361

A—s

possibly assent without being false to the trust reposed in them by their own people. For instance, Aye might have proposed a resolution in favour of Free Trade within the Empire, that is, the admission of British goods into Colonies on the same terms exactly as Colonial goods are permitted to enter our markets, free from toll or tariff. We might have repeated, in support of our resolution, arguments we have advanced on a thousand platforms already. We might have quoted the German Zollverein as an illustration of a case where Imperial Federation was effected, and an Empire consolidated, on the basis of absolute Free Trade within its own boundaries. Sir William Lyne in his speech the other day, said that " all approve of the commercial union "of England, Scotland, and Ireland; of the consolidation of the United " States; the Federation of South Africa and of Australia." Then he went on to say : " What reason can be urged against the commercial union of the "whole Empire 1 ?" May I point out that in each and every one of these cases the commercial union was based bn the abolition of all tolls and tariffs between the States that entered into the union? We might have pressed similar proposals on the various States of the Empire, with an utter and a callous indifference to Colonial mandates and to the settled policy of the Colonial Statesmen. Mr. DEAKIN : What would become of the revenue both of this country and of our own ? Mr. LLOYD GEORGE : I agree. We have taken that point into consideration. Mr. DEAKIN : You would have no revenue. Mr. LLOYD GEORGE : That is what I point out. Our Colonial friends would have been bound to reject our resolution,—to adapt words which have become the commonplaces of a press which is hostile to Free Trade, they would have refused to listen to the appeal of the Mother Country to be put on equal terms with her children. We might then even have said that the door had been slammed in the old Mother's face by her ungrateful progeny. Mr. DEAKIN : If you are willing to give up your Customs revenue we might have something to propose. Mr. LLOYD GEORGE :We have not taken that course. We have recognised the essential unfairness of ignoring those local conditions and exigencies which must be paramount in the minds of the statesmen who are responsible for the well-being of the population in the respective States of the Empire, and we have consequently not thought it just to put them in the predicament of appearing to deny to the country, for which we know they have such genuine regard, and on behalf of which experience has taught us they are ready to make such sacrifices—to deny to that country a boon which millions on this side of the water might regard as a perfectly reasonable one to ask of their kinsmen in distant lands. We are not here to endeavour to manoeuvre each other into false positions, but to discharge the practical business of the Empire. We are in perfect accord as to the objects we would strive to promote. I agree, absolutely, with the eloquent words used by Mr. Deakin in stating what all our objects ought to be. We are in complete agreement with the Colonial Delegates in their belief that the attainment of this obiect would be assisted by any scheme or system which would develop

47—A. 5.

Eleventh Day. S May 1907.

Preferential Trade. (Mr. Lloyd eloorge.)