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The present pupils, the children only, are clothed; being young, they are not required to labour, and their father's industry is but lightly taxed. On a visit to the school room we found nine European children (five of whom were of the Master's family), European children being received as day scholars, on payment of certain fees ; our attention was confined to the Natives. The eldest was able with difficulty to read a lesson i n one of the school books, consisting of English words of a single syllable, but could not render their Signification ; arithmetic was his favourite exercise, in which, likewise, he had made very little progress ; he had not, however, the ordinary capacity of his race. Neither of the two children had attained to any knowledge of the alphabet, yet were engaged, one in forming, the other in endeavouring to form, words on A slate, from copies set them by the Master; of course the process was purely mechanical, as was also a similar one in figures, one of the children not being able to distinguish numbers from letters. On a subsequent visit, we found a Half-caste Boy recently received, the Bishop's instructions, since the falling off of pupils, being to admit Half-caste and destitute European children. It is much to be lamented that, with the advantages of a large Native neighbourhood and liberal pecuniary aid, this Institution should have failed to realize the pnrpose to which it has been devoted ; even the few present pupils cannot be deemed a spontaneous offering, having been obtained from a school formed by the Church Missionary Society at Pipiriki, of which place the father is a Native Teacher, and attracted by the prospect of gratuitous food and clothing. The indifference exh'bited of late years by Natives generally towards the measures for their welfare so freely undertaken both by the Government and Clergy, is of itself sufficient to account for failure, and with such a fact it would be an ungracious and futile task to enquire further. But we cannot close our Report more usefully than by strongly urging the propriety, if consistent with the Grant, of directing the resources of this property, towards the education of the mass, without distinction of race or religious denomination; this we are in a position to know was the original intention of Sir George Grey, as expressed by himself, and the Grant, for its present exclusive purpose, has ever been felt by the settlement as an act of injustice, the more especially as Native interests had been already liberally provided, for by other reserves in the most valuable portions of the District. With an endowment (the value of which, at a low computation, is £8000, and, from the rapid increase of population and wealth marking the progress of the settlement, likely to become one of the most valuable in the Colony,) what substantial results wouhl, under judicious management, be obtainable! M. Campbell, J. P. J, T. Wickstead, J. P. George Rees, J. P.

REPORT OF THE GREY INSTITUTION NEW PLYMOUTH. New Plymouth, 29th January, 1858. Sir,— We the undersigned have the honor to report to you for the information of the Government that according to His Excellency's desire expressed in your letter of the 14th December last, we have conjointly visited and carefully inspected the Native School in this place, known as the Grey Institution. The disturbances amongst the Native Tribes of this Province which prevailed from August, 1854, until the commencement of last year had caused the School which, for some years previous to the above date had been maintained in efficiency, to be altogether closed. About that period, the Reverend John Whiteley whu had been stationed here as a Wesleyan Missionary re-opened the School which under his superintendence and assiduity has progressively increased. It now numbers thirty-four pupils on its books, of whom twenty-eight are Native, two htdf-caste, and four European boys. The Native and half-caste boys are all lodged fed and clothed at the Institution, but the European children, whose homes are in the immediate neighbourhood, receive instruction only. The attendance of all has been, on the whole, regular. The boys, with the exception of the Europeans, had previously to their admission to the Grey Institution received little or no School instruction. The progress therefore demonstrated by them on examination was very encouraging, for many of them read easy lessons in English, spelt readily the simpler words of our language, had commenced the study of the primary rules of arithmetic, and altogether displayed a greater advancement than might have been anticipated considering how short a time the majority of the pupils had been under tuition. The general management of the School is under Mr. Whiteley, and the only other official, the teacher, is a young man who has the character of being patient and painstaking and appears to be an efficient person for the charge. We have forwarded an Extract from Mr. Whiteley's Report to the Boatd of Education, which fully sets forth the causes of the closing and subsequent re-opeuing of the Grey Institution, as well as the progress and improvement of the pupils, with other interesting information. The accounts of Mr. Whiteley for the past year shew an excess of thirty-eight pounds three shillings and sixpence of Expenditure over Income. The Board of Education has placed on the Estimates for the present year the following items.