asked the Minister for Finance the amount of subsidy contained in the price of each of the following items since the recent budget: (a) a pint of milk (b) a pound of cheese (c) a pound of butter and (d) a standard loaf of bread; and the total annual subsidy involved.
Written Answers. - Subsidy Rates.
117.
The following is the information requested:—
|
Item |
Present Rate of Subsidy* |
Per |
Estimated Exchequer cost in 1977 |
|
(£ million) |
|||
|
(a) Milk |
2.14p |
pint |
15.5 |
|
(b) Cheese |
4.26p |
lb |
0.9 |
|
(c) Butter |
19.78p |
lb |
10.1 |
|
(d) Bread |
5.5p |
800 gram loaf |
13.85 |
|
TOTAL |
40.35 |
*Subsidies on these commodities are paid at wholesale level. The figures shown in this column represent the equivalent amounts in the units stated in the Question.
NOTES:
Milk: The retail price of milk is at present being reviewed for the 1977-78 milk year which begins on 1st May, 1977. This review will take into account the decision of the Government, as announced in the Budget Statement for 1977, to provide an additional £9.5 million for subsidy on liquid milk, butter and cheese to offset the consumer effects of Green £ changes that had taken place shortly before the Budget. The cost estimate of £15.5 million for 1977 is based on the present level of subsidy.
Cheese: The cheese subsidy relates to natural cheese the natural cheese content of processed cheeses is subsidised to a similar extent.
Butter: The 19.78p per lb subsidy on butter is financed to the extent of 5.45p per lb by the EEC—the balance is Exchequer-financed and will cost an estimated £10.1 million in 1977.
Bread: The £13.85 million estimated cost of the bread subsidy covers all loaf sizes.