HC Deb 13 June 1967 vol 748 cc35-6W
16. Mr. Robert Carr

asked the Chancellor of the Exchequer whether he will publish a White Paper on the effect of the first 12 months' working of the Selective Employment Tax.

Mr. Callaghan

No.

45. Mr. Biggs-Davison

asked the Chancellor of the Exchequer whether, in view of the fact that Selective Employment Tax was introduced as part of the measures to deal with the economic crisis, he will give an undertaking that this tax will be withdrawn as soon as he judges restrictive measures can be relaxed.

Mr. Callaghan

No.

Sir J. Langford-Holt

asked the Chancellor of the Exchequer why he will not reclassify the building industry as a manufacturing industry for purposes of the Selective Employment Tax.

Mr. Diamond

I see no reason to alter the decision taken when the tax was introduced;

TAXATION AS A PERCENTAGE OF GROSS NATIONAL PRODUCT AT FACTOR COST
Total taxes and social security contributions Central government Receipts of Local authorities Social security funds
United Kingdom 34.1 24.7 4.0 5.4
United States 30.0 15.9 9.5 4.6
Belgium 33.4 22.0 1.7 9.7
Italy 33.4 18.8 2.7 11.8
Netherlands 37.6 24.5 0.6 12.4
West Germany 39.6 15.6 12.0 12.1
France 45.5 24.1 3.9 17.5
NOTE:
Figures for Luxembourg are not available. The figures are based partly on information from O.E.C.D. and partly on a publication by the Statistical Office of the European Economic Community. There are minor differences between these two sources and the split of taxation between central government, local authorities and social security funds is therefore only approximate.

nor could I contemplate in present circumstances the loss of revenue involved.

Mr. Ridley

asked the Chancellor of the Exchequer if he will now seek to amend the Selective Employment Payments Act so that nationalised industries do not receive the refund in respect of those engaged in carrying out electrical contracting work.

Mr. Diamond

No. Arrangements have been made to ensure that there is fair competition with private contractors.