§ Mr. Chris SmithTo ask the Chancellor of the Exchequer if he will estimate the effect on Treasury revenues in 1991–92 and in a full year of a 1 per cent. increase or decrease in the duties on(a) leaded petrol, (b) unleaded petrol and (c) derv.
§ Mrs. Gillian Shephard[holding answer 1 May 1991]: The revenue effects include the effect of consequential VAT on excise duty where appropriate. They are as follows:
£ million Revenue Gain/Loss 1991–92 1992–93 (Full year) Leaded Petrol 45 45 Unleaded Petrol 30 40 Derv 20 25 There is not yet sufficient evidence on which to base reliable estimates of the amount of switching between leaded and unleaded petrol in response to a tax change. As a result, the figures above do not allow for any additional switching.