HC Deb 15 November 1989 vol 160 cc329-30W
Mr. Chris Smith

To ask the Chancellor of the Exchequer what is his estimate of the cost to the Exchequer of raising the ceiling on mortgage interest relief from £30,000 to £45,000; and how many households he estimates would benefit from such a change.

Mr. Peter Lilley

[holding answer 14 November 1989]: The direct revenue cost at 1989–90 levels of raising the ceiling on mortgage interest relief from £30,000 to £45,000 is estimated to be about £900 million. This estimate makes no allowance for any consequential changes to the distribution of outstanding mortgages.

The number of households with existing mortgages in excess of £30,000 is estimated to be 2.5 million.