HC Deb 15 June 1976 vol 913 cc105-7W
Mr. Ralph Howell

asked the Chancellor of the Exchequer if he will publish a table showing pre-tax company sector trading profits as a percentage of net capital stock valued at replacement prices in 1950, 1960, 1970 and for each year since 1970.

Mr. Denzil Davies

Estimates for industrial and commercial companies are as follows:

Per cent.
1950 16*
1960 18
1970 9
1971 9
1972 9

a table showing for private sector manufacturing industry and for each year since 1960 the indices of (a) pre-tax trading profits—net of stock appreciation and capital consumption—(b) net fixed capital formation, (c) output value and (d) employment.

Mr. Denzil Davies

Following are the available estimates. Except for the figures of private sector employment in manufacturing industry the estimates are subject to wide margins of error.

1973 8
1974
1975

Trading profits have been measured after the deduction of stock appreciation and capital consumption at replacement cost. Net capital stock covers only reproducible fixed assets and excludes land. Estimates for net trading income including rental income expressed as a percentage of net capital stock plus the book value of stocks and work-in-progress were published on page 244 of Trade and Industry for 24th October 1975.

* The estimate for 1950 is subject to a wide margin of error since the estimates of Stock appreciation and net capital stock for that year are of particularly poor quality.

Mr. Raph Howell

asked the Chancellor of the Exchequer if he will publish a table showing pre-tax company sector trading profits, net of stock appreciation and capital consumption, as a percentage of national income in 1950, 1960, 1970 and for each year since 1970.

Mr. Denzil Davies

Following are the estimates:

Per cent.
1950 12½
1960 13½
1970 7
1971 7
1972 7
1973 6
1974
1975 (preliminary estimate)

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