HC Deb 22 July 1976 vol 915 cc571-2W
Mr. D. E. Thomas

asked the Chancellor of the Exchequer what annual savings would accrue to the Treasury if tax relief were to be discontinued on (a) all building society mortgages, (b) all building society mortgages in each £1,000 band between £5,000 and £15,000 and (c) all building society mortgages above £15,000.

Mr. Robert Sheldon

I regret that the information available is not sufficiently accurate to provide estimates ranged by £1,000 bands of building society mortgages. On a more limited basis estimates for 1975–76 are as follows:

Tax relief (£ million)
(a) all building society mortgages 680*
(b) building society mortgages†
above £8,000 70
above £10,000 35
above £15,000 3
* The estimated cost of income tax relief for 1975–76 on mortgages from all lenders is £865 million.
† The estimate under (b) indicate approximate amounts only. Where the amount outstanding on the mortgage exceeds the figure shown tax relief has been allowed up to that limit.

Mr. D. E. Thomas

asked the Chancellor of the Exchequer what annual savings would accrue to the Treasury if tax relief on building society mortgages were allowed at the standard rate only for mortgages (a) in each £1,000 band between £5,000 and £15,000 and (b) above £15,000.

Mr. Robert Sheldon

I regret that the information available is not sufficiently accurate to provide estimates ranged by £1,000 bands of building society mortgages. On a more limited basis estimates for 1975–76 are as follows:

Tax relief in excess of relief on the basic rate (£ million)
Building society mortgages*
above £8,000 25
above £10,000 10
above £15,000 1
* The estimates shown indicate orders of magnitude only. Where the amount outstand-

ing on the mortgage exceeds the figure shown tax relief has been allowed at the full rate up to that limit.