The Pamphlet Collection of Sir Robert Stout: Volume 30
Chapter VI. Results of Victorian Land Legislation
Chapter VI. Results of Victorian Land Legislation.
A general review of the operation and results of Land Legislation in Victoria will be of some service in drawing attention to salient points which require a separate conspectus in a complicated narrative of events extending over fifty years of memorable history. The land question has been the great battle ground of parties in Victoria ever since the foundation of the colony, and will continue to be so for all time. In this country, as in others, it is the one grand and enduring political problem which periodically reappears and asserts its importance. Superficial politicians occasionally express the wish that the whole difficulty were settled by the sale of the last acre. Those who think the question will be laid to rest for ever in the colony of Victoria by the sale of the last acre must have either not studied the history of the human race at all or studied its lessons in vain. The history of revolutions has been the history of land tenure.
By Selection. | By Auction and other Alienation for cash. | Total. | |
---|---|---|---|
acres. | acres. | acres. | |
Under Imperial Act. and Orders in Council | 3,944,237 | 3,944,237 | |
Under Land Act 1860, 1st Nov., 1860 | 410,600 | 398,862 | 809,462 |
Under Land Act 1862, 18th June, 1865 | 1,982,658 | 456,705 | 2,430,363 |
Under Land Act 1865, 23rd March, 1865 | 2,285,993 | 680,607 | 2,966,600 |
Under Land Act 1809-78, 1st February, 1870 | 8,700,836 | 949,181 | 9,650,077 |
Totals | 13,380,147 | 6,429,592 | 19,819,739 |
Acres. | |
---|---|
Total Area of Colony | 56,245,760 |
Acres. | |
---|---|
Area alienated and in course of alienation | 19,819,739 |
Roads | 990,987 |
Lands in Cities, Towns, &c. | 302,000 |
Reserves | 689,870 |
Auriferous Lands | 991,978 |
State Forests | 823,750 |
Timber Reserves | 216,500 |
23,834,824 | |
Total Area Unappropriated | 32,410,936 |
Of this unappropriated area 13,033,371 acres are hold under pastoral license, and 9,262,623 under grazing license.
The settlement of the land question in Victoria was from the earliest times, clogged and embarrassed by several adverse circumstances, principal among which were the squatting interests, the limited extent of our territory, the want of rivers and of an abundant water supply. The squatting interest alone was a formidable obstacle. But for that, Victoria might have had, in 1860; the Land Law of 1878, and with such a system, defective as it is, the history of the colony would have been very different from what it has been. In 1878 the squatting party was almost a party of the past, and a liberal Land Law in favor of settlement and against the aggregation of large estates became possible. The squatters no longer were driven by motives of avarice or self-preservation, to grasp every available inch of public territory. By that time the earth hunger was nearly satisfied; most of the good land previously held on license was turned into freehold; the selectors were driven to the burning plains of the North West, and the impenetrable wilderness of Gippsland. What then has been the real practical out-come of twenty years bitter experience—twenty years struggle to place a prosperous agricultural population upon the soil page 99 Unhappily, it must be admitted that the able legislation of 1869, improved by that of 1878, came too late to promote in a substantial manner the lasting welfare of the colony. Lot us first see what has been done, and contrast it with what might have been done.
From the year 1851, just before the discovery of the gold-fields to end of the first half of the year 1864, when our population was 601,343, Victoria had spent the sum of .£11,000,000 in the importation of bread-stuffs. At that time there were 17,679 agricultural holdings, exceeding one acre in extent, covering 5,554,531 acres sold and in actual occupation for agricultural and pastoral purposes, of which 507,798 acres were cultivated. In the year 1880-1 when our population was 858,850, the value of exports of Victorian produced bread-stuff's, viz., biscuits, flour, and grain was £905,403; in that year the number of agricultural holdings exceeding one acre in extent were 49,637 covering 18,141,124 acres sold and in actual occupation for agricultural and pastoral' purposes, of which 1,997,943 acres were cultivated, and 194,140 acres were in fallow. The cultivated area included land applied to the growth of all kinds of crop—wheat, oats, barley, maize, potatoes, turnips, onions, beet, carrots, cabbages, hay, green-forage, tobacco, vines and other fruit trees. The value of grain and pulse exported in 1875, was £7,623, and in 1881, £668,234; flour exported 1875; £15,011, 1881, £206,932. These figures are significant as showing the great increase in agricultural production which took place subsequent to the land legislation of 1869.
Although there has thus been a very substantial and prosperous increase in the agricultural productions of the colony, the results are by no means so satisfactory as might have been expected. Undoubtedly, a great amount of profitable settlement took place under the Act of 1869, notwithstanding the inferiority of the land available compared with that sold under previous Acts. This suggests what might have happened had the same class of industrious farmers been able to obtain land at an earlier period. Still, of the nine or ten million acres disposed of, or in course of alienation, by virtue of the provisions of the law now in force, it is to be feared that large numbers of holdings are passing away from their original holders. The evidence which justifies this apprehension is to be found in the official statistics of the colony. According to the Government Statist, Mr. Hayter, there were in 1870, "when the Land Act of 1869 came into force, 31,842 agricultural holdings, exceeding one acre in extent, and including 9,530,638 acres; in 1881, the number of holdings had increased to 49,637, covering 18,141,124 acres, showing an increase of only 17,795 holdings. But the departmental statistics show that during the period between 1870 and 1881, 70,371 selections were granted. It thus appears that fully 50,000 of these selections, are not accounted for page 100 in the official returns; what became of them? The number of holdings has not increased proportionately with the number of seleotions granted, and the number of acres selected. The calculation may be carried backward with still more disquieting] results. The total number of selections taken up under the three Acts of 1860, 1862 and 1865, was 39,631, embracing an area of 4,679,251 acres. This number added to that of the applications for allotments, granted under the Act of 1869, should have made the total number of agricultural holdings in the colony, in the year 1881, about 109,631. Instead of that, according to Mr. Hayter, there are only 49,637 agricultural holdings of over one acre in size. The Lands department has no record of transfers under the Acts of 1860, 1862 and 1865, with the exception of holdings under the 42nd section of the last mentioned Act. There could, however, be no legal assignments, or transfers of leaseholds, under the Act of 1869, without the consent of the Minister of Lands. The number of transfers of leaseholds, registered up to the 30th September, 1882, was 9,932, embracing 1,673,561 acres; up to the same time, 3,396 Grown grants were transferred, including 374,482 acres. This makes a total of 2,048,043 acres selected under the Land Act of 1869, which are actually registered as having passed from the original holders. The rest of the unaccounted for holdings, must have been either abandoned or forfeited, or transferred to large landed proprietors, subsequent to the issue of the Crown grants. Of the rapid increase of large estates in Victoria, owing to the unscrupulous abuse of liberal land laws, there is an abundance of evidence. There are 951 estates of the average size of 7,238 acres. These estates which include 6,882,815 acres, are owned by 833 proprietors, whilst their total capital value is about, £12,000,000. Another item of testimony that the aggregation of estates has been increasing more rapidly than the number of holdings, is the fact that in 1860, when the first land Act was passed, there were 13,653 holdings, covering 3,517,033½ acres, in agricultural and pastoral occupation, whilst in 1880, there were 49,637 holders, and the number of acres in agricultural and pastoral occupation was, 18,141,124; during that period, therefore the number of holdings was considerably diminished in proportion to the number of acres sold.
We are now in a position to notice the defective character of our land systems, and the various insidious influences which operated against bona fide cultivation of the soil. It is impossible to avoid the conclusion that the dream of the Land Convention has not been realized. The very laws which were designed to establish an extensive peasant propriety in Victoria have assisted to consolidate gigantic properties. Free selection at an uniform price, with deferred payments, has been resorted to more freely and more effect- page 101 ually by capitalists than by the artisans and working men of the colony. The state has sold nearly 20,000,000 acres, and instead of the country being crowded with farms and orchards, it can only boast of a cultivated area of 1,997,943 acres. Capital has been triumphant everywhere. It was successful under the limited auction system of the Nicholson Land Act; and it was still more successful, with dummyism as a potent ally, under the lot system of the Duffy Land Act. After that, a new and unforeseen danger appeared on the scene. The people, in whose favor Parliament legislated became traitors to their own cause. The demoralization and immorality of the land racket became universally contagious. Thousands of persons with little energy and limited resources took up land on speculation, and afterwards sold out to those who were only too eager to buy. The high price of land, caused by the great demand for it, facilitated this species .of speculation, and men who got their land from the state at £1 per acre, readily bartered it away at a profit, after formal compliance with the requirements of the law. Selectors, the class intended to be benefitted, and upon whom was conferred the bountiful liberality of the nation, sold for a mess of pottage the birthright which belonged to them and their children. The prodigality of the state in parting so extravagantly and incautiously with the common inheritance of all, has been only surpassed by the profligacy and the ingratitude of those who were the objects of the paternal care and anxiety of Parliament.
These statements can be proved, not only by the evidence of friends of the free-selection system, but by that of those organs of the press whose proclaimed policy for many years has been to favor free-trade in land. The Argus of 11th November, 1881, thus describes the results of our land legislation:—"But we know that the attempt to create a yeomanry on a large scale has only been partially successful. Selectors struggle on until they can get a title, and then in too many instances their holdings, which they have been granted on easy terms, in the hope they would be attached to the soil, go to swell the estates of the large land owners. Then with a sum of money in their pockets, which they have acquired in a great measure at the expense of the general body of the Victorian taxpayers, they take their departure for the neighbouring provinces, where the capital with which we have furnished them can command greater advantages." The Sydney Morning Herald of 24th February, 1882, gave the following testimony that Victorian selectors wore selling out and settling in New South Wales with money realized by the sale of Victorian land:—"All those men who transferred their holdings in Victoria had no chance to select again. The law prohibited such a process. It was necessary for them to seek another colony, and the great majority were drawn page 102 across the Murray by the superior inducements of the land and land law of New South "Wales. Immigrants to Victoria, having in Victoria acquired capital by selling out, came to us with their earnings and their energies and their experience as land speculators. Five years ago we felt their influence in a new flush of prosperity, especially in our south-western district. While Victoria was mourning their departure, our land and customs and railway returns were rapidly increasing; our free and comparatively illimitable land reserves were acting as a sponge, and we were becoming moist at our neighbours' expense. To some extent, the same conditions still exist. They might be perfectly satisfactory if only the present were to be considered; but it must be recognised that surely as Victoria has met her reckoning day so are we advancing on ours. Land monopoly is not unknown in New South Wales. Dummyism is a very familiar word in our vernacular; the process begun across the border is continued here; land is going for a fraction of its value to incorporated companies and non-resident landlords. The lesser matters of continuous strife between selector and squatter, and consequent waste of energy, might be forgotten could it be shown that we have in any degree learned the lesson Victorian history teaches, or that our selectors were as a body honest home-makers and tillers of the soil, and not merely birds of passage and transferrors." The reckoning day of Victoria has arrived. The land laws of the past have been examined, and reason enlightened by a sad experience has found them wanting.
a Hansard, vol. 17, p. 1074.
The advantages of a judicious system of leasing the public lands would have been very great. The state would have retained the national domain as a lasting and un-assailable, unpledgable asset, which would have gone on increasing in value from year to year. Instead of a few individuals being enriched by the gradual increase of the value of land, the whole community would have been benefitted. The rent of land would have been a permanent source of revenue. The vast sum of money sunk in the purchase of freeholds would have been available for the employment of labor, and the improvement of waste lands. The state would have remained landlord of the soil, and could have applied every acre of it to the best purposes, compatible with national interest and national prosperity. The wealthy lower orders would not then have been able to plunder the working classes of their birthright, by the despicable aid of fraud, perjury and subornation of perjury. There would not then have been periodical confiscations and sales of commonages; and the abolition of reserves for travelling stocks, followed by their absorption into neighbouring squattages. Under such a system the people would still have left for their use and enjoyment the frontages of the few creeks and rivers that exist in Victoria. Mountain scenery, the charm and gift of nature, such as Macedon and the Hanging Rock, would not then have become private property, so that the owners thereof could warn off tourists and excursionists, or charge for permission to view the wonders of creation. What a monstrous and barbaric law must that be, under which the splendid land between Melbourne and Sunbury, and between Melbourne and Geelong, capable of giving homes and existence to a teeming population, is locked up in pastoral solitudes, whilst the farmers have to seek a precarious livelihood in the hot and rainless regions of the north-western plains! Would it not have been better to grow sheep in the remote parts of the colony, and encourage page 104 agriculture near the sea board, and adjacent to large centres of population 1 It is impossible to contemplate such enormities and anomalies as these, without agreeing with Mr Higinbotham "that the dictum of the French writer, that property is robbery is absolutely true in regard to land" a.
a Hansard, vol. 17, p. 2050.
From a revenue point of view the pastoral occupation of the soil has been proportionately more profitable to the State than the sale of lands in fee simple. This seems a startling assertion, and yet it is an unquestionable truth. The revenue derived from the pastoral tenants of the Crown from the year 1840, to the end of the year 1881, amounted to £4,850,165. The revenue derived from the absolute sale of Crown Lands from the year 1830 to the end of the year 1881, was £20,192,791. This sum includes the amount paid on lands purchased on deferred payments, of which the payments were completed up to the year 1881, although the payments extended over a series of years. The area selected of which the purchase was not completed in 1881, amounted to 7,144,362 acres. Deducting 7,145,362 from 19,819,739 the number of acres sold, selected and in course of alienation, it appears that 12,674,377 acres have been sold out-right, yielding £20,192,791. The land sold, and the upset value of' selected land in course of alienation by deferred payment represents a total of £27,338,153 as the results of 45 years land sales, against £4,850,165 realized for the use of public grass during a period of 41 years. In round numbers twenty million acres has been parted with for ever for twenty seven million sterling; whilst the grass alone of forty million acres produced during the progress of alienation nearly five million sterling. If we sell our remaining acres what will be done when the land revenue is absorbed? What inducement to immigration shall we have hereafter to offer to the people of the old world? And what security for new loans shall we be able to offer to the money-lenders of London? The land policy of the future should therefore be one strictly of conservation. Nothing will be lost, and we have everything to gain by preserving the state domain from the further grasp of land sharks, and dummy-mongers. Selection of country lands should be stopped for the present, and leases for long terms at easy rents with a valuation of improvements in favor of the occupying tenant substituted. Town lands should be let on long building leases. As a compromise to this sweeping abolition of old usages, and old expressions, the free-hold of town lands might be sold for terms ranging from 20 to 30 years, full compensation for improvements being secured. And with regard to country lands the state might give intending settlers the option of selecting or leasing, reserving to itself the right of pre-emption. Meanwhile every reserve, common and river frontage should be religiously protected, and per- page 106 manently secured for the lasting use of the people. Steps should also be taken to resume possession of some of the frontages to rivers, which were extensively, and greedily bought up in former years by the squatters for the purpose of making the back country useless for selection by cutting it off from access to water. In justice to the State this extraordinary device to secure the monopoly of vast areas of land at a nominal rent should be defeated. The law which enables the Government to take possession at a stipulated price of private land for the construction of railways or high roads should be brought into operation here, Reserves of ten chains wide and about two miles apart, leading from the back country clown to the river, should be taken possession of by the Goverment at a fair price, and opened up as roadways through those river-side private lands, to enable the stock travelling from the back country to have access to the river. The improved value and enlarged settlement of the back country resulting from this step, would more than compensate tenfold the cost of the private land resumed, whilst the right of the State to deal with its own lands without being liable to be checkmated by the overreaching schemes of individuals would be vindicated a.
Finis.
J. G. Edwards, Bendigo Independent Office, Sandhurst.
a See report of Land Commissioners, 1879