HC Deb 18 February 1975 vol 886 cc364-5W
Mrs. Winifred Ewing

asked the Chancellor of the Exchequer if he will now make a statement on the individual and combined effects of the concessions he proposes to make on capital transfer tax on small businesses, farms and woodland estates.

Mr. Joel Barnett

The Government have proposed a new scale of rates of the tax on lifetime transfers, which will help specifically small businesses and small farms; the effect of this will be to reduce substantially the tax payable at the lower levels on a lifetime transfer. We have also outlined a relief for woodland owners; this will have the effect that when growing timber is transferred on a death, there will not be a charge to capital transfer tax until the woodland or the timber is sold. The impact of these changes and

PUBLIC EXPENDITURE PROGRAMMES IN COST TERMS
Percentage shares, 1974–75 to 1978–79
At 1974–75 outturn prices, including the relative price effect 1974–75 1975–76 1976–77 1977–78 1978–79
Defence and external relations:
1. Defence … … … … … 10.3 10.8 11.2 11.1 11.0
2. Overseas services … … … … 2.0 1.7 1.7 1.9 2.0
Commerce and industry:
3. Agriculture, fisheries and forestry … 3.4 2.2 2.2 2.0 1.8
4. Trade, industry and employment … … 6.8 5.4 3.9 3.6 3.6
Nationalised industries:
5. Nationalised industries capital expenditure 6.3 6.7 6.8 6.5 6.7
Environmental services:
6. Roads and transport … … … 5.2 5.2 5.2 5.1 5.0
7. Housing … … … … … 10.0 8.9 9.2 9.3 9.1
8. Other environmental services … … 4.4 4.8 4.7 4.7 4.6
9. Law, order and protective services … 3.2 3.4 3.6 3.7 3.7
Social services:
10. Education and libraries, science and arts 13.6 14.0 14.4 14.7 15.0
11. Health and personal social services … 11.4 12.0 12.2 12.5 12.6
12. Social security … … … … 17.5 18.5 18.8 18.9 18.8
Other services:
13. Other public services … … … 1.6 1.6 1.6 1.6 1.6
14. Common services … … … … 1.4 1.6 1.6 1.7 1.7
15. Northern Ireland … … … … 3.0 3.0 2.9 2.9 2.8
Total programmes … … … … 100.0 100.0 100.0 100.0 100.0
Source: Cmnd. 5879, Table 3.2.
Notes:
(1) In calculating the percentages no account has been taken of debt interest, the contingency reserve or provision for shortfall, all of which enter into the estimate of total public expenditure.
(2) Detail may not add to totals because of rounding.