HC Deb 17 May 1971 vol 817 cc226-7W
Mr. George Cunningham

asked the Chancellor of the Exchequer what is his estimate of the benefit to the revenue of the imposition of an upper limit on the tax relief available in respect of interest paid on loans for house purchase, if that limit were set at£500 or 10 per cent. of income, whichever is the greater.

Mr. Patrick Jenkin

Information is not available in a form from which a reliable estimate can be made but the yield would be small.

Mr. George Cunningham

asked the Chancellor of the Exchequer what was the value of tax relief provided in respect of interest paid on loans for house purchase in each of the last three complete years; and how much of this tax relief was provided to persons assessed for surtax.

Mr. Patrick Jenkin

The estimated figures for the three years 1968–69 to 1970–71 are£195 million,£235 million and£300 million, respectively. It is thought that about 5 per cent. of the total each year went to surtax payers, and of that 5 per cent. about one-third is accounted for by surtax relief and the remaining two-thirds by income tax relief.

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