HC Deb 13 March 1962 vol 655 cc138-9W
51. Mr. Nabarro

asked the Chancellor of the Exchequer, having regard to the Report of the Royal College of Physicians of London, a copy of which has been sent to him by the hon. Member for Kidderminster, containing statements to the effect that evidence is now so convincing that cigarette smoking causes lung cancer, urging decisive Government support and recommending bigger cigarette taxes and smaller pipe tobacco and cigar taxes, whether he will state his policy in regard to the loaded fiscal differentials seeking to discriminate for or against any particular class of tobacco consumer; and whether he will make a statement.

Mr. Selwyn Lloyd

Since virtually all the tobacco revenue comes from the duty charged on the raw leave when it is withdrawn from bond, and does not vary according to the use to which the leaf may subsequently be put, changes of the kind envisaged would involve alterations to the existing framework of the duty. Such changes would be a matter for the Budget.

52. Mr. Nabarro

asked the Chancellor of the Exchequer what is his total revenue from tobacco duties, including the regulator, in 1961–62; how much derives from cigarettes, cigars and pipe tobacco, respectively; and what estimate he has now made of the effect on total revenue from tobacco duty arising from a 50 per cent. increase in dutiable materials in cigarettes and a 50 per cent. reduction in dutiable materials in pipe tobacco and cigars.

Mr. Selwyn Lloyd

My Budget estimate of the yield of the tobacco duty was £835 million and I estimated that the 10 per cent. revenue surcharge imposed last July would produce an additional £50 million in this financial year.

In regard to the rest of the Question, I would refer my hon. Friend to the reply which I have given to the previous Question.