§ Mr. Ernie Rossasked the Chancellor of the Exchequer what is the number of company directors in receipt of benefits arising from use of cars supplied by their employers in their taxable income ; and what is his estimate of the annual value of the benefits.
§ Mr. Peter Rees: The latest reliable information is for 1977–78 when about 300,000 company directors were charged to tax under schedule E on net benefits amounting to about £85 million arising from their private use of cars supplied by their companies. If the number of such directors is about the same in 1980–81 the corresponding net benefit will be around £95 million.
The increases in the scales of taxable benefit proposed in the Budget will take effect from 1981–82.