§ 8.0 p.m.
§ Mr. Nigel Fisher (Surbiton)I beg to move Amendment No. 89, in page 73, line 30, at end insert:
Importation of aromatic bitters shall be exempt from spirit duties. For the purposes of this Schedule, 'aromatic bitters' means bitters, aromatic, containing 44 to 49 per cent. alcohol, and 1.5 to 6 per cent. by weight of gentian, spices and other ingredients, 4 to 10 per cent. by weight of sugar, and packed in containers of capacity less or equal to 0.5 litres.I am sorry that the hon. Member for Birmingham, Northfield (Mr. Chapman) is not in his place, because I am sure that he would have moved the Amendment much more persuasively than I shall be able to. By comparison with other Amendments to this Bill, this may appear to be a relatively small matter, but it is important to Trinidad and Tobago and it has the support of hon. Members on both sides who know the West Indies, and Trinidad in particular. Some of us have been pressing the substance of the Amendment on successive Financial Secretaries, of Conservative as well as Labour Governments, for many years. I think I first began to argue the case at least 10 years ago, although this is the first opportunity the House has had of debating the matter.The comparative prosperity by West Indian standards, of Trinidad and Tobago has in the past been based mainly upon oil, but that is now a declining industry. Unemployment in that country is increasing. I believe that 15 per cent. of the total work force is unemployed, including no less than 30 per cent. in the 16–20 age group. There is also quite a serious balance of payments problem in Trinidad.
So the export importance of Angostura bitters to the country is quite considerable, yet this export cannot be increased in volume as long as Angostura is classified as a spirit to drink, because the consequential high import duty makes it 700 too expensive for what it really is, which in truth is only a flavouring. Angostura bitters cannot be drunk neat—it is a most disgusting taste. It can be used only for flavouring other drinks or dishes. If it was classified as a flavouring, it would be useful and popular to flavour puddings and cakes as well as to flavour gin. It would be quite a boon to the British housewife, and I believe that consumption would greatly increase. It is almost certain that, because of that, the Exchequer would get as much revenue from the larger quantity imported as it now gets from the larger duty on the small quantity imported. In any case, the loss, if any, to the Revenue would be virtually negligible.
A large number of countries have already reclassified Angostura as a flavouring. In the last few years Grenada, Guyana, Jamaica and Peru have all reclassified it. Australia did so seven years ago. Canada did so over 20 years ago. In the United States it has been taxed only as a flavouring for over 50 years, including during the period of prohibition.
I believe that by 1972 we shall be the only major country in Western Europe which still classifies Angostura as an alcoholic beverage, which it is not; unless the Government take the opportunity afforded by this Amendment to correct this obvious anomaly which Great Britain is becoming almost unique in persisting with. I hope very much that my right hon. Friend will take this opportunity tonight. He has, with his usual courtesy, seen the hon. Member for Northfield and myself to discuss it and I know that he has sympathetically considered the matter in his Department. If he cannot give us this concession this year, although I do not think it would cost the Treasury much revenue, I hope that he will at least give me an assurance that he will consider it favourably if he is in the same Government position next year.
§ Mr. Harold LeverI considered this matter very carefully with the hon. Gentleman. This is a problem of the structure of the duty in Britain. It is not a barrier that the hon. Gentleman can lightly get over in his research for treatment of Angostura as being a non-dutiable spice, as it were, or flavouring.
§ Mr. FisherThat is what it really is.
§ Mr. LeverThe hon. Gentleman says that what it really is is a flavour or taste. What the Customs says is that what it really is is a spirituous liquor. It can be both things. I think that it is a flavour. I think that it is a spirituous liquor. What the hon. Gentleman is so keen to emphasise is its flavour character and not its spirituous character. The Customs in its dour way seeks to emphasise the spirituous character.
I do not want to raise any false hopes about this, because there is a structural problem. The hon. Gentleman has made his case with earnestness and with force. I promise once again that we will have the matter under consideration and give it a genuine new look in the hope that we can find some conceivable opening, but I do not want to raise any false hopes. I do not want the hon. Gentleman
| 5 | 4A.—(1) Where a betting premises licence is granted so as to have effect from the beginning of the licence-year or from a date in that year not later than the end of February, and section 237 of the Customs and Excise Act 1952 does not apply for the reduction of the duty payable on the licence, the licence may at the option of the person liable for the duty be granted on payment of only half of the full duty; and in that case the second half shall be paid not later than the following 1st March. |
| (2) If default is made in payment of the second half of the duty, the licence shall be of no effect so long as the default continues. | |
| (3) If after 1st March any sum remains unpaid in respect of the second half of the duty, that sum may be recovered as a debt due to the Crown. | |
| 10 |
§ Mr. Deputy Speaker (Mr. Sydney Irving)With this Amendment we may discuss the sub-Amendments:
- (a) In line 2, after 'a' insert 'later'.
- (b) In line 2, leave out:
'not later than the end of February'.
- (c) in line 4, leave out 'the licence may' and insert 'the duty may.'
- (d) in line 5, leave out from 'be ',to end of line 6 and insert:
'paid, in any case where the licence is to have effect from the beginning of the licence-year, in twelve equal monthly instalments, and in any other case by such number of equal monthly instalments as corresponds to the duration of the licence, and in any such case the licence shall be granted on payment of the first of such instalments'.(i) in line 5, leave out from' be 'to end of line 6 and insert:'paid, in any case where the licence is to have effect from the beginning of the licence-year, in twelve equal monthly instalments, and in any other case by such number of equal monthly instalments as corresponds to the duration of the licence, such instalments being in either case payable by means of the Post Office Giro, and in any such case the licence shall be granted on payment of the first of such instalments'.
§ to think that this is in the nature of any kind of commitment. I cannot give him one. I am glad that he has raised the matter again briefly. I promise to look at it again, without commitment.
§ Mr. FisherIn view of the right hon. Gentleman's gracious reply, even though it does not constitute a firm and definite undertaking, I beg to ask leave to withdraw the Amendment.
§ Amendment, by leave, withdrawn.