§ Mr. PATRICK WHITEasked the Chancellor of the Exchequer whether, in considering the imposition of the new Spirit Duties and their effect upon Ireland, he took into account not only the total amount 2305 of increased taxation which Ireland would have to bear, but also the injurious effect on the manufacturers of whisky for which that country has been famous for more than a century; and whether, having regard to the fact that Irish distillers export largely to Great Britain, and that the Irish industry will be hit by the reduced consumption in both countries, he will reconsider his proposed duty and differentiate in favour of whisky retained in bond and allowed to mature for a certain period, and by so doing assist the output of high-class spirits for which Ireland has won a reputation?
§ Mr. LLOYD-GEORGEIn proposing an addition of 3s. 9d. a gallon to the spirit duty, I was fully aware, as I stated in my Budget speech, that the increase in duty would have some effect in diminishing consumption. As the hon. Member knows, the proposal to graduate the Spirit Duty according to age is one on which the opinion of the trade is widely divided. I have received full statements of their views from both the advocates and the opponents of the proposal, and am still in communication with them.
§ Mr. FLAVINThe bulk of Irish, as well as of Scotch, distillers are in favour of a graduation of the duties according to age.
§ Mr. LLOYD-GEORGEThere is a serious difference of opinion between the malt and grain distillers.
§ Mr. PATRICK WHITEasked the Chancellor of the Exchequer whether the estimated yield of the Spirit Duty alone in Ireland is in the ratio of 1 to 12 as compared to the combined yield of the Spirit Duty and the Licence Duty in Great Britain; and whether, having regard to the estimate that the produce from Ireland would be about one in 20 as compared to Great Britain, he will exempt Ireland from the operations of the Licence Duties?
§ Mr. LLOYD-GEORGEI am afraid that I am unable to follow the hon. Member's calculations. I regret, however, that I could not agree to exempt Ireland from the operation of the proposed new Licence Duties.
§ Mr. PATRICK WHITEasked the Chancellor of the Exchequer what annual amount of new Spirit Duty England, Ireland, and Scotland will have to pay, respectively, calculated on the latest Returns which show the consumption of spirits per head of the respective popu- 2306 lations; whether he will state what ratio Ireland's contribution will be to that of Great Britain; and what ratio Ireland's share so calculated will be to the combined yield of the Spirit Duty and Licence Duty in Great Britain?
§ Mr. LLOYD-GEORGEI have no later information as to the proportionate consumption of spirits in England, Scotland and Ireland than is contained in the figures of the net receipt of revenue as adjusted to show the true contribution of each country, which are given in the Financial Relations Returns for the financial year 1908–9 (House of Commons Paper No. 208 of 1909). On the basis of these Returns the respective contributions of the three Kingdoms to the estimated additional revenue to be derived from the increase of the Spirit Duty would be: England and Wales, £1,146,000; Ireland, £167,000; Scotland, £287,000. The ratio of the Irish contribution to that of Great Britain would be about one to 8.6, and the ratio of the Irish contribution to the increased Spirit Duties to the estimated contribution of Great Britain to the increased Spirit Duties and increased Licence Duties combined would be about one to 23.5.
§ Mr. PATRICK WHITEIs the right hon. Gentleman aware that in reply to a question this year he gave the consumption of spirits per head of the population in the three countries, showing that Ireland would be paying more than her fair share, and giving the amount contributed by Ireland as compared with the spirit and licence Duties in Great Britain as 1 in 12. Will he under these circumstances consider the advisability of exempting Ireland from the Licence Duties?
§ Mr. LLOYD-GEORGEYes.
§ Mr. WATTDo the figures which the right hon. Gentleman has given not indicate that Scotland is suffering an in-justice?