HC Deb 18 July 1995 vol 263 cc1041-2W
Mr. Sheerman

To ask the Chancellor of the Exchequer what assessment he has made of the loss of revenue to the United Kingdom resulting from VAT rates on tourism, goods and services. [35072]

Mr. Heathcoat-Amory

The Government do not believe that there is any such revenue loss.

Mr. Sheerman

To ask the Chancellor of the Exchequer what assessment his Department has made of the impact of VAT on tourism, goods and services in the United Kingdom; and what comparative studies he has made of other EU member states. [35071]

Mr. Heathcoat-Amory

The Government do not believe that the application of VAT discourages tourism in the UK. We have a lower standard rate than most EU member states and our zero rate is widely applied. In addition, some member states apply local tourist taxes.