HC Deb 21 June 1974 vol 875 c293W
Mr. Wakeham

asked the Chancellor of the Exchequer what he estimates to be the cost of teachers' salaries borne by rates on domestic premises; and what increase in standard income tax rate would be necessary to finance this amount from central Government funds.

Dr. Gilbert

Local authority expenditure is not allocated by reference to specific sources of revenue. For the purposes of the Question, however, the cost of teachers' salaries borne by rates on domestic premises as a percentage of the net expenditure of local authorities on teachers' salaries has been assumed to be equal to the rates on domestic premises as a percentage of total rates. On that assumption the cost of teachers' salaries borne by rates on domestic premises would be about £250 million; an increase in the basic rate of income tax of a little under one percentage point would be required for 1974–75.

Mr. Wakeham

asked the Chancellor of the Exchequer what he estimates to be the cost of education borne by rates on domestic premises; and what increase in standard income tax rate would be necessary to finance this amount from central Government funds.

Dr. Gilbert

Local authority expenditure is not allocated by reference to specific sources of revenue. For the purposes of the Question, however, the cost of education borne by rates on domestic premises as a percentage of the net expenditure of local authorities on education has been assumed to be equal to the rates on domestic premises as a percentage of total rates. On that assumption, the cost of education borne by rates on domestic premises would be over £500 million; an increase in the basic rate of income tax of a little under two percentage points would be required for 1974–75.