§ 34. Mr. Emeryasked the Chancellor of the Exchequer what was the percentage change in the level of taxation and its proportion of the gross national product in the year ended October, 1965; and what has been the comparable movement during the 10 months since 18th June, 1970.
§ Mr. Maurice MacmillanThe effect in 1965–66 of the changes in taxation introduced in the year ended October, 1965, was to increase total taxation by about 6 per cent., or about 1½ per cent. of the gross national product at factor cost.60W The effect in 1971–72 of the changes in taxation introduced in the 10 months since June, 1970, is to reduce total taxation by about 6 per cent., or nearly 2 per cent. of gross national product at factor cost.
§ 39. Mr. Kenneth Bakerasked the Chancellor of the Exchequer what estimate he has made of the total amount by which the yield of taxation will be reduced in the current financial year as a result of tax cuts announced since 18th June, 1970.
§ Mr. BarberAlmost £1,000 million.
§ 42. Mr. Hugh Jenkinsasked the Chancellor of the Exchequer what estimate he has made of the effect of the income tax proposals in his Budget on the richest one per cent. and the poorest 10 per cent. of the population, respectively.
§ Mr. Maurice MacmillanAssuming that there are about 30 million tax units within the population of whom about 10 million are not liable to tax it is estimated that the amounts asked for are about £40 million and nil respectively; since the poorest 10 per cent. of the population do not pay the taxes reduced by the Budget proposals.