Clause 1
Finance Bill
11:00 am
Peter Bone (Wellingborough, Conservative)
I am interested in what the hon. Member says, and he has made a beguiling argument for reducing the basic rate to 16p. However, can he tell me, for instance, by how much the price of petrol would have to go up to recoup the cost, and what happens to the demand curve? At what point does the measure go from being inelastic to elastic and achieve environmental benefits? What would the price of petrol be under the proposal?