HC Deb 21 February 1996 vol 272 c141W
Ms Primarolo

To ask the Chancellor of the Exchequer how much value added tax is collected annually from the national health service. [15907]

Mr. Heathcoat-Amory

[holding answer 20 February 1996]: Assuming that the hon. Lady is referring to the total cost to the NHS of VAT, HM Customs and Excise calculates from the data produced by the Central Statistical Office that it is about £1.5 billion.

If the hon. Lady is referring to actual VAT collected from health authorities, output tax in the year ending 31 March 1995 was £69 million. This was offset by repayments of £381 million in respect of input tax and refunds relating to contracted-out services.

VAT paid is taken into account in the allocation of funds to NHS trusts.

Ms Primarolo

To ask the Chancellor of the Exchequer how much value added tax is collected annually from the sale of pharmaceutical products to the national health service. [15902]

Mr. Heathcoat-Amory

[holding answer 20 February 1996]: The information requested is not available.