§ Lord TREFGARNEasked Her Majesty's Government:
Whether licence renewal fees and associated medical costs paid by British Airways on behalf of their aircrew are regarded as taxable emoluments, and whether these payments are taken into consideration when determining compliance with Government incomes policy.
§ Baroness STEDMANLicence renewal fees and associated medical costs paid by the employer in the circumstances do not give rise to tax liability in the hands of employees. The payment of these expenses by British Airways was taken into account in the April 1978 pay settlement for this group of employees, which was in accordance with Government incomes policy.