a Government of all the talents, a Government prepared to produce programmes commensurate with what the situation demands, it would, with our present Parliamentary machine, take 10 years to force through work that ought to be done in six months.

I agree with the hon. Member who preceded me that there is emerging out from this unemployment situation something which transcends it in importance, and that is the future of Parliamentary democracy in this country. I am a very young Member of this House, but I have listened with great attention to the debates since becoming a Member, and I have come to the conclusion that the complete unreality of politics to-day, the complete lack of relationship between what we talk about here and what exists outside, is traceable to the circumstance that no party, when in power, applies the remedy which it has advocated when in opposition. That is true of both sides of this House. When we are attacked on the ground of being dictators or aspiring to dictatorship—of being anti-democratic—that fact assumes that the present situation is democratic. Is it? If there is one thing that democracy in this country passionately wants, if there is one thing it has voted for over and over again, it is a radical treatment of the unemployment problem; if there is one thing to which the Liberal party owes its strength on those benches, and we owe our strength on these benches, it is the promise that unemployment would be radically handled. There is no doubt about the desire of democracy to have the unemployment situation properly handled, and if people cry "Dictator" and "Mussolini" when somebody commits the unpardonable offence of suggesting that we should get a move on, I warn them that such an answer will carry no conviction in the country.

The mood of the country outside is one of almost complete disillusionment about party politics. The country is willing to respond to anybody who will get a move on. Ridicule was poured upon us because we suggested that five Ministers without portfolio should be made responsible for unemployment and the functions of Parliament be somewhat modified to preserve it as an institution of general principles, but relieved of detailed work. It was assumed that the cry of "dictatorship" would kill us in the country. As a matter of fact, you may take it from me that that part of the so-called Mosley Memorandum is about the most popular thing in it, because it answers the growing mood of the country, the mood which says, "We are tired of hearing last year's speeches from these benches answered with last year's speeches from those benches; tired of hearing this year's speeches here answered by speeches made by the same people two years ago when they sat there." The country is tired; and I want to say this, that if there is nothing for this country to look forward to but—

Will the hon. Member excuse my interruption; this is an extremely important point. Can my hon. Friend tell me on behalf of his party how he intends to obtain the dictatorship? Does he intend to get it in this House, or does he intend to go to a General Election or does he intend to use force?

That question of how I propose to get a dictatorship will be in order when I propose one. That has not yet been proposed. What has been proposed is a sensible modification of our Parliamentary machine. The demand for dictatorships does not arise until the failure of the existing machinery becomes apparent. The people who are most responsible for the growth of the demand for dictatorships are precisely those people who will not face up to the necessity of making the existing machinery do the Work. When the Russian Revolution took place in 1917, it was said from one end of this country to the other that it served them right, because if they had had sense enough to provide themselves with a safety valve in the form of a democratic Parliament they need not have had that revolution. Within six years of that, we saw Italy, which had a democratic Parliamentary system, scrap it; and then we consoled ourselves with the reflection "That may be all right for those light-minded Latins, but it could not happen with sober Saxons." This year, the German elections have shown that an astonishing proportion of the sober Saxons of Germany have voted for the extinction of the democratic Parliament which they have had for only about 10 years.

If anyone in this House works upon the assumption that, regardless of the growing gap between reality and politics, we can go on indefinitely as we are doing, he misinterprets the mood of this country and misinterprets the willingness of our people. If what the future holds for us is alternating periods of ineffective Labour Governments and Tory reaction, neither party being true to their creed—[ Interruption. ] I said that I would answer the hon. Member opposite on that point. His party have two solutions for unemployment—tariffs, and the cutting-down of expenditure. They dare not apply their tariff remedy, because if they apply it to food they have to answer to the democracy of the towns, and if they do not apply it to food they have to answer the disillusionment of their country constituencies, and so they are paralysed. They cannot reduce taxation, because when they look at the Budget they find that over half the money goes to their friends, and they cannot stop that. Their whole tradition is against a sweeping reduction in armaments; and when they look at the social services, they would like to cut them down but dare not. The result is they are paralysed when they are on this side— and we suffer from a similar paralysis. Let us be honest about it. There is no more relation between our propaganda in the country and our deeds here than there is between the propaganda of hon. Members opposite in the country and their deeds here; and the result is that we have reached a stage where democratic politics are synonymous with the humbug that was talked about from these benches a few days ago, and when there is so complete a lack of relation between reality and politics that the people outside are beginning to turn cold eyes on us all.

If Parliamentary democracy breaks down in this country it will not break down because of the conscious efforts of revolutionaries—it never does. No revolution comes because of the conscious effort of revolutionaries, but because the plain man in the street has reached the conviction that whatever happens he cannot be worse off than he is, and that no real hope is to be looked for from established institutions. That is when revolution comes. The people who make it are not the revolutionaries but the people who played their happy little games of statesmanship and party politics, the people who fiddled while Rome was burning, the people who were unconscious of what has happening under their feet. Those are the men who bring about revolutions, and I say to the old men in this House—on that side and on this—that the country is getting very tired of them, and that unless something can be done to bring about some relation between politics and the desire of our people for food and employment then the responsibility for the result will rest not upon the heads of the Mosleys or the Browns or the Maxtons and the rest, but will rest upon those who were not statesmanlike enough to modify their machinery or to adapt their institutions before they perished, and who, because they would not adapt them, incurred the consequences which are always incurred when reality outstrips both our machinery and our intentions.

I have been asked to make a few remarks in the course of this debate. It has been a typical debate upon the problem of unemployment. Certainly I cannot express any surprise at the indignation of the hon. Member for West Wolverhampton (Mr. W. J. Brown) and his obvious disillusionment and disappointment with the policy and performances of His Majesty's Government, or with the speech of the Minister of Transport, which everyone who heard it must feel was an extarordinary speech in these circumstances. The hon. Member who, on behalf of the Liberal party, opened the debate on a Motion which unhappily prevents the House from taking any effective action upon the speech of the Minister of Transport, put a very strong case, and made an impassioned appeal. The Minister replied with the usual officialese, the usual jargon and platitudes which, I must say, he and his friends have found themselves very ready to learn. He gave practically no sort of satisfaction to the request of the Liberal party. He rehearsed a number of statements supplied to him by other Departments, went over again the tally of the various public works which have been set on foot, and generally gave the House the feeling that there was no real attempt to grapple with the problem; but in face of this the only proposal which the right hon. Gentleman who opened the debate has to make is that we should adjourn. That, of course, is something of an anticlimax, and I think we cannot help feeling depressed at such a conclusion to a Motion so earnestly pressed by the Liberal party.

7.0 p.m.

Usually, this is a depressing subject and discussed under depressing circumstances. The Government of the day lie under what is, no doubt, a death sentence. The date of their execution is uncertain. I am reminded of a well-known prison in the United States given over entirely to persons awaiting, amid the many delays of American justice, the execution of the capital penalty—the Sing Sing prison. These men do not know when their turn will come—whether it will be in three months, six months, or 12 months, or one month. It all depends upon what is done by their attorney—unscrupulous sometimes, ingenious and undeniably clever—who understand how to wring from the courts a respite or a new trial or some further delay. I ask myself: is not that really very suggestive of the position occupied by His Majesty's Government at the present time? Dr. Johnson has said that if a man is going to be hanged in a fortnight, it concentrates his mind wonderfully. That does not seem to have resulted in the case of the present Government. We Know that their Attorney has visited them on several occasions in their cells or departments, and he has reported to the world the results of his examination of their condition. He tells us they have gone completely to pieces, mentally and morally. He says they are merely "footling" and, with his complete command of trans-Atlantic and London slang, "toddling" and jibbering, though perhaps I am going beyond him when I say that.

That is all they are doing, but we must not be surprised when we reflect on the strain to which these unhappy men are subjected. Naturally, their Attorney wishes to make quite sure that if they have any testimentary dispositions to make, if they can do anything to help him before their hour comes, he does not miss his opportunity. Equally naturally, he is in a position to put considerable pressure upon them, and they, in their condition, are perfectly ready to hand over anything of value which they may possess or which they may be able to lay their hands upon, to stimulate his efforts to prolong an existence which has long ceased to be useful, honourable, or agreeable. But here is the real strain upon the Government. Unluckily, some of the assets of the band are not entirely in their custody. Some of the band are still at large roaming in the mountains, and they are by no means inclined to allow these gentlemen to secure a prolongation of their tenure of existence at the expense of the permanent electoral interests of their party. I venture to say that the situation is certainly depressing when a Government in this condition is called upon to face so grave a problem.

But Parliament itself and this House of Commons is also under a sentence of death. It is almost dead already. I have never seen a Parliament which lost so rapidly its resilience and vitality as this unhappy House. We have had about 20 days of these unemployment debates in the present year. I have not counted them up, but I cannot put them at very much less than 20. They have produced no results—not one of them has reached any effective conclusion at all. In fact, the only general results of the 20 days' debates have been the certainty—which I am sure will be concurred in by Members in every quarter of the House, above and below the Gangway on this side—that nothing effective will be done in the present Parliament. That is the one solid conclusion which emerges from all the debates.

Our ancestors would not have used so much Parliamentary time on a single topic in this sporadic and ineffectual manner. Undoubtedly, if there had been a subject 100 years ago which occupied so much of the nation's interest as this question of unemployment, about which so much has been said and so many suggestions and different points of view have to be explored, our ancestors would not have had a string of debates on single days taking place at odd occasions during the Session. They would have pursued the topic with continuous persistence and with resolutions, descending from the general to the particular and throwing out at each stage those who disagreed with what was proposed so as to build up the main theme of House of Commons opinion. That is how the matter would have been dealt with in the Parliaments of 100 or 150 years ago.

The attitude that this House has adopted, not only on this question of unemployment, but on the question of public economy, is one which arises from our not pursuing from day to day particular themes and insisting upon reaching some solid agreement or issue of difference. It shows, as has been observed on all sides, an element of decay in our Parliamentary system. The machinery, as the last hon. Member has truly said, though well adapted for political issues, is not adapted for the treatment of economic problems, which are the only domestic ones in this country in which people are deeply interested at present. There is no country in the world whose economic and social structure is so intricate and precarious as our own, or which is showing less mental grip at the present time of its vital affairs or sinking more rapidly in the scale of nations. There never was a time when there was less care and thought bestowed upon public affairs.

I cannot say that we have got very much enlightenment from the Liberal party. Perhaps when the right hon. Member for Carnarvon Boroughs (Mr. Lloyd George) speaks, he will add to our information. As far as we have been able to follow the policy he is now pursuing, he seems to rest himself on three propositions. His first proposition is that unemployment is a great, vital, urgent evil and danger which we have to face; the second proposition is that he has a real cure and will borrow a large sum of money and spend it on houses, roads or telephones; and the third proposition is that the Government will not look at his scheme or carry it out in any effectual manner. What is his conclusion? It is that, therefore, he will keep them in office for a year or it may be two years in order to obtain the alternative vote. Certainly this is not a very helpful contribution to the difficulties in which we all find ourselves involved. It is interesting as showing the importance which the right hon. Gentleman attaches to the alternative vote, because he obviously rates it higher than an effectual and speedy solution of the problem of unemployment. His attitude towards the Government is expressed in the old saying:

Various remedies are suggested. There are remedies put forward by the right hon. Member for Smethwick (Sir O. Mosley), who has taken up his abode in the fastnesses below the Gangway on the other side. I need scarcely say that we on this side cannot agree with his proposals for import boards and the placing in the hands of officials of the whole machinery, marvellous and intricate, by which the supplies of grain are brought to these islands and have been wrought for many years so successfully that bread is cheaper here than even in the great countries where wheat is grown. Neither could any business man or manufacturer accept Protection for industry upon the terms which those gentlemen advocate, by which industry shall be hand- cuffed at the same time as it is protected. It is a policy of Protection plus Socialism, the two hand-in-hand, which would neutralise any of the beneficial and stimulating effects to industry which might follow from a tariff and speedily lead us along that path which the great boundless, undeveloped continent of Australia has found leads, if not to disaster, at any rate to immense disappointment and contraction, and which, if it were applied to the complicated conditions of this highly artificial community here, could only lead us to measureless trouble and disaster.

There is one aspect in which I entirely agree with some of the remarks which have fallen from the hon. Gentleman opposite. I agree with him that the existing Parliamentary machinery is not adequate or adapted to cope with economic problems, and, if Parliament is not willing to devise some method by which a persistent and effectual study, with action resulting from that study, either by some subordinate body of this House or some special selection of Members from this House—unless Parliament is prepared to devise some method of that kind, undoubtedly the House of Commons will cease to be able to deal effectually with questions with which, I entirely agree, it is indispensable to the vitality of our Parliamentary institutions that we should be able to cope.

We are not called upon to reply particularly to the speeches made by or on behalf of the hon. Member for Smethwick, because he has met his match in the Chancellor of the Exchequer. The Chancellor of the Exchequer, who, I much regret to hear, is temporarily incapacitated, affords a very peculiar spectacle during his present tenure of office. Usually a Department is supposed to correct the idiosyncracies of the Minister and the Minister is supposed to correct the idiosyncracies of the Department. But when the right hon. Gentleman the Member for Colne Valley, (Mr. P. Snowden) went to the Treasury, then the idiosyncracies of the Department and of the Minister multiplied themselves together, and such elements of rigid pedantry as there are in the Treasury and the Bank of England were embraced and greeted by all the rigid pedantry of the Chancellor of the Exchequer himself.

Let us just see what are the main propositions of the Chancellor of the Exchequer: Free imports, irrespective of what other countries may do; ruthless direct taxation for Debt repayment, heedless of the consequences to enterprise and industry; rigorous economy, not only in social but in military matters; profound distrust of State-aided enterprise of all kinds, and absolute reliance upon private enterprise. Those are the broad outlines of the Treasury doctrines, so valiantly defended by the Chancellor of the Exchequer. Whatever we may think of these doctrines, they are certainly not what is going on now. There is not one of them which is not challenged by the practice of Parliament and of the nation, and which has not had great inroads made upon it. Where we are suffering is that, while the old structure built up by our ancestors is everywhere being largely discarded, no adequate effort is being made to supply a connected scheme of thought in its place.

We have on several occasions stated such remedies as we would propose from this side of the House. No one imagines that any single remedy is a complete cure, but there are many remedies which, applied together, might be effective. There are remedies which would be helpful and give a stimulus to productive industry such as would follow by the imposition of a tariff on imported manufactured articles. Undoubtedly a stimulus would be given which would attract capital into industry and give a new spirit, a psychological stimulus, to industry. The revenue from these would be applicable to reduction of burdens, for instance, on the reserves of industry which were even more heavily burdened by the Chancellor of the Exchequer in his late Budget. I have always believed that the reduction of freights would be found a more helpful way of getting a forward movement in the heavy basic industries than many of these direct schemes of giving work to the unemployed. At any rate, the comparatively small sums of money which we were able to devote to the reduction of freights would produce extremely satisfactory and sweeping results. Such are some of the proposals which have been put forward. Moreover, it is essential that the Government should not neglect its duty to reform the unemployment insurance system, as they have repeatedly promised to do, and take the necessary steps to purge it of the grave abuses which have grown up in it.

These are practical and reasonable steps which can be taken. But the greatest of all things is the restoration of confidence. The right hon. Gentleman appealed to manufacturers and business men to have hope and determination and not to lose heart, but they can surely not be blamed for losing heart in the circumstances of the present time. We are approaching Britain's second Christmas under the Socialists. What lies before us? Another Budget of the Chancellor of the Exchequer, another General Election with all its disorganisation. A double uncertainty hangs over trade and enterprise, business falters and enterprise flags. How can a recovery be expected in these conditions? Exactly a year ago I predicted that a cheerless period lay before us. Little did 1 or anyone here know what lay in store for us, or how disastrous this year was to prove, in every branch of our economic and social life. Many of the highest authorities agree that only worse is to follow, and worse will certainly follow unless or until we are free from a Government which, in its weakness and in its pretensions, in its incapacity and in its conceit, cumbers the ground.

It is very pleasant to hear the right hon. Gentleman the Member for Epping (Mr. Churchill) return to our debates in an endeavour to secure harmony in unemployment, after his wonderful efforts to secure harmony in our relations with India. He speaks of the humiliation which is suffered by the Government in its relations with the party on these benches; I wonder what is the humiliation of the party above the Gangway, which offers Protection as its sole remedy for unemployment, and yet puts up on this vital occasion as champion, one who has been known as the foremost Free Trader in this country, and of whom, Members of his party have very grave doubts as to whether he is not still in the same position. He says that on several occasions his party has stated its remedies. That is perfectly true, but unfortunately on every occasion we have had a different form of the remedy. We have seen it grow, from phase to phase.

I came here in the hope of hearing, from the Front Bench opposite, some message which would give a kind of Christmas cheer to the nation, and, above all, to my own constituency. I cannot say that we have heard very much. In these depressing times one looks for a cheerful message of some kind. I have to turn, not to the things that are said now by Members of the Government Front Bench, but to what they said in 1928. I am amazed when I go back to the speeches which they made in 1928—not one or two speeches but speeches from nearly the whole Front Bench—at the spirit of courage, hope, optimism, grip and vision which animated them. They had no doubts, no timid hesitations, such as beset them at the present time. They knew what the problem was. The Home Secretary put it in a word: "We have," he said, "to choose between paying for work or paying for idleness." He plumped unhesitatingly for work and not for idleness, when he was in opposition. That, of course, is the difficulty. He not only understood the problem, but he, and all of them correctly devised the remedy.

If anyone wants to read a brilliant description of how that remedy could be applied, I would ask him to refer to the speech made by the Prime Minister on the 24th July, 1928, in this House. He gave the remedy as "national development." He was not content to leave it in a broad phrase, but he gave details. He asked: "Are our own resources being properly developed?" He spoke on roads, bridges—I am not sure whether there was not almost a breach of copyright in doing that—on draining 1,750,000 acres of land, bad housing, slums, and of a national "social and economic survey." In putting forward these proposals, he may have been borrowing from somebody else. I do not mind. That kind of borrowing I can appreciate. It is twice blessed. It blesses him that gives and him that takes. It is all right, so long as we get the result. We had a bold programme put forward by the Prime Minister. The cost? There was no difficulty in that. It was the present Chancellor of the Exchequer who told us frankly that you could not deal with this problem without spending money. His trouble with the Government, he said, and by that he meant hon. Members who are now in opposition, was that they preferred "to give money in a miserable dole to keep men from work." Those are his words. What is his position now?

As for the time, there was no doubt then. There was no question of these interminable delays. The Prime Minister himself, speaking on the 12th November, 1928, went so far as to say that, in regard to the problem that then existed, an immediate programme could be found for dealing with the present situation; and, after all, dealing with the present situation from day to day is something that is not being done now. To deal with the situation then, he said, it was enough to take from the pigeon-holes of the Departments the plans which the Government of 1924 had left behind them. I should like to know whether that is still true. The year 1924 appears to have been a sort of vintage year for unemployment schemes, and the Government, very wisely, laid in a large stock for the benefit of those who succeeded them. I should think that those schemes must be pretty mellow by now, almost ripe for consumption; and, as we are coming near to Christmas, I would ask whether we might not have just a dozen or two of that 1924 vintage brought out for our consumption now, because we do want something at the present moment. If it was true at that time that these plans were ready, they must be more than ready, they must be ripe for action, at the present moment.

With regard to that pleasant vintage, the present Government Front Bench appears to have taken some kind of pledge; it has lost its charm for them altogether. I want to know what is the cause of this change of attitude. We know that there have been changes, but, when the changes are described from the Front Bench, the description is very reminiscent of what we used to hear, for instance, from the right hon. Gentleman who was Minister of Labour in the last Government, and from Mr. Williams, who was then one of the Under-Secretaries, and who is no longer in this House. I remember how again and again they warned us against economic defeatism. My right hon. Friend, and I myself in a smaller way, were told more than once in the last Parliament by those gentlemen that we were unpatriotic because we painted a gloomy view of what was going on at that time, and now I hear the same reproof uttered and the same taunts coming from right hon. Gentlemen on the Front Bench. It is all very reminiscent, and, for that reason, rather depressing.

What is the real change? We are told that there are world causes. We all know that there are world causes, but, really, did the unemployment problem first begin to be an international one in the year 1929? It is perfectly absurd to suggest anything of the kind. World causes were always operating. The Minister of Transport actually took, as one of the things that was crippling and hampering him, the War debts, as if the War debts had no application whatever to his immediate predecessors, whom his colleagues mercilessly criticised. One cannot take refuge in matters of that kind. What are the world causes, when one comes to look at them? There is, of course, the universal collapse of world commodity prices. Then there are the internal conditions of various countries—of India, for instance, and China. These are undoubtedly world causes which are not within our immediate control, but I would ask hon. Members, both opposite and above the Gangway on this side, a question, for they each have their final remedy, namely, Socialism, on the one hand, and Protection on the other.

I would ask either the one or the other, how does Protection, or how does Socialism, affect these particular world causes? Neither Socialism nor Protection would prevent a collapse of world commodity prices. How could Socialism, for instance, affect the problem of India? Does anyone imagine that the followers of Mr. Gandhi would be persuaded to accept our textiles if they happened to have been made in a State factory, if they were marked "G.R.," or with a broad arrow, or whatever would symbolise the fact that they were not produced by private enterprise? The condition would be exactly the same; there would be exactly the same difficulty to meet; and at the present moment we none of us know how to meet that difficulty until the proceedings of the Indian Conference are finished. I must, however, except the right hon. Gentleman the Member for Epping (Mr. Churchill), who knows how to restore good conditions and to get our goods purchased at once; but no one else pretends to know.

With all these world causes, one cannot pretend that any of these long-range remedies—which I am ready to agree are sincerely held in different parts of this House—would immediately solve the problems that we have in front of us. Whatever view we may take of Protection or Socialism, we should still have an immediate problem in front of us to be solved, and it is no solution to those who are now unemployed to say that we are devoted to a policy which at long last, in many years' time, may bring final relief to them, or, perhaps, to their children, or, more probably, only their grandchildren. That is not what they want. There may be causes beyond our control which are operating on this Government, or would operate on any government, but the task of dealing with them is within our control, and it is the responsibility of the Government of the day.

A mere comparison of the unemployment figures when the present Government came into power and at the present day is very easy to make, and, I freely admit, is probably unfair to them, and I would not judge them simply on the difference between just over a million and 2¼ millions in the numbers of the unemployed. It cannot be done by a mere substraction sum, though I would remind the Government once again that, when they were in Opposition, that simple substraction sum was good enough for them. I remember the present Secretary of State for War simply taking the figures when the last Government came into office and the figures on the day on which he spoke, and finding that the resulting difference was 208,000. What did he say about it? He said that the result of the activities, or, rather, the lack of activity, of the Government, was an increase of 208,000 in the number of people unemployed. I wonder whether he would be prepared to bring his speech of that day up to date, and repeat it again in another direction with the different figures which rule to-day? If anyone were to speak in that strain, they could make much better play with the figures ruling at the present moment than with the comparatively insignificant figures which existed at the time when the right hon. Gentleman spoke.

I am not concerned to make any case against the Government on a mere difference of figures. I only say that this difference does show to them the magnitude of the problem that they are up against, and the urgent need for action. Can any of us who listened to-day to the very careful and painstaking speech of the Minister of Transport, covering painfully, as we had to do, the ambit of several departments which were not his own, so that he ought to receive every consideration from us, can anyone say that in the total result they are satisfied, not merely that an effort is being made—of course it is; no Government could sit there for a week without making some kind of effort—but that that effort is in any sense commensurate with the magnitude of the problem? I cannot say that I am satisfied; and yet, if the Government go back to what they said in their speeches of 1928, which I have quoted to-night, they had their plans, and they have them now. Not only have they their plans, but they have our plans as well; and, if they can do nothing with the materials that have been put at their disposal, then the situation is a very grave one, both for themselves and for the country. We do need some kind of immediate action.

It is easy enough to talk, to those who are considering this as an abstract problem, about waiting for the revival of trade, about waiting for a change in the social system that would nationalise all our means of production and distribution; but the unemployed are the people who have to wait, and they have waited long enough, and want some kind of immediate action. A long-range programme there must be, but there must also be a short-range programme. With regard to the long-range programme, I find myself in considerable sympathy with the hon. Member for East Aberdeen (Mr. Boothby) when he mentioned the question of currency and gold, because, when we are dealing with a situation—and I do not think anyone can deny that this is the situation—where there are people unemployed because no one will demand their labour, and at the same time those very unemployed, and others who are partially employed, have needs which are unsatisfied, you cannot say really from your heart of hearts that you have un- employment because there is no demand. You have unemployment because there is no effective demand, and the breakdown comes in the medium of demand.

I should have thought it was as obvious as any problem of economics that, whatever the actual solution may be, the breakdown comes in bringing the demand, which everyone knows to be there, into contact with the sources of supply which are only too ready to come into action. One has only to read the remarkable speech of Lord d'Abernon, to which I think too little attention has been paid, and in which he tells us that, if we are to deal with the real causes of the breakdown in cotton, or iron and steel, or coal, or anything else, we must tackle the banking, credit and gold policy first of all. I am convinced that that is so, but, unfortunately, there is a sort of smoke screen in front of this subject; it is a holy of holies into which no one but a banker is allowed to enter. A committee has been set up to investigate it, but there seems to be some mysterious reluctance to get any result or report out of that committee. I am perfectly certain, however, that, until this problem is dealt with, the problem of our long-range programme will not be solved. That is going to take a long time, and in the meantime it is most urgently necessary that the men and women who are at present waiting for work, and are in need of the products of work, should be given some satisfaction by the Government of the day. It is, after all, a Government that has declared its faith when it was in opposition, and that is the only reason why I have referred to these old speeches of 1928. They did then see the light, and, if they do not act accordingly now, they are sinning against the light. If they do so, I would remind them of the words which were spoken by one of the most forceful and formidable speakers whom I have ever heard in this House, the late Member for Shettleston, who, on the 12th November, 1928, ended his speech on unemployment with these words:

I would like to take up the theme of the hon. Member for West Middlesbrough (Mr. K. Griffith), and to remind the House that perhaps it is because, as was pointed out by the right hon. Gentleman the Member for Epping (Mr. Churchill), this assembly is more apt and designed for political than for economic discussions, that the economic foundations of this problem are so seldom treated here. One thinks at times that those economic foundations are not treated because there is no agreement as to the kind of problem which is presented by unemployment, but, as a matter of fact, we have agreed broadly as to the kind of problem to which are due this world crisis, this economic blizzard of which we all speak. It is known that it is the outcome of certain dislocations and maladjustments of our system, a maladjustment of production to consumption as also of a monetary maladjustment, on which I should like to add a word to what has already been said by the hon. Member for West Middlesbrough. It is not purely a monetary maladjustment, but as to that I would like to point this out with reference to the complaints that we hear from the benches opposite as to the burden of taxation which the industry of this country carries. The implication in those speeches always is that this country is carrying a burden of taxation very much heavier than that which is carried by Continental countries. In a sense, that is true, but, in a sense to which much more attention ought to be paid, it is not true, that is to say, in the sense that those countries have paid their debt by a form of capital levy.

I want for a moment to look at the position of a bondholder in France, in Germany or in Central Europe, or of those who had fixed money obligations, and then to look at that of the rentier class here. It is not merely the holder of Government bonds. It is the holder of municipal bonds, of debentures, of insurance policies and of every form of fixed money obligation. They have surrendered not 10 per cent. of their property towards defraying the cost of the War, which was the suggestion of the Labour party. They have surrendered 80 per cent. at least in France and 99 per cent. in much of Central Europe. The 80 per cent. or thereabouts that the French have surrendered, some British who held French war bonds and were offered 2d. for the 10d. that they lent, will realise. The French rentiers have made this vast contribution to the relief of war indebtedness. That sacrifice has not been asked of the rentier class here. Quite the contrary. It is the opposite thing that has been done. Putting it roughly, we borrowed a 15s. £ and we are paying back a 25s. £. Do they expect that such preservation of that form of property shall take place without any taxation burden at all? The real burden of industry today is not the burden imposed by the Chancellor of the Exchequer. It is the extra burden imposed by the fall in price levels by which the bondholder benefits. Sir Henry Strakosch has shown that the burden of fixed monetary obligations represents about £1,000,000,000.

Every fall in the price level adds to the real burden of that sum, so that the farmer who paid his mortgagee with one sack of wheat has now to provide two sacks of wheat for the same nominal obligation. As I have listened to these debates and the objections to the few millions asked for a new Education Act, or a million or two for new pensions, there has not been a word as to the fact that the monetary process I have described has added not one or two millions to the burden of industry but perhaps £200,000,000 or £300,000,000. There has not been a word in these discussions of that particular aspect of this burden which falls on the entrepreneur class, upon the captains of industry first and most heavily. Is this party to be charged with that? Our Government suggested something that might have met it —the capital levy—and if they had remained in power, one would have hoped their ingenuity would have set to work to do something which the right hon. Gen- tleman the Member for Epping, who I regret is not here, might have done. We were faced in his Chancellorship with the fact that we returned—too rapidly—to gold. We knew that that would mean deflation and a fall in the price level and that it would give the creditor class much more than they had lent. We knew that industry would have to carry the extra burden of this bonus given to that class.

Could not he with his ingenuity, have done what has been done in the Dawes plan? He might possibly have said, "The interest on this vast debt, so different in degrees as to be different in kind from anything the financial world has known in history, should be upon an index figure, so that the burden should remain the same, so that the farmer should offer to his mortgagee, or to the Government or the railway bondholder, the one sack of wheat and not two, three or four sacks as the case may be." Here is something which was introduced into the Dawes plan. It ought to have been introduced into our payment of the American Debt, and was not introduced. It might have been done then. It could only be done with immeasurably greater difficulty and much less effectiveness now. But even at this date perhaps the Chancellor of the Exchequer, for what it is worth, may take this hint, that if in his conversion processes there is any expectation that the price level is to fall still more, there should apply to the bondholder what has been applied to the wage earner who, in the case of a fall in prices, is put upon a sliding scale. We are familiar? with the wage earner who is put on a sliding scale; but it is never applied to the bondholder. It is not beyond the wit of man to devise an index figure which should give a fixed real income to the bondholder, the policy holder and the mortgagee. If that had been done, industry to-day would be relieved not, of the £10,000,000, £12,000,000 or £15,000,000 that we discuss in our plans of pensions, but of £200,000,000, £300,000,000 or perhaps larger sums still. Imagine what would be the position of industry to-day if it had been relieved of a burden of those dimensions.

I do not want, however, to suggest that the problem is purely a monetary problem. It is not quite as simple as that, and I would remind those who suggest that it may be, of the remark of Governor Strong; of the Federal Reserve System of America, who said: "You cannot stabilise prices by opening a spigot of credit when prices show a tendency to fall and shutting off the spigot when they show a tendency to rise." Indeed it is not quite as simple as that. Of course, the problem of the falling price level is ultimately an international problem. I suggest that the general position of the Conservative party towards economic nationalism, their recurrent proposals for more economic nationalism, render the habit of international co-operation more and more difficult. It makes it extremely difficult to grapple with this problem by the only method by which it can be handled, the method of international agreement. I do not want to suggest that the idea of an index figure for the bondholder would necessarily stabilise prices, but it would relieve that portion of industry which bears the greater part of the burden and which feels it most. Things of that kind can be done. I am going to suggest further things that can be done. I should like to take the advice that has been given so often on both sides of the House that, as far as - possible, in a matter as tragic as this, we exclude partisanship and see if any suggestion coming from anywhere, can help to relieve the tragedy with which we are struggling. I said there was substantial agreement as to the nature of the maladjustment which creates unemployment.

I beg the pardon of the House for exploring an economic problem for a few moments. Where is there no unemployment? I have known farms in our Dominion of Canada which have had to be abandoned and which a generation of two ago supported large families in great comfort. Is is that the soil has become less fertile? Not in the least. Is it that our tools of production are less efficient? They are very much more efficient. Why is it that this piece of soil, which 60 or 70 years ago supported in great comfort a dozen, 15 or 20 people, to day supports no one? It is because in their case the maladjustment which creates unemployment did not arise because the producer was also the consumer, the seller was also the purchaser, and the adjustments between the quantity of grain that could be raised and the quantity that could be consumed was made by the men who grew the grain and consumed it. That is the story of the old manor. It is the story of many a monastery that lasted for centuries where you had these adjustments within your grip. The problem arises when, in the division of labour, your village blacksmith, forsaking the soil, begins to make his hoes and his ploughshares and makes too many, and causes a glut. That is the position. What can he do? He can go back and begin once more as a self-sufficient peasant making his own hoes, in which he will be extremely inefficient, and his standard of life will be extremely low. You can cure the unemployment problem if you are prepared to reduce your standard of living sufficiently.

8.0 p.m.

Our problem is not to cure unemployment. It is to cure unemployment without substantially reducing the standard of life, and it is rather an important distinction. You can cure these maladjustments by doing what I have suggested, the hoe maker going back to a less efficient method. You can cure unemployment to-morrow. You can put up a Chinese wall around the country so that nothing shall come in and nothing shall go out, and within a few months every man, woman and child will be busily engaged in preventing famine. Unemployment would be cured. We did something of that sort during the War. We had no unemployment then. You can cure unemployment by protection of that degree if you desire to apply it, but you will do it by reducing us to a cruelly low standard of life. But we cannot resort to such measure. Our problem is to preserve the division of labour and to see that one man grows grain and another makes ploughshares, and that the adjustments are such that too much grain is not grown in relation to the ploughshares or boots or tractors that are needed. There is the problem: to make these adjustments. We have had suggestions from the benches behind how that might be done, suggestions, for instance, of import boards. These are undoubtedly made with a view to effecting these adjustments of making the necessary contacts. But our machine has become so complex that these contacts cannot be made unless you can work in some degree with the consent of the men who work it. Autocracy has been mentioned. But there are certain things you cannot do by compulsion. It is not a mere problem of power. If you have a complex machine, it is of no use having a crowbar which will smash it to pieces. You may have power; much good may it do you, unless you know which lever to pull. It is a complex machine we face, and, unless that machine can be worked with some degree of cordial cooperation on the part of those engaged in running it, then, if you have to impose remedies from outside, they are not going to be successful.

I have already suggested two conditions: first, that we must measure the value of any suggestion made by the degree to which it gets at the root of this fundamental problem of maladjustment and dislocation, and, secondly, that in the application of remedy you must get, especially in the case of a minority Government, a large degree of hearty cooperation on the part of those who are going to work it with you. At one point you would get the corporation of industry in any plan you suggest: at the point of marketing. The least common denominator, of the motives involved, the desire of manufacturers and commercial men, is to sell their goods. Nationalisation I have always thought should begin at the point, not of production, which largely takes care of itself, but in the adjustment of production to the market, of marketing.

The kind of remedy which it seems to me a Government might in some measure apply was suggested in a series of investigations which I made in the United States of America some 10 years ago. I there found, even 10 years ago, that in certain industries, the building industry, warehousing, in office work, in the household, they were using metal where we were still using wood; metal for door jams, for window frames, for shelving; yet America is a wood-producing country, and we are not. I suggested then to an American manufacturer that he was happy and fortunate to have a population so apt, so ready to take up new devices. He replied, "Aptitude nothing. It has cost us millions to educate architects, builders, warehousemen, farmers, housewives to the use of these devices and these materials. For a long time we paid a levy of so much per ton of material to carry on this education. And we had to arrange among ourselves for standardisation." On my return to Great Britain, I went to see a great captain of industry who was hunting for new markets, and I said to him, in effect, "Here is your new market, why do not you create it? "He said," Nothing doing. You cannot apply those methods in Britain. You will not get the necessary degree of co-operation between our individualist industrialists. You will not get them to undertake those standardisations, and without standardisations you cannot achieve the result because of the costs."

It struck me then that here was an opportunity for a Government, if ever it should be in the position of having in some measure to give a lift to British industry, to do for British industry what, by its own declaration on many occasions, it is unable to do for itself, to say to industry: "We will teach the farmer the use of this new tool, we will teach the housewife the use of this new device, teach the warehouseman the use of metal shelving and so on, if you will undertake standardisation. We will establish a Home Marketing Board, not quite along the line of the Empire Marketing Board, but along the lines of a more educational effort. We will charge ourselves with that part of the problem, if you undertake the other part, the standardisations." You offer something to industry for what you ask a return. The Government could use such a Home Marketing Board for achieving those co-ordinations, for making contacts, which so often fail.

Take an instance. Our less expensive hotels, which should attract tourist traffic, especially American, is losing it to the Continent. In the less expensive hotel you have not running water, as hotels on the Continent and in America have. You have not, in your towns, as they have in some cases in America, the distribution of hot water from a common municipal centre. When you ask why, you are confronted with costs, due to certain failures in standardisation. The Home Marketing Board, again, could make the necessary contacts. It could gather the hotel and building industries in one room as it were and say: "If you can get your plumbing at 'X' per unit, would you undertake to recondition your institution?" They would reply, if the "X" were sufficiently low: "Yes at that price. But we are not within miles of getting it at that price." In the other room you would have the engineering firms and would say to them: "If you have an order for 'Y' units, could you supply them at 'X' price?" The reply would be, "Yes, if we had that scale of order permitting new factories, &c. But where is the order?" You then bring the two together. It is that sort of co-ordination which would tend at least to remedy the fundamental dislocations and maladjustments out of which our problem arises, and I would suggest that in so doing you create a truly new market.

Let us take the case of a farmer—I happen to be one—much of whose low-lying soil is unproductive through failure of sea walls which are too expensive to maintain, because by hand labour these are not an economic proposition. By the use of mechanical excavators they could be maintained. The artisans and engineers in Sheffield are not making these excavators. If they were they or their family would be adding to their dietary the foodstuffs which the now idle land would produce. They would be buying them with their labour. You would have a truly new market, with no question of over production. You would be creating a new economic, a new marketing unit. Why is it not created? In part, it is because the farmer is not familiar with the tool and in part because there is not the necessary habit of co-operation, where the cost of the tool is beyond a single farmer. You would create these contacts by your home marketing board.

Let me take another instance drawn from the farmer. Telephones have been mentioned in this House. Why does the small farm, the smallholder, so often fail? The failure is on the marketing side. Let me take my experience in farming. I raise calves. When I want to buy a calf I have to make use of the machinery of the thirteenth century. I go to a neighbouring market some 10 miles away but cannot get what I want because there are no calves. At another market, to which I do not happen to go, calves remain unsold because there is no market. That is only one of the maladjustments which arise in this division of labour which goes on in the English farm. Why should it not be possible for me to take up the telephone and ring up an agricultural exchange and say, "What calves have you on your book?" and get a reply based on the notifications to the exchange. Again, that is a making of contacts, upon which the Home Marketing Board might engage. I could multiply these instances almost by the hundred.

It is in that kind of way, a simple and unpretentious and unambitious way if you will, that you could gain more and more control at the centre for the processes of marketing. It is important to start at the marketing end for two reasons: You will get in marketing the greatest measure of co-operation from industry. It is the point of least resistance and the point of greatest strategic power. If you can command those avenues, the processes by which these contacts are made, you are in a position to go forward bit by bit to the adjustment of production, to consumption to the other co-ordinations and adjustments for getting at the root of our main problem. The suggestions so often made of what has been termed the "relief works" order are recognised as only short-term efforts to alleviate, and that to no great degree, and not to get at the roots. One has only to remember the figure of 4,000 or 5,000 spread over a few years, set beside £1,000,000 to see how fractional must be the reduction of these tremendous figures with Which we are dealing. The slightest lift of general prosperity in business gives results more far reaching than the results produced by schemes of that character. By the method I have discussed, you would not, perhaps it will be said, immediately diminish unemployment figures, or immediately put into operation activities which would do so. Though the figures would not be immediately reduced, there would be produced immediately a type of confidence which, perhaps, does not exist—a desire to co-operate, a general will which produced such miraculous results when it existed during the War.

I have attempted, at too great a length perhaps, to indicate what is the character of our problem and the way in which it might be tackled in a situation in which we cannot tackle is except by piecemeal methods. The first objective is to restore some measure of confidence and to get the hearty co-operation of the business world, and, then, having got that co-operation, to apply it to correcting those maladjustments of which I have I have spoken, and, although the results might not be miraculous, they might be happier than those which have attended the methods which have already been put into practice.

I have taken part in a large number of debates in this House on unemployment, and although many of them have been full of information and instruction, few of them have, in fact, been productive of much result. They are always good in that they direct the attention of Parliament and the country to the gravity of this great problem, but they invariably fail in their main objective of finding some common policy which would hearten the Government in trying to introduce legislation of an agreed character which might lead us out of our difficulties. It may be that this debate will be different from the other debates in that some common agreement may emerge.

I have noticed that practically all the speakers in this debate have mentioned, some at greater length than others, the question of monetary policy. The hon. Gentleman the Member for West Middlesbrough (Mr. Griffith) spoke upon the importance of the consideration of gold reserves and their relation to our existing system. The hon. Gentleman the Member for North Bradford (Mr. Angell) gave, at the beginning of his speech, a very interesting discourse on the underlying principle of the importance of gold and the importance of credit. It would be very interesting and helpful if, as a result of this discussion, not as the result of partisan discussion or of political action, there should emerge some kind of underlying agreement that the problem of the monetary position was one which ought to be tackled. Whether such an agreement emerges or not, I am sure that hon. Members on all sides of the House will agree that at a time like this, when we have great unemployment and a situation of urgency which it is impossible to exaggerate, it would be better if this matter could be treated in a non-partisan spirit.

I approach the question of unemployment from the point of view of an industrialist. It is a commonplace, but it is none the less true, to say that the problem of unemployment is the problem of finding work. The reason why work cannot be found in this country in the quantities in which it ought to be found in order to provide employment for all our people is because the costs of production are too high. Our goods are too dear. We cannot sell them in the markets of the world. Employers cannot carry on their businesses and make a profit at the end of the year. There are many factors which enter into the costs of production, but I propose to deal only with three main factors—wages, taxation, and the burden of debt.

I am going to deal with the question of rent and include it, not in taxation, but in the burden of debt charges which have to be borne. The first point is the question of wages. From the point of view of the industrialist, the question of whether or not one should pay high wages or low wages is not a question which necessarily enters into the consideration of the cost of production. What the industrialist has to consider is the wages contact per article produced, and it is the efficiency of production, the individual efficiency of production, which matters most to the individual who is producing goods for sale, particularly goods which have to be sold at competitive prices abroad. Take the United States of America. During the last 10 years the individual productive efficiency of the workers in the United States has increased three-fold. In other words, the wages content per article produced in America at the present time is only one-third of the wages content of the same article produced in America 10 years ago. Therefore, industrialists say that if you can enter into an arrangement whereby the advantages of mass production and the full benefit of new inventions can be obtained, and you can decrease the wages cost of the article produced, then, as an industrialist, one would say it is very much better to pay high wages and that there should be no necessity for us to have to deal, as we are being forced to do, with the question of the reduction of wages. We have not increased the rate of our industrial efficiency in this country to anything like the degree in which it has been increased in most of our competitive countries.

I will deal with that. I am glad of the interjection. In order to bring home the point, I would refer to the cotton trade. It is true that in the spinning section of the cotton trade before the War there was an increase in the individual efficiency of the men. We introduced longer mules, and, as a result, the efficiency per man, as shown in the wages costs per unit of goods produced, went up, but in the weaving trade there has not been the slightest increase in efficiency per man during the last 20 years. One man still looks after four looms exactly in the same set of circumstances as he did 20 years ago. The labour which it is necessary for him to put into the weaving of a piece of cloth is exactly the same. There have not been, on the whole, any real economies in production which would enable one to say, with respect to the cotton trade, that individual efficiency has been materially increased. Not only has there not been any material increase in individual efficiency, but, on the whole, the efficiency has declined. Comparing post-War years with pre-War years there has been a reduction of hours of work from 55½ to 48, and the diminution in individual efficiency has never been made up. The conclusion that the industrialist makes on the question of wages is that if you can obtain co-operation between the workers and the employers so as to increase industrial individual efficiency there should be no necessity to reduce wages.

It is true that taxation is too high, that it should be reduced, that it acts as an oppressive burden, and that economies could be made, but when all that has been said and when all the economies that could be made are taken into consideration, the margin between the taxation that we ought to pay and the taxation that we do pay is insufficient so to reduce the cost of the production of articles as to make our exporting trades competitive. Economies would help, but they would not save the situation. It is only by increasing production that we can hope to be able to spread the burden of taxation over such an increased volume of goods as to be able to deal effectively with, the weight of taxation. A further factor which has emerged from the indus- trialist's view of taxation is the burden of borrowed money. The basic industries of this country have not yet recovered from the inflationary period of 1919. In that year most of our basic industries were recapitalised on the new level of prices then existing. With the assistance of the banks the price level was raised to the existing prices, and the banks, acting in accordance with the principles of good finance, made themselves creditors. Those debts which the various basic trades owe to the banks are by the process of deflation weighing heavier and heavier on the industries.

Take the period of 10 years ending last year, 1929. I have statistics relating to the cotton spinning trade which show that on £15,000,000 borrowed from the banks by the cotton trade they have, taking into consideration the increased value of money to-day, paid over the period of 10 years something like 7 per cent. The weight of this interest burden may be realised when it is remembered that for 20 years before the War the cotton trade over the whole sphere of its shareholding did not pay 3 per cent. It will, therefore, be appreciated when these figures are borne in mind that by the process of deflation the available profits of the industry have been directed into a new channel, not of the channel which would enable the industry to keep itself up-to-date but the channel of paying interest on debt. The example which I have quoted from the cotton trade is only the example of the general proposition which was mentioned by the hon. Member who spoke last. He pointed out that according to the best estimate, our national income amounts to £4,000,000,000 a year, and that of that £4,000,000,000 about £1,000,000,000 was in the form of fixed interest, and interest on War loan and rent. Since we returned to the gold standard in 1925 there has been an increase of one-third in the value of this fixed interest of £1,000,000,000; there has been a transference of wealth represented by an annual income of £330,000,000 per annum from the pockets of the active sections of the community, from the pockets of the producers, into the pockets of the non-producers.

I do not agree with the hon. Member who used the word "dole," but these are factors which every section of the community must take into consideration, and which this House cannot afford to ignore.

The conclusion that I have come to in regard to the burden of borrowed money is that we cannot reduce our costs of production and make our production competitive unless we introduce a system which will prevent these debts growing in amount. The general conclusion that has emerged from the industrialist examination of the unemployment question is that you can only deal with it by increasing the quantity of production and by lowering the burden of debt. If we examine this matter from the point of view of the economist we immediately come up against great difficulties, because we are faced by the fact that the world is suffering from overproduction. How can you apply your industrial remedy to increased production if already there is over-production. It may be that if we examine this matter a little more closely we shall find that the whole affair is not quite so contradictory as it appears on the surface.

"Over production" is, of course, only another way of saying "under consumption." Under consumption cannot be said to be a state of affairs caused by people having all their requirements and not desiring to consume more. It is untrue to say that we have more cotton goods, more boots, more shoes, more textiles, more iron and steel products in the world than the world requires, but it is true to say that there is not the means whereby the people who desire those goods can obtain them, there is not the machinery for equating the consumption of products, there is not the purchasing power and there is not the available means whereby the people who want goods can buy them. The means whereby goods can be passed into consumption are the means of exchange; that is money.

I do not want to weary the House by discussing the factors which determine the quantity of money, all I will say is that since 1919 the quantity of available money in this country has been decreased, and decreased by policy. It has not been decreased by an act of God, or some cataclysm over which human nature has no control. It has been decreased by policy. When we consider the important factors for moving production into consumption, which is purchasing power, there are three factors to be borne in mind. First, the price; secondly, the quantity of money available; and, in the third place, the velocity of circulation of that money. I want to draw attention to this fact, that it is the money in the pockets of the people which has the greatest velocity of circulation. If you put £l into the pockets of an individual in the form of wages, and it is spent over the counter, it circulates many times over, whereas if it is in the form of a bank credit it may only be used once a month to pay an account. Since 1919 the amount of currency in circulation free from the control of the banks, the amount of money in the pockets of the people, has been decreased by £130,000,000, and the House will realise that it is in this decrease of money free from the control of the I banks, not necessarily in the decrease of credit itself, but a decrease of the currency in circulation, which is so (fundamental in causing a decline in purchasing power.

It follows that our industrial remedy of increased production cannot be applied unless we call a halt to the process of deflation. I believe that this House, faced with the grave problem of unemployment, ought definitely to ask the Government to announce that it will no longer proceed with a policy of deflation. That is a simple, clear, and definite amendment which the Government could make. If it made such an announcement it would have to face its implications. It would mean that if in point of fact the drop in the world price of commodities continued we might have to go off the gold standard. I believe the time has come when this House of Commons should seriously face this issue. There are, it is said, a majority of hon. Members in the House of Commons who are prepared to protect or insulate, be use a fashionable term, manufacturers and workpeople from the repercussions of world economic shocks. Why should not this country be protected in a time of great trial and difficulty from the reper- at world financial shocks? I disagree with the hon. Member opposite who seemed to indicate that the best solution of our major problem is through internationalism. I put the opposite view and suggest that the solution of our problems will come through economic nationalism, and by doing in our monetary policy what the hon. Member for Smethwick (Sir O. Mosley) desires to do in his general policy of Protection.

This then is the conclusion of the industrialists, that we shall have to change our monetary policy. If we say that we are no longer going to allow deflation, if we change our monetary policy which will enable us to stimulate purchasing power, then we can apply the industrial remedy of increased production, decreasing the costs of production, and move forward to a real solution of our unemployment problem. There is one further aspect of this matter to which we might attend. The policies of the three political parties, how are they to be affected by the conclusion to which I have arrived? It is not necessary to talk about the policy of the Government in regard to unemployment; they, apparently, have no policy. There are few people who know the policy of the Conservative party in this matter, and I make no claim to omniscience on that point. As to the Liberal party, everybody knows what it is, but the interpretations are so different that the country still remains in ignorance. But we have one policy which has been put quite fairly and distinctly and that is the policy of the hon. Member for Smethwick. He indicates that we are to find a solution of our problems by concentrating on the home market.

The country has to ask itself this simple question: Can we afford to lose our export trade? And the answer will be in the negative. Even this year, when you have the experience of an abnormal decline in the price level of all primary products, we are importing into this country between £700,000,000 and £800,000,000 of food stuffs and raw material. That has to be paid for. If it is not paid for our standard of living goes down. Therefore, I feel that the hon. Member for Smethwick, relying as he does almost entirely on the home market, is making a great mistake. This country cannot afford to run the risk ignoring its export trade. Another of the ideas in respect of unemployment entertained by the hon. Member for Smethwick is that we should postpone the payment of war debt. The difficulty about the war debt in this country is that there is no serious problem in respect of the amount of money we owe abroad. Under the Balfour Note we receive, approximately, as much from our former Allies and Germany as we have to pay to the United States. Our difficulty is the debt we owe to ourselves. Quite clearly, by postponing the payment of these debts to ourselves we do not decrease them. In point of fact, if deflation continues we shall increase them, and, therefore, the essential factor which the hon. Member for Smethwick must bear in mind in respect of the problem of war debt is the monetary policy which will make the burden of debt lighter.

My suggestion, arising out of all this discussion, is that as between the views expressed by Members of different parties in this House there is sufficient common ground to enable this Government to say, "For the future, no deflation." That is a simple statement which could be made. True, it would involve some sacrifice from the financial classes. True, we should have to face, quite boldly, the danger of a decreased external value of our currency, but, I believe that that is a danger from which we should not shrink. After all, the greatest security of our investors is in our prosperous enterprises, and the best safeguard for the gold standard is the exportation of goods. It is by the control of foreign credits and not by the manipulation of the bank rate that you can most effectively look after your gold reserves. We are at a time of national emergency and I believe that we ought to act in a national spirit. Let the House of Commons agree to one simple fact, namely, that deflation is an evil and, particularly, an evil to this country. If we agree on that, I see no reason why the Government should not proceed to act upon such a policy, and, once it is known that deflation is coming to an end, then that magical word "confidence" will begin to circulate in this land, the wheels of industry will begin to turn, smoke will be seen coming from chimneys once again where it has not been seen for a long time past, and the working classes of this country, many of whom are fast drifting into despair, will find in these signs, some measure of hope and comfort.

The hon. Member for Stockport (Mr. Hammersley) will I am sure forgive me if I do not follow him in his very interesting speech on the currency question. I hope that that side of the unemployment problem will be pursued on future occasions. A number of suggestions have been made to-night for dealing with unemployment. The Liberal party have suggested housing, harbours, telephones and water supplies, and from the Conservative party we have had the hardy annual of Protection. I submit that it is no longer necessary in a debate on unemployment to refute the fallacy of the arguments which are advanced for Protection. The best argument in reply to the talk about Protection is contained in' the speech of the hon. Member for Smethwick (Sir O. Mosley) in March of last year, during a debate on Safeguarding, when he attacked the then Government. In that speech, he pointed out that only one-fortieth of our total unemployment arises in trades which are not predominantly export trades, and, therefore, by any tariff policy, only one man in 40 of the unemployed in this country could conceivably be assisted. Now, the hon. Member for Smethwick and most other Protectionists, have changed their minds. Now they say that foreign trade does not matter and that all we want to do is to safeguard the home market. Surely we ought not to take that line and say, simply because export trade is doing badly, that it does not matter. That is a purely defeatist attitude. It is a coward's attitude and a lazy attitude.

Instead of talking generalities and indulging in fine perorations let us get down to hard facts and see where unemployment is. A great part of OUT unemployment lies in the coal industry with 283,000; in the cotton industry with 233,000; in tie building industry with 200,000, and in the distribution and iron and steel industries. We ought to consider what can be done in the four great industries in which over half of our unemployment lies. The prospects of improvement in the coal industry ought to be made clear. It must be apparent to any reader of the report of the British coal delegation to Scandinavia that the only solution of the problem in that industry is to be found in international agreement, and we have made a beginning by the Coal Mines Act of the present Government which lays the foundations for both national and international agreement. International agreements are full of complex and difficult problems. There are such questions as that of Silesia, and that of the German agreement with Hungary, and, in the international agreements, which will have to be pursued before we can regain our coal markets, America has to be considered; The United States must be brought into any such international agreement to prevent the sudden flooding of the markets of Europe when prices on this side are raised appreciably above world level. As a concrete suggestion, I would urge very strongly that, as unemployment is now admitted to be a world problem which cannot be dealt with by any one nation, the Government ought to consider calling an international economic conference to discuss not merely the coal industry— which by itself is important—but other questions as "well, particularly those important financial questions, such as the supply of world gold, which lie at the back of the unemployment problem. Now that all countries, even once-prosperous America, are feeling the pinch, they will surely be ready to enter into such a conference.

There is also the textile industry, which has the second largest number of unemployed. In that case, reorganisation is more within our own power, but, even there, international agreement with such countries as Japan would be of immense benefit. If the commission which is now examining the markets of the Far East, is able to reopen and enlarge the Chinese and other Far-Eastern markets, and if the purchasing power of those teeming millions is increased by a minute amount, it would mean millions of pounds worth of orders to this country. I am optimistic enough to hope that the results of this commission will be of great value to the cotton industry, but we cannot get a firm hold on these or any other markets without reorganisation at home. I hope, if it is necessary, that the Government will not hesitate to introduce measures on the lines of the Coal Mines Act to reorganise the industry and that if necessary they will also consider re-enacting the Trades Facilities Act—a proposal which, I understand, is supported by the Liberal party—for this and other reconstruction work, so that it can be done on the terms and conditions of the Government and not on the terms and conditions of bankers who have shown themselves in the past to have at heart not the interests of industry but simply the interests of high finance.

The next industry in which there is a large section of unemployment is the housing industry, and the right hon. Gentleman who opened the debate, and who always speaks on the subject of housing with such knowledge and experience, made it clear—and we are all agreed— that if only the Slum Clearance Act is put into full operation by the local authorities, there ought to be very few unemployed in the building trade, but I would urge on the Government that immediate further pressure ought to be put on local authorities to make them move more rapidly, not merely as regards housing, but with schemes of work for relieving unemployment and setting men and women to work under the Development Act. If the Government would do that, we should set many more men at work on schemes of local and national importance, and it seems to me that the Government ought to take some further powers.

We have heard from one of the hon. Members below the Gangway that we ought to over-ride the powers of local authorities. I have not had an answer to my question as to what they propose to do to set up their dictatorship. The fact is that they have not thought it out, but I am quite sure that you can speed up the local authorities, and I suggest to the Government that it might be practicable now to set up Commissioners in different districts throughout the country to act as links between the Government and the local authorities and as a spur in urging on the local authorities to use to their fullest the powers which they have in regard to housing and works under the Development Act.

I want to refer to the campaign which the Tory Press is working up against the unemployed. The Tory Press is working up a great campaign of libel against the unemployed as a preliminary to persuading the country and the Royal Commission to cut down unemployment benefit One of the Tory papers is sending special correspondents round the country, and we have had one of them in Northampton. He produced a hysterical article on the demoralisation of the town, and he reported hundreds of young women as having the time of their lives on the dole, and that the saloon bars of the town are crammed at all hours of the day with young women buying themselves port, gin, and stout with the money which they receive under the State insurance scheme.

I cannot say too strongly that this is a gross and monstrous libel on my constituents. Fortunately for us, we have fewer unemployed than have most towns, and, as a matter of fact, only last week there were 155 women signing on the boot and shoe union for the labour benefit, of whom only 30 were unmarried girls. Haw could a dozen young girls, even if they were all of the type that goes into public houses—and I deny that, because Northampton is one of the soberest towns in the country—create an impression in the mind of any honest man of the nature of the articles that I have just quoted? The only thing in the whole story which is true is that young women in Northampton are very pretty and extremely well dressed, and I have never heard that that is a crime, even for a girl when she is unemployed.

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These libellous attacks on the unemployed are the kind of outrageous statements made by prosperous people far removed from the terrible insecurity of a weekly wage and a week's dismissal, and I suppose my hon. Friends will have that correspondent sent round to their towns and constituencies to write similar articles about their unemployed men and women. What is the real crux of this world crisis? We have a world endowed with ample resources; we have land, labour, machinery, technique; we have resources more than ample to guarantee all our people a comfortable existence under modern conditions and according to our standard of modern civilisation, yet millions of unemployed are suffering from need and poverty. These things may be prevented. What is really the crisis that we are facing? There is ample wealth, but it is in too few hands. Reductions of wages, proposed by the party opposite, and reductions of unemployment benefit will not improve the position; they will only make it much worse, because they will have the result of putting more wealth into fewer hands and making greater poverty among the masses of the people.

We live in such a disorganised, mad world, where each scrambles for his own interest, and the devil takes the hindmost, where even the bounties of nature are very often a misfortune because of the disorganised distribution with which we are faced to-day, where men gamble in wheat, in the commodities of daily life, and in the lives of men, because the Hatry sensation and the Wall Street crash do not mean simply the ruin of one or two financiers, but misery and poverty to millions of men and women all over the world. We are fighting against those who want to make that condition of things worse by reducing wages and by reducing unemployment benefit.

The hon. Baronet the Member for Smethwick (Sir O. Mosley) is associated in his campaign for a national party with Mr. Garvin, the Editor of the "Observer." What does he require? Let me give only one quotation before I sit down. The hon. Member for Smethwick is associated with Mr. Garvin, who says: programme. Go on carrying out the policy of the Labour and Socialist party, by which alone, and not by any national party or any coalition with the Tory party, shall we be able to change a system of society under which so many of the working people of this country are suffering poverty, unemployment, and misery into one in which it will be fit for the working people of this country to live.

I want to congratulate the hon. Member for Northampton (Mr. Malone) on delivering a speech, half of which at least was peroration. I am not in the least concerned about what the hon. Gentleman the Member for Smethwick (Sir O. Mosley) may say, or what the relation of any particular controversy may be to party politics. This is a very serious national issue, and I wish it were possible to examine it in a purely non-party spirit, with a view to seeing if we cannot really get a move on. The less we utilise the difficulties of unemployment for the advancing of any party issues the more likely we are to find a solution that will be satisfactory to the whole nation. We raised this issue to-day because we felt that the House of Commons ought not to separate for the Christmas holidays without having a review of the position of unemployment. I am sorry that the right hon. Gentleman the Member for Epping (Mr. Churchill) is not present, because I have a few kind words to say about him. [An HON. MEMBER: "He is coming!"] I will wait, then, until he comes. He said that there have been a score of debates on unemployment in the present Parliament, and that they have never come to any conclusion. I attended more than a score of debates on unemployment in the Parliament when he was a Minister. Unemployment was then very bad; it ran up from 1,000,000 to 1,500,000, and that at a time when there was no great world slump, when trade throughout the world was on the whole fairly good. We had innumerable debates—I forget how many—and they never came to any conclusion—[ Interruption. ] I see that the right hon. Gentleman has now come in.

I was pointing out that he complained that there were 20 debates that never came to any conclusion. His memory is a very short one; it always has been, and he forgets that during the time he was Chancellor of the Exchequer there were many debates. They were always very attenuated so far as attendance was concerned, and I have no recollection of their ever having been graced by the presence of the Chancellor of the Exchequer; and they never came to any conclusion. Then we had between 1,000,000 and 1,500,000 unemployed, and that at a time when international trade was good. The right hon. Gentleman complained—and so do I—that the Ministry are not doing all that they ought to do, but he is the last man who has any right to complain, because not only did the late Ministry do nothing, but they actually put back things that had been attempted. For instance, I have a recollection of the Road Fund being raided.

The right hon. Gentleman was rather severe upon me, and incidentally on the Minister, but I am only concerned about what he said about me. He compared me with an unscruplous attorney. I wonder what his idea of a scrupulous attorney is. I suppose that his idea would be one who took every case in turn and drew his fees in turn from both parties. Right hon. Gentlemen opposite are waiting their turn for execution in Sing Sing, but he has already passed the electric chair; he was condemned and executed by the public at the last election. He made a very real effort to come back. He has not been on very good terms with his party recently, and he has made two very good efforts to get back. One was on India. That failed, because it was overdone. It is really rather to the credit of the Conservative party that, however anxious they may be to turn out the Socialist party, they are not going to profit by promoting sedition in India. Then to-day, having failed in the first attempt, he made another effort to get back on unemployment. There he failed, because it was rather underdone. In that rather grim, elaborate, pointless joke about Sing Sing, he was not quite up to what he can do. But he has been out of practice lately. Perhaps he will get his hand in by and by. Meanwhile, there is nobody who has less right to complain of hon. Members and right hon. Members opposite than he has, because during the whole of those years when he was Chancellor of the Exchequer he had at his command resources for dealing with unemployment, and he confiscated them.

In the Ministry of which he was a member, he was always opposed to anything being done in the way of national development. He may condemn Ministers, but he cannot condemn them on the ground that they are not doing too much, because not doing too much is part of his policy as far as national development is concerned. He said that I described the present Ministers as "footlers." What I said was that if they were footlers, there was nothing to be gained by swapping them for worse footlers. Whatever anybody may say about the right hon. Gentleman—and I have said things very frankly—I do not believe there is anybody even in the Conservative party, who would at the present moment stand up and say, "For Heaven's sake let us get a repetition of the glorious Government which we had two years ago." I noticed very carefully the speeches which have been delivered, but nobody has made an appeal for a return of the Conservative Government on the ground that it was such a success, especially in finance, and cried, "Let us get back to the old Chancellor of the Exchequer." I agree with the right hon. Gentleman very often in my disappointment of the present Chancellor of the Exchequer, but I have never heard anyone in his own party—I mean his present party—say, "Let us get back to the great days of the old Chancellor of the Exchequer."

I am going to criticise right hon. Gentlemen opposite rather with a view to urging them to take further steps, and I should have thought that really when unemployment has reached 2,400,000, when we have nobody who will say, "This is the end of it," that they would have done it without any urging. I talked to-day to a very eminent economist, who is very impartial in these matters, and I was appalled at the view which he took. I met a great industrialist the other day, and he took exactly the same view. Nobody can foretell. But I am very, very much impressed and dismayed by the general feeling that we have not yet touched the worst. This is a very rich country, and we have been able to hold our own, and, in spite of the fact that we have 2,400,000 unemployed, wherever you go there is no real sign of much suffering and privation. As far as the appearance of the nation is concerned, it has not come down to a national fraying at the cuffs. But how long will it last? How much can we bear? My main criticism of the Government would be this—and I say it really in a spirit of anxiety, not wishing to criticise them but rather wishing to get things done. [ Interruption. ] It is all very well for the right hon. Gentleman to say, "Why do you not turn them out?" I do not see any prospect of an improvement—

If I saw that I would see some prospect of improvement. [ Interruption. ] If anybody turns upon me and makes a personal allusion, am I not entitled to reply? [ Interruption. ] Let me say, in all solemnity, that I am not trying to score a point here. When the right hon. Gentleman says we ought to get rid of right hon. Gentlemen opposite in order to get a speedy and effectual dealing with unemployment, I would remind him that we are a small party which has not quite the same interest as the two great parties in the State. I am not suggesting that they are not as patriotic, I am sure they are, but they have always got in their minds that there is the play of power between the one and the other. A party situated like ours is not in that position—let us talk quite frankly—and therefore we have to choose, in so far as our power goes. When the right hon. Gentleman says, "Turn the Government out in order to get more speedy and effectual dealing with unemployment," what do I see? I see exactly the same men as for four and a-half years trifled with that problem, and never even attempted the remedies which they themselves believed in. [ Interruption. ] There are hon. Gentlemen on this side who do not believe in Safeguarding, but there are hon. and right hon. Gentlemen here who declared that it was the remedy. [ Interruption. ] I beg your pardon! I looked up the pledges and I can quote them. There was a pledge given by the right hon. Gentleman the Leader of the Opposition that he would introduce Safeguarding for all industries for which he thought it was necessary. He said it in the Election of 1924; but he never attempted it. [ Interruption. ] If the right hon. Gentleman doubts me I can give him the exact date.

but I remember a full dress, elaborate debate in which the right hon. Gentleman himself—the right hon. Member for Carnarvon Boroughs (Mr. Lloyd George) I mean—took a most prominent part in denouncing the late Government for a breach of their pledges in going too far in the direction of Safeguarding and Protection.

The right hon. Gentleman is now simply talking about something which I probably said three or four years ago. He is in the same position as I am. I have not the quotation at the moment, and he has not either; if he had it, he would probably find that it was in reference to something else. I will send him the quotation. I say that the right hon. Gentleman the Member for Bewdley (Mr. S. Baldwin), the Leader of the Opposition, as he then was, and as he is now, said before the Election of 1924 that although he was not entitled to bring in an all-round protective tariff he was pledged to introduce Safeguarding for industries that needed it. Those were his words. He never did it; and I say that when hon. Members talk about putting the same men in power to secure a more speedy and effectual dealing with unemployment there is nothing in their record that would justify the 57 or 58 hon. Members who are here in turning out right hon. Gentlemen over there in order to put in those who for four and a-half years completely neglected this problem.

I come now to one or two questions which I must put to the right hon. Gentleman who is going to follow me. I do not quite understand the figures of the Minister of Transport. I have asked him, and the question was put two or three days ago in the House, how much money is going to be passed through the Treasury this year for unemployment. The Treasury must know what they are certifying. I know perfectly well that there is a lag between the time you certify and the time at which you pay, and that there is often a lag between the time when the work is done and when you get your certificates; but you can always reach the approximate figure; and if you reach the figure you know the number of people employed. At the present moment, we have only the figures in the Estimates, where there is nothing but the sum of £11,000,000. The late Government, in 1928 and 1929, had £8,000,000 in the Estimates, so there is only a difference of £3,000,000 as far as the Estimates are concerned. And if the money is not in the Estimates, where is it? The sum of £3,000,000 represents employment for only 12,000 men.

The Minister of Transport said that there would be about 180,000 men employed at the present moment. On a figure of 4,000 men per £1,000,000—because he has corrected our figure of 5,000, saying we put it too high—that means that £45,000,000 must have been spent this year. Where from? Where have those millions coma from? If there are 200,000 men it means £50,000,000. Where is there any trace of the £45,000,000? There must be something wrong in the accounts and in the Estimates. It really means that the Government have not taken the trouble to discover what they are doing and what they are not doing, and I think they ought to. The House is entitled to know. If the figure is 180,000 men, what does that mean? That they have provided work for one-thirteenth of the number of unemployed persons. If the figure is 200,000 they have provided work for one-twelfth of the number of unemployed persons. The remaining eleven-twelfths have not the slightest hope of anything being found for them. The hon. Member for East Aberdeen (Mr. Boothby) said that this year £40,000,000 would probably be borrowed for Unemployment Insurance. I myself thought it was less.

I said the Unemployment Insurance Fund was running into debt at the rate of £40,000,000 a year.

Whether they borrow or not, there is the fact they are running into debt at the rate of £40,000,000 a year. If this £11,000,000 represents all that has been spent, it means that we are borrowing £40,000,000 to pay the dole, or whatever you like to call it, and we are borrowing nothing for the purpose of providing work. I do ask the right hon. Gentleman who is going to speak to consider what the position is. If the tasks which the Government are asked to undertake were tasks of a kind which were not beneficial to the community, then it would be a perfect waste to spend money on them. But no body says that. Take the road programme. Every scheme which we suggested has been accepted, and the only difference is one of time. It is recognised that it is necessary to make these roads and bridges. The same thing applies in regard to housing and telephones. Nobody disputes that it is necessary to do these things, and that when you do them they will be of benefit to the community. Is it not, therefore, very much better that it should be done when you have got 2,250,000 unemployed than that you should wait until the turn of the tide, when it might be difficult even to get labour? You save the money you are borrowing in order to pay these allowances, and you put the men on to work, which they infinitely prefer.

Nobody can deny that who drives, as I have recently driven, through some of the valleys of South Wales to get from East to West, and sees the number of nicely dressed, well-behaved men—not of the class suggested by some of the Conservative Press—but thoroughly well-behaved and sober-looking, though thoroughly dejected and very miserable people. There was not one of them who would not infinitely have preferred to have a job to hanging about the streets. I press this on the Government. They seem to me to have no sense of the crisis or of the emergency. All those who are keeping their eye on this thing and watching it constantly are getting really frightened at the prospect. I cannot see any symptoms that the Government are partaking of that dread. They are just dealing with the problem as if it were something purely normal, and just adding a few tens or scores of thousands to those who already found work under the late Government. There is no attempt to deal with the thing on a big scale and with a real drive, brushing everyone on one side and insisting on the task being done.

Take what is said about the local authorities. I must say that I was entirely in accord with one thing which was said by the hon. Gentleman the Member for West Wolverhampton (Mr. W. J. Brown). I am not concerned about disputes between one group and another. I am only concerned with realities, and there is one observation that the hon. Member made which I thought an extremely shrewd and wise one, and that was that it is not a question of superseding the local authorities. The local authorities in thoroughly impoverished districts cannot do it. If the Government, especially with regard to housing, were to undertake the task themselves, and particularly with regard to regional town-planning—which I have not time to develop as I had intended to do—there are 30 regions now where you have local authorities in substantial agreement, with plans almost up to the point where you could put them into actual operation. Why not make a beginning with this, without waiting for the regions? If you attempt to wait until 30 or 40 little local authorities agree as to how much they will contribute, you will wait for ever. The Government ought to do it, and, having done it, they can then settle with the local authorities how the matter stands. There is enough there in development and increasing site values alone to refund to the Government the expenditure. [An HON. MEMBER: "Will you give the Government power?"] Most decidedly as far as we are concerned. I say, without any hesitation, that I hope they will go very much further than I did in 1908 or 1909.

I quite agree with what the right hon. Gentleman has said, and I was waiting until he came to this point. Is he asking the Government to carry through these vast schemes, and then to say, without having to deal with them retrospectively, that they shall levy a tax on the site value and make payments, knowing the enormous charges that will be involved in dealing with the schemes which he is now advocating?

The increase in the valuation of land will follow on any development. If you open up in outer areas, the value goes up enormously. Drive along the Kingston road, and you can see land which was worth £50 an acre now worth £1,000 an acre. That is due wholly to the expenditure of the community, and not a penny piece goes to the community. It is no use the Transport Minister giving us a long list of things which will be done in four or five or six years. You cannot exorcise the spectre of unemployment by flourishing a schedule in its face. You must do more than that, and see that the work is done now, and utilise it as an opportunity. Unless that is done, I shall be sorry to think what the condition of the country may be a year hence.

I claim to be a Member of a party whose Members have experienced more unemployment than Members of any other party in the House. Hon. and right hon. Members opposite may speak of this thing academically, but there are men on these benches in far greater numbers than there have ever been in this House before who have known from their own personal experience what unemployment means. I claim that no body of people has ever sat on these benches with more personal experience and a more sincere desire to deal with this problem than the Members of the present Government. I do not complain of criticism. It is good that in this House we should have the play and interchange of ideas, and the battling of minds—cross-bench minds and other minds—brought to bear on this problem as we have had to-day.

I agree with the right hon. Gentleman the Member for Carnarvon Boroughs (Mr. Lloyd George) that this is a grave and serious crisis, though it is not the first in our national history. He asks us to put behind the policy of the Government all the power we have got. He says we should face realities. I am prepared to do so, and I think I can say the same for my colleagues. But we must, as he says, really face realities, and when he tells us that one of the real ways to deal with unemployment is by a centralised housing policy, I disagree fundamentally. You cannot, after building up local authorities, adding to them power after power and giving them responsibility, suddenly take from them, in a spirit of Hitlerism, one of the big powers they possess. I would rather trust the local authorities to solve the housing problem than any Hitler, produced either on this side of the House or the other.

If the hon. Member likes to describe himself as a minor Hitler, he can do so.

I was merely saying that the structure of Government in this country has been based upon a division of function between the central and the local authorities. For years and years, housing has been one of the normal functions of local governing bodies. This country has done more to deal with the housing situation since the War than any other country in the world. When I am asked whether I agree to some new kind of monopolistic enterprise that is going to override the local democratic institutions, with all their defects, my answer is that I am not prepared to do it.

It is clear that there are two sides to this problem; what the local authorities can do and ought to do, and what the central authorities, working through Departments, can and ought to do. We have seen how much we can do, through an expert committee of experienced people, to push forward schemes that can be worked out under the auspices of local authorities. We are prepared to agree to any practicable schemes on a national basis which will assist in alleviating unemployment. The problem is not new. It is not the discovery of the Tory party; they are the inventors of it. [ Interruption. ] They are an expression of the old capitalist system whose existence depends upon unemployment. [ Interruption. ]

The right hon. Gentleman says that the existence of the capitalist system depends on unemployment. Why then, may I ask, does he not either attempt to end the capitalist system or leave office?

I have never been in the position formerly enjoyed by hon. Members opposite, of being in a majority party on this side of the House. Hon. Members know perfectly well that the problem of unemployment arose with large-scale capitalist enterprise. [An HON. MEMBER: "Rubbish!"] It is useless for the hon. Member to say "Rubbish!" I am not for the moment trying to be controversial; I am dealing with facts. Unemployment, as we know it today, is a product of the system of private enterprise. It is not a new problem. The "hungry forties," when the Tory party was dominant, was a period of severe and prolonged unemployment. Since then we have had wave after wave of unemployment. It has been a feature of this country since the War. [An HON. MEMBER: "Since Henry VIII"!] I am speaking of modern times. Government after Government has been faced with it since the War. To-day we have had the spectacle of the right hon. Gentleman the Member for Epsom— — [ Interruption ]—I am sorry for that lapse. The right hon. Gentleman has appeared to-day as the great defender of the unemployed. His speech was sparkling, and was a great entertainment which all of us enjoyed, but it was the irrelevant speech of a master of dialectic.

Oh, yes, dialectic. The speech of a pinch-beck Napoleon, a speech of the English Hitler, the man who would over-ride all authority and himself gather power and deal with this problem as a mighty man might.

I am not sure that the Minister's mind may not have diverged, in attributing to me the kind of position occupied by his hon. Friend below the Gangway the Member for Smethwick (Sir O. Mosley).

I am referring to the right hon. Gentleman's speech as I heard it. He is the great man who is prepared to stand in the gate against the enemy, who speaks about trade as though he believed in trade, and about unemployment as though he cares about unemployment. I represent a constituency where to-day his name is dishonoured because of the speech he made last week. It is no good the right hon. Gentleman coming with his rounded perorations and his carefully phrased sentences, and talking about unemployment. Unemployment, as we have been told to-night by the right hon. Gentleman the Member for Carnarvon Boroughs, is a reality. The speech made within the last week by the right hon. Gentleman the Member for Epping (Mr. Churchill), was not only an insult to the people of this country, but was the most violent blow at trade and industry ever delivered by a responsible statesman. There is not a Conservative employer in the county of Lancashire who does not believe that the right hon. Gentleman is the greatest menace to the restoration of the cotton trade.

On a point of Order. I would like to ask if personal attacks of that kind are in order in a serious debate on unemployment?

I have no desire whatever to be personal. Nobody in this House can accuse me of really making a personal attack upon anyone, and the right hon. Gentleman does not mind—

That is an indication of the right hon. Gentleman's psychology. It is no use hon. Members opposite shedding crocodile tears now about the plight of the unemployed. Why did not they shed them for the four and a-half years between 1924 and 1929? There is no difference in principle between two tears and four tears. There may be more unemployed to-day than there were then, but the real point is that we cannot take sincerely all the charges that are made by hon. Members opposite. They have had years of Government as compared with our months of Government. They have permitted this problem as a permanency, and what is their solution to-day? I tried to follow the right hon. Gentleman's speech, and, although I am convinced that he wants to be a Protectionist, his former allegiance to the party below the Gangway opposite makes it difficult for him to be a 100 per cent. Protectionist.

The one contribution which we have had from the party opposite towards dealing with this problem is the policy of Protection, which we discarded in this country nearly a hundred years ago—a policy which has proved to be of no assistance to the greatest industrial Countries in the world, a policy which has, perhaps, intensified the difficulties of the trading and industrial countries of the world. If anyone can prove to me that the situation in the United States to-day would have been worse because of a Free Trade policy, I shall be very glad to have the proof. [ Interruption. ] I am putting a perfectly simple proposition. I am putting the case that the Conservative party has one policy for dealing with this problem, and that is Protection. My answer is that, in the two biggest industrial countries of the world after this, the situation to-day is relatively worse than it is here, and they happen to be highly protected countries. They would have to prove—which they cannot do—that, had they been Free Trade countries, their situation would have been worse still. The fact is that neither Protection nor Free Trade goes down to the roots of the economic evils of to-day. Whether you have Free Trade or Protection, as experience has shown, unemployment is going to be a serious trouble.

The only other solution that I have ever heard from the Tory party is economy—let local authorities spend less money; let the State spend less money; let us economise on social services; let us, it appears, build fewer houses with Government money; let us, indeed, restrict all those services for which hon. Members below the Gangway opposite are pleading. I suggest that neither on economic nor on social grounds is the policy of economy one to which any ordinary citizen who is intelligent could give a moment's agreement. [ Interruption. ] I say "a moment's agreement," because the right hon. Gentleman's agreement varies from moment to moment, and I am willing to give hon. Members the smallest possible time in which they may change their minds. Economy to-day, as I understand the Tory party's idea, means restriction of national and local social services. If that is what they mean, then I say that that policy is disastrous. I have only heard one other policy adumbrated, but not directly suggested—the policy of dictatorship suggested this afternoon by the right hon. Gentleman the Member for Epping.

Really, the right hon. Gentleman, must not say that I suggested a policy of dictatorship. It was suggested by the hon. Member for West Wolverhampton (Mr. W. J. Brown), and I expressed strong difference from it. I will not have the right hon. Gentleman make such a suggestion.

Really, I cannot differentiate between these sub-groups. I am not concerned as between Hitler A and Hitler B; I am not concerned with differences about Hitlerism; but I am concerned with the fact that the party opposite, having utterly failed themselves to deal with this problem, knowing quite well that the present situation has arisen from circumstances outside the control of any single Government, falls back upon Protection and nothing else. The right hon. Gentleman the Member for Carnarvon Boroughs and his Friends want to see a development of public expenditure on national and local services. With that, I think, we are in general agreement; there can be no difference on that question. But I think it is clear, and I think that hon. Members below the Gangway opposite will agree, that, while that might alleviate the present situation, it is no complete cure for it; for, after all, the fundamental problem, as the right hon. Gentleman admitted in his speech, is to get people back to work at the jobs to which they are accustomed, in which they are skilled, and of which they have experience. Therefore, the larger problem is that of reorganisation, of development, of the improvement of industry, and I say without fear of contradiction that no Government has ever entered into more serious consideration of this problem and consultation with the interests concerned than the present Government.

It is clear that we must do everything that we can to deal with this problem. [ Interruption. ] I suppose the ironical cheers of hon. Members opposite are an indication of their belief that you can do what you ought to do. We are all agreed—at least, reasonable people are—that we ought to do what we can to deal with this problem. There is no good to be gained by hon. Members opposite, because of their intellectual bankruptcy, turning to this question in a spirit of bitter hostility, or, at the best, of banter. [ Interruption. ] That is the spirit of the party opposite. This problem is far too serious for that.

I said when I began that we have on this side of the House more people who know from personal experience what unemployment is than have ever been in the House before. We are more concerned with this problem than any Government that has sat on these benches. We have in debate after debate no new constructive proposal put forward which was new to the party on this side of the House, though there may have been emphasis on particular proposals. I am prepared to agree that it may be that in the sphere of regional planning, or national organisation, or a detailed local organisation, there may be schemes still which ought to be put into operation. We are prepared to put them into operation. We are prepared to assist, as far as we can, in the problem of industrial organisation in the interests of the nation. Members of this side have no complaint that we have had a debate on this question. The right hon. Gentleman the Member for Carnarvon Boroughs, who has heard more debates on this question than I have, has said that none of them has been conclusive. That is quite true. [HON. MEMBERS: "Hear, hear!"] I do not see that hon. Members need take much credit for that. The reason is that we have not yet so organised ourselves that unemployment has become a minor problem.

I want to put this finally, in all seriousness, to the House, not as a party political point but what seems to me to be a simple point of economics, that, given a population in this country, or in the world as a whole, with its need for food, clothing, shelter and amenities, it ought to be possible to organise the world so that the labour power shall supply its needs without suffering on the part of individuals. It seems to me that that is the single problem that we have to solve. Human needs ought to be supplied, but they should be supplied without creating unemployment. The fact that we have not solved it is not due to the ordinary mass of working people, who desire to give their labour for their maintenance. It is due to the complications of an economic society which in the past has been governed by other people than Members on this side of the House. It is due to the fact that we have an economic society—I am not blaming individuals—the motive power of which is the private interest of the individuals who happen to be at the top of it and, until we learn how to organise the economic life of the community with a view to its supplying its own needs—

the problem of unemployment is still going to be with us. In all sincerity, however much we may have studied the programmes that have been put forward, including the programme of the Liberal party and that of this side of the House, however far we may go, however much we may alleviate this problem, even if we were to bring it down to the normal, we should still be left with this chronic disease of unemployment arising out of a system of society created by an earlier generation and defended by the party opposite to-day. I am prepared to say this at all times, that the position we are in to-day, accepting the post-War difficulties, is one that arose out of the existing order of society, and it still remains, and it is a difficulty that will continue to exist, whatever party is in power, so long as the motive force behind production is that of private profit.

I do not know whether the right hon. Gentleman the Member for Carnarvon Boroughs (Mr. Lloyd George) and the Liberal party feel that their experiment of having a debate on the eve of the Christmas Recess has been justified by the result. I intend to make my serious contribution to this debate, but I am sure it will be out of place in the general atmosphere which has lasted throughout the day. The right hon. Gentleman the Member for Epping (Mr. Churchill), the right hon. Gentleman the Member for Carnarvon Boroughs, and the Minister of Health, have all told us that this is a serious problem. It is not a matter of jests and for hurling gibes from one party to the other. But each one of them spent the major portion of his speech in doing just exactly that thing that he deprecated. There was a minimum of serious talk and a maximum of persiflage.

I have been now eight years listening to these unemployment debates, and I am satisfied in my own mind that it is not a question of which Government is sitting on that Bench. It is not even a question of the composition of the House of Commons. It is all a question of mood and attiude. I do not believe, in spite of the fact that we talk in terms of crisis, that any of us believe there is a crisis yet; otherwise, we should not come in here with our jests and our clever speeches. We should come with grim, serious faces as serious-minded men to tackle a serious problem in a serious way. I have never yet felt, in all the time I have been here, that the House has really made up its mind what it wants to do with this country. It has not yet made up its mind as to the kind of civilisation that it wants to build. We have not yet discarded the idea that we have to live in a poverty civilisation, maintained on this fear of starvation in the minds of the mass of the population.

I do not intend to continue the debate. I hope, when we come back after the Christmas Recess, we shall settle down to the job, but again I reiterate the view that, if this House is going to provide solutions for this problem, which has crushed the nation now for 10 years under three or four different Governments, which has taken up the time and thought of everyone in the place, which has hung like a black cloud over the whole nation, we have to start from the home of the common man, and start with the direct definite plan of putting into that home every week a regular income that would give him a standard of life that ordinary commonsense men and women can defend. That has never yet been faced by any of the parties. Right hon. Gentlemen opposite talk and work in terms of reducing wages; right hon. Gentlemen below the Gangway talk in terms of economy and social services, which is another way of reducing the standard of living; while with regard to my right hon. Friends here, though they talk in terms of better conditions for the people, in hard fact during their term of office the standards of life among working people have gone steadily down. [ Interruption. ] Did I here someone say "Nonsense"? It is too plain and black a fact to be denied. We have evidence of it in the cotton industry, the woollen industry, the mines, and the railways. It is there staring us in the face, and that is the evil fact that is taking the heart out of the people and the soul out of the nation, the fact that is happening inside working-class homes.

That is where the evil is and where it should be tackled. Get an income there, and I say there is still abundance of wealth in this country at this point. I do not say in 12 months or in two years, but there is still abundance of wealth in this country, surplus wealth in places where it is non-productive and of no social value. If, by sheer governmental power, you can put the income into the homes of the people, it will make more homes bright, will set the wheels of industry going and make the most immediate and effective impression on unemployment. I do not deny that if you are going to set up that standard in all homes, and maintain and progressively increase it, you will have to get a greater central and directive control by the Government of the internal industrial life of our nation. You will have to have central direction and distribution if you are to maintain that life. But you have to start with the standard of life of the people, and recognise this as a problem of consumption first and production afterwards, nad not the other way round. I will put before the Government one slogan: Put into the nation that spirit and drive that will maintain its place in the future as in the past, and provide a working income for every citizen as the object and intention of all our governmental work. By doing that, you will take the nation out of its stagnation, and its mental despondency, which is even worse.

We have had an admission from the hon. Member for Bridgeton (Mr. Maxton) that (during the lifetime of this Government the standard of living of the working classes has gone steadily down, and that, at any rate, is a courageous declaration for a member of the Labour party to make which we hope will be Remembered in the country. We have also had an admission from the right hon. Member for Carnarvon Boroughs (Mr. Lloyd George) that the result of a General Election at the present time would be the return of the Conservative party. It has been well worth while to have the debate to-night for those two admissions. From the right hon. Gentleman who has chosen to put the case of the Government to-night, we have had a disappointing speech. If there should be any unemployed man in the Gallery to-night, the most disappointing speech to which he will have listened will have been the one by the Minister, made on behalf of the Government, because in the course of 25 minutes he made not a single constructive suggestion regarding what the Government intended to do. It was full of banter and persiflage, but contained no constructive suggestion, on behalf of a Government that, after 18 months of office, has done nothing but reduce the standard of living.

On a point of Order. The hon. and gallant Member has repeated that statement twice. There has been no reduction of the miners' or railwaymen's standards, though perhaps in the steel trade there may have been; I do not know.

Steel trade wages are fixed on selling prices, and in the present Free Trade market wages are governed by Free Trade conditions. This question of unemployment which has been raised by the Liberal party is one in regard to which it is particularly vulnerable. That party has issued a pamphlet stating that it can deal with unemployment, yet they keep this Government, one of the worst, as they admit, of modern times, in office, and have not the courage to go to the country and let the country decide on the efficacy of their policy. The right hon. Gentleman the Member for Carnarvon Boroughs said he did not want to put this Government out in order to put the old one in. That shows that he has no trust or confidence in his own proposal. Let the country judge who is to go back. We of the Conservative party welcome his admission that we shall go back shortly, as I believe we will, on our programme of Safeguarding. The first opportunity we get of putting the present Government out we will take.

Another point on which the Liberal party is vulnerable is that of economy. In their green pamphlet, they place considerable stress on national economy, the Geddes axe, a 10 per cent. cut, and so on. On Committees upstairs, however, and elsewhere, I have been watching the antics of the Liberal party in the matter of economy. Where the spending of money is concerned, they have supported the Government in their expenditure, while we have done our gest to oppose it. [An HON. MEMBER: "What about your Motion?"] As the hon. Member knows, a private Member's Motion is not followed by any decisive action as is the case with proposals made in Bills which become Acts of Parliament. We had an example of the Liberal attitude in Committee to-day when five of them supported the Government in the spending of large sums of money on the Land Utilisation Bill. [ Interruption. ] The proof of that pudding will be in the eating of it, and I hope the country will have an opportunity of eating it shortly.

Coming to the Government who have to deal with unemployment at the present time, my complaint is that, a year and a half ago when they came into office, in the King's Speech in July, 1929, they outlined great schemes for transport, for stimulating the depressed export industries, and for helping migration, and right in the forefront of the Speech they placed, quite rightly, the question of unemployment. Where are those great schemes now? We are entitled to ask that question at the end of a year and a half. Where are the schemes to help the depressed export industries? I asked the President of the Board of Trade what the Government's policy was with regard to the iron and steel industry, and he told me that the Government's policy was announced clearly in a debate a month ago. I looked it up, and found that they told us nothing. They had no policy. They had no policy to help the iron and steel trade. When I asked the right hon. Gentleman whether he was aware that the workers in the trade were facing the worst winter for many years, I received no answer at all. The Government have no practical proposals to make at the present time. It is useless to burke the issue in that way.

As regards relief schemes, I have not the same faith in them as have hon. Members below the Gangway, though I agree that certain relief schemes, certain types of work, are useful, and serve a good purpose in the country. Only one-twelfth of the unemployed are finding work upon them. I have taken the trouble to find out the position in Scotland. We have 140,000 more unemployed since the Government came in, and only 9,500 are directly employed upon relief schemes. Where are the great relief schemes in Scotland? They are in the same position as they are in England. They have been lost, or they are in some pigeon-hole. [An HON. MEMBER: "They never existed!"] Or, as an hon. Friend says, they never existed. If the Government have a cure or any constructive suggestions to make to help unemployment, let them bring them forward now. We challenge them. If they have not, let them make room for those who have. We believe that we have constructive proposals to make at the present time in order to help the country back on to the road to prosperity. It is all very well for the right hon. Gentleman the Member for Carnarvon Boroughs to say that the country was in a bad state when the Conservative party left office. It was in a much better state than it is to-day. There were only half the number of unemployed that there are to-day, and there was a general improvement in the trade of the country. We know that world conditions have become worse since then, but the present Government have not done anything to protect British interests in these world conditions.

The antics of the President of the Board of Trade in regard to the Tariff Truce are a sufficient indication of what the Government are prepared to do to help British industry. We believe that at no distant date the country will be given an opportunity to judge whose proposals are best in order to meet the difficulties with which we are confronted. We have tried out Safeguarding on a small scale. As far as it has gone, it has been successful, and we are prepared to, and we shall, carry it out on a much larger scale when we come back to office. All this small talk which we have had today passes into insignificance before the fact that we have in office a Government which cannot tackle unemployment, and which will not leave office to allow those who can to do so. We hope that at an early date we shall have an opportunity of proving to the country that we have a policy which will help the country.

We know that safeguarding of industries alone will not bring this country back to prosperity. There is only one thing that will bring it back to prosperity, and that is hard work. The hon. Member for Bridgeton wants to put an income into every home, and so do I, but I want it to be done through wages and not through doles. When I say that hard work is the only thing that will help to bring the nation back to prosperity, I also say that safeguarding our home industries will be the one thing that will give us a chance of getting to work.

The hon. and gallant Member who has just spoken made reference to the iron and steel industry. We have in my constituency three iron and steel plants, or we had until January of last year. In the six years that I have been a Member of this House I have never ventured before to say anything on the subject of unemployment but, like all Members, I have gone home not once but a hundred times at midnight and in the small hours of the morning sick at heart with the debates on the subject of unemployment. The hon. and gallant Member suggested that the things that matter most in the iron and steel industry from the point of view of dealing with the problem of unemployment was the introduction of safeguarding. One of the most important iron and steel corporations in this country stated a week or two ago that they were not prepared to deal with the problem of reorganisation of the iron and steel industry, and they thought that the iron and steel companies in this country were justified in taking the same view, until they had protection of the home market.

I suggest to the hon. and gallant Member that bringing forward safeguarding as the technique for handling the problem of unemployment in the iron and steel trade is only to add difficulties to the existing situation. I am not going to enter into the controversies as to the merits or demerits of the systems of Free Trade and tariffs, but I do say that if to-morrow hon. Members applied all the safeguarding that they cared to apply to the iron and steel industry or to any other basic industry, they would not touch in any substantial degree the problem that confronts the British nation in respect of unemployment. There is not one hon. Member opposite who does not know that that is a statement of fact.

Is the hon. Member aware that the amount of iron and steel imported into this country, if made here, would provide work for a very substantial proportion of the unemployed in the iron and steel works of this country. It could be made here, with our capacity.

I am well aware of the claims and counterclaims that are made on this subject, and I know the recommendations of the Balfour Commission and the suggestion that safeguarding should be introduced. There is a mixed balance sheet in regard to this matter, and I am not going to go into controversy in regard to it. I am making the point that if Members of the Conservative party are going to encourage the iron and steel leaders in this country to say that safeguarding must be first in any scheme of reconstruction, even if they applied their remedy they are only adding to the difficulties that confront the nation at the present time.

Take my own constituency of Penistone. One of the three plants has been knocked out. Let us suppose that hon. Members opposite applied their Safeguarding. What is going to happen in regard to the iron and steel industry? Take the two countries from which we might reasonably hope to draw some reasonable deduction. I spent October in the United States of America. No one can complain that in the United States they have neglected to apply the technique of tariffs in looking after their iron and steel industry, but there is not one hon. Member who does not know that the iron and steel industry of America is, relatively, worse off than we are in this country. Take the condition of affairs in Germany. A fortnight ago I had sent to me a return of the unemployed in the trade union movement. They have 24 per cent. of their trade union workers out of work. There are 3,750,000 out of work in a highly protected industry, which can use every artifice devised by the State to protect itself on the lines advocated by hon. Members opposite.

I am not going to enter into a long argument with regard to the problem of unemployment, but I want to emphasise two points as briefly as I can. The present Government, notwithstanding all that may be said on the other side of the House, has tried within the restricted field of national policy to make a contribution towards the diminution of unemployment, and there is not an hon. Member who does not know that if the conditions of the capitalist system had remained what they were 20 years ago that we should register a lesser volume of unemployed in this country owing to the direct policy which this Government has carried out. I regret that we cannot do more in this field. I wish the policy put forward by the Liberal party could be explored further. I should like to see much more done in this field of a purely national policy. In the wider field, is it not simply a statement of fact to say that we as a Labour Government cannot conceivably hope to control the major causes which are producing unemployment at the present moment. The United States, who have all the technical devices which hon. Members opposite desire, and which should be Lord Beaverbrook's paradise and also a paradise for the late Prime Minister, have anything up to 7,000,000 out of work.

Is it not a fact that their unemployment has existed for only two years, while we have had ours for 10 years?

That is not true. We had, roughly speaking, 1,000,000 out of work until eight months ago, and the figures have gone up sharply since then. We have been confronted with the condition of affairs throughout the world, and we cannot hope, merely through a national policy in terms of tariffs or in terms of any kind of policy whatsoever, to control this problem which by its nature is an international problem. Hon. Members opposite say that at bottom this is another of the crises of capitalism and given time it will get out of the difficulty. We say that there is no way out of this problem unless a further degree of organisation is built up. That is what the President of the Board of Trade spent so much valuable time at Geneva to secure. He did not go there to work out the 100 particulars of a programme of the Labour party but to take a little bit here and get a little bit there.

He tried to get them to consider a wages policy as well as an hours policy from the international point of view, and also to consider a larger measure of freedom for the movement of goods and services across the Continent; a small and modest policy but the beginning of the only policy which will give us the mastery over the chronic disease of unemployment. The League of Nations is accumulating material which may help us to make some real contribution in the months which lie immediately ahead—

—but I hope that the hon. Member of the fourth party in this House, is not suggesting that we are in the dock on that count. That is an example of the breakdown of the capitalist system. The recent researches of the League of Nations into the matter of currency are of very great importance. We have reached the position of having the considered judgment of international experts that our various national systems of currency and the credit built upon them, are not adequate to meet the present situation. I hope that at the next Assembly of the League we shall have something like a world-wide demand for measures and regulations which will help us to handle the currency side of this problem.

Looking back over the past 10 years, we find that we have had a minimum of 1,000,000 people out of work all the time, but I think that the lowest figure reached before the War was usually about 600,000. I have heard Members of all parties say that that figure represented the bedrock minimum of unemployment in pre-War days. Taking the last 10 years as a guide a total of 1,000,000 people out of work is about the equivalent of the normal under the post-War capitalist system of Great Britain. We are advocating the reconstruction of British, industry. We have been held up, in part, because of the belief in Safeguarding, but we are pushing ahead, and in Lancashire and in Yorkshire and in the iron and steel trade, as we have heard, a process of reorganisation is proceeding.

That reorganisation is not going to solve our unemployment problem. We regret that we are not pushing ahead more rapidly with it, but we know we are not going to solve the problem by that method. We know that every improvement in the industrial system is going to increase the amount of unemployment. Every improvement in industrialism adds to the total volume of leisure which society possesses, and that is the greatest tragedy of the present time. Leisure underpinned by economic security is the crowning gift of the industrial system. Leisure has been described as the finest thing that civilisation can give. Assuming that we have education, that we have minds for enjoyment, and a reasonable measure of economic security, it is the greatest gift of modern industrialism, but owing to the anarchy with which it is distributed in men's lives it has become the curse of post-War society.

We ought to take a new point of view, and make a new approach to the problem of unemloyment. We are not going to get rid of it. What we want to do is to take hold of the problem from the point of view of the rationalisation of leisure, and see how can we so distribute leisure, how can we so use it, that we shall get rid of the present conception of unemployment altogether. I hope that among other Measures which the Government are considering, they will consider how to abolish overtime, how to add to the effective holidays of workpeople, how to bring in a shorter working day. Unless we tackle these things we are never going to rationalise this growing volume of leisure, which is far more important as a product than a number of the commodities which come from the industrial system. I am grateful to hon. Members for listening to what I have had to say on this subject with such patience and sympathy I want to em phasise the international aspect of this problem and to say that I hope the Labour Government will be encouraged to put new energy into making the International Labour Office and the League of Nations and the recommendations with regard to currency, from an international point of view, the centre and foundation of their thinking, while doing all that they can at home to organise both our work and our leisure along the lines which I have been trying to indicate.

I have had the privilege of listening in this House to many debates on unemployment, and I have heard quite legitimate allegations made by Members in Opposition against the Government of the day in respect to negligence on this question, but I do not think I have ever, in my experience in this House, heard a more pathetic reply from the Treasury Bench on such an all-important subject than I have heard to-night from the Minister of Health. We have been taunted by hon. Members opposite about seeking this debate in a frivolous spirit, but considering that we are twitted by a party which at the last General Election said quite frankly that they were in a position to cure unemployment and which got in by a lot of promises which they have never attempted to keep, I think we are perfectly justified in saying that a speech like that of the Minister of Health to-night was an insult to the intelligence of the House.

Hon. and right hon. Members opposite laugh at Safeguarding. It is true that some of us on these benches thought the last Government did not develop a Safeguarding policy as far as they might have done, but at all events they did remedy in certain trades, to a considerable extent, the unemployment of the people engaged in those trades by various Measures which they introduced and which I believe were opposed in bulk by Members of the Socialist party. Today we have had the courage to come out in the open and say that we believe that, if we occupied the Front Bench opposite, we should be in a position in some degree to remedy unemployment in this country. [An HON. MEMBER: "Why did you not do it before?"] That is no argument. We are dealing to-day with a problem of 2,500,000 people out of work, and hon. Members opposite are supposed to be those who peculiarly represent these people. They are the people who are supposed to be intimate with the conditions of labour and the lives of the workers. Therefore, if we have had the pluck to say that we have a policy and are prepared to propose it, unless they have a policy as well that they are prepared to support, they ought at all events to agree to give ours a trial.

Take the position of the Minister of Health. He gave to-day not one solid suggestion to benefit employment. There was more suggestion—I want to be quite fair—so far as an unemployment cure is concerned, from the speeches of both the hon. Member for Bridgeton (Mr. Maxton) and the hon. Member for Penistone (Mr. Rennie Smith). They at all events have theories which they desire to see put into practice, but the Minister of Health has nothing. He is absolutely empty of any sort of scheme to improve the employment of our people. He was not even fair to the right hon. Member for Carnarvon Boroughs (Mr. Lloyd George), who had the courage—and I give him every credit for it—to advocate a Liberal scheme which he desires to foist upon the Socialist party. I can well understand the position of the Minister of Health. He realises that if there is any credit attaching to these schemes, the right hon. Gentleman the Member for Carnarvon Boroughs will claim it in time to come. Therefore, he is not prepared to accept anything from him. Surely it is a piteous thing to find a Minister of the Crown coming to reply to an important debate just before Christmas, when the hardship of unemployment is probably greater than at any other period of the year, and not offering one hope of a concrete suggestion. [HON. MEMBERS: "Speak up!"] It is all very well for hon. Gentlemen to say "Speak up." They ought to be ashamed to come here at all, for after all, they are the people who say from the platforms of the country: "We are the people whose main idea in going to the House of Commons is to serve the workers." They do not want power; all they want is to devote themselves to the cause of the masses. We are told that on the platforms, but not in this House. I have heard the First Commissioner of Works speaking from the Opposition Bench, chastise the Members of the late Government for doing nothing in regard to unemployment. That was when unemployment was under 1,000,000. To-day, where is he? He is hiding behind the Speaker's Chair—[ Interruption. ]

I am sorry to be such a worry to the hon. Member.

I notice that the right hon. Gentleman never has the courage to speak in these debates. He is one of the people who in the last Parliament were insistent about the rights of the workers and the duty of the Government to find work and about young people doing nothing and drawing unemployment pay and thus sapping their moral. What scheme has he put forward to reduce the 2,500,000 people who are out of work under his Government? The only thing we have had from the right hon. Gentleman is his bathing Lido.

I do not want to indulge in personal attacks, but I am entitled to say that, ever since I have been in this House, I have expressed strongly the conviction that there can be no permanent cure for unemployment without a total change in the fiscal system. Whatever criticism may be alleged against the point of view which I expressed, there is no Member who has sat in the last three Parliaments who will not admit that I have always advocated that particular economic change. Hon. Gentlemen opposite are not consistent in their attitude. They appreciate that the old system of Free Trade must go, but they are scarced of accepting from their political opponents a policy which might improve the trade conditions of this country. If the First Commissioner of Works is consistent, and sees that his Government cannot provide any cure, and have no suggestion to make, and if he believes the only possible cure is a transference from a Capitalist system to a Socialist State, why does he remain in the Government? If he is sure his party can do no good without a total change I should think far more of him, and the country would think far more of him if he resigned his position; but if he believes that the Capitalist system, properly run, can develop employment, is it not up to him to consider an economic change which has not yet been tried as a possible remedy?

I would appeal to hon. Members opposite not to treat tariffs as a political question. They know as well as I do that if tariffs were not a part and parcel of the Tory political programme they would be prepared to agree to them to-day. [ Interruption. ] A large number of hon. Gentlemen who sit below the Gangway on this side doubt that. I do not take any note of what hon. Gentlemen sitting below the Gangway here say. All in this House know that they are a dying party. One great personality keeps them together more or less for the time being. But hon. Members opposite do not hold their antiquated views, and I say to their Front Bench that I welcome signs of revolution in certain of the groups behind them; not because I want to see the Socialist party disrupted—for the calm, dignified atmosphere of their Front Bench meets with applause from all sides—but because I want to feel that there will be pressure from the Socialist back benches to impress upon the hon. Gentlemen on the Treasury Bench the necessity for a change in our fiscal system.

In conclusion, I agree entirely with what was said by an hon. Member on this side as to the absurdity of the Liberal party bringing forward any Motion on unemployment. What are they themselves doing? They are dissatisfied with the present Government and they do not want to see the occupants of the Front Bench on this side of the House in office. Then what do they want? I must take it that they want a Government formed by the Liberal party. In that case there is the country at their disposal. They are the one party in this House who are in a position at any time to send hon. Gentlemen opposite and ourselves to our constituencies. They are in a wonderful position. [ Interruption. ] I know the value of the hon. Member for Leith (Mr. E. Brown) to the Liberal party is possibly second to none. They are in a position at any time to dictate a General Election and they have a programme, we are told by the right hon. Member for Carnarvon Boroughs—such a programme that if the Minister of Health would adopt only a portion of it the history of this country politically and economically would be changed. [HON. MEMBERS: "Hear, hear!"] I am glad to hear them all saying "Hear, hear," though the right hon. Gentleman who used to sit for one Division in Cumberland and now sits for somewhere down in Cornwall does not seem too elated. There is only one reason why the Liberal party do not take that course, and that is because they know that the people of common sense in the country want a policy of a definite nature, want something they can really believe in, and members of the Liberal party know quite well that the only possible policy to cure unemployment is one of strong Safeguarding and Protection for the industries of this country.

I do not want to detain the House more than two or three minutes, but the hon. Member and several other hon. Members have been good enough during this debate to call attention to certain things which I said and did when sitting on the opposite side of the House, and to the fact that I am in a Government which is not administering Socialism. I have spent 50 years of my life helping in the local administration of the affairs of this country, and I proclaim my faith in Socialism pure and simple. I believe in Socialism being brought about in a transitional manner instead of a revolutionary manner—in exactly the same manner as hon. Gentlemen opposite, who are Tariff Reformers and Protectionists, were in the last Parliament obliged only to administer and carry on as far as they were able without putting their whole policy into operation. Everybody knows that, and we are in exactly the same position.

There are three things which, when sitting in opposition, I have raised over and over again. One was the Section about not genuinely seeking work. I said, again and again, that men were murdered because of the operation and administration of that iniquitous provision. The Government and this Parliament, with the aid of hon. Gentlemen below the Gangway, have got rid of that nefarious Section, and therefore that is one thing that has been cleared out of the way. The next thing I have spoken of in this House was the diabolical slums in which many of my constituents live. The best Bill ever passed for dealing with slums was passed last Session by this Government. The third thing I have spoken about and appealed for, though my appeal fell on deaf ears time and time again—I repeat it now—was the position of young people. For the first time, the Government have brought in a Bill, which is now before the House, for the purpose of enabling young men and women who are out of work to go on the land, and it is meeting with strenuous opposition from hon. Gentlemen opposite. They have produced a number of my speeches. Again and again, I asked, as my hon. Friend the Under-Secretary of State for Scotland (Mr. Johnston) asked, that men who are out of work should be given an opportunity to fill up some of their spare time and save themselves from physical, mental, moral deterioration by cultivating allotments and land. My right hon. Friend the Minister of Agriculture has brought in a provision, for which a Supplementary Estimate has to be got, to enable unemployed men, not simply to be drawing unemployment pay, but at the same time to work on allotments as has been done by voluntary organisations, such as the Society of Friends and others, during all the years that there has been unemployment.

In conclusion, I want to say that I have proclaimed my faith in Socialism. International Socialism is the only remedy for the evils of to-day. The world is suffering not from under-production but from under-consumption of the goods it produces. We who sit here, whether on this bench or on the back benches, are in the midst of a society which we did not create and of a system into which we have been born. We are doing our best under great difficulties to transform that system into a cooperative instead of a competitive system. I am not at all concerned by the fact that hon. Gentlemen opposite consider me inconsistent, but in the charges which they make they will please to remember that this Government which comes in for all the denunciations it has received to-night, in regard to the three or four things which I have spoken strongly about in this House, have, within the last 18 months, carried legislation which has got rid of these evils.

The right hon. Gentleman who has just spoken described as a great iniquity the Section about "genuinely seeking work." I would like to ask whether he is aware that the great trade unions, in administering their funds, are particularly careful to see that their members are genuinely seeking work. If it is right for them, it is right for the Government to do so in order to save public money.

The trade unions never refuse a man unemployment bene- fit unless he refuses to take a job when it is offered.

That, I submit, is not an essential point of difference between us. It really comes down to a point of administration. I think the Section expresses exactly the principle on which the trade unions act. What really brought me to my feet was a statement made by the Minister for Health that the Tories, represented on these benches, were the inventors of unemployment. It was rather a startling phrase, and he went on to justify it by saying that we were capitalists. There are capitalists on these benches, with money invested, but we are not the only capitalists in the House. It is nonsense to say that capitalism invented unemployment. It grew up through the action of no party. The Liberal party had an influence upon it. Cobden passed his Corn Laws, not to benefit the worker, but to see that the manufacturer got cheap corn and therefore paid less wages to the workers in the factories. That was not a Tory invention. Capitalism grew up, just as exchange for money grew up from barter, and as international adventure introduced other things outside the primitive community. If there had not been a certain amount of organisation, such as capitalism was able to introduce, would not there have been a great deal more unemployment? If you say the State is to do it all, I would call your attention to Russia, where the State is trying to do it all under the five-years' plan. Will you genuinely say that workers in Russia are employed under conditions that our trade unions would even look at?

It is a ridiculous thing to charge either this party with being the inventors of capitalism, or capitalism with being the inventor of unemployment. Unemployment has grown up. There is a much more serious aspect of it. I had much sympathy with the speech of the hon. Member for Penistone (Mr. Rennie Smith) and also with that of the hon. Member for Bridgeton (Mr. Maxton), who, I thought, put the cant before the horse. He was talking of a period of international brotherhood. The whole production, distribution and consumption of the world are to be arranged on a great scheme which would tax the ingenuity of the Almighty to work out smoothly. We have not arrived at that point. There is no simple and inexhaustible fund out of which income can be paid into the pockets of people. The sound thing is to get employment for our people that will produce goods that our market can buy and that can be sold in the markets abroad. I have made this point on many platforms.

It being Eleven of the Clock, the Motion for. the Adjournment lapsed, without Question put.

Orders of the Day

Consolidated Fund (No. 1) Bill

Considered in Committee, and reported, without Amendment; read the Third time, and passed.

Supply

Considered in Committee.

[Mr. ROBERT YOUNG in the Chair.]

Civil Estimates, Supplementary Estimate, 1930

Class VI

Ministry of Agriculture and Fisheries

Motion made, and Question proposed,

"That a Supplementary sum, not exceeding £80,000, be granted to His Majesty, to defray the Charge.which will come in course of payment during the year ending on the 31st day of March, 1931, for the Salaries and Expenses of the Ministry of Agriculture and Fisheries, Expenses under the Agricultural Wages (Regulation) Act, 1924, a Grant under the Agricultural Credits Act, 1928, Loans to Co-operative Marketing Societies, Grants for Agricultural Education and Research, Grants for Eradication of Tuberculosis in Cattle, Grants for Land Improvement, Grants-in-Aid of the Smallholdings Account, and other Grants including certain Grants-in-Aid; and the Salaries and Expenses of the Royal Botanic Gardens, Kew."

On a point of Order. I wish to inquire whether this Supplementary Estimate is in order or not. May I, without touching on its merits, put very briefly the points about which I am exercised? On page 4 of the Supplementary Estimate, it is described as:

My second point is that the Bill is still before the House. The authority, apparently, for the Supplementary Estimate is to be found in the reproduction of Clause 14 on page 4 of the White Paper, as it now stands. I may remind you, Sir, that this is not the Clause even as it was introduced in the Bill. It has been amended, and there is no knowing that before the Bill leaves the House it will not be amended further on Report. If the argument had been that it had left the House and the other place could not touch it, one could have seen the strength of it, but the Bill is not through this House, and this Clause 14—though it is only a small point—is not in italics.

The third point is that, as I under stand it, a Supplementary Estimate is useless unless it has an enabling Act to authorise the Treasury to make the payment. If you wish me to elaborate that, Sir, I will refer to this year's report of the Public Accounts Committee, where a similar case arose with regard to unemployment and where rulings given by the Treasury and previous Committees of the House were re-affirmed, that it was not legal—this is the Treasury Minute—

I am not concerned with that. I am only concerned with the matter of order in the House.

Anyhow, the legal effect of a Supplementary Estimate is nil unless there is an authorising Act. The reason I raise this is that in the White Paper the second sentence says the money is required immediately. Even if it is required immediately, the passage of this Supplementary Estimate would not allow it to be spent.

That brings me to my last point. It is the age-long discussion of the powers of this House, as the guardian of the public purse, and the powers of the executive. The point is that it has always been ruled to be an abuse of the rules of the House to waste time. That is my last point. I have been at some pains to search for precedents but I can find none by which money voted in an Estimate can be spent except by the authority of an Act on the Statute Book or by the Appropriation Act, which comes at the end of the year. If there fore, the money cannot be spent—

Again, I am not concerned with whether the money can be spent or not. I am concerned only with whether this Committee can pass the Supplementary Estimate.

I am trying to point out that it is an abuse of the time of the Committee to ask it to pass a Supplementary Estimate when by law, if it is passed, it is entirely valueless. As it has been repeatedly ruled that one must not waste the time of the Committee I ask you, Mr. Young, on these points first, whether as a new service it is in order as it has been put under the wrong sub-head in the Estimate; secondly, as the Bill has not gone through the House, there can be no authority for this Estimate; and, thirdly, whether it is not an abuse of the time of the Committee?

I would like to put a further point in support of what my hon. and gallant Friend has said. In the Supplementary Estimate there is the sub-head J.1. Smallholdings (including Grants-in-Aid) £80,000. If you look at the main Estimate you will see various Acts quoted— the Smallholdings (Colonies) 1916–1918 Acts, Section II, 1919 Act, and Section III, 1919 Act. Now we have this J.1. added to these various small Acts, yet in the Title of the Supplementary Estimate I find no Act named. We are now asked to pass this, which is not described, so far as the Act which governs it is concerned, because no Act exists. I submit that it is illegal for us to pass this Supplementary Estimate, and I think you will say you cannot accept the view that it is legal. We have no authority under the Land Settlement (Cultivation) Act to pass this Supplementary Estimate.

I am not concerned with all or any of these Acts. I am concerned with the Estimate which the Committee is about to consider.

This point has turned up only once or twice in the 13 years in which I have been a Member of the House.

This is a Supplementary Estimate. I would refer the hon. Member to the Estimate itself, and he will find the words "including Smallholding Account and other sums, including Grants-in-Aid."

I will leave the point. On the bottom of page 4 of the Supplementary Estimate it says, "Expenditure out of these Grants-in-Aid will be accounted—"

I am not called upon to explain all this. I am concerned with the procedure of the Committee. If this is a matter for the Auditor-General, it is not a matter for me.

On that, before we go any further—[ Interruption ]—Members who do not want to listen should go out of the House. You will agree, Mr. Young, that I am putting a perfectly sound point of view. May I ask under what Act, if we pass this Supplementary Estimate—

I am not concerned with the Act. All I am concerned with is that this is a Supplementary Estimate and the main Estimate has already been passed. What the hon. Gentleman has to prove is that it is out of order as an addition to the main Estimate.

On a point of Order I want to ask you if it is not the case in the procedure of this House that a Member called to order three times is asked to resume his seat. As the hon. Gentleman has been called to order four times, should he not now be asked to resume his seat?

I am always anxious, when hon. Gentlemen and right hon. Gentlemen raise points of order, to give them an opportunity of putting their points of order. On two occasions I have drawn the attention of the hon. Gentleman to the fact that I have nothing whatever to do with Acts which have been passed. I am only concerned with the Supplementary Estimate in relation to the main Estimate.

Of course, I do not desire to question your Ruling, Mr. Young. We have Clause 14—

I must tell the hon. Gentleman that I have nothing whatever to do with Clause 14 of the Bill which is upstairs. There is no reason for him to ask me any questions on this Supplementary Estimate, which is within the province of the Minister. All that I am concerned with is the Procedure of the House.

I accept your Ruling, and, when the time comes, if you will permit me, I will put my points.

I am very much obliged to the hon. and gallant Member for Gainsborough (Captain Crookshank) for giving me private notice of the fact that he was going to raise this question. The first point he asked me was whether, in fact, this was not an Estimate for money based upon a Bill which has not yet passed through this House, and he said that as far as he knew there was no precedent for doing such a thing. Unfortunately, for him, there is a precedent and a much stronger precedent. In 1907, I think it was, Lord Balfour, then a Member of this House, addressed a similar question to the Speaker of the day. In that case, the Bill had not passed the House. There was no Bill. The Speaker pointed out that it was not part of his duty to decide what estimates the House chose to pass, and consequently I base myself upon his Ruling, and therefore say that, if it was no part of his duty in the House as such, it is no part of my duty in Committee.

With regard to the second point in relation to this being a new service, I do not agree that it is a new service. This Estimate is taken to assist smallholdings. It is true that it has an extra Sub-head, but there is nothing to prevent the Committee passing an Estimate even under an extra Sub-head for the purpose of assisting the provision of smallholdings. Even if it were a new service, it would not prevent the Committee from passing the Estimate. I have been appealed to by hon. Members on this side of the Committee to allow a wider discussion, not only during the present Parliament, but during the Parliament of 1924 because of what was claimed to be a new service. Here also I have to rule against the hon. and gallant Gentleman.

It is not for me to talk about the waste of time. If this Committee passes the Estimate, there can be no waste of time in so doing as far as the Chair is concerned.

This Supplementary Estimate, coming after the debate which preceded it, may appear to some hon. Members to be getting down to small things, but in a real sense the provision of modest allotments with which the Supplementary Estimate deals, will be a very real thing for the unemployed. The reason for the introduction of a Supplementary Estimate at this time is to enable the work to proceed under which persons will be given allotments, and they will be able to cultivate them during the ensuing weeks. Amongst those who have been unemployed a long time there is a great longing to get a bit of land which they can cultivate, and on which they can grow food for themselves and their families. The cost of this provision, in view of what I think it will yield, is extraordinarily small. Local authorities by this grant will be enabled to cover any losses which may arise out of the acquisition of land for allotments, and, in addition, they will be able to help to finance the organisation of the allotment societies, and to make grants to the men who are unemployed by providing seeds, fertilisers, tools and so on.

During the past two years there has grown up quite spontaneously in the country a very noteworthy and splendid voluntary movement, working in association with the local authorities, which has provided a large number of allotments. I do not know to what extent we shall be able to make further progress during the next few months, but, according to the applications which are before us, if we can get the land quickly, before the spring comes, I think we ought to be able to provide allotments for at least 100,000 unemployed men. It all depends upon the factor of time as to whether we shall be able to get the land into use next spring. It is on that account that I am asking the Committee to pass this Estimate to-night. It is expected, judging by past experience, that most of the expense on seeds will gradually be repaid. Advances will also be made for the purchase of tools, fencing and so forth, and although we shall do our best we do not expect to recover the whole sum. I have no doubt that there will be some men who have been unemployed so long and will be so hard up that it will be more than we can expect that they should pay a modest rent for their allotment and some return for what has been advanced to them. Therefore, although we shall do our best in association with the allotments organisation and the local authorities to get a reasonable measure of repayment, we do not expect to recover it all.

We have already created an organisation which is at work to stimulate the gathering together of the unemployed, to help them to sort themselves out and to acquire land, and to get along with the hundred and one small details which have to be attended to up and down the country. That organisation is held back from going on with their work because there is no finance at our disposal to help them. If grants can be made to help them, I believe that we shall get a return in the way of useful, self-respecting employment which is entirely incommensurate with the small sum involved.

I am sure that everyone sympathises with the ideal of the Minister. It is far better for unemployed men to get work on allotments than to stand about at street corners doing nothing. I want to raise one or two points about this Supplementary Estimate. Although this may be regarded as an emergency, I do not think it is a precedent which should be followed. If this Estimate is passed to-night, and I do not doubt that it will, and goes through Report stage to-morrow, I want to ask where the money is coming from? It is quite obvious that the Supplementary Estimate itself, without the force of an Act of Parliament, and without an Appropriation or Consolidated Fund Bill, will not authorise the issue of money from the Treasury, and I presume that it will have to come out of the Civil Contingencies Fund. If I am correct in that, I desire to point out that while this Supplementary Estimate is being presented before the Bill has been considered, it has generally been arranged that both Supplementary Estimate and the Bill should receive the Royal Assent at the same moment. I mean that the Act of Parliament and the Appropriation Bill validating the Supplementary Estimate have been presented for Royal Assent simultaneously. In this case, the Bill is not yet through Committee stage, and it is quite possible that the Minister may have to amend this Clause before the Report stage. Therefore, I stress the point that, while it may be an emergency consideration, to which we are prepared to agree, I hope that it will not be taken as a precedent for future action. I realise that unless the right hon. Gentleman gets this money before Christmas he will not be able to put the scheme into operation before next season, and in the present condition of unemployment that would be a grave misfortune, but I protest at what may be regarded as emergency legislation being mixed up with controversial legislation of another kind. If the right hon. Gentleman had been satisfied to introduce a Bill dealing with this emergency, it would have passed quickly. He could have got his Bill, and the Supplementary Estimate could have been put into the Consolidated Fund Bill and the financial procedure regularised. I must protest against this being regarded as a precedent for future action.

I want to know where this money is coming from. It is quite clear that it cannot be paid out of the Treasury, unless there is authority of an Act of Parliament, or out of the Consolidated Fund Bill. The right hon. Gentleman says that he requires the money in the next few weeks. I should like to know whether the Treasury hold the view they did earlier in the year when they reinforced in their evidence before the Public Accounts Committee the long established constitutional position in regard to this matter. I may be allowed to give the quotation:

"My Lords concur in the opinion of the committee"—

This was a committee of as long ago as 1885, but the opinion has been reaffirmed time and time again since.

"as to the danger, both on financial and constitutional grounds, of any general adoption of the view that the distinct terms of an Act of Parliament may be over-ridden by a subsequent Vote supported by an Appropriation Act."

If the Treasury view is that it is of doubtful legality, or even that it is doubtful constitutional procedure, to seek to over-ride an existing Act of Parliament by a Supplementary Vote, then, surely, a fortiori the case is much stronger when there is no Act of Parliament at all. If the Treasury view is still what it was, to our own knowledge as Members of this House, earlier in the year, then it seems that the Minister is asking for something which the Chancellor of the Exchequer will not give him. Therefore, I am driven back to the argument—much as we all want this Vote to be passed—that the Minister, having mismanaged affairs, in not introducing his Bill, sufficiently early, is now making use of the Supplementary Estimate, in order to be able to go round telling the country and the unemployed of the great things he proposes to do, whereas, in fact, he will be, by the Treasury itself, precluded from doing anything until later.

The point raised by the hon. and gallant Member and mentioned by previous speakers had not escaped my attention, and before I approved of the submission of this Estimate to the House I very fully considered the matter. The hon. and gallant Member for Gainsborough (Captain Crookshank) and the hon. Gentleman the Member for Farnham (Mr. A. M. Samuel) are not correct in the attitude which they have taken—the hon. and gallant Member for Oxford (Captain Bourne) did not put it so definitely. There are two points involved. In the first place, this is not a case of overriding an Act of Parliament. It is not a case in which, Parliament having definitely fixed a limit, it is proposed to exceed that limit in certain ways. As a matter of fact, on the question of precedent, the late Government did actually take that very strong step of overriding an Act of Parliament by a Supplementary Estimate and an Appropriation Act, and it is with regard to that case that we have this report of the Public Accounts Committee. This case is entirely different. This is not overriding an Act of Parliament at all, but simply undertaking, by means of a Supplementary Estimate, a service against which there is no Act of Parliament, as there was in the case of the other item mentioned. The second point, which, I think, escaped the hon. and gallant Member's attention is that in this very report, the Committee themselves recognise certain exceptions to their rule. It will be observed that the passage which he quoted contains the word "general"—

"My Lords concur in the opinion of the committee as to the danger both on financial and constitutional grounds of any general adoption of the view" etc.

—and then, in the next paragraph, they proceed:

"It is desirable, in the interests of financial regularity and constitutional consistency, that such procedure should be resorted to as rarely as possible and only to meet a temporary emergency."

I certainly agree with that, and I have no desire that this procedure should become the general rule. I am prepared to give an assurance that, as long as I am Financial Secretary to the Treasury, I shall see that it occurs as rarely as possible and only to meet an emergency. In a later paragraph the Committee say, with regard to this particular emergency:

"Your Committee recommend that appropriate legislation should be introduced forthwith."

The action which the late Government took was somewhere in 1928, and many months and even more than months have elapsed before the time has come to implement that proposal. The general attitude of the Treasury on this matter is that where an emergency action of this kind is taken, such an extension should be regularised at the earliest possible date by amending legislation unless it is of a purely emergency and non-continuing character. In view of the fact that the particular Section of the Act by which this action is to be regularised at the earliest possible moment is one which in Committee met with general concurrence, I think the Treasury was perfectly justified in this emergency in proceeding in this way.

It will be paid from the Civil Contingencies Fund, and it will finally be embodied in the Appropriation Act of the year.

The hon. Gentleman the Financial Secretary to the Treasury did not mention the fact, as he might have done, in support of this action, that the Committee actually expedited the passing of this particular Clause, showing that there was general agreement on the point.

I entirely sympathise with what has been said from these benches in favour of this particular project, but as this is a very unusual proceeding, I do not think we are at all wasting time in making quite sure that we understand the position exactly. Provided that this matter is, duly regularised by an Act of Parliament within a short time, everything is in order and no harm is done, except that we have adopted a course which should only be taken in cases of emergency. I am not suggesting that this matter is not likely to be regularised, although I feel that the Government are taking a certain risk where they are seeking to regularise it by an uncontentious small portion of a long and highly contentious Bill.

Presumably, if there were difficulty in passing into law the other portions of the Bill, there would be the necessary steps taken to pass as a separate Act the part of the Bill dealing with this particular matter, but the point on which I should like to hear whether the Minister of Agriculture agrees with me is this: Supposing by any mischance this matter were not regularised by an Act of Parliament, I understand that it is intended to spend the money before it is regularised, and it has been suggested that that is a course which ought not to be adopted except in cases of real emergency. I suggest that if by chance the money were spent and the exepnditure were never regularised by Act of Parliament, there should be a personal responsibility on the part of the Minister concerned for that money. The Financial Secretary shakes his head, but I was rather hoping that he would admit it, because that would be at any rate one of the best methods of warning Governments in the future against adopting these emergency courses unless there should be the very clearest of reasons for doing so. If I am not right in that, I should like the Financial Secretary to tell me what is going to happen supposing by any mischance this were not regularised by a subsequent Act of Parliament, the money having in the meantime been already spent and raised in the way the hon. Gentleman has described by Ways and Means advances out of the Civil Contingencies Fund. I should be glad if the hon. Gentleman can give me his opinion on that question.

I beg to move to reduce the Vote by £1,000.

I agree that there is no hostility on this side of the Committee to allotments, but rather a genuine desire that some help should be given in this respect. It has been said that there is an emergency. There is no reason, however, why the Government should bring in a Supplementary Estimate at this time, just before we are about to rise for Christmas. It could have been brought in, if there were any real emergency, last summer. That would have given much more time for the preparation of this Bill. The real reason why this supplementary is brought in is the sloppy and inefficient management at the Treasury and the Ministry. When we have an Estimate of this kind, under which the taxpayer is to be called to find £80,000, certain definite rules should be laid down in the expenditure of the money. According to the Bill, it is to be spent mainly on seeds, fertilisers and implements, and I would like to know if the Minister has made any arrangements in his administration of the Bill so that this money will be spent on British goods. In many Government Departments British goods are bought, and the Minister may be able to help in this respect. There is, however, nothing in the Clause which will compel the Government to spend the money in this country or to prevent it being spent on foreign materials. What proportion of this £80,000 will go to expenses, and what to material? Before we grant this money we would like to be assured that a large percentage of it will be spent on materials and not go on expenses of administration. [ Interruption. ] Some hon. Members opposite appear to have become rather fatigued by listening to the Minister in his hour of defeat upstairs earlier in the day. I would ask the Minister, remembering that defeat, to give us an assurance that as little money as possible will be wasted on administration.

Will the Financial Secretary give me an answer to the question I asked him a few moments ago as to what would happen in a certain event?

The Minister takes the responsibility for the money. The Vote will be put into the Appropriation Act for the year. Tonight, what we are doing is to get the definite sanction of the Committee—and subsequently we shall ask the sanction of the House—to spend the money. We presume that the House will not go back upon that in the Appropriation Bill, and that gives us sufficient justification for spending the money.

But if, for some good reason, Parliament did not see fit to do that, I take it the hon. Gentleman agrees that he would have to come to this House to pass an Act of Indemnity?

I am afraid we are passing to discuss something which we are anticipating may happen.

I am sorry if I strayed, and I will confine myself quite strictly to this Vote. Does the hon. Gentleman suggest that no indemnity or, to use a comparatively slang word, no "whitewash," would be required if this money were spent and Parliament subsequently refused to pass the regularising Act?

If that happened it would be within the province of Parliament to deal with it, but at the moment we are not concerned with that.

With great respect, we are asked to pass a supplementary Estimate and I suggest that we have a right to ask for an explanation from the Government as to results which are likely to happen from the passing of that Estimate. That is all I was asking.

There are many Estimates taken on which the hon. Gentleman could equally ask questions about what is likely to happen. At the moment, we are concerned with passing the supplementary Estimate in Committee, and, later, the necessary steps to make the supplementary Estimate valid will be taken. If thereafter anything crops up, that is a matter for later consideration and not for the Committee at this moment.

The hon. Member is asking a question which at the moment cannot be answered.

This money is about to be spent and the Minister is going to make orders in the next few weeks. I am asking whether the seeds are going to be British or foreign. That is surely a thing which the House has a right to know. The Minister must have some knowledge of it, and I feel sure that he can answer. There will be later stages when I can press this matter, and I have no wish to delay the proceedings, though I could make a long speech on the point.

Perhaps the hon. Gentleman will ask the question without making a long speech.

I have replied to that question several times upstairs. The hon. Member knows perfectly well that whenever possible we shall certainly buy British seeds. I cannot tell him whether it might or might not be necessary to buy a few odd seeds somewhere else.

Question, "That a Supplementary sum, not exceeding £79,000, be granted for the said Service," put, and negatived.

Original Question put, and agreed to.

Department of Agriculture, Scotland

Resolved,

"That a Supplementary sum not exceeding £10,000, be granted to His Majesty, to defray the Charge which will come in course of payment during the year ending on the 31st day of March, 1931, for the Salaries and Expenses of the Department of Agriculture for Scotland, including Grants for Land Improvement, Agricultural Education and Training, Loans to Co-operative Societies, a Grant under the Agricultural Credits (Scotland) Act, 1929, a Grant in respect of the Hebridean Drifter Service, and certain Grants-in-Aid."

Resolutions to be reported To-morrow; Committee to sit again To-morrow.

National Health Insurance (Prolongation of Insurance) [Money]

Resolution reported,

"That it is expedient—

Resolution agreed to.

Bill ordered to be brought in upon the said Resolution by Mr. Greenwood, Mr. William Adamson, Miss Lawrence, and Mr. Johnston,

National Health Insurance (Prolongation of Insurance) Bill,

"to amend Sub-section (3) of Section three of the National Health Insurance Act, 1924, and to make financial provision in connection with such amendment," presented accordingly, and read the First time; to be read a Second time To-morrow, and to be printed. [Bill 74.]

The remaining Orders were read, and postponed.

It being after half-past Eleven of the Clock, Mr. SPEAKER adjourned the House, without Question put, pursuant to the Standing Order.

Adjourned at One Minute before Twelve o'clock.