§ Lord Aylestone
asked Her Majesty's Government:
Whether, resulting from a recent decision on appeal to the House of Lords (HM Customs and Excise v. A.C.T. Construction Ltd.) that underpinning of buildings by means of additional foundations resulting from subsidence should be zero-rated for VAT, similar work will continue to be zero-rated in view of the Chancellor of the Exchequer's Statement of 13th March 1984.
§ Lord Cockfield
In his Budget Statement on 13th March my right honourable friend the Chancellor of the Exchequer announced that the VAT zero-rating for building alteration work would be withdrawn from 1st June 1984. The effect of this is that underpinning of existing building by means of additional foundations will be standard-rated from that date.