§ Mr. Arnold Shawasked the Chancellor of the Exchequer whether the consultations which he announced in his Budget speech with the oil companies about the possibility of legislation to restrict unilateral relief have been completed; and if he will make a statement.
§ Mr. Robert SheldonThe consultations which my right hon. Friend foreshadowed have begun. They have thrown up difficult issues which require further consideration and in these circumstances it is not proposed to include legislation on the matter in this year's Finance Bill. The question of whether legislation in a future Finance Bill will be called for will be decided following further consultations.
§ Mrs. Knightasked the Chancellor of the Exchequer whether VAT is payable on necessary items, such as beds, purchased by hospital leagues of friends.
§ Mr. Robert Sheldon, pursuant to his reply [Official Report, 26th May 1977; 650W Vol. 932, c. 563], gave the following information:
VAT is payable on general hospital furniture such as beds and lockers. However, certain scientific or medical equipment is zero rated when purchased for donation to hospitals by charitable bodies such as hospital leagues of friends.