§ Mr. Bakerasked the Chancellor of the Exchequer how much revenue would be lost and what manpower in the Inland Revenue would be saved if each of the following allowances were abolished: (a) the age allowance, (b) the blind person's allowance, (c) the allowance for a dependent relative, (d) the allowance for daughter's services and (e) the tool allowances.
§ Mr. Robert SheldonAbolition of the allowances would lead to an increase in tax revenue. The current annual cost of the allowances and the approximate manpower savings if they were to be abolished are as follows:
Cost £ million Staff saving Age allowance (1) 225 210 Blind person's allowances 1½ 15 Dependent relative 35 550 Daughter's services ¼ 5 Schedule E expenses allowance 1½ 15 (1) it is assumed that the elderly would remain entitled to the ordinary single or married person's allowance;
(2) it is not possible to break down the estimate into components such as tools allowances;
(3) the manpower savings shown are those resulting from the abolition of each allowance separately. If all the allowances mentioned were abolished together the resulting simplification of the personal tax system could lead to further staff savings.