§ 75. Mr. Nabarroasked the President of the Board of Trade whether he is aware of the developments which have occurred in recent years with regard to the development of aerosols and their use in connection with containers, particularly in the toilet field, and that the British export trade in goods which could be made up in aerosol containers is being severely handicapped by the present restrictions imposed on their use in this country by the high rate of Purchase Tax; and whether he will seek a report on this subject from his overseas advisory staff in other countries where aerosols are manufactured and where products made up in aerosol containers are sold in substantial quantities, with a view to ensuring that steps are taken in this country to see that we do not lag behind in connection with this development particularly so far as the export trade is concerned.
§ Sir D. EcclesI am aware of the rapid increase in the manufacture of aerosols in this country. Questions on Purchase Tax should be addressed to my right hon. Friend the Chancellor of the Exchequer, but we have received no evidence that the Purchase Tax on domestic sales has adversely affected exports.
§ 76. Mr. Nabarroasked the President of the Board of Trade which industries, in the course of their representations to him in regard to European Free Trade, have indicated that the present high rates of Purchase Tax will handicap them un duly if there is to be free competition with relevant European industries in so far as their competitors in Europe are not equally penalised by such high tax burdens; and what was the nature of his replies.
§ Sir D. EcclesManufacturers of motor cars, domestic refrigerators and fur garments are among those who have expressed concern about the effect of Purchase Tax on their competitive position 103W in the European Free Trade Area. I referred them to the Chancellor of the Exchequer with my assurance that the Government have this point well in mind.