8.—6

IX

the Ist April, 1902, the latest date on which the figures can be compared, the number of European pensioners in New Zealand was 11,721, or 41 per cent, of the population eligible by age and residence, whereas in New South Wales the number was 20,135, or 48 per cent, of the population similarly eligible. The present percentage in New Zealand on the same basis is only 35 per cent. In other words, where New South Wales pays pensions to 485 in every 1,000 eligible by age and residence, New Zealand pays 351. I find that a year's expenditure in New South Wales exceeds .£500,000, whereas the maximum amount paid in any one year in New Zealand was £210,000; and where, according to the estimates for the year 1903-4, it costs New South Wales £21,000 to administer its Act, in New Zealand the cost of working last year was £3,655. The percentage of the cost of administration to the total expenditure is therefore 4 per cent, in New South Wales, as against I*B per cent. in New Zealand. Last year I made mention of the fact that an Old-age Pensions Bill had been introduced into the House of Commons, and a report has now been received of the deliberations of a Select Committee set up by that Assembly to inquire into the question. The evidence contains abundant reference to the working of the New Zealand Act, and the Committee's report is not unfavourable to the introduction of the scheme. More precise details of the working of the Old-age Pensions Department appear in the Registrar's report already laid on the table.

FBIENDLY SOCIETIES. Returns have been received for 1902 from thirty-five central bodies and 462 lodges, courts, tents, &c, of the affiliated type. The number of members at the end of 1902 was 43,408. The total value of the assets of these societies was £846,315, equivalent to £19 9s. lid. per member. Of isolated friendly societies, returns were received from thirteen, with a membership of 3,071, and assets valued at £4,265. Thirteen working-men's clubs also sent in returns ; the membership is given as 5,531, and the assets as £28,611. Of specially authorised societies, such as dispensaries, money clubs, bands, &c, the membership is given as 6,264, and the value of the assets as £50,757, equivalent to £8 2s. Id. per member. If all the societies and branches on the Register had made the required returns, it is believed the total value of their assets would be found to be close on one million.

LAND-TAX AND INCOME-TAX. The receipts under the head of land-tax exceeded the estimate in the Budget by £35,000, and those of the preceding year by £38,000. Of this latter sum nearly £14,000 is due to the new scale of graduated tax in the Act of last session, and the balance to increased valuations. The income-tax has again produced a substantial sum above expectations, and the results of the year bear testimony to the steady flow of business profits in the colony generally.

VALUATION OF LAND DEPABTMENT. The operations of this Department during the past year have brought the revision of the lands of the colony to a point which enables me to say that during this year little or none will be left unrevised. So rapid have been the increases in value, and so numerous the changes in many parts of the North Island, that a large number of districts have been twice revised since the passing of the Act of 1900, and it is possible that in several districts a third revision will require to be made during the present year.

ii—B. 6.