§ Dr. McDonaldasked the Chancellor of the Exchequer whether, in the manner of the answer given on 4 February 1985, Official Report, column 397, he will (a) publish and update the table on restructuring mortgage interest relief to different rates of taxation for 1985–86, (b) report how many mortgagors receive relief at rates in excess of the basic rates of income tax and (c) report how many persons currently paying tax only at standard rate would pay tax at a higher rate if mortagage tax relief were removed from higher rates of tax; and what would be the additional income to the Exchequer.
§ Mr. Moore[pursuant to his reply, 20 January 1986, c. 85]: I regret the delay in providing this information. Estimates of the direct revenue yields in a full year from restricting mortgage interest relief, at 1985–86 levels of mortgage lending, are as follows. The figures do not take account of possible changes in taxpayers' behaviour.
Rate of mortgage interest relief per cent. Direct revenue yield £ million 15 2,520 20 1,780 25 1,030 30 290 About 750,000 mortgagors receive relief at rates in excess of the basic rate of income tax. Of these, about 200,000 are currently liable at the basic rate, but would be liable at higher rates if mortgage interest relief was not available at higher rates of tax.