§ 46 and 47. Mr. LEWISasked the Chancellor of the Exchequer (1) what would be the estimated loss of revenue in a full year if one penny were taken of the Beer Duty;
(2) What would be the estimated gain in revenue in a full year if an additional tax of 2d. per pound were levied on foreign tea and an additional tax of Id. per pound were levied on Empire tea?
§ Mr. HORE-BELISHAMy hon. Friend will realise that to estimate the gain or loss involved in changes of taxation it is first necessary to estimate the yield of taxes on the existing basis. This is usually reserved for the Budget statement and my right hon. Friend is not prepared at the present time to commit himself to figures in regard to next year's estimates of revenue: still less to the effect of hypothetical changes of taxation.
§ Mr. THORNECan the hon. Gentleman state what it would cost the Exchequer if we took a penny a pint off beer?
§ Mr. HORE-BELISHANo, Sir.
§ 52. Mr. STOURTONasked the Chancellor of the Exchequer if, in order to counter the heavy decline in beer consumption, he will consider reducing the duty upon the standard barrel by such a sum as would enable the price of beer to be reduced by 2d. a pint if the brewers are prepared to bear 25 per cent, of the estimated loss of revenue to the Exchequer?
§ Mr. HORE-BELISHAMy right hon. Friend has noted the suggestion.
§ Mr. STOURTONIn considering this question, will the Chancellor of the Exchequer bear in mind that it would be well worth while to deal with the matter 1782 boldly, for whereas a reduction of one penny a pint would be a step in the right direction, a reduction of 2d. would so enormously increase consumption as to make good a large proportion of estimated loss of revenue?
§ Mr. HORE-BELISHAI will call my right hon. Friend's attention to what my hon. Friend has said.