HL Deb 27 July 1972 vol 333 cc1656-7WA
THE EARL OF CROMARTIE

asked Her Majesty's Government:

Whether they, like the Governments of countries already in the Common Market, will ensure that V.A.T. is not levied on subscriptions to private members' clubs as well as on all the goods and services provided by such clubs.

EARL JELLICOE

No, my Lords. Expenditure in private members' clubs represents a significant element in personal consumption and, in the view of my right honourable friend the Chancellor of the Exchequer, should not escape a broad-based tax such as V.A.T. Under Her Majesty's Government's proposals in the Finance Act, the provision by a private members' club of the facilities available to its members will be taxable, and the subscription will be taken to represent the consideration for such facilities.