§ 10.15 p.m.
§ Mr. Wingfield DigbyI beg to move Amendment No. 419, in page 110, line 14, to leave out from "time" to "then" in line 15.
The ChairmanI suggest that with this Amendment we take Amendment No. 420, in line 21, after "shall", insert:
at the option of the company".Amendment No. 421, in page 110, leave out line 22.Amendment No. 422, in line 23, leave out "and" and insert "or".
Amendment No. 423, in page 110, leave out lines 28 to 31.
§ Mr. DigbyThe Clause deals with
Transitional relief for existing companies on cessation of trade".We have now come to a somewhat narrower point than the whole of shipping industry with which we have dealt previously. The effect of the Amendments would be substantially to rewrite subsection (2). In the shipping industry there are a number of one-ship companies which stand in the same relation as smallholdings do to agriculture, in that they provide a start for the smaller man in the industry. They have been the start of very much bigger things. We believe 1611 these companies to be particularly effective.The object of the Amendments is to provide that an existing company which ceases to trade shall not be taxed for any longer period than that for which the trade was carried on. I do not think I need go in very great detail into the Clause. By re-writing it in considerable detail we get over the difficulty and companies will be taxed only for the period during which they were earning.
§ Mr. DiamondThe Amendment arises because, under the present system, we suffer from some complexity in calculating the profits of a business in its opening and closing years. This is one of the many complexities which will be removed by Corporation Tax and things will get a good deal simpler, especially for the business man. [HON. MEMBERS: "Oh."] Someone made a quotation to the effect, "What I say 300,000 times is true". In fact, the quotation is only to the effect, "What I tell you three times is true". I think I have the point. I certainly have the point of the Amendment, which was moved with brevity and clarity by the hon. Member for Dorset, West (Mr. Wingfield Digby). The effect of the Amendment is to remove the tapering provision from the relief given by the Clause. The relief given by the Clause effectively achieves what the hon. Gentleman wishes to achieve, provided that there is a cessation of business within a reasonably short period after the commencement of Corporation Tax.
What the Amendment seeks to achieve is the same kind of relief in perpetuity; that is, for all time we would have to carry over into Corporation Tax one of the complexities of Income Tax. I am sure that it is not the desire of the hon. Gentleman that for all time we should suffer this continuation of complexity. Therefore, what is proposed in the Bill—it is the better proposal, better than that proposed in the Amendment—is that full relief should be given, provided that the cessation takes place in a reasonably short time: a tapering relief as provided in the Bill, provided that cessation takes place a few years afterwards.
Once we have passed that reasonable period of years and Income Tax and all its complexities are forgotten, we can deal 1612 with the matter in a perfectly straightforward way and just have regard to Corporation Tax and its straightforward provision that for every accounting year period the tax is paid and the business man knows exactly where he is. Therefore, I think it would be advisable to accept the provisions in the Bill, and I hope that the Committee will agree.
§ Sir Harmar NichollsI draw attention to the mood of the right hon. Gentleman in refusing this Amendment. He seemed to show great pleasure in removing complexities and difficulties which now exist in the first year and in the last year of a company's existence, and he showed that pleasure although the Bill he now commends to the Committee introduces more complexities and difficulties for all the intervening years. If I had to make a choice, I would rather have the problems of the two years than all the other superimposed problems of the intervening years. I am very disappointed that he did not accept the Amendment.
§ Mr. HirstI support what has just been said by my hon. Friend the Member for Peterborough (Sir Harmar Nicholls) The Bill is absolutely riddled with these difficulties.
What we propose is not a new principle. The Chief Secretary said that we were asking for something exceptional. We are not. I have in my hand Cmnd. 2347, A Scheme for an Accounts Basis for Income Tax on Company Profits, in which the principle raised by this Amendment is accepted. There is no question here of our trying to get around anything. What we are asking for has been accepted as a principle. I am sure that the right hon. Gentleman is aware of the White Paper to which I have referred which gives a perfectly clear instance covering a case of this kind.
No one can designate exactly when his business will cease. These cases are not limited to businesses ceasing in a prescribed number of years. It is montrous to suggest that there can be a terminal allowance if a business happens to cease in a certain period but not if it goes on for a longer period. I do not follow the logic of the Government's case. The right hon. Gentleman must be a little more specific if he is to have the good will of the Committee on this matter.
§ Sir John Hobson (Warwick and Leamington)I entirely agree with what has been said by my hon. Friends. This matter arose on Clause 75. Without doubt, there is an element of double taxation upon cessation where a company has until now been assessed on an Income Tax basis and then transfers to the Corporation Tax basis because, unless provision is made, the cessation arrangements to which it would now be entitled quite fairly under the Income Tax rules, because its starting year has been used at the first, second or, perhaps, even third year ought not to result, when it ceases trading, in its paying tax for an additional year beyond those in which it has been trading.
Last night, the right hon. Gentleman rejected the proposal that the cessation provisions for Income Tax should be taken forthwith because it involved difficulties in providing how tax should be dealt with immediately. The Government's proposal is that, provided one ceases to trade before the end of the year 1968–69, one can have the benefit, but, if one carries on after that, one cannot have what one is entitled to. Justice requires that the cessation provision should be available to those who cease to trade hereafter because they have transferred from the Income Tax to the Corporation Tax basis. Why should they, because they happen to carry on an extra few years beyond 1968–69, lose that benefit? This is another Clause which may well encourage small companies to become partnerships. They could then, provided that they did it before 1968–69, have the benefit of the cessation provisions under the Income Tax Act. It might or might not be worth it, but it will be an additional inducement to transfer from the limited liability basis to the partnership basis.
§ Mr. Joel Barnett (Heywood and Royton)Does the right hon. and learned Gentleman have in mind the Finance Act which his right hon. Friend brought in under which the pre-penultimate year was introduced on the cessation of a business, which did away with much of the advantage of the previous cessation provision?
§ Sir J. HobsonThat is true, if there are fluctuating profits. Before that Act, by adjusting the rate of profits, taking a fluctuating rate, one could, if one ceased 1614 trading at the right time, have a substantial advantage over taking the penultimate year. The matter has been evened out, of course.
The fact nevertheless remains that if a company has an accounting date very early in the financial year—and I suggested last night a company with 30th April—one could have nine months. Indeed, if one started one's trading on 6th April, one would have 364 days cessation provision. This can be a very substantial amount indeed.
The Clause impliedly admits that it is right that if a company ceases to trade in the first few years after 1966 it should have the benefit in equity and justice of the transfer. Suppose it had ceased to trade in 1966. Why should it be limited to a period with a tapering provision? Why should it not carry on? Many companies may have no benefit, but some may have very substantial benefit indeed, but they are losing it through the tapering provision. We are depriving them of what in right, justice and equity, they ought to have.
For these reasons, I cannot see why any transitional provisions are needed. If the proposed Amendments were adopted, one would in equity allow those companies that ceased to trade before 1968–69 to have precisely the same benefit as companies which ceased trade after 1968–69 would have.
§ Mr. DiamondI do not wish to be discourteous to the Committee; but there is very little more that I can say. The facts are agreed. The right hon. and learned Gentleman has put his case absolutely fairly. The question is merely whether we shall carry on this small advantage—because one is talking about double taxation only in a particular year right at the start of the business when the profits may have been very small, possibly made 30 years ago—for all time, or have a temporary period, taper it off and finish with it. No one can say with certainly that a particular tapering period is the only one that one could possibly consider.
On the general principle about whether it should be carried on for all time as the right hon. and learned Gentleman suggests or, as the Government suggest, we should after a reasonable period get rid of it, the facts are absolutely agreed 1615 between the two sides of the Committee, and the only question is what one should do about them. The Government take the view that it is right and proper that the provision should be brought to an end in due course.
§ Mr. Wingfield DigbyOnce again the right hon. Gentleman is not very fair to the Committee. He has admitted that there is injustice here. It is inherent
§ in the Government's tax proposals. His answer is not a very satisfactory one. My right hon. and learned Friend put the case extraordinarily well and the right hon. Gentleman has completely failed to answer it. I feel disinclined to withdraw my Amendment.
§ Question put, That the words proposed to be left out stand part of the Clause:—
§ The Committee divided: Ayes 288, Noes 283.
1619| Division No. 198.] | AYES | [10.29 p.m. |
| Abse, Leo | Duffy, Dr. A. E. P. | Jackson, Colin |
| Albu, Austen | Dunn, James A. | Janner, Sir Barnett |
| Allaun, Frank (Salford, E.) | Dunnett, Jack | Jeger, George (Goole) |
| Alldritt, Walter | Edelman, Maurice | Jeger,Mrs.Lena(H'b'n&St.P'cras,S.) |
| Allen, Scholefield.(Crewe) | Edwards, Rt. Hn. Ness (Caerphilly) | Jenkins, Hugh (Putney) |
| Armstrong, Ernest | English, Michael | Jenkins, Rt. Hn. Roy (Stetchford) |
| Atkinson, Norman | Ennals, David | Johnson, Carol (Lewisham, S.) |
| Bacon, Miss Alice | Ensor, David | Jones, Dan (Burnley) |
| Bagier, Gordon A. T. | Evans, Albert (Islington, S.W.) | Jones, Rt.Hn.Sir Elwyn(W.Ham,S.) |
| Barnett, Joel | Evans, Ioan (Birmingham, Yardley) | Jones, J. Idwal (Wrexham) |
| Baxter, William | Fernyhough, E. | Jones, T. W. (Merioneth) |
| Beaney, Alan | Finch, Harold (Bedwellty) | Kelley, Richard |
| Bellenger, Rt. Hn. F. J. | Fitch, Alan (Wigan) | Kenyon, Clifford |
| Bence, Cyril | Fletcher, Sir Eric (Islington, E.) | Kerr, Mrs. Anne (R'ter & Chatham) |
| Benn, Rt. Hn, Anthony Wedgwood | Fletcher, Ted (Darlington) | Kerr, Dr. David (W'worth, Central) |
| Bennett, J. (Glasgow, Bridgeton) | Fletcher, Raymond (Ilkeston) | Lawson, George |
| Binns, John | Floud, Bernard | Leadb[...]tter, Ted |
| Bishop, E. S. | Foley, Maurice | Ledger, Ron |
| Blackburn, F. | Foot, Michael (Ebbw Vale) | Lee, Rt. Hn. Frederick (Newton) |
| Blenkinsop, Arthur | Ford, Ben | Lee, Miss Jennie (Cannock) |
| Boardman, H. | Fraser, Rt. Hn. Tom (Hamilton) | Lever, Harold (Cheetham) |
| Boston, T. G. | Freeson, Reginald | Lewis, Arthur (West Ham, N.) |
| Bowden, Rt. Hn. W. (Leics S. W.) | Galpern, Sir Myer | Lewis, Ron (Carlisle) |
| Boyden, James | Garrett, W. E. | Lipton, Marcus |
| Braddock, Mrs. E. M. | Garrow, A. | Lomas, Kenneth |
| Bradley, Tom | George, Lady Megan Lloyd | Loughlin, Charles |
| Bray, Dr. Jeremy | Ginsburg, David | Mabon, Dr. J. Dickson |
| Broughton, Dr. A. D. D. | Gourlay, Harry | McBride, Neil |
| Brown, Rt. Hn. George (Belper) | Greenwood, Rt. Hn. Anthony | McCann, J. |
| Brown, Hugh D. (Glasgow, Provan) | Gregory, Arnold | MacColl, James |
| Brown, R. W. (Shoreditch & Fbury) | Grey, Charles | MacDermot, Niall |
| Buchan, Norman (Renfrewshire, W.) | Griffiths, David (Rother Valley) | McGuire, Milchael |
| Buchanan, Richard | Griffiths, Rt. Hn. James (Llanelly) | McInnes, James |
| Butler, Herbert (Hackney, C.) | Griffiths, Will (M'chester, Exchange) | McKay, Mrs. Margaret |
| Butler, Mrs. Joyce (Wood Green) | Gunter, Rt. Hn. R. J. | Mackenzie, Gregor (Rutherglen) |
| Callaghan, Rt. Hn. James | Hale, Leslie | Mackie, John (Enfield, E.) |
| Carmichael, Neil | Hamilton, James (Bothwell) | McLeavy, Frank |
| Carter-Jones, Lewis | Hamilton, William (West Fife) | MacMillan, Malcolm |
| Castle, Rt. Hn. Barbara | Hamling, William (Woolwich, W.) | Mahon, Peter (Preston, S.) |
| Chapman, Donald | Hannan, William | Mahon, Simon (Bootle) |
| Coleman, Donald | Harrison, Walter (Wakefield) | Mallalieu,J.P.W.(Huddersfield,E.) |
| Conlan, Bernard | Hart, Mrs. Judith | Manuel, Archie |
| Corbet, Mrs. Freda | Hattersley, Roy | Mapp, Char[...]es |
| Cousins, Rt. Hn. Frank | Hazell, Bert | Marsh, Richard |
| Craddock, George (Bradford, S.) | Heffer, Eric S. | Mason, Roy |
| Crawshaw, Richard | Henderson, Rt. Hn. Arthur | Maxwell, Robert |
| Cronin, John | Herbison, Rt. Hn. Margaret | Mayhew, Christopher |
| Crosland, Rt. Hn. Anthony | Hill, J. (Midl[...]thian) | Mellish, Robert |
| Cullen, Mrs. Alice | Hobden, Dennis (Brighton, K'town.) | Mikardo, Ian |
| Dalyell, Tam | Holman, Percy | Millan, Bruce |
| Darling, George | Horner, John | Miller, Dr. M. S. |
| Davies, G. Elfed (Rhondda, E.) | Hough ton, Rt. Hn. Douglas | Milne, Edward (Blyth) |
| Davies, Harold (Leek) | Howarth, Harry (Wellingborough) | Molloy, William |
| Davies, Ifor (Gower) | Howarth, Robert L. (Bolton, E.) | Morris, Alfred (Wythenshawe) |
| Davies, S. O. (Merthyr) | Howell, Denis (Small Heath) | Morris, Charles (Openshaw) |
| de Freitas, Sir Geoffrey | Howie, w. | Morris, John (Aberavon) |
| Delargy, Hugh | Hoy, James | Murray, Albert |
| Dell, Edmund | Hughes, Emrys (S. Ayrshire) | Neal, Harold |
| Dempsey, James | Hughes, Hector (Aberdeen, N.) | Newens, Stan |
| Diamond, John | Hunter, Adam (Dunferml[...]ne) | Noel-Baker, Francis (Swindon) |
| Dodds, Norman | Hunter, A. E. (Feltham) | Noel-Baker,Rt.Hn.Phllip(Derby,S.) |
| Doig, Peter | Hynd, H. (Accrington) | Norwood, Christopher |
| Donnelly, Desmond | Irvine, A. J. (Edge Hill) | Oakes, Gordon |
| Driberg, Tom | Irving, Sydney (Dartford) | Ogden, Eric |
| Oram, Albert E. (E. Ham, S.) | Robinson, Rt. Hn.K.(St. Pancras, N.) | Thomas, Iorwerth (Rhondda, W.) |
| Orbach, Maurice | Rodgers, William (Stockton) | Thomson, George (Dundee, E.) |
| Orme, Stanley | Rogers, George (Kensington, N.) | Thornton, Ernest |
| Oswald, Thomas | Rote, Paul B. | Tinn, James |
| Owen, Will | Ross, Rt. Hn. William | Tomney, Frank |
| Padley, Walter | Sheldon, Robert | Tuck, Raphael |
| Page, Derek (King's Lynn) | Shinwell, Rt. Hn. E. | Urwin, T. W. |
| Paget, R. T. | Shore, Peter (Stepney) | Varley, Eric G. |
| Palmer, Arthur | Short,Rt.Hn.E.(N'c'tle-on-Tyne,C.) | Wainwright, Edwin |
| Pannell, Rt. Hn. Charles | Short, Mrs. Renée (W'hampton,N.E.) | Walden, Brian (All Saints) |
| Park, Trevor (Derbyshire, S.E.) | Silkin, John (Deptford) | Walker, Harold (Doncaster) |
| Parker, John | Silkin, S. C. (Camberwell, Dulwich) | Wallace, George |
| Parkin, B. T. | Silverman, Julius (Aston) | Warbey, William |
| Pavitt, Laurence | Silverman, Sydney (Nelson) | Watkins, Tudor |
| Pearson, Arthur (Pontypridd) | Skeffington, Arthur | Weitzman, David |
| Peart, Rt. Hn. Fred | Slater, Mrs. Harriet (Stoke, N.) | Wells, William (Walsall, N.) |
| Pentland, Norman | Slater, Joseph (Sedgefield) | White, Mrs. Eirene |
| Perry, Ernest G. | Small, William | Whitlock, William |
| Popplewell, Ernest | Smith, Ellis (Stoke, S.) | Wigg, Rt. Hn. George |
| Prentice, R. E. | Snow, Julian | Wilkins, W. A. |
| Price, J. T. (Westhoughton) | Soskice, Rt. Hn. Sir Frank | Willey, Rt. Hn. Frederick |
| Probert, Arthur | Spriggs, Leslie | Williams, Alan (Swansea, W.) |
| Pursey, Cmilr. Harry | Stonehouse, John | Williams, Clifford (Abertillery) |
| Randall, Harry | Stones, William | Williams, W. T. (Warrington) |
| Rankin, John | Strauss, Rt. Hn. G. R. (Vauxhall) | Willis, George (Edinburgh, E.) |
| Redhead, Edward | Stross,SirBarnett(Stoke-on-Trent,C.) | Wilson, William (Coventry, S.) |
| Rees, Merlyn | Summerskill, Hn. Or. Shirley | Winterbottom, R. E. |
| Reynolds, G. W. | Swain, Thomas | Wyatt, Woodrow |
| Rhodes, Geoffrey | Swingler, Stephen | Yates, Victor (Ladywood) |
| Richard, Ivor | Symonds, J. B. | Zilliacus, K. |
| Roberts, Albert (Normanton) | Taverne, Dick | |
| Roberts, Goronwy (Caernarvon) | Taylor, Bernard (Mansfield) | TELLERS FOR THE NOES: |
| Robertson, John (Paisley) | Thomas, George (Cardiff, W.) | Mr. O'Malley and Mr Harper. |
| NOES | ||
| Agnew, Commander Sir peter | Chichester-Clark, R. | Gilmour, Ian (Norfolk, Central) |
| Alison, Michael (Barkston Ash) | Clark, Henry (Antrim, N.) | Gilmour, Sir John (East Fife) |
| Allan, Robert (Paddlngton, S.) | Clark, William (Nottingham, S.) | Glover, Sir Douglas |
| Allason, James (Hemel Hempstead) | Clarke, Brig. Terence (portsmth, W.) | Godber, Rt. Hn. J. B. |
| Amery, Rt. Hn. Julian | Cole, Norman | Goodhart, Philip |
| Anstruther-Gray, Rt. Hn. Sir W. | Cooke, Robert | Goodhew, Victor |
| Astor, John | Cooper-Key, Sir Neill | Gower, Raymond |
| Atkins, Humphrey | Cordle, John | Grant, Anthony |
| Awdry, Daniel | Corfield, F. V. | Gresham Cooke, R. |
| Baker, W. H. K. | Costain, A. P. | Grieve, Percy |
| Balniel, Lord | Courtney, Cdr. Anthony | Griffiths, Eldon (Bury St. Edmunds) |
| Barber, Rt. Hn. Anthony | Craddock, Sir Beresford (Spelthorne) | Griffiths, Peter (Smethwick) |
| Barlow, Sir John | Crawley, Aidan | Gurden, Harold |
| Batsford, Brian | Crosthwaite-Eyre, Col. Sir Oliver | Hall, John (Wycombe) |
| Beamish, Col. Sir Tufton | Crowder, F. P. | Hall-Davis, A. G. F. |
| Bell, Ronald | Cunningham, Sir Knox | Hamilton, Marquess of (Fermanagh) |
| Bennett, Sir Frederic (Torquay) | Curran, Charles | Hamilton, M. (Salisbury) |
| Bennett, Dr. Reginald (Got & Fhm) | Currle, C. B. H. | Harris, Frederic (Croydon, N.W.) |
| Berkeley, Humphry | Dalkeith, Earl of | Harris, Reader (Heston) |
| Berry, Hn. Anthony | Dance, James | Harrison, Brian (Maldon) |
| Bessell, Peter | Davies, Dr. Wyndham (Perry Barr) | Harrison, Col. Sir Harwood (Eye) |
| Biff en, John | d'Avigdor-Goldsmid, Sir Henry | Harvey, John (Walthamstow, E.) |
| Biggs-Davison, John | Dean, Paul | Harvie Anderson, Mist |
| Bingham, R. M. | Deedes, Rt. Hn. W. F. | Hastings, Stephen |
| Birch, Rt. Hn. Nigel | Dlgby, Simon Wingfield | Hawkins, Paul |
| Black, Sir Cyril | Dodds-Parker, Douglas | Hay, John |
| Blaker, Peter | Doughty, Charles | Heald, Rt. Hn. Sir Lionel |
| Bossom, Hn. Clive | Dray son, G. B. | Heath, Rt. Hn. Edward |
| Bowen, Roderic (Cardigan) | du Cann, Rt. Hn. Edward | Hendry, Forbes |
| Box, Donald | Eden, Sir John | Higgins, Terence L. |
| Boyd-Carpenter, Rt. Hn. J. | Elliot, Capt. Walter (Carshalton) | Hill, J. E. B. (S. Norfolk) |
| Braine, Bernard | Elliott, R. W.(N'c'tle-upon-Tyne,N.) | Hirst, Geoffrey |
| Brewis, John | Emery, Peter | Hobson, Rt. Hn. Sir John |
| Brinton, Sir Tatton | Errington, Sir Eric | Hogg, Rt. Hn. Quintin |
| Brooke, Rt. Hn. Henry | Eyre, Reginald | Hooton, H. E. |
| Brown, Sir Edward (Bath) | Farr, John | Hopkins, Alan |
| Bruce-Gardyne, J. | Fell, Anthony | Hordern, Peter |
| Bryan, Paul | Fisher, Nigel | Hornsby-Smith, Rt. Hn. Dame P. |
| Buck, Antony | Fletcher-Cooke, Charles (Darwen) | Howard, Hn. G. R. (St. Ives) |
| Bullus, Sir Eric | Fletcher-Cooke, Sir John (S'pton) | Hunt, John (Bromley) |
| Burden, F. A. | Foster, Sir John | Hutchison, Michael Clark |
| Butcher, Sir Herbert | Fraser,Rt.Hn.Hugh(St'fford & Stone) | Iremonger, T. L. |
| Button, Ronald | Fraser, Ian (Plymouth, Sutton) | Irvine, Bryant Godman (Rye) |
| Campbell, Gordon | Galbraith, Hn. T. G. D. | Jenkin, Patrick (Woodford) |
| Carlisle, Mark | Gammans, Lady | Jennings, J. C. |
| Cary, Sir Robert | Gardner, Edward | Johnston, Russell (Inverness) |
| Channon, H. P. G. | Gibson-Watt, David | Jones, Arthur (Northants, S.) |
| Chataway, Christopher | Giles, Rear-Admiral Morgan | Joseph, Rt. Hn. Sir Keith |
| Kaberry, Sir Donald | Murton, Oscar | Steel, David (Roxburgh) |
| Kerr, Sir Hamilton (Cambridge) | Neave, Airey | Stodart, Anthony |
| Kershaw, Anthony | Nicholls, Sir Harmar | Stoddart-Scott, Col. Sir Malcolm |
| Kilfedder, James A. | Nicholson, Sir Godfrey | Studholme, Sir Henry |
| Kimball, Marcus | Noble, Rt. Hn. Michael | Talbot, John E. |
| King, Evelyn (Dorset, S.) | Nugent, Rt. Hn. Sir Richard | Taylor, Sir Charles (Eastbourne) |
| Kirk, Peter | Onslow, Cranley | Taylor, Edward M. (G'gow,Cathcart) |
| Lagden, Godfrey | Orr, Capt. L. P. S. | Taylor, Frank (Moss Side) |
| Lancaster, Col. C. G. | Orr-Ewing, Sir Ian | Teeling, Sir William |
| Langford-Holt, Sir John | Osborn, John (Hallam) | Temple, John M. |
| Legge-Bourke, Sir Harry | Osborne, Sir Cyril (Louth) | Thatcher, Mrs. Margaret |
| Lewis, Kenneth (Rutland) | Page, John (Harrow, W.) | |
| Litchfield, Capt. John | Page, R. Graham (Crosby) | Thomas, Sir Leslie (Canterbury) |
| Lloyd, Rt.Hn.Geoffrey(Sut'nC'dfield) | Pearson, Sir Frank (Clitheroe) | Thomas, Rt. Hn. Peter (Conway) |
| Lloyd, Ian (P'tsm'th, Langstone) | Peel, John | Thompson, Sir Richard (Croydon, S.) |
| Lloyd, Rt. Hn. Selwyn (Wirral) | Percival, Ian | Thorneycroft, Rt. Hn. Peter |
| Longden, Gilbert | Peyton, John | Tiley, Arthur (Bradford, W.) |
| Loveys, Walter H. | Pickthorn, Rt. Hn. Sir Kenneth | Tilney, John (Wavertree) |
| Lubbock, Eric | Pike, Miss Mervyn | Turton, Rt, Hn. R. H. |
| Lucas, Sir Jocelyn | Pitt, Dame Edith | Tweedsmuir, Lady |
| McAdden, Sir Stephen | Pounder, Rafton | van Straubenzee, W. R. |
| MacArthur, Ian | Powell, Rt. Hn. J. Enoch | Vaughan-Morgan, Rt. Hn. Sir John |
| Mackenzie, Alasdair (Ross&Crom'ty) | Price, David (Eastleigh) | Vickers, Dame Joan |
| Mackie, George Y. (C'ness & S'land) | Prior, J. M. L. | Walder, David (High Peak) |
| McLaren, Martin | Quennell, Miss J. M. | Walker, Peter (Worcester) |
| Maclean, Sir Fitzroy | Ramsden, Rt. Hn. James | Walker-Smith, Rt. Hn. Sir Derek |
| Macleod, Rt. Hn. Iain | Rawlinson, Rt. Hn. Sir Peter | Wall, Patrick |
| McMaster, Stanley | Redmayne, Rt. Hn. Sir Martin | Walters, Dennis |
| McNair-Wilson, Patrick | Rees-Davies, W, R. | Ward, Dame Irene |
| Maginnis, John E. | Renton, Rt. Hn. Sir David | Weatherill, Bernard |
| Maitland, Sir John | Ridley, Hn. Nicholas | Webster, David |
| Marples, Rt. Hn. Ernest | Ridsdale, Julian | Wells, John (Maidstone) |
| Marten, Neil | Roberts, Sir Peter (Heeley) | Whitelaw, William |
| Mathew, Robert | Robson Brown, Sir William | Williams, Sir Rolf Dudley (Exeter) |
| Maude, Angus | Rodgers, Sir John (Sevenoaks) | Wills, Sir Gerald (Bridgwater) |
| Mawby, Ray | Roots, William | Wilson, Geoffrey (Truro) |
| Maxwell-Hyslop, R. J. | Royle, Anthony | Wise, A. R. |
| Maydon, Lt.-Cmdr. S. L. C. | St. John-Stevas, Norman | Wolrige-Gordon, Patrick |
| Meyer, Sir Anthony | Scott-Hopkins, James | Wood, Rt. Hn. Richard |
| Mills, Peter (Torrington) | Sharples, Richard | Woodhouse, Hon. Christopher |
| Mills, Stratton (Belfast, N.) | Shepherd, William | Woodnutt, Mark |
| Miscampbell, Norman | Sinclair, Sir George | Wylie, N. R. |
| Mitchell, David | Smith, Dudley (Br'ntf'd & Chiswick) | Yates, William (The Wrekin) |
| Monro, Hector | Smyth, Rt. Hn. Brig. Sir John | Younger, Hn. George |
| More, Jasper | Spearman, Sir Alexander | |
| Morrison, Charles (Devizes) | Speir, Sir Rupert | TELLERS FOR THE NOES: |
| Mott-Radclyffe, Sir Charles | Stainton, Keith | Mr. Pym and Mr. G. Johnson Smith. |
| Munro-Lucas-Tooth, Sir Hugh | Stanley, Hn. Richard |
§ Clause ordered to stand part of the Bill.