HC Deb 14 March 1985 vol 75 cc252-3W
Mr. Batiste

asked the Chancellor of the Exchequer what would be the cost to the Exchequer of a drop in the price of oil of one United States dollar per barrel.

Mr. Moore

A change in the dollar price of oil may have an effect on the exchange rate and can also affect non-oil tax revenues. If it is assumed that there are no such second-order effects, then a reduction of $1 per barrel in the oil price would reduce Government revenues by some £½ billion in a full year.

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