§ Mr. Heathcoat-Amory
I have no present plans to change the rates of either pool betting duty or lottery duty. In his Budget speech on 16 March 1993, my right hon. Friend the member for Kingston upon Thames (Mr. Lamont) said that, in deciding the tax rate of the national lottery, account was taken of the level of tax on other forms of gambling and the extent to which spending was likely to be diverted from other taxed activities. He went on to say that much would depend on how the lottery developed and the position would be kept under review. In his recent Budget speech, the Chancellor announced that the 1991 reduction in pools betting duty of 2.5 per cent., to help fund the Foundation for Sport and the Arts, should continue for another five years provided that the pools companies also continue to fund sport and the arts at their present level. HM Customs and Excise is monitoring the effect of the national lottery on receipts of pool betting duty and other gambling duties.