HC Deb 29 July 1988 vol 138 cc727-8W
Mr. Austin Mitchell

To ask the Chancellor of the Exchequer whether he will publish in theOfficial Report a table showing for manufacturing, other industrial and commercial companies, and the financial sector the information given for the years 1984 to 1986 in table 14.3 of the "Annual Abstract of Statistics 1988"; and if he will add a forecast for 1987.

Mr. Major

Separate figures for manufacturing companies are not available. A subdivision of the corporate sector between financial and industrial and commercial (including manufacturing) for the years 1984 to 1986 is given in the tables. Definitive figures for 1987 are in the course of preparation and will be available in September 1988.

Table 1: Corporate sector appropriation account1: financial
£ million
1984 1985 1986
Income
Income arising in the United Kingdom Gross trading profits of companies and trading surplus of public corporations
After deducting stock appreciation2 -5,708 -6,452 -6,847
Stock appreciation 288 317 342
Total2 3 -5,420 -6,135 -6,505
Rent and non-trading income4 28,369 37,921 38,867
Total 22,949 31,786 32,362
Income from abroad5 5,385 6,287 7,746
Total income 28,334 38,073 40,108
Allocation of income
Dividends and interest payments4 18,893 26,262 26,182
Current transfers to charities from companies 19 21 24
Profits due abroad, net of United Kingdom tax 728 1,030 702
United Kingdom taxes on income 1,076 1,383 1,634
Royalties and licence fees on oil and gas production
Balance: undistributed income after taxation6 7,618 9,377 11,566
Total 28,334 38,073 40,108

Table 2: Corporate sector appropriation account1: industrial and commercial
£ million
1984 1985 1986
Income
Income arising in the United Kingdom Gross trading profits of companies and trading surplus of public corporations
After deducting stock appreciation 55,745 64,114 63,767
Stock appreciation 4,969 2,847 1,991
Total3 60,714 66,961 65,758
Rent and non-trading income4 6,604 8,033 8,436

1984 1985 1986
Total 67,318 74,994 74,194
Income from abroad5 8,724 9,057 7,868
Total income 76,042 84,051 82.062
Allocation of income
Dividends and interest payments4 16,940 21,206 23.117
Current transfers to charities from companies 83 93 110
Profits due abroad, net of UK tax 5,536 6,354 4.825
UK taxes on income 13,096 15,212 12.792
Royalties and licence fees on oil and gas production 2,459 2,366 941
Balance: undistributed income after taxation6 37,928 38,820 40,277
Total 76,042 84,051 82,062
1 Includes flows between the companies' sector and public corporations but excludes flows within the companies' sector.
2 This represents the contribution of financial enterprises in the corporate sector to the gross domestic product. It is the difference between bank charges, commissions, etc, on the one hand and management expenses on the other.
3 Before providing for depreciation and stock appreciation.
4 Financial sector figures include payments to and receipts from industrial and commercial sector. Industrial and commercial sector figures include payments to and receipts from financial sector.
5 After deducting depreciation allowances but before providing forstock appreciation.
6 Before providing for depreciation, stock appreciation and additions to tax and dividend reserves.

Mr. Austin Mitchell

To ask the Chancellor of the Exchequer whether he will bring up to date the information provided in his written reply of 16 March 1983,Official Report, columns 164–65, concerning the amount of tax collected on income earning and other assets held overseas; and if he will include in the table an estimate for each year of the total value of such assets whether or not they have been assessed to tax.

Mr. Norman Lamont

Income tax payable on foreign and public revenue dividends paid by or through United Kingdom paying and collecting agents in the past six years was as follows:

£ million
1982–83 120.3
1983–84 154.9
1984–85 182.7
1985–86 193.7
1986–87 212.1
1987–88 194.7

In the answer given in March 1983 information was also provided on income tax payable on income from overseas charged to tax under cases IV and V of schedule D, and on the number of requests for information by the Inland Revenue under our network of double taxation agreements. Further years' estimates cannot be made except at disproportionate expense.

Information on the value of United Kingdom assets held overseas is published in table 1.2 of the "United Kingdom Balance of Payments" (the Pink Book).