HC Deb 24 July 1996 vol 282 c463W
Mr. Wigley

To ask the Lord President of the Council what is his estimate of the annual saving to public funds(a) gross and (b) net arising from the reduction of the top rate of car mileage allowance for hon. Members from 74.lp per mile to 47.2p per mile. [37848]

Mr. Newton

The single rate of car mileage allowance, 47.2p per mile for the first 20,000 miles and 21.7p thereafter, will come into effect from 1 April 1997, uprated by the percentage increase, if any, by which the retail prices index for March 1997 has increased compared with March 1996. The supply estimate for the Members vote for the financial year 1997–98, the first year of the single mileage rate, has not yet been compiled. I have therefore taken the year 1995–96, the most recent complete year for which data are available, as the base upon which to estimate an order of savings. On that basis I would anticipate an annual overall saving of around £2 million. It is not possible at this stage to calculate net savings.

Mr. Wigley

To ask the Lord President of the Council what is the annual cost to public funds, gross and net, arising from the increase in the salary rate of hon. Members to £43,000. [37849]

Mr. Newton

The estimated annual cost to public funds arising from the increase in the salary rate of hon. Members from £34,000 to £43,000 is £7.6 million. The cost in 1996–97 is estimated to be £5.7 million.

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