HC Deb 01 April 1941 vol 370 c872W
Mr. Liddall

asked the Chancellor of the Exchequer what steps he is taking to defend the taxpayer from the retroactive effect on war expenditure caused by the three-point increase in the cost-of-living index arising from the Purchase Tax, in view of the fact that increases of wages and bonus are based on the index; and whether he will exclude from wage and bonus calculations the inflationary effect of the Purchase Tax?

Sir K. Wood

I do not propose to adopt my hon. Friend's suggestion. I would remind him that a very large sum is contributed by the Exchequer to curtail increases in the price of staple foods, and therefore in the cost-of-living index.

Mr. Parker

asked the Chancellor of the Exchequer whether he is aware that Purchase Tax is now being imposed on gas mask carriers; that this is discouraging the carrying of masks; and whether he can remit this imposition?

Sir K. Wood

Gas mask carriers fall within the scope of the tax. The bulk of such carriers were bought before the tax came into operation. I am not aware that the tax discourages the carrying of masks, and I do not think it is practicable to exempt them.