HC Deb 11 July 1966 vol 731 cc960-1
40. Mr. Edward M. Taylor

asked the Minister of Labour what estimate he has made of the percentage of Scotland's population engaged in gainful employment which will be unable to obtain any refund of the selective employment tax; and how this compares with the percentage in England and Wales.

Mrs. Shirley Williams

It is not possible to make precise estimates of this kind, but it is thought that the proportion in Scotland will be approximately the same as in England and Wales, namely, about 35 per cent. of the total working population.

Mr. Taylor

Is it not rather alarming that the Government have introduced this new tax without precise information? Does not the hon. Lady agree that in the Highlands, where more than 80 per cent. of employees are employed in service industries, this tax will cause a great deal of damage?

Mrs. Williams

In answer to the first part of the question, the only reason why I cannot give absolutely precise figures is simply that the Bill has not yet passed through the House and we do not know how it will be amended. In answer to the second part of the question, I point out that the Government's many regional policies are devoted to trying to assist area like the Highlands. The effects of the Selective Employment Tax will be taken into account, together with the effects of the other regional policies.

Mr. David Steel

Does not the hon. Lady think it is unfortunate that one item of Government policy—the Selective Employment Tax—would appear to be cutting across the development area policy of other Government Departments?

Mrs. Williams

Perhaps the hon. Gentleman would be kind enough to await the discussion on the Amendment to the Bill when it arises?

Mr. Hector Hughes

Is my hon. Friend aware that it would be very helpful to industry In Scotland if she would break up the figures with regard to the different areas in Scotland, particularly in the North-East as contrasted with the South-West, where the industries differ to some extent?

Mrs. Williams

I will bear my hon. and learned Friend's point in mind.