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Matches

Volume 463: debated on Wednesday 6 April 1949

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Next, I come to matches, where some increase in price is, in any event, necessary to meet the increased costs of production. The last rise in price was in 1940, since when, of course, there has been a very considerable increase in costs. The smallest practicable rise in price is ½d. a box, and this would be a good deal more than is required to cover these increased costs. I propose, therefore, to help and to absorb the difference in tax. The tax will be raised by 5s. 5d. a gross in the case of the ordinary box of 50 matches, with corresponding rates for other containers. That will mean, as I have said, a ½d. rise in the retail cost of the box. Corresponding changes will be made in the tax on lighters of various kinds. These will come into operation from tomorrow, and will produce an extra £4.8 million this year, and £5 million in a full year.