HC Deb 10 February 1998 vol 306 cc135-7W
Mrs. Ewing

To ask the Chancellor of the Exchequer what estimate he has made of the number of jobs lost in(a) travel agency sector and (b) retail sector since the introduction of higher rate insurance premium tax; and if he will make a statement. [22623]

Dawn Primarolo

The effect of the introduction of the higher rate of insurance premium tax on all sectors is being monitored.

Mrs. Ewing

To ask the Chancellor of the Exchequer what is the total revenue raised for each year since its introduction of(a) insurance premium tax and (b) higher rate insurance premium tax. [22619]

Dawn Primarolo

Receipts of insurance premium tax since its introduction on 1 October 1994 are as follows:

Year £ million total of which at higher rate
1994–95 117 n/a
1995–96 635 n/a
1996–97 671 n/a
1997–98 (to November) 745 65

Mrs. Ewing

To ask the Chancellor of the Exchequer what estimates he has for the proportion of higher rate insurance premium tax revenue raised from travel insurance. [22621]

Dawn Primarolo

It is not possible to estimate accurately the actual yield of Insurance Premium Tax from the separate sectors.

Mr. Keetch

To ask the Chancellor of the Exchequer when he expects the monitoring by Customs and Excise of the introduction of the higher rate of insurance premium tax relating to the travel industry to reach its conclusions; if he will publish those conclusions; and if he will make a statement. [27346]

Dawn Primarolo

I have not set an end date for the monitoring, and I would expect Customs and Excise to continue to keep the higher rate of insurance premium tax under review. The findings of Customs will not be published since they contain commercially sensitive material.

Mr. Alasdair Morgan

To ask the Chancellor of the Exchequer if he will make its his policy to charge a flat rate of IPT on all insurance on motor vehicles, travel and electrical retail goods; and if he will make a statement. [28137]

Dawn Primarolo

[holding answer 9 February 1998]: I cannot anticipate my right hon. Friend's Budget Statement.

Mr. Alasdair Morgan

To ask the Chancellor of the Exchequer what rate of IPT applies to guarantees for(a) motor vehicles and (b) electrical retail products provided by the sellers of the product; and if he will make a statement. [28136]

Dawn Primarolo

[holding answer 9 February 1998]: IPT applies only to contracts of insurance. Guarantees do not constitute such contracts and are therefore outside the scope of the tax.

Mr. Alasdair Morgan

To ask the Chancellor of the Exchequer what meetings he has held with representatives of(a) the travel sector, (b) the electrical retail and rental sectors and (c) the motor vehicle sector to discuss the impact of higher rate IPT on their businesses; if he will meet representatives of these industries prior to the Budget to discuss higher rate IPT; and if he will make a statement. [28138]

Dawn Primarolo

[holding answer 9 February 1998]I have met with representatives of the travel industry to discuss their concerns regarding higher rate IPT. I have no plans currently to meet further with industry representatives but I have asked officials in Customs and Excise to monitor the effect of higher rate IPT which has involved them in maintaining contact with trade bodies.

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