HC Deb 19 December 1990 vol 183 cc176-7W
Mr. Tim Smith

To ask the Chancellor of the Exchequer what is the cost to the Exchequer of allowing mortgage interest relief at the higher rate of income tax.

Mr. Maude

The cost of mortgage interest relief at a rate in excess of the basic rate of income tax in 1990–91 is provisionally estimated at £520 million. This estimate is based on the assumption that interest rates remain at their current levels.

Mr. Battle

To ask the Chancellor of the Exchequer what was the total value of mortgage interest relief during 1988–89.

Mr. Maude

[holding answer 18 December 1990]: The total value of mortgage interest relief in 1988–89 is estimated as £5,400 million.

Mr. Battle

To ask the Chancellor of the Exchequer if he will show the total value of mortgage interest relief during 1989–90 by economic planning region.

Mr. Maude

[holding answer 18 December 1990]: Broad estimates, based on the regional distribution of mortgage interest relief recorded in the family expenditure survey for 1988 and 1989, are as follows:

Mortgage interest relief 1989–90
£ million
Northern 320
Yorkshire and Humberside 470
North West 680
East Midlands 430
West Midlands 550
East Anglia 280
Greater London 1,000
Other South East 1,730
South West 660
Wales 230
Scotland 470
Northern Ireland 80
United Kingdom 6,900

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