§ Sir Anthony Kershawasked the Secretary of State for Social Services what estimate he has formed of the likely 158W cost of 15 per cent. value added tax on the cost of building extensions and refurbishments of buildings owned by his Department in each of the next five years.
§ Mr. Kenneth ClarkeNHS land is vested in the Secretary of State for Social Services. The cost to health authorities in 1984–85 of 15 per cent. value added tax on the cost of building extensions and refurbishments of buildings is estimated at about £60 million, equivalent in a full year to between £70 million and £75 million. The cost in future years will depend on the level of NHS capital expenditure and the balance between the proportion of extensions and refurbishments and other capital expenditure. We are considering the implications of the change for our capital programme.