asked the Secretary of State for Trade if he will make a statement on the proposed changes in the Eady levy system; which screens will be subject to the levy, and which exempted; and what is the anticipated annual yield from the levy.
I propose two changes. The first is the subject of draft regulations on the distribution of levy, which I laid before the House yesterday. The second is in the collection of levy, where I have accepted the new formula recommended by my advisory body, the Cinematograph Films Council, but subject to consultation with trade bodies.The recommended formula should exempt single screens from levy slightly more than the current formula and transfer some of the burden from single screens with low occupancy to complexes with higher occupancy. It is estimated that the annual yield expressed as a percentage of total cinema box office takings would be stabilised at around the current level of approximately 5 per cent., but that it will be collected on a more equitable basis.