§ Mr. Malcolm BruceTo ask the Chancellor of the Exchequer (1) if it is his policy to review the 12 per cent. tax rate set in relation to expenditure on the national lottery; and if he will make a statement; [40831]
(2) what assessment he has made of the effect on the annual total tax yield as a consequence of the establishment and tax treatment of the national lottery; if he will publish his Departments assessment; and if he will make a statement. [40826]
§ Mr. Heathcoat-Amory[holding answer 1 November 1995]: The then Chancellor, the right hon. Member for Kingston upon Thames (Mr. Lamont), said in his Budget statement on 16 March 1993, Official Report column 192:
I have taken into account the level of tax on other forms of gambling and the extent to which spending is likely to be diverted from other taxed activities. Much, of course, will depend on how the lottery develops and I shall keep the position under review, but for the first year of its operation, I propose that national lottery tickets should be taxed at a rate of 12 per cent.My right hon. and learned Friend the Chancellor has kept the position under review, but I cannot anticipate his Budget statement.