asked the Chancellor of the Exchequer what is his estimate of the additional revenue that would be produced in a full financial year by increasing the rate of VAT on goods and services at present charged at 8 per cent. to: (a) 10 per cent., (b) 12½ per cent. and (c) 15 per cent.

It is estimated that the additional revenue in a full year from raising the standard rate of VAT would be about £625 million, £1,375 million and £2,125 million respectively.

asked the Chancellor of the Exchequer whether he will arrange for copies of Her Majesty's Customs and Excise instruction manuals for VAT officers to be placed in the Library.

No. I do not propose to publish the guidance issued by the Commissioners of Customs and Excise to their officers employed on the administration of VAT. To do so could benefit those concerned to evade or avoid payment of the tax.

asked the Chancellor of the Exchequer what saving in the staff of Her Majesty's Customs and Excise would be made if the threshold of registration for VAT were raised from £5,000 to £10,000 and from £5,000 to £15,000; and what would be the corresponding fall in the yield of VAT.

It is not possible to estimate with any reasonable accuracy the number of registered traders who might seek deregistration if the VAT exemption limit were raised to a particular level. I regret that for this reason no estimates of the saving of staff are available. It is estimated that in the two examples quoted the loss of revenue would be about £45 million and £75 million respectively.