§ Mr. Don FosterTo ask the Deputy Prime Minister what progress has been made towards the goal in section 4.10 of the DETR document, "Our Towns and Cities: The Future", on 100 per cent. capital allowances for creating flats over shops for letting. [69377]
§ Mr. McNultyWe have introduced 100 per cent. capital allowances for owners and occupiers to cover the costs of creating flats over shops and similar commercial premises for letting. This measure was introduced in the 2001 Budget and has been available since May 2001. The Government are committed to undertaking a comprehensive evaluation of all the fiscal measures in the urban White Paper.
§ Mr. Don FosterTo ask the Deputy Prime Minister what progress has been made towards the goal in section 4.10 of the DETR document, "Our Towns and Cities: The Future", to bring about VAT reforms to encourage conversion of properties for residential use. [69375]
§ Mr. McNultyWe have reduced VAT to 5 per cent. on the cost of conversions of residential property into residential communal homes, such as care homes and homes with multiple occupation, and on the cost of renovating residential properties that have been empty for three years or longer. A similar VAT reduction on the cost of converting residential properties, which have been empty for three years of more, into a different number of dwellings has been introduced. An adjustment has also been made to the zero rate of VAT to provide relief for the sale of renovated houses that have been empty for 10 years or more.
The measures above were introduced in the 2001 Budget. The reduction in VAT on residential conversions has been available since May 2001 and the relief from VAT on the sale of renovated homes has been available since August 2001. The Government are committed to undertaking a comprehensive evaluation of all the fiscal measures included in the urban White Paper.
§ Mr. Don FosterTo ask the Deputy Prime Minister what progress has been made towards the goal in section 4.10 of the DETR document, "Our Towns and Cities: The Future", on accelerated payable tax credits for cleaning contaminated land. [69376]
§ Mr. McNultyWe have introduced an accelerated payable 150 per cent. tax credit on qualifying expenditure incurred on or after 11 May 2001 on cleaning-up contaminated land (land remediation expenditure) for companies that acquire contaminated land for the purposes of a trade or schedule A letting business. The tax credit is intended to make the development of contaminated sites more viable, helping to tackle the legacy of previous industrial usage and reducing pressure to develop greenfield sites. This measure was introduced in the 2001 Budget and has been available since May 2001.
The Government are committed to undertaking a comprehensive evaluation of all the fiscal measures in the urban White Paper.