EXCHEQUER CONTRIBUTIONS 137 



to local matters. That is not the case, but the contrary ; but 

 having corrected, I hope, that misapprehension of fact which 

 does not prevail among you, I am sure, but which prevails among 

 people outside who have not studied the case I can only say 

 that this is a matter which is seriously engaging the consideration 

 of my right honourable friend and myself, and that the special 

 points which you have brought before us to-day, such as the main 

 roads and the lunatics I think that those are the things which 

 struck me the most, but there are others also will not escape our 

 attention, and we are greatly indebted to you for the additional 

 light which you have thrown upon them." 



A further statement on Exchequer Contributions, emphasis- 

 ing certain portions of the earlier report, was approved by 

 the Chambers and sent to Ministers . This elaborated the figures 

 relating to highways and bridges, which, owing to abbrevia- 

 tion, had been somewhat misunderstood. It quoted Mr. 

 Asquith's reply to the deputation (above), but pointed out 

 that some relief might be given without waiting for a Valua- 

 tion Act, as taking the five chief national services the 

 police could be dealt with per head ; lunatics, per bed ; 

 education, per child ; poor relief, per inmate and per official ; 

 and main roads, per mile. It gave the percentage paid by 

 the State and by rates for these services, based upon the 

 expenditure of 1904-5 (the last then available), as follows : 



Paid by State. Paid by rates. 

 Per cent. Per cent. 



Police and police stations ... 39 61 



Lunatics and lunatic asylums 25 75 



Education 52 48 



Highways and bridges ... ... 14 86 



Poor relief 9 91 



The statement then quoted the following extract from a 

 speech by Viscount St. Aldwyn at Gloucester, on 21st March, 

 which the Chamber emphatically endorsed : 



" He thought the principle on which relief should be based 

 was wisely laid down by Sir Massey Lopes as long ago as 1868 

 viz., that the Exchequer ought to relieve ratepayers of expendi- 

 ture which was not dependent upon local control. That principle 

 was acted upon fully with regard to the prisons, and the result 

 had been great improvement in the efficient and economical 

 administration of the prisons throughout the country, and the 

 ratepayers had been relieved of their total cost. That was the 

 principle which, to his mind, ought to be acted upon in any reform 



