§ 2.35 p.m.
§ [The Question was as follows:
§ To ask Her Majesty's Government what, if any, would be the approximate annual financial loss to the Exchequer if the existing limit of £100 per annum foreign travel allowance were increased (exclusive of application to the dollar area) to £200 per annum.]
§ THE MINISTER WITHOUT PORTFOLIO (THE EARL OF DUNDEE)My Lords, there would be some additional charge on the united Kingdom balance of payments, but no one can predict with any certainty what it might amount to.
LORD REAMy Lords, while thanking the noble Earl for that Answer, will he agree that in the view of the Government it is necessary that British nationals should travel abroad as easily as possible, and will he bear this matter well in mind and deal with it, if possible, before the holiday season gets into full swing?
§ THE EARL OF DUNDEECertainly, my Lords. I think the Chancellor of the Exchequer has already stated that he hopes that in due course it will not be necessary to maintain these restrictions on foreign travel.
§ LORD CONESFORDMy Lords, is it not a fact that the limit in the case of Scandinavia is now £250? Has this caused any appreciable flight of capital? If it has not, why should the raising of the limit elsewhere have that effect?
§ THE EARL OF DUNDEEMy Lords, I do not think the raising of the limit to £200, as the noble Lord, Lord Rea, suggests in his Question, Would have much effect on the flight of capital.
LORD GIFFORDMy Lords, would the noble Earl consider making a request to those connected with the travel world to give some kind of estimate? I think he would find that the amount involved would be quite negligible.