"Buy land, they're not making it anymore" (Mark Twain): Commentaries by Winston Churchill and George Orwell

In a speech in Edinburgh on July 17, 1909, Winston Churchill offered the following observations about taxation and the unique qualities of rent as the source of funds to pay for public services:

"It is quite true that the land monopoly is not the only monopoly which exists, but it is by far the greatest of monopolies…It is a perpetual monopoly, and it is the mother of all other forms of monopoly.

"It is quite true that unearned increments in the land are not the only form of unearned or undeserved profit which individuals are able to secure; but it is the principal form of unearned increment which is derived from processes which are not merely not beneficial but which are positively detrimental to the general public.

"Land, which is a necessity of human existence, which is the original source of all wealth, which is strictly limited in extent, which is fixed in geographical position – land, I say, differs from all other forms of property in these primary and fundamental conditions. Nothing is more amusing than to watch the efforts of our monopolistic opponents to prove that other forms of property and increment are exactly the same, and are similar in all respects to the unearned increment in land. They talk to us of the increased profits of a doctor or a lawyer from the growth of population in the towns in which they live. They talk to us of the profits of a railway through a greater degree of wealth and activity in the districts through which it runs. They tell us of the profits which are derived from a rise in stocks and shares, and even of those which are sometimes derived from the sale of pictures and works of art, and they ask us – as if it were the only complaint – ‘ought not all these other forms to be taxed too?’

"But see how misleading and false all these analogies are. The windfalls which people with artistic gifts are able from time to time to derive from the sale of a picture – from a Vandyke or a Holbein – may here and there be very considerable. But pictures do not get in anybody’s way. They do not lay a toll on anybody’s labour; they do not touch enterprise and production at any point; they do not affect any of those creative processes upon which the material well-being of millions depends; and if a rise in stocks and shares confers profits on the fortunate holders far beyond what they expected, or indeed deserved, nevertheless that profit has not been reaped by withholding from the community the land which it needs, but, on the contrary, apart from mere gambling, it has been reaped by supplying industry with the capital without which it could not be carried on. If the railway makes greater profits, it is usually because it carries more goods and more passengers. If a doctor or a lawyer enjoys a better practice, it is because the doctor attends more patients and more exacting patients, and because the lawyer pleads more suits in the courts and more important suits. At every stage the doctor or the lawyer is giving service in return for his fees, and if the service is too poor or the fees are too high, other doctors and other lawyers can come freely into competition. There is constant service, there is constant competition; there is no monopoly, there is no injury to the public interest, there is no impediment to the general progress.

"Fancy comparing these healthy processes with the enrichment which comes to the landlord who happens to own a plot of land on the outskirts or at the centre of one of our great cities, who watches the busy population around him making the city larger, richer, more convenient, more famous every day, and all the while sits still and does nothing. Roads are made, streets are made, railway services are improved, electric light turns night into day, electric trams glide swiftly to and fro, water is brought from reservoirs a hundred miles off in the mountains – and all the while the landlord sits still. Every one of these improvements is effected by the labour and at the cost of other people. Many of the most important are effected at the cost of the municipality and of the ratepayers. To not one of those improvements does the land monopolist as a land monopolist contribute, and yet by every one of them the value of his land is sensibly enhanced. He renders no service to the community, he contributes nothing to the general welfare; he contributes nothing even to the process from which his own enrichment is derived."

Source: The Budget League (1909), The Budget The Land and The People, London: Methuen, pp. 21-23.

TRIBUNE NEWSPAPER, August 18, 1944

"Apropos of my remarks on the railings round London squares, a correspondent writes: 'Are the squares to which you refer public or private properties? If private, I suggest that your comments in plain language advocate nothing less than theft and should be classed as such.'

"If giving the land of England back to the people of England is theft, I am quite happy to call it theft. In his zeal to defend private property, my correspondent does not stop to consider how the so-called owners of the land got hold of it. They simply seized it by force, afterwards hiring lawyers to provide them with title-deeds. In the case of the enclosure of the common lands, which was going on from about 1600 to 1850, the land-grabbers did not even have the excuse of being foreign conquerors; they were quite frankly taking the heritage of their own countrymen, upon no sort of pretext except that they had the power to do so.

"Except for the few surviving commons, the high roads, the lands of the National Trust, a certain number of parks, and the sea shore below high-tide mark, every square inch of England is ‘owned’ by a few thousand families. These people are just about as useful as so many tapeworms. It is desirable that people should own their own dwelling houses, and it is probably desirable that a farmer should own as much land as he can actually farm. But the ground-landlord in a town area has no function and no excuse for existence. He is merely a person who has found out a way of milking the public while giving nothing in return. He causes rents to be higher, he makes town planning more difficult, and he excludes children from green spaces: that is literally all that he does, except to draw his in-come. The removal of the railings in the squares was a first step against him. It was a very small step, and yet an appreciable one, as the present move to restore the railings shows. For three years or so the squares lay open, and their sacred turf was trodden by the feet of working-class children, a sight to make dividend-drawers gnash their false teeth. If that is theft, all I can say is, so much the better for theft."