§ Mr. Deakins
asked the Minister of Agriculture, Fisheries and Food what was the total revenue raised through the milk co-responsibility levy in the European Community and in the United Kingdom, respectively, in 1982; and what estimate he has made of the effect of the levy on milk production and retail prices.
§ Mr. Buchanan-Smith
The milk co-responsibility levy is provisionally estimated to have provided a revenue in the Community of £294 million in 1982. The United Kingdom component was some £57 million. There is no evidence that the levy has restrained Community milk production, which has continued to rise. If, as we have continued to advocate, the levy had been abolished, prices could have been set lower, which would have helped to tackle the milk surplus by stimulating consumption of milk and milk products.