§ Mr. StewartTo ask the Chancellor of the Exchequer (1) what analysis he has made of the effects of the proposed landfill tax on the house building industry in Scotland; and if he will make a statement; [3931]
(2) what analysis he has made of the effect of the proposed landfill tax on the construction industry; and if he will make a statement; [3930]
(3) what analysis he has made of the effect of the proposed landfill tax on the house building industry; and if he will make a statement. [3932]
§ Mr. Heathcoat-AmoryIn developing proposals for a landfill tax, the Government have had regard to the effects of the tax upon all sectors of the economy. My right hon. and learned Friend the Chancellor of the Exchequer indicated that the tax should not impose extra costs on business overall, and that the revenue raised will be used to make compensatory reductions in employers' national insurance contributions. The main rate of employer NICs258W will be reduced by 0.2 per cent. in 1997–98. Moreover, business that are successful in reducing the amount of waste sent for landfill disposal by making alternative waste management arrangement may reduce thier overall costs of landfill.