§ 9. Mr. Roger Whiteasked the Minister of Agriculture, Fisheries and Food what proportion of the household food bill in the United Kingdom is represented by the cost of processing and packaging.
§ Mr. PriorIt is not possible to give a precise figure, but I would estimate that the proportion would be in the region of a fifth to a quarter.
§ Mr. WhiteI think my right hon. Friend would agree that these are essentially labour costs. Could we not hope in future to see some reduction as a result of the cut in selective employment tax?
§ Mr. PriorFood packaging and processing, including labour costs, in so far as they form part of the manufacturing process, already mostly qualify for S.E.T. refund. But I agree that the reduction of this iniquitous tax by half will lead to some reduction in prices.