HC Deb 21 February 1934 vol 286 cc352-3W
Mr. D. G. SOMERVILLE

asked the Financial Secretary to the Treasury whether his attention has been called to the proposal to market in this country a motor fuel consisting of petrol blended with alcohol; whether he has made any inquiries as to whether the alcohol is produced from home or imported material; and what decision has been reached with regard to the basis of taxation for the new fuel?

Mr. HORE-BELISHA

My attention has been called to the proposal referred to the first part of the question; with regard to the second part, I have not made such inquiries, as the Revenue liability of alcohol is not affected by the origin of the raw material used in its manufacture. With regard to the third part, as the law stands, duty at 8d. per gallon will be payable in respect of imported light hydrocarbon oil in the new fuel, and the comparatively small alcohol constituent consists of power methylated spirit which is statutorily free from Spirit Duty; the whole matter, however, is being carefully watched.

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