HC Deb 27 July 1931 vol 255 cc1964-5W
Mr. BARNES

asked the Financial Secretary to the Treasury whether he will make a statement to the House showing the charge which has fallen upon the Treasury in consequence of the Derating Act, 1928?

Mr. PETHICK-LAWRENCE

As far as the cost of putting into operation of the Rating and Valuation (Apportionment) Act, 1928, is concerned, I would refer my hon. Friend to the reply given to the hon. Member for Springburn (Mr. Hardie) on 23rd April last. The actual rating relief to industrial and other property was, however, given by the two Local Government Acts of 1929. The total cost to the Exchequer of these two Acts in the financial years 1930 and 1931 is estimated as follows:

£ £
1930.
Provision in Estimates:
Class X.
Vote 1 39,560,000
Vote 2 4,147,362
Vote 3 and Supplementary 1,000,000
Class V.
Vote 1 6,000
44,713,362
Estimated additional charge falling on Education Votes by reason of reduction in rateable value:
£
England and Wales 966,000
Scotland (11/80ths of £966,000) 132,000
1,098,000
Charges transferred to Estimates from Local Taxation Account* 4,435,547
Total gross increase in Estimates due to Local Government Acts 50,246,909

1930.
Deduct
Savings on discontinued grants*:
Voted grants 4,363,529
Issues to Local Taxation Account 14,700,000
19,063,529
Total Net Cost to the Exchequer 31,183,380
1931.
Provision in Estimates:
Class X.
£ £
Vote 1 39,760,000
Vote 2 5,686,287
Class V.
Vote 1 6,000
45,452,287
Estimated additional charge on Education Votes (as above) 1,098,000
Charges transferred to Estimates from Local Taxation Account* 4,817,807
Total gross increase on Estimates 51,368,094
Deduct
Savings on discontinued grants*:
Voted grants 4,752,297
Issues to Local Taxation Account 14,900,000
19,652,297
Total Net Cost to the Exchequer 31,715,797
In addition the sum of £3,000,000 was charged upon the Road Fund in each year under Section 87 (1) (b) of the Local Government Act, 1929 and Section 54 (1) (b) of the Local Government (Scotland) Act, 1929.
* Set out in full in Appendix to Civil Estimates Class X, 1930.