When a Government ceases to be able to
pay for the defence of property, then its func-



BOLSHEVISM versus PRODUCTION 89

tions pass into the hands of men who, acting
vigorously and swiftly, seize property, and
by controlling it, dominate the community.
Looked at from this angle, the prospect is
not a nice one. The catastrophe may not be
imminent — ^but it is none the less certain unless
retrenchment is effected.
Let us look for a moment at our financial
position.
As Lord Buckmaster has reminded us :*
" The interest on our Debt at the present
moment, as provided for by the Budget itself,
is £376,000,000. When you have established a
sinking fund, and have raised the money that
is necessary under this year's Budget,
£400,000,000 a year will be the amount that
we shall be compelled to provide, in order
to cover the interest and the sinking fund on
the standing and irreducible charges to which
we are committed.
" Next after that comes pensions to the
wives and families of the men who have
sacrificed themselves in our defence. I do
not think £70,000,000 will be adequate.
" There is then £35,000,000 for education ;
£17,000,000 for Old Age Pensions, and
£13,000,000 for industrial insurance. On the
Housing Bill we shall incur an annual liability
of not less than £20,000,000. The present

* Speech in the House of Loids, July 21st, 1910.
40 BOLSHEVISM versus PRODUCTION

loss on the railways is £60,000,000 a year.
This comes roughly to £210,000,000. If you
take the total expenditure of the permanent
burden that we have to meet, that is
£650,000,000.
