§ MR. McCRAE (Edinburgh, E.)I beg to ask Mr. Chancellor of the Exchequer under which Finance Act provision is made for a realised deficit, or part thereof, being carried forward into the accounts 714 of the succeeding year; and whether it is proposed to lay Supplementary Estimates to provide for the balance of last year's deficit amounting to £1,500,000.
§ THE CHANCELLOR OF THE EXCHEQUER (Mr. AUSTEN CHAMBERLAIN, Worcestershire, E.)If the hon. Member will be good enough to look at my Budget Statement of last year he will see how I proposed to deal with the draft made upon balances. Neither a Supplementary Estimate, nor any provision in the Finance Act, is required to carry out those proposals. The Sinking Fund Act of 1875 gives the Treasury standing powers to apply any surplus revenue in strengthening balances.
§ MR. McCRAEMay I ask the right hon. Gentleman whether there is any precedent for not meeting a deficit by taxation?
§ MR. AUSTEN CHAMBERLAINOh yes, Sir, there are plenty of precedents, and I quoted some in the course of the Budget discussion last year. I should be inclined to think the course I have pursued is the more usual one.