HC Deb 12 May 1936 vol 312 cc184-5

asked the Chancellor of the Exchequer whether he is aware of the difference in the rates of drawback on the re-export of Empire and foreign tobaccos, respectively, amounting to approximately ld. per lb. in favour of the foreign tobacco; that, after allowing for wastage, the drawback on foreign tobacco exceeds the duty paid; and whether he will take immediate steps to rectify the position by which foreign tobacco re-exported receives a subsidy from the taxpayer thereby injuring re-exports of Empire tobacco?

The CHANCELLOR of the EXCHEQUER (Mr. Chamberlain)

I have noted the hon. Member's suggestions, but I have no reason to suppose that re-exports of Empire tobacco are being materially injured by difference in the rates of drawback on Empire and non-Empire tobaccos.


Is the right hon. Gentleman aware that the duty and the drawback on Empire tobacco balance, and can such a balance not be obtained with regard to foreign tobacco, and so save a loss to the Exchequer which is estimated at £200,000, especially in view of the fact that the right hon. Gentleman has just increased the duty on tea?


According to my information the hon. Member's suggestion is not entirely accurate.