31. Captain CROOKSHANKasked the Chancellor of the Exchequer whether he has instituted an inquiry regarding the possibility of substituting a tax on petrol for the present motor taxes; and, if so, what is the result of the inquiry?
§ Mr. CHURCHILLThe position remains generally as I indicated in the Budget Statement last year.
§ Lieut.-Colonel HOWARD-BURYDid not the right hon. Gentleman promise in last year's Budget that he would favourably consider holding an inquiry and is he aware that each year sees more countries adopting the petrol tax, and that they have overcome in those countries the difficulties that permanent officials raise in order to prevent a change over from horse-power to petrol?
§ Mr. CHURCHILLThe difficulties that have prevented us from adopting it have not been difficulties raised by the permanent officials, who have shown extraordinary skill in avoiding those difficulties. The reasons we were governed by were those of general policy. The matter is still under consideration.
Captain CROOKSHANKWill the right hon. Gentleman consider sending out a Select or other Committee to go into the matter?
§ Mr. CHURCHILLI really do not think a Committee could give any more information than we have at our disposal.
§ Sir J. NALLHas not the incidence of the horse-power tax materially contributed to the great improvement of the engine power of British cars?
Captain ARTHUR EVANSHas the right hon. Gentleman consulted petrol 560 companies with regard to the possible collection of a petrol tax, and, if so, what are their views?
§ Mr. CHURCHILLI do not think the difficulties are insuperable, but the matter must be most carefully considered.
§ Lieut.-Colonel HOWARD-BURYHas not the horse-power tax cramped the design of cars and allowed the Americans to gain the Australian and Canadian markets?