asked the Chancellor of the Exchequer how far his regulations prescribe that cash awards to lifeboatmen for gallantry and fortitude at sea should be subject to tax; and if he will consider exempting these payments from tax entirely.

The regular fees and other awards paid to voluntary lifeboat-men are liable to Income Tax, but tax would not be claimed on a special reward for a particular act of gallantry.

Is the right hon. and learned Gentleman aware that his officers in the areas concerned have recently attempted for the first time to assess such awards for tax? Is he further aware that such an assessment would be regarded as a most distasteful extortion, and will he make a statement that it is not to be proceeded with?

I am not aware that any such cases have occurred. If the hon. Member will send me particulars of them. I will have them looked into.

Can the Chancellor say whether he has been having consultation on this subject with the Royal National Lifeboat Institution?

An arrangement was made with them a long time ago, but there have been no recent consultations as far as I am aware.