§ 61. Mr. Nabarro
asked the Chancellor of the Exchequer whether he is aware that all industries which produce goods subject to a high rate of Purchase Tax suffer considerable difficulties with production planning and sales in the first three months of the calendar year owing to the tendencies of buyers to delay purchasing in the hope that the high rate of tax will be reduced in the Budget; and whether he will discuss with representative trade organisations how contemplated adjustments of tax rates could be achieved with minimum dislocation in trade and revenue.
§ Mr. Selwyn Lloyd
I am aware of the views of representative trade organisations on these matters, and I do not think that the suggested discussions would add to that knowledge.
§ 62. Mr. Nabarro
asked the Chancellor of the Exchequer whether it is still the policy of Her Majesty's Government as expressed on 2nd June, 1960, not to 31W make a 12½ per cent. reduction of Purchase Tax on motor cars because of their view that this would stimulate the home demand beyond what the industry could meet.