HC Deb 10 February 1982 vol 17 cc391-2W
Mr. Trotter

asked the Chancellor of the Exchequer if he will make it his policy not to agree to any proposals within the European Community that value added tax shall be imposed on the price of package holidays.

Mr. Bruce-Gardyne

[pursuant to his reply, 8 February 1982, c. 265]: I have no plans to change the present basis for value added tax as it applies to package holidays.

The VAT treatment of .supplies by travel agents and tour operators is due to be reviewed by the BC Commission during the course of this year in accordance with the provisions of the EC sixth VAT directive. If any changes were proposed to the Council of Ministers as a result of this review they would be fully discussed with the trade bodies concerned. Any decision by the Council would have to be unanimous. No proposals have yet been made for any change.