Receipts.Expenditure.
£9,485,000On "Reserved Services"£5,046,000
On "Transferred Sum"6,350,000
6,350,000

The upshot is that the British deficit, which stands at present at £1,500,000, will rise to £1,911,000. That will be covered by a grant of £500,000 a year. That grant will be reduced annually by decrements of £50,000 until it reaches £200,000.

There is no need for the British taxpayer to be alarmed at this balance-sheet. The essential fact is that Home Rule will work steadily on the side of thrift and saving. The substantial points are—(1) that pensions will from this time forward steadily decrease; (2) that the Royal Irish Constabulary will be diminished; and (3) that any increase in the prosperity of Ireland will result in an increasing yield of taxation collected by the British Treasury and devoted to the benefit of the British taxpayer. The British taxpayer, in a word, is thoroughly well looked after.

Doubtless these proposals will be subjected to much criticism in committee, and no one would pretend that they could not be improved in detail. It might be argued, for instance, that it would be better for Great Britain to make herself responsible for the Royal Irish Constabulary as an Imperial charge, and therefore have a motive for reducing it. That action might be taken as a generous substitute for the bonus of £500,000 a year, which may possibly not produce favourable effects on the relations between the two countries. As against the extra charge to the British Treasury, you would have the fact that the British Government could immediately proceed to reduce the Constabulary.

But once give Ireland a chance by some such settlement as this, and then the main problem of finance will solve itself. For we cannot ignore one very important aspect of that problem—the extravagance of Irish government. One of the most startling revelations of the Financial Commission Report was that Ireland, a poor country, cost twice as much to govern as Belgium, a country of nearly twice the population. Mr. Kettle has shown since that the Civil Service of Ireland is four times as great, and costs more than four times as much, as the Civil Service of Scotland.[74]

Why is this? Because at the present moment two systems of government are existing in Ireland side by side—the old and the new. The old is for the most part an encumbrance and an impediment, but the new is required for doing the work of land purchase and agricultural development. Ireland is like a household into which a new staff of servants is being imported, while nobody dares to disturb the old. Could there be a more extravagant way of governing a country?

The only way to put that house in order is to give it Home Rule. All the rights of existing civil servants must be respected, and therefore the saving on that account will only be gradual. Mr. Kettle estimates it at £700,000 within a reasonable time. That is probably even an under-estimate. For once this kind of saving begins, it soon tells on a nation's expenditure. Ireland is at present governed from the point of view of the place-hunters. Once Ireland begins to be governed from the point of view of the Irish people, then the reign of extravagance will be at an end.

Once the Home Rule Parliament is set up we shall be able to distinguish clearly between Ireland's local and her Imperial obligations. We shall hear much indignant talk against any proposal that Ireland shall pay less than her full proportional contribution for Imperial Defence. Those who are so moved on this question seem to forget that the British Colonies pay practically nothing. Yet we have never heard that they are paupers on that account. They certainly derive more from the Empire than Ireland. Therefore, there would be nothing either degrading or unjust even if Ireland were relieved from all Imperial expenditure for a term of years. For Ireland requires time to recover from the impoverishment of the past, and it may be wise to give her that time. But once that time is over, the Irish Parliament will probably wish to follow in the steps of the Grattan Parliament, and contribute her honest due to the Empire of which she will be a part. But that due must be paid, not out of deficit, but out of surplus. As long as Ireland has a deficit produced by poverty, it is absurd to talk to her about Empire. Once she has a surplus—and a surplus will soon come with the working of Home Rule—then she will play her part in a manly way.

For we must never forget that Home Rule in itself is a great financial asset. During the brief period of the Grattan Parliament, as we have seen, Ireland doubled her exports. During that time the Parliament carried out public works in every part of Ireland, and industry throve. Those things cannot be done by an absentee Parliament. They can only be done by a Parliament on the spot. They are intensely and earnestly needed by Ireland at present. For Ireland is largely an industrial derelict, waiting for the restoring hand of a central governing power. It is impossible to put this aspect of the matter into figures. Here we must move in faith. But we cannot see this matter clearly unless we believe firmly—as we have every justification for believing—that Home Rule means wealth to Ireland.

THE FINANCIAL COMMISSION