HC Deb 12 November 1971 vol 825 cc286-7W
Mr. Joel Barnett

asked the Chancellor of the Exchequer (1) if he will publish all the representations he has received on the proposed value-added tax ;

(2) if he will list the industries that have made representations seeking exemption or zero rating in the proposed value-added tax ;

(3) if he will list the representations he has received suggesting delaying the commencement of the proposed value-added tax.

Mr. Higgins:

No. The process of consultations with trade and industry since the Budget is still continuing. A great many representations have been made in writing and orally at meetings, and some of the representations have subsequently been modified after discussion. Repre-

Industry Objective
National Coal Board To be not less than sufficient for meeting all their outgoings properly chargeable to revenue account on an average of good and bad years
Electricity Boards (England and Wales) 7 per cent. net.*
North of Scotland Hydro-Electric Board ... 6 per cent. net.*
South of Scotland Electricity Board 7 per cent. net.*
Gas Boards ... 7 per cent. net.*
British Steel Corporation Under discussion in the context of the current review of B.S.C's financial position.
Post Office:
(i) Postal Services (including the Giro) To achieve a surplus equal to 2 per cent. of total expenditure as defined in Statement A on the 1966–67 Accounts.
(ii) Telecommunications ... ... 10 per cent. net.*
(iii) National Data Processing Service 8 per cent. net.*
British Overseas Airways Corporation ... 12½ per cent. net.*
British European Airways Corporation 8 per cent. net.*
British Airports Authority 14 per cent. net.*
British Railways Board ... Target surplus of £17 million over and above interest on capital and historic depreciation.
British Waterways Board ... Each of these bodies has the statutory obligation to secure that the combined revenues of the authority and of its subsidiaries taken together are not less than sufficient to meet their combined charges properly chargeable to revenue account, taking one year with another. Currently under consideration.
Transport Holding Company ...
National Freight Corporation ...
Scottish Transport Group ...
British Transport Docks Board ...
National Bus Company ... To earn an average surplus of £8 million a year after providing for depreciation on a historic cost basis but before interest and taxation and before providing for the difference between depreciation charged on the historic cost basis and the current cost of replacing its assets.
* Income before interest but after depreciation at historic cost, expressed as a percentage of average net assets.