§ Mr. Redwood
To ask the Chancellor of the Exchequer what impact there would be in a full year on the revenue228W from stamp duty if (a) all Government and local authority bonds were included within the tax net and (b) the rates of stamp duty were all halved.
§ Mr. Norman Lamont
The combined effect of the changes would be a reduction in stamp duty revenue of about one fifth. This estimate assumes that transfers of new and existing Government and local authority bonds would be subject to the same rate of duty as transfers of stocks and shares and it does not allow for the effect on prices and the volume of transactions resulting from the changes.