HC Deb 20 January 1970 vol 794 cc223-5
1. Mr. Blaker

asked the Chancellor of the Exchequer if he has now received the initial findings of Professor Reddaway about the selective employment tax; and if he will make a statement.

The Chief Secretary to the Treasury (Mr. John Diamond)

Yes, Sir. My right hon. Friend received Professor Reddaway's initial report, which deals with the distributive trades, on 12th January. The report will be published as soon as possible. The Chancellor will review the tax and its working carefully in the light of the findings. My right hon. Friend and I should like to take this opportunity of thanking Professor Reddaway and his staff for the immense amount of work which has gone into the preparation of the report.

Mr. Blaker

Is the right hon. Gentleman aware that his gratitude to Professor Reddaway is echoed on this side of the House? Can he give an assurance that the initial findings will be published before the Budget?

Mr. Diamond

I am grateful for the hon. Gentleman's remarks. I assure him that there will be a sufficient number of copies placed in the Library so that all hon. Members may have access to the document.

Mr. Crawshaw

Will my right hon. Friend bear in mind that this tax is affecting some areas of the country adversely and that particularly on Merseyside the unemployment figures are still well above the national average? Will the Government be prepared to adjust the tax in some areas until the unemployment figures are brought down to the national average?

Mr. Diamond

Whether my hon. Friend's analysis is completely persuasive is a matter for consideration, but certainly he will not expect me to give any indication of what my right hon. Friend may care to do in his Budget.

28. Mr. Spriggs

asked the Chancellor of the Exchequer if he will list the employers and trade unions which have made representations to him for the abolition of selective employment tax, the nature of the representations, and the nature of his replies.

Mr. Diamond

With permission, I will circulate in the OFFICIAL REPORT a list of employers' organisations and trade unions which have made representations to us since the last Budget asking for the abolition of the tax. Most of them were concerned about the position of small businesses. In our replies we emphasised the disadvantages of the practical alternatives to S.E.T.

Mr. Spriggs

If my right hon. Friend is given evidence that the S.E.T. has a bad affect upon wages in the distributive industry, will he consider it in relation to that industry?

Mr. Diamond

I am prepared to con sider anything my hon. Friend cares to put before me.

Following is the list: