100. Mr. Beanasked the Secretary of State for the Colonies to what extent the proposed uniform tariff for the Central African Federation will deprive the Nyasaland Government of its present tariff rebate; what proportion of that rebate is at present devoted to African welfare in Nyasaland; and whether steps are being taken to replace from other sources the loss to African welfare.
§ Mr. ProfumoIf a uniform tariff is introduced, the existing tariff rebate to the Nyasaland Government will fall away entirely. Over the last two years the rebate has been estimated at £330,000. About £107,600 is used to offset the suspension of the motor spirit sales tax in Nyasaland and so benefits, directly or indirectly, all communities. The balance is used for capital projects directly benefiting the African community. No decisions have been taken yet about financing projects of this nature in the future but these will naturally be considered in relation to the territory's general financial position.