§ Mr. HeddleTo ask the Chancellor of the Exchequer what consultations he has held with(a) Government agencies and (b) outside bodies and others about the impact of value-added tax on non-domestic construction work on the viability of commercial and mixed commercial and residential schemes of urban renewal of inner city regeneration; and if he will make a statement.
§ Mr. LilleyAll interested parties, including Government agencies and outside bodies were invited to respond to the consultation document issued on 21 June. Many did so respond and some made points related to urban renewal and inner city regeneration. These responses were followed up in many cases at meetings with me or Customs and Excise officials. As regards residential schemes, there will be no VAT on new housing; and refurbishment of existing housing is already liable to VAT.