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Manchester Health Commission

Mr. Alfred Morris: To ask the Secretary of State for Health, pursuant to his answer of 22 January, Official Report, column 21, if he will publish in the Official Report the joint press statement issued by the Under-Secretary following his meeting of 17 January with representatives of the Manchester Health Commission and the city's community health councils; and when he expects to be able to announce the outcome of his consideration of potential solutions to the problems raised with him in respect of health councils. [11994]

Mr. Horam: The text of the press statement, issued on 17 January, is as follows:


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The representations form Manchester were mainly concerned with the impact on their funding of certain elements of the weighted capitation formula. Work is in hand to review the elements of the formula concerned and the results should be ready to inform 1997-98 allocations.

TREASURY

Mortgage Tax Relief

Sir Andrew Bowden: To ask the Chancellor of the Exchequer from the tax year 1996-97, what the mortgage tax relief will be for home income plans. [11045]

Mr. Jack: Tax relief for interest paid by someone over 65 who takes out a loan, secured on their home, to buy and life annuity, often called a home income plan, is given at the basic rate of income tax. For the tax year 1996-97, this will be 24 per cent.

Corporation Tax

Mr. Mike O'Brien: To ask the Chancellor of the Exchequer what assessment he has made of the impact of the redeployment of staff from corporation tax pay and file to self-assessment development within the Inland Revenue on the collection of corporation tax arrears. [11120]

Mr. Jack: There has been no impact on the collection of corporation tax arrears as a result of the redeployment of staff from CT pay and file to self-assessment development.

Mr. Mike O'Brien: To ask the Chancellor of the Exchequer if he will make a statement on the extent to which EDS has complied with conditions set out in the original contract on the Inland Revenue's corporation tax pay and file system; and what changes to the terms of that contract were subsequently made by the Inland Revenue. [11122]

Mr. Jack: Since taking over computer operations in July 1994, EDS has complied fully with the relevant condition in the original contract which required it to deliver the existing levels of service.

Subsequently detailed service levels have been agreed for each system and EDS has met or exceeded the key performance criteria in relation to CT pay and file. These contractual service levels have recently been enhanced to reflect the increased stability and maturity of the system.

Mr. Mike O'Brien: To ask the Chancellor of the Exchequer how many (a) Inland Revenue staff and (b) contracted staff have been transferred from corporation tax pay and file to computer environment for self-assessment in each quarter of 1995. [11119]

Mr. Jack: The Inland Revenue and EDS--its private sector information technology partner--have managed a team of appropriately skilled people in the development,

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implementation and subsequent maintenance of CT pay and file alongside the development of self-assessment. Those people have been deployed in line with the priorities from time to time.

The table shows the broad balance of movement of staff from CT pay and file to self-assessment as the former moved from its development and implementation phases into live running.

Revenue staffContractorsTotal
Quarter January 1995 to March 1995000
Quarter April 1995 to June 19958.55.514
Quarter July 1995 to September 1995527
Quarter October 1995 to December 199512921
Total25.516.542

Taxation

Mr. Mike O'Brien: To ask the Chancellor of the Exchequer (1) what was, in constant 1995 figures, the value of tax receipts from lifetime transfers in each year 1974 in respect of (a) capital transfer tax and (b) inheritance tax. [11124]

Mr. Jack: The available information is as follows:

£ million at 1994-95 prices(2)

YearNet receipts from lifetime transfers chargeable when madeNet receipts from transfers chargeable at death Estate DutyCapital transfer tax/inheritance tax
1970-71--2,775--
1971-72--3,214--
1972-73--3,023--
1973-74--2,536--
1974-75--1,746--
1975-765870480
1976-7777449861
1977-7874277917
1978-7994132830
1979-807779908
1980-816656815
1981-825732851
1982-836821814
1983-845315958
1984-859510962
1985-868191,260
1986-8787101,373
1987-8864--1,450
1988-8953--1,356
1989-9044--1,472
1990-9144--1,418
1991-9248--1,369
1992-9346--1,224
1993-9429--1,328
1994-9524--1,387

(2) Converted using the GDP market price deflator.


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For deaths on or after 13 March 1975, capital transfer tax--CTT--replaced estate duty and applied to transfers made after 26 March 1974. CTT was replaced by inheritance tax--IHT--for transfers on or after 18 March 1986. The figures for estate duty exclude receipts in Northern Ireland before 1973-74. Small residual amounts of estate duty receipts from 1987-88 are included with receipts from inheritance tax and capital transfer tax, separate estimates of which are not available.

Private Finance Initiative

Mr. Andrew Smith: To ask the Chancellor of the Exchequer how much has been spent on external consultants in the tendering process of the private finance initiative in each year since its introduction (a) in real terms and (b) in cash terms disaggregated by (i) legal fees, (ii) publicity costs, (iii) accountancy fees and (iv) management consultancy fees. [10974]

Mr. Jack [holding answer 22 January 1996]: The information requested for the Chancellor's Department, expressed in thousands of pounds, is as follows:

£000
(i) Legal fees--
(ii) Publicity costs4
(iii) Accountancy fees--
(iv) Management consultancy fees75
Total79

The overwhelming majority of the expenditure was incurred in the last financial year, so the difference between real and cash terms is insignificant. Conventional procurement often involves such costs too.

Mr. Smith: To ask the Chancellor of the Exchequer what have been the running costs relating to the tendering process of the private finance initiative in each year since its introduction (a) in real terms and (b) in cash terms disaggregated by (i) staff costs, (ii) information technology and (iii) other costs. [10975]

Mr. Jack [holding answer 22 January 1996]: The information requested for the Chancellor's Departments, expressed in thousands of pounds, is as follows:

£000
(i) Staff costs61
(ii) Information technology--
(iii) Other costs--
Total61

The overwhelming majority of the expenditure was incurred in the last financial year, so the difference between real and cash terms is insignificant.

In the case of individual projects, if the private finance route had not been the route preferred, traditional public sector procurement methods would, in any case, have incurred tendering costs. The important issue is that the chosen method should be that which provides best overall value for money for the taxpayer.

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