§ 5. Mr. Swinglerasked the Chancellor of the Exchequer what representations he has received from the Cinematograph Exhibitors Association since his Budget statement; and whether he is now in a position to announce a reduction in Entertainments Duty on cinematograph performances.
§ Mr. R. A. ButlerThe Cinematograph Exhibitors Association recently renewed the representations for a reduction in Entertainments Duty which they made before the Budget. The hon. Member will not expect me to anticipate any discussion which may take place during the passage of the Finance Bill.
§ Mr. SwinglerDoes the answer mean that the Chancellor is keeping his mind open on the subject? In view of the falling revenue from the tax and the fact that many small exhibitors are going out of business, may we be optimistic about the decision that he may reach after hearing the discussion on the Committee stage?
§ Mr. ButlerThe hon. Gentleman would be most mistaken to be optimistic, but I would ask him to listen to any observations which I may let fall during the passage of the Finance Bill.
§ Sir H. WilliamsIs my right hon. Friend aware that it is impossible to reduce taxation without reducing expenditure and that last night the Opposition voted against any reduction in expenditure in a most wasteful public service?
§ 6. Mr. Swinglerasked the Chancellor of the Exchequer whether he will now consider the introduction of a rebate of Entertainments Duty on cinematograph performances of British films, as a means of encouraging the production and exhibition of British films.
§ Mr. R. A. ButlerNo, Sir. My hon. Friend the Secretary for Overseas Trade explained in reply to a previous Question on this subject on 16th December, 1952, that if the industry were to make representations to this effect they would be considered; but no such representations have been received.
§ 19. Mr. Rankinasked the Chancellor of the Exchequer the number of 1s. seats sold in cinemas during the last financial year.
§ Mr. R. A. ButlerAbout 280 million.
§ Mr. RankinIn view of the fact that the figures just given represent a loss to the Chancellor of something like £2½ million if the 2d. tax on 1s. seats were abolished, does not his conjectural and consequential loss given last Tuesday of £15 million to £20 million seem rather exaggerated?
§ Mr. ButlerNo, Sir. The apparent discrepancy is accounted for by the fact that in giving the figure of between £15 million and £20 million we took account of the adjustment of higher prices in consequence of the exemption which would probably follow.
§ Mr. RankinOn what grounds can the Chancellor make such an assumption?
§ Mr. ButlerIntelligent anticipation of what would be likely to happen.