HC Deb 24 June 1976 vol 913 cc1865-7
Mr. Sainsbury

I beg to move Amendment No. 36, in page 20, line 31, leave out paragraphs (a) and (b) and insert:

  1. "(a) a dwelling-house or part of a dwelling-house which is or has at any time in his period of ownership been, his only or main residence, or
  2. (b) land which he has for his own occupation and enjoyment with that residence as its garden or grounds up to an area (inclusive of the site of the dwelling-house) of one hectare or such larger area as the Commissioners concerned may in any particular case determine, on being satisfied that, regard being had to the size and character of the dwelling-house, the larger area is required for the reasonable enjoyment of it (or of the part in question) as a residence".

Mr. Speaker

With this we may discuss Government Amendment No. 37.

Mr. Sainsbury

The amendment seeks to bring the legislation into line with Clause 29 of the Finance Act 1969 which deals with metrication. It seeks to substitute a hectare for an acre. Government Amendment No. 37 goes some way to meeting the argument which we made in Committee and I therefore leave it to the Minister to explain his amendment.

Mr. Denzil Davies

Amendment No. 36 seeks to extend the exemption for private residences from one acre of land adjoining that residence to one hectare, which is two-and-a-half acres. That goes too far and we have tried to follow the capital gains tax legislation by confining the relief to one acre. In our amendment we have extended, for some people, the relief originally in the Bill because we propose to insert the words which are used in the capital gains tax legislation, which would provide one acre or such larger area as the Commissioners concerned may in any particular case determine". In some cases there will be an exemption of more than one acre but that will depend on the circumstances and upon the Commissioners. I cannot accept Amendment No. 36 but I recommend Amendment No. 37 to the House.

Mr. Sainsbury

I do not see how it is possible to say that an amendment which seeks to extend an area goes too far. Perhaps another form of words should have been used. In view of what the Minister has said, I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Amendment made: No. 37, in page 20, line 38 at end insert: or such larger area as the Commissioners concerned may in any particular case determine on being satisfied that, regard being had to the size and character of the dwelling-house, the larger area is required for the reasonable enjoyment of it as a residence.".—[Mr. Denzil Davies.]

Mr. Denzil Davies

I beg to move Amendment No. 38, in page 22, line 26, at end insert— '(8A) If an individual makes a claim with respect to realised development value which accrues to him on the disposal of an interest in land which is or includes the whole or any part of the private residence of a dependent relative of the claimant, provided rent-free and without any other consideration, such relief shall be given under this section in respect of that dwelling-house as would be so given if it had been the claimant's only or main residence during the period it was his dependent relative's private residence; and where such a claim is made—

  1. (a) any such relief shall be given in addition to any relief available under this section apart from this subsection; and
  2. (b) for the purpose of determining any such relief, not more than one dwelling-house shall be assumed by virtue of this subsection to be the claimant's only or main residence at any one time.'.

Mr. Speaker

With this we may discuss Government Amendments Nos. 246 and 99.

Mr. Davies

The amendments fulfil an undertaking given in Committee to extend the private residence exemption to a house which is occupied by a dependent relative. The extension is being made to bring it into line with the capital gains tax legislation and the relief will be available to a dependent relative of the owner occupier. It is a small extension and relief and I recommend it to the House.

Mr. Sainsbury

The amendment represents the implementation of an undertaking made in response to my hon. Friend the Member for Melton (Mr. Latham). He raised the matter in Committee but he is unable to be here because of illness. I am sure that the Minister will want to recognise my hon. Friend's contribution.

Amendment agreed to.

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