HC Deb 22 October 1984 vol 65 cc464-5W
Mr. Andrew F. Bennett

asked the Chancellor of the Exchequer what discussions he has had with the book trade about the introduction of value added tax on books or some groups of books during the last two years.

Mr. Hayhoe

My right hon. and learned Friend the Chief Secretary had a meeting on this subject with a prominent member of the book trade earlier this year. Treasury Ministers have received numerous written representations from the trade and members of the public arguing against the imposition of VAT on books, and these have been carefully noted.

Mr. Andrew F. Bennett

asked the Chancellor of the Exchequer what discussions he has had with European Economic Community Commissioners about introducing value added tax on books in the United Kingdom during the next 12 months.

Mr. Hayhoe

None.

Mr. Jeff Rooker

asked the Chancellor of the Exchequer if he will list all the representations he has received against any further extensions of the base of value added tax since his Budget statement.

Mr. Hayhoe

Since the Budget I and my Treasury colleagues have received a large number of representations from members of the public, trade associations and other interest groups against extension of the VAT base. The bulk of the representations have been concerned with books and newspapers, food, construction, and young children's clothing and footwear.

Mr. Rooker

asked the Chancellor of the Exchequer what estimate he has made of the extent to which value added tax zero-rated items feature in family budgets; and if he will list them in rank order in a convenient form.

Mr. Hayhoe

It is estimated that almost 25 per cent. of total consumers' current expenditure is on goods and services liable to VAT at the zero rate. Food accounts for about half of zero-rated expenditure with fuel and power and travel accounting for another third.