§ Sir R. Russell
asked the Chancellor of the Exchequer if he will state the amount paid by the private sector of the economy in direct taxation in the five years 1959 to 1963 after deducting the tax paid by employees of the public sector and the tax on interest paid by the public sector to the private sector.
§ Mr. Green
It is estimated that of the total direct tax of £14,278 million paid by the private sector in the five years 1959–1963 inclusive, about £2,100 million was paid on incomes arising from employment in the public sector. This figure is necessarily approximate because both the Income Tax deductions under Vie P.A.Y.E. system and the Surtax, where applicable, are affected in many cases by income from other sources. I regret that no estimate can be made of the tax attributable to interest paid by the public sector.