VAT (Labour-intensive Industry)

HC Deb 01 February 2000 vol 343 cc578-9W

Mr. Gray

To ask the Chancellor of the Exchequer if he will make a statement on his plans to apply the EU proposal to offer VAT relief to labour intensive industries in the UK with special reference to the equestrian industry. [107389]

Dawn Primarolo

The EC Directive which provides for an optional, experimental, reduced rate of VAT applies only to a narrow range of labour intensive services. The Chancellor has no plans for its application to the equestrian industry.