§ In dealing last year with a much larger surplus than this, I based myself upon a dictum of Lord Snowden, that in common justice the first relief ought to be given to those classes who suffered most when the crisis was acute. I see no reason to depart from that principle now. As it is obvious that I have not enough at my disposal to enable me to make a complete restoration, I must adjust my distribution to try to meet the most pressing needs. Among these the first that I deal with concerns the Entertainments Duty. The emergency Budget of 1931 reimposed a duty on admission for payments over 2d. up to 6d., which had been free since 1924, and it also increased the scale of duty on payments over 6d. It will be recollected that in imposing these extra charges Lord Snowden expressly stated that he desired to give an opportunity to all sections of the community to contribute towards the nation's needs. I have had a good deal 1632 of evidence to show that the intentions of the author have not been altogether fulfilled. Particularly, the duty on the cheaper seats in the cinema houses and that on those entertainments in which living performers have been putting up a very gallant struggle for survival against the competition of mechanical performances, seem to have fallen largely on the proprietors rather than on the public.
§ It is time they had some relief. To revert to the old scale would cost in a full year £2,700,000. Out of that not less than £2,300,000 is attributable to the duty on the seats up to 6d. Only £400,000 comes from the rest. I propose to allocate the whole of the £2,700,000 to the relief of the Entertainments Duty, but I want to take the opportunity of remodelling the scale which existed before 1931. I propose to relieve from all duty all payments up to 6d. costing, as I have said, £2,300,000 in a full year. The remaining £400,000 I propose to apply entirely to the reduction of the duty an seats over 6d. in entertainments given by living performers. They have claimed total exemption; I cannot give them that, but I am sure they will not fail to appreciate the importance of a change which, for the first time, differentiates between this kind of performance and another, and differentiates in their favour. Hon. Members will find the details of the new scales in the White Paper. The proposal will come into operation on the 1st July, and a Resolution will be moved accordingly. The cost in the present year is estimated to be £2,025,000.