§ I come now to the current year. As regards the expenditure, all the items are in the Blue Paper with the exception of the amounts of the Votes of Credit and the Debt charge. As regards the Votes of Credit, I should like to call attention to this fact, or what seems to me to be the fact. A suggestion is sometimes made, or implied, that the soundness with which our finances are conducted is to be judged by the nearness, or the reverse, with which results correspond to the Estimate. That, I think, under present conditions, is an entire fallacy, and if any hon. Member had the duty, which has fallen upon me, of estimating for the coming year, he would say, I am sure, that in this view I am right. In ordinary times the Estimates are based on specific demands which can be dealt with, but in time of war, not only are the demands varied by the exigencies of the War, but in reality the demands of the fighting forces arc limited only by the possible supplies, and that is a factor which no foresight can tell in advance. With this preface, I come now to the Estimate of the Vote of Credit for next year. I may say, however, that while I think it would be almost impossible, indeed absurd, for the Chancellor of the Exchequer to alter the Estimates given by the fighting forces, there are some general considerations which ought to be taken into account, and, though this is making a prophesy which the event may very likely falsify, I have myself come to the conclusion that, as we have nearly reached the possible limits of supply in this country, the probability is that the Estimates this year will not be greatly exceeded. The Estimate for Votes of Credit for next year is £2,550,000,000, as against an actual expenditure last year of £2,403,000,000. It is at the rate of £6,986,000 per day, as against a daily average expenditure last, year of £6,583,000. All the details which can properly be given will be contained in the White Paper relating to the Vote. I shall give only the amounts for the Army, Navy, Munitions, and Air Services which are put down. The Estimate for next year is £1,861,000,000, against an expenditure last year of, approximately, £1,560,000,000. Another item, of which we have to make an Estimate, is the advances to the Allies. For the reason I have already given—the possibility of an alteration in the system of advances between the United States and ourselves—this Estimate can be only 697 a guess, but we put it down at £300,000,000, whereas the amount which we allow for advances to the Dominions is £50,000,000. I should like to remind the Committee how small throughout the War this amount has kept, showing how great has been the desire and how great the success, not only of Canada, to which I have already referred, but of all the other Dominions to meet their own War expenditure out of their own resources.
§ The only other item of expenditure not included in the Blue Paper is the Debt charge. This amount is put at £315,000,000, of which £53,000,000 is estimated as being required, to meet obligations to be incurred during the coming year.