HC Deb 02 August 1963 vol 682 cc192-3W
Sir T. Moore

asked the Chancellor of the Exchequer whether he will give an assurance that no Order will be laid during the Parliamentary Recess exempting from Purchase Tax any particular categories of chocolate biscuits unless full agreement has been reached with the trade as to what is a fair and equitable definition of such biscuits for this purpose.

Mr. Gresham Cooke

asked the Chancellor of the Exchequer what consultations he has had with chocolate biscuit manufacturers about the proposed exemption of such biscuits from Purchase Tax applicable to confectionery; and whether he will give an assurance that there will be no discrimination with regard to this product and that there will be no fiscal discouragement of the continued wrapping of these biscuits in paper for hygienic purposes.

Mr. du Cann

The present dividing line between chocolate biscuits and other sweet biscuits has been criticised as causing a distortion of trade, and the two trade associations concerned, the Cake and Biscuit Alliance and Cocoa, Chocolate and Confectionery Alliance have therefore been consulted to see whether it is possible to draw up a more satisfactory dividing line. This is inevitably a matter in which there are both advantages and disadvantages and as with any other re-drawing of a difficult boundary line I could not accept that complete unanimity among interests concerned is essential to any change; but I shall, of course, require to be satisfied that there is a sufficient balance of advantage for the trade as a whole before any change from the present position is made.

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