London, 30th April.
Chancellor of the Exchequer Asquith presented the frst budget of the new Liberal administration to the House; of Commons to-day, showing that steadily growing' prosperity of the country in 1905 has continued in the first quarter of 1906.
Mr. Asquith called attention to the progressive diminution of the yield of duties on alcoholic liquors, The change, he added, had apparently affect-classes of society, and-would be hailed with pleasure by aecial reformers. But he doubted whether it was safe to base thereon any wide generalization ax to " vast change in social habits.
Mr. Asquith estimated the expenditure for 1906.07 at $708,930,000 and the revenue at $724,300,000. There would be, therefore, an estimated surplus of $16,370,000.
The Chancellor than surveyed the general financial position, referring expecially to the growth of the nation indebtedness to the hugo total of $3,944,960,000, and dwelling on the gigantic sums devoted to the navy and army.
He said he believed that when he introduced the budget for 1907 he would be able, without any material weakening of the efficiency of the national services, to effect " substantial saving.
Ho purposed at the moment to discontin carrying out naval and mi on borrowed money.
The floating debt now stood at the serious total of $278,760.00, and it was 8 source of the greatest disquietude because it seriously hampered the countcy's borrowing powers should a sudden emergency aris After announcing various measures Asquith he did not purpose to for the reduction of this debt, Mr.
reduce tt income tax, but the time had arrived for an enquiry into practicability of a graduated tax, and a strong select committee would be appointed to report on the question.
'Mr, Asquith then announced that the balance of the surplus would be applied to a complete repeal of the export duty on coal, absorbing $5,000,000; " reduction of' 2 centa in the tea duty from Ist July absorbing another $4,600,000, and taking 5 cents off stripped tobacco, g the duty thereon 76 cents. This, he said, would be retrospective 81st of March and cause no appreciable loss of revenue.
Former Premier Balfour congratul ed Mr. Asquith on the lucidity of his statement, but criticised some of the features of the budget.—Kobe Herald."
Text read from the printed page and cleaned; old type leaves the occasional error.