§ Mr. Heddle
To ask the Secretary of State for Northern Ireland what assessments he has made as to the likely effect on(a) his Department's capital building programme and (b) the rent the Department will pay under occupational leases of implementation of the European Court of Justice's judgment on value added tax on non-domestic buildings.
§ Mr. Ian Stewart
Implementation of the European Court of Justice's judgment on VAT will have no effect on our capital building programme, since compensating adjustments have been made to the relevant expenditure provisions. At this stage, before landlords have decided whether to exercise their option to tax rents, it is not possible to offer meaningful estimates of the effects of the judgment on rental costs.