THE RURAL PROBLEM 109 



a water supply, which is resisted by a Ecw farmers (mostly 

 tenants of absentee landlords) because it would put a little- 

 less than a farthing on the rates. A district within 23 miles 

 of London is without an isolation hospital. A case of diph- 

 theria which occurred last year in a cottage spread to every 

 member of the family, and there being but one bedroom 

 and a landing, the village nurse could not come. The milk 

 and bread were left on the doorstep in all weathers and 

 whichever of the inmates was least ill took them in. In 

 the result the whole family was hors de combat for months 

 and other cases recurred in the same village. Another district 

 within 30 miles of London is also without an isolation 

 hospital. There were one or two cases of scarlet fever in the 

 summer a year or two ago. The schools were closed ; the 

 richer residents fled the village with their children and left 

 their houses unoccupied ; the holiday tenant of the vicarage 

 threw up his let and the vicar could not get his holiday ; the 

 village shopman lost hundreds of pounds in loss of custom. 

 And all because the local authority is afraid of the rates. 

 Shortsighted local economies result in widespread national 

 extravagance. It is in the interests of all to make it worth 

 the ratepayer's while to adopt a more far-seeing policy. 

 How can this be done ? 



In the first place it must be realised that the taxation 

 of site values and unearned increment cannot appreciably 

 affect rural land as such. Again, any transfer of taxes, such 

 as the inhabited house duty, from the national to the local 

 exchequer is unsound. It would be unfair in its effect as 

 between district and district, it would do nothing to stimulate 

 economy, and, like anything else that artificially reduces 

 rates, it would be in effect a bounty to the landlords in 

 respect of all land that pays rent. 



The only possible way of keeping the rates low and at the 

 same time increasing the efficiency of local government is to 

 extend and systematise the subventions that are paid 

 annually from the national to the local exchequer. A 

 national minimum standard of achievement should be set up 

 in every department of local government, the grant in aid 

 in each case being made conditional on the attainment of 

 results coming up to that standard. 



