HC Deb 13 May 1998 vol 312 cc129-30W
Mr. Malcolm Bruce

To ask the Chancellor of the Exchequer what is his estimate of the revenue effect on the Exchequer of reducing the rate of value added tax on accommodation from 17.5 per cent. to 8 per cent., taking into account any effects on the demand for United Kingdom tourism; and if he will make a statement. [41161]

Dawn Primarolo

[holding answer 11 May 1998]After allowing for the impact on tourist expenditure in the UK, reducing the rate of VAT on accommodation from 17.5 per cent. to 8 per cent. is estimated to cost around £400m.

Mr. Edward Davey

To ask the Chancellor of the Exchequer when his Department will publish its Consultation Document on VAT Grouping; and if a copy will be placed in the Library. [40784]

Dawn Primarolo

[holding answer 11 May 1998]The proposal to consult on matters relating to VAT grouping was announced as part of this year's Budget Statement. Customs and Excise hope to publish as soon as possible. A copy will be placed in the Library.