§ 12. Lord APSLEYasked the Secretary of State for the Colonies how many Colonies are not able at the present time to balance their Budgets out of current revenue; and what action is being taken in each such case?
§ The UNDER-SECRETARY of STATE for the COLONIES (Mr. Malcolm MacDonald)As the answer to this question is rather long, with the Noble Lord's permission I will circulate it in the OFFICIAL REPORT.
§ Mr. MAXTONCan the Under-Secretary say whether there is a considerable number of Colonies in the position which the Noble Lord suggests?
§ Mr. MacDONALDI am not certain of the number, but the hon. Member will be able to add them up when the answer is circulated.
§ Following is the answer:
§ The following Colonies are not able at the present time to balance their Budgets out of current revenue:
| Straits Settlements. | Kenya. |
| Tanganyika Territory. | |
| Federated Malay States. | Northern Rhodesia. |
| Ceylon. | |
| British Guiana. | Somaliland. |
| British Honduras. | St. Helena. |
| St. Lucia. | British Solomon Islands Protectorate. |
| Antigua. | |
| Dominica. | |
| Montserrat. | New Hebrides Condominium. |
| The Virgin Islands. |
§ Of these Colonies, Somaliland, St. Helena, and the West Indian Colonies, except the Virgin Islands, are receiving grants or loans from His Majesty's Government to meet their deficits. Joint assistance is also being provided by the United Kingdom and French Governments to meet the deficit of the New Hebrides Condominium Government. In the case of Kenya, the Straits Settlements and the Federated Malay States, steps are being taken to deal with the situation by means of economies and/or increased taxation.
§ Although the preparation of the Budget of Ceylon is a matter for the Board of Ministers, the Secretary of State has called attention to the probable necessity of imposing additional taxation or of effecting suitable and adequate economies or a combination of both these methods in order to maintain financial equilibrium. In Tanganyika Territory the deficit is being met from the proceeds of a loan to repay the cost of works constructed out of revenue, and in Northern Rhodesia the steps to be taken are under discussion with the Governor. The Virgin Islands and the British Solomon Islands Protectorate Governments are meeting their deficits from surplus funds.