§ 96. Sir W. Bromley-Davenport
asked the President of the Board of Trade why the Purchase Tax concession on certain types of racing cars has been withdrawn; what was the amount of revenue involved; and what steps he is taking to satisfy himself that the withdrawal of the concession will not have adverse long-term effects upon the development of the motor industry and its export trade.174W
§ Mr. N. Macpherson
My right hon. Friend considers that the loss of revenue resulting from this exceptional concession is no longer warranted having regard to the need for financial economy on the part of the Government and to the strength of the motor industry. The revenue involved varies from year to year. In the current financial year provision has been made in the Board of Trade Estimates for payments of £50,000. My right hon. Friend has no doubt that the motor industry will support British motor racing if it considers that it would be justified in doing so by the benefits which accrue to the industry from the prestige and technical developments derived from successful motor racing.