HC Deb 06 April 1976 vol 909 c248

The Sandilands Committee on Inflation Accounting strongly recommended that the present system of 100 per cent. capital allowances should be continued and suggested that the commitment to the system which was given by my predecessor in 1972, and which runs to the end of 1977, should now be extended. I accept this recommendation, and I propose that the main structure of the present system of capital allowances for fixed investment should continue in its present form. This is not to rule out any minor changes that may be necessary; but I cannot accept the representations that have been made to me for extending capital allowances to commercial buildings. I do not believe that the benefit from such a change would justify its heavy cost to the Exchequer.