§ Mr. Bodyasked the Chancellor of the Exchequer whether he will give the annual costs or, in cases where this is not yet available, estimates of the annual costs of investment initial and annual allowances and investment grants, where applicable, for each financial year over the period 1963–64 to 1968–69.
§ Mr. Harold LeverThe latest estimates for the private sector are as follows:—
£ million Investment Allowances Initial Allowances Other Allowances 1963–64 209 114 540 1964–65 275 109 636 1965–66 357 131 779 1966–67 255 91 628 1967–68 85 103 697 1968–69 14 121 754 The tax has been calculated on the basis that all the initial and investment allowances on expenditure in a year together with the annual allowances on assets in use at the end of the accounting period and the other allowances due for the year had the effect of reducing the tax due in the following year.
Payments of investment grants to the private sector amounted to £314 million in 1967–68, and it is estimated that £395 million will be paid in 1968–69.