HC Deb 29 January 1982 vol 16 cc447-8W
Mr. Austin Mitchell

asked the Chancellor of the Exchequer whether he will publish in the Official Report his letter replying to the written question of 31 July 1981, Official Report, c.691 from the hon. Member for Grimsby on corporate savings; if he will give in addition, separate figures for (a) depreciation, (b) stock appreciation and (c) the amount of corporation tax; and if he is now able to include corresponding figures for manufacturing industry.

Mr. Ridley

The estimates for corporate savings have been revised since I wrote to the hon. Member on 10 November 1981. The current estimates are as follows:

Saving (Undistributed Income) after Deducing Depreciation* and Stock Appreciation
£ million
Industrial and commercial companies Financial companies and institutions
1960 1, 680 137
1961 1,253 161
1962 989 155
1963 1,458 159
1964 1,708 158
1965 1,557 215
1966 1,140 246
1967 998 272
1968 1,145 288
1969 1,359 306
1970 1,067 370
1971 1,623 467
1972 2,456 557
1973 3,197 1,170
1974 1,059 1,002
1975 1,213 819
1976 3,197 1,593
1977 4,742 1,979
1978 5,675 2,002
1979 3,229 2,421
1980 1,667 2,736
*depreciation=capital consumption at current replacement cost.

Estimates of depreciation and corporation tax paid for the two sectors are as follows:

Industrial and Commercial Companies
Depreciation* £ million Stock appreciation £ million Corporation tax paid† £ million
1960 800 77 564
1961 873 121 630
1962 936 110 805
1963 985 111 678
1964 1,056 181 628
1965 1,148 224 542
1966 1,247 239 625
1967 1,293 85 941
1968 1,366 475 966
1969 1,506 576 1,026
1970 1,707 863 1,330
1971 1,966 842 1,143
1972 2,230 1,075 1,036
1973 2,586 2,290 1,303
1974 3,216 4,714 2,075
1975 4,184 4,283 1,642
1976 5,227 5,266 1,395
1977 6,424 3,833 2,276
1978 7,766 3,374 2,945
1979 9,174 6,997 3,879
1980 11,190 5,049 5,537
*Capital consumption at current replacement cost.
† Corporation tax first became payable in 1967.Before that companies paid income tax and profits tax.

Financial Companies and Institutions*
Depreciation† £ million Corporation tax paid‡ £ million
1960 11 169
1961 13 206
1962 15 196
1963 17 203
1964 19 187
1965 23 217
1966 27 210
1967 31 238
1968 37 290
1969 47 271
1970 61 298
1971 80 356
1972 103 427
1973 141 470
1974 197 669
1975 268 644
1976 341 812
1977 426 819
1978 538 963
1979 697 980
1980 947 914
*Financial companies stock appreciation is negligible.
† Capital consumption at current replacement cost.
‡ Corporation tax first became payable in 1967. Before that companies paid income tax and profits tax.

Data are not collected to allow estimates of the corporate saving of manufacturing industries to be made.