§ 18. Sir W. Teelingasked the Minister of Housing and Local Government and Minister for Welsh Affairs if he has studied the methods of raising local revenue practised in Australia, details of which have been sent to him by the hon. Member for Brighton, Pavilion, especially with regard to allowing relief for taxation to be set against rate and other local government payments; and what study he has made of the extent to which these methods could be applied in this country.
§ Sir K. JosephThe material which my hon. Friend sent to me was concerned solely with the suggested treatment of domestic rates as an allowable deduction from taxable income, and I have therefore brought it to the notice of my right hon. Friend the Chancellor of the Exchequer.
§ Sir W. TeelingIs my right hon. Friend aware that this matter was first aired in The Times by Mr. Angus Maude a few weeks ago, and that since then many people who pay taxes have felt that this is something which my right hon. Friend the Minister of Housing and Local Government should take a great interest in in future?
§ Sir K. JosephI am sure that my right hon. Friend the Chancellor of the Exchequer will take notice of my hon. Friend's question.
§ Mr. MacCollWith the greatest respect for my very old friend, Mr. Angus Maude, I should point out that this suggestion was put before the Institution of Municipal Treasurers at its annual conference some little time before it was 1104 mentioned in The Times. Is the right hon. Gentleman aware that it would not help the poor ratepayer who does not pay very much tax, and that it would still give the central Government far too much interest in keeping down local expenditure, which is one of the arguments against having 100 per cent. grants?
§ Sir K. JosephI am sure that my hon. Friend is well aware of these particular disadvantages, but he thinks on the whole that he should still consider it.