§ Mr. Pavitt
asked the Chancellor of the Exchequer what is his estimate of the revenue derived from the practice of taking from each cigarette a quantity of tobacco to compensate for the cost of gift coupon schemes.324W
§ Mr. Robert Sheldon
Customs and Excise taxation of United Kingdom manufactured cigarettes is based partly on the weight of raw tobacco used and—subject to passing of the present Finance Bill—partly on the retail price of the cigarettes. Variations in either the weight of tobacco or the retail price can affect the revenue. However, I am not aware of any direct relationship between the quantity of tobacco in a cigarette and the cost of gift coupons, and no estimate can therefore be given.