Fage397 of 587
Page 297 3 33. As I have said, I reject any large concessions in the field of taxation to private owners of historic houses. It may be that, when the Ministry of Works have power to direct owners to carry out works on the structure of their houses for the purpose of its preservation, it will be advisable slightly to widen the income tax rules so as to permit the cost of such works to rank for relief from tax under Schedule A even though an element of capital expenditure is involved which would normally be disallowed. But this is a small matter, not in the least comparable to the enlarge- ment of maintenance claims proposed by the Gowers Committee, and we cannot deal with it until the Ministry of Works have been given their powers. No decision on it is needed at the present time.
34. I am prepared to accept in substance the minor recommendation on entertainments duty recommended by the Gowers Committee (see paragraph (xvi) of the Annex). But I doubt whether this really needs legislation at present.
35. I also propose to allow certain exemptions from estate duty in favour of property given or bequeathed to the National Trust, the Government or public bodies. The necessary provision will be made in this year's Finance Bill, or failing that, in the Bill for the protection of historic houses, which I hope will be taken in the next session. They are the following:
(a) exemption for contents of houses given or bequeathed to the National
Trust, the Government or other public bodies;
(b) exemption for gifts or bequests of houses and land to public bodies (as
already applies to the National Trust);
(c) exemption for endowment funds given or bequeathed with houses to public
bodies;
(d) expansion of the scope of the present provisions which allow land and houses to be taken in payment of death duties and paid for out of the National Land Fund, so as to enable chattels to be taken in the same way when they are ordinarily kept in houses so taken or already in the possession of the Crown or the National Trust.
Conclusion
36. I recommend—
·
(a) that the attitude of His Majesty's Government towards the Gowers Report
should be on the lines set out in this paper;
(b) that I should announce it as soon as possible in the House of Commons;
and
(c) that the Minister of Works and the Secretary of State for Scotland be authorised to introduce the necessary legislation during next Session.
Treasury Chambers, S.W.1,
17th April, 1951.