§ EARL FITZWILLIAMpresented a petition from the Board of Guardians of the Wellingborough Union (Northamptonshire), praying that all Property may be required to contribute its fair and just share towards burdens which ought to be equally borne by all. His Lordship said that the question was one of considerable importance at the present moment; and, taken in connexion with a remarkable document which had been recently published by a Member of Her Majesty's Government, was of especial interest. The document to which he alluded was one of very great importance; but emanating, as it did, from the Minister who was specially charged with the administration of the finances of the Country, the interest and value attaching to it could not be too highly appreciated. The document to which he had referred had appeared in the usual channels of information; it had attached to it the name of the Chancellor of the Exchequer, and it stated that "in preparing the financial statement for the year, it was officially represented to me that I must contemplate, in estimating the produce of the income-tax, a diminution of rent not much less in amount than 5,000,000l. sterling." But then the right hon. Gentleman went on to state—and this was a remarkable passage to which he (Earl Fitzwilliam) was desirous of drawing their Lordships' attention—that, "practically speaking, in this country rent has become a return for the capital invested in the improvement of the land. Laws to secure a return for such investment are not for a moment to be tolerated"—a most important admission—a most remarkable expression from so high a quarter—"not for a moment to be tolerated"—their Lordships would observe that it was not a question of present policy, but whether such laws ought to be "tolerated;" that "laws to secure a return for such investment are not for a moment to be tolerated; but laws which, by imposing unequal taxes, discourage that investment, are, irrespective of their injustice, highly impolitic; for nothing contributes more to the enduring prosperity of a country than the natural deposit of its surplus Capital in the improvement of its soil. Justice to the land, in all systems of finance, is equally the interest of the proprietor and the farmer, but it is also equally the interest of the community". There could be no doubt that justice to every class of society was the interest of the community. 377 But, passing on, he came to the following paragraph,: which was one of very remarkable import, and which he desired particularly to impress on their Lordships' minds: —"Every principle of abstract justice, and every consideration of high policy, counsel that the producer should be treated as fairly as the consumer, and intimate that when the native producer is thrown into unrestricted competition with external rivals, it is the duty of the Legislature in every way to diminish, certainly not to increase, the cost of production. It is the intention of Her Majesty's Ministers"— let their Lordships observe that—"it is the intention of Her Majesty's Ministers to recommend to Parliament, as soon as it is in their power, measures which may effect this end." He (Earl Fitzwilliam) trusted that it was the intention of Her Majesty's Ministers also to carefully consider the means by which they proposed to accomplish that end. The right hon. Gentleman then proceeded to tell them what were the means for accomplishing it. "One of the soundest means, among others, by which this result may be accomplished, is a revision of our taxation." Now, here they had the general proposition laid down that they were to have a total revision of taxation; and it might be wise and desirable to do that, and the results of such a revision might perhaps be perfect justice to all. But he would take leave to say, that any great and extensive changes by which burdens which had hitherto been imposed upon one class of the community were transferred to another class of the community, ought not to be lightly undertaken, or undertaken without a full and careful consideration of all the consequences that might ensue from adopting such a step. The document then went on to say—"The times are favourable to such an undertaking; juster notions of taxation are more prevalent than heretofore; powerful agencies are stirring, which have introduced new phenomena into finance, and altered the complexion of the fiscal world, and the possibility of greatly relieving the burdens of the community, both by adjustment and reduction, seems to loom in the future." Undoubtedly, if any means could be adopted by which a reduction of taxation could be effected, it would be exceedingly expedient to adopt them. But he might be permitted to say he was by no means sanguine of the benefits to be derived from "a revision of taxation;" and be believed if their Lordships travelled across the 378 Channel, they would find the local taxation in the different departments greater than the local taxation in the local districts of this country. He was satisfied that the revision of taxation which was aimed at would lead to great expenditure in many cases, and could not be made subservient to the general advantage of the community. He would therefore warn his friends at Wellingborough, who had done him the honour of entrusting him with their petition, not to be too sanguine in their expectation of any benefit they might desire from a general revision of taxation.
§ Petition ordered to lie on the table.