§ Mr. WorthingtonTo ask the Chancellor of the Exchequer how much charities are currently paying in VAT; how much benefit they receive from direct tax concessions for giving; and what plans he has to remedy any imbalance.
§ Sir John CopeDirect tax reliefs on charitable giving are worth about £260 million a year to charities. Other direct tax reliefs benefiting charities are worth a further £480 million, business rates relief £390 million and VAT reliefs £150 million—a total of £1.3 billion a year. Charities estimate that they pay £350 million a year in irrecoverable VAT.