§ Mr. Hordernasked the Chancellor of the Exchequer what would be the yield if value added tax were to be extended (a) to the construction of commercial property and (b) to financial services.
§ Mr. HayhoeIt is estimated that the net additional revenue from extending value added tax at the standard rate to the construction of commercial property would be of the order of £300 million at 1984–85 prices. The application of the tax to financial services would raise difficult technical problems, and I regret that it is not possible to give a meaningful estimate of the likely yield.