§ Ms ArmstrongTo ask the Chancellor of the Exchequer if he will estimate the increase in tax revenue resulting from the increase in the standard rate of value added tax from 15 per cent. to 17.5 per cent. in each year from 1991–92 to 1999–2000. [10700]
§ Mr. Oppenheim[holding answer 13 January 1997]: The estimated increase in net VAT receipts in each year is as follows:
£ billion 1991–92 4.3 1992–93 5.3 1993–94 5.6 1994–95 5.9 1995–96 6.0 1996–97 6.6 1997–98 7.1 1998–99 8 1999–2000 8 These estimates derive from an arithmetical calculation of the relevant share of VAT receipts and make no allowance for any changes in spending patterns resulting from the change in the standard rate of VAT.