§ Sir David SteelTo ask the Chancellor of the Exchequer, what steps Her Majesty's Government have taken to achieve a uniform bloodstock value added tax rate throughout the Community.
§ Mr. Norman LamontIn an effort to achieve a fair competitive climate within the Community for the British bloodstock industry, the Government have been and are continuing to press the European Commission to take action to prevent the potential distortion of competition which could arise because of the disparity in VAT rates on bloodstock between the UK, Ireland and France.
We have authorised discussions between officials and industry representatives about the possible introduction in the UK of an agricultural flat rate scheme. This scheme could put farmer/breeders on a par with their counterparts in other member states who already operate similar schemes, which include the breeding and rearing of thoroughbred horses.
The Government, officials and industry representatives will continue to work very closely together to achieve a level playing field for the British bloodstock industry.