HC Deb 31 March 1999 vol 328 cc761-2W
Mr. White

To ask the Secretary of State for the Environment, Transport and the Regions if he will publish the report of the second Wood Committee on the Rating of Plant and Machinery currently subject to prescribed assessment; and if he will make a statement. [79997]

Mr. Meale

My right hon. Friend the Secretary of State, together with my right hon. Friends the Secretaries of State for Scotland, for Wales and for Northern Ireland, published the report of the Second Wood Committee as a Command Paper which has been laid before the House today. The Committee examined the Rating of Plant and Machinery in Industries currently subject to Prescribed Assessment.

The Committee has made a series of recommendations which we will consider in time for the 2000 revaluation in England, Scotland and Wales. The Government would welcome views on the report before considering changes to the plant and machinery regulations.

The Committee has recommended that a tools of the trade exemption should apply to generating plant and machinery belonging to the power generators, although such plant which was in the nature of a building or structure should continue to be rated. If accepted, this exemption would not extend to many Combined Heat and Power (CHP) plants which are used in wider industry. The Government are committed to encouraging CHP technology and, therefore, will consider extending the tools of the trade exemption to all CHP technology if the Committee's recommendations are accepted.

The Committee also recommended that sewers be brought into rating. We do not intend to end sewers' exemption in 2000: it would create a significant and unexpected burden on the water industry and would cause considerable uncertainties in the periodic review of water prices currently being undertaken by the Director General of Water Services and similar work in Scotland.

The Government would welcome views on the report by 14 May 1999.