§ Mr. BurstowTo ask the Chancellor of the Exchequer what proposals he has submitted to the European Commission for the lowering of zero rating of VAT on labour-intensive services delivered directly to the final consumer. [97391]
§ Dawn Primarolo[holding answer 5 November 1999]: Zero rating would not be permitted under the experimental scheme as the new Directive provides only for reduced rates of not less than 5 per cent. Any change to VAT coverage would be for the Chancellor to decide in the next Budget.
§ Mrs. BrowningTo ask the Chancellor of the Exchequer what representations Her Majesty's Government have made to the European Commission about Council Directive 1999/85/EC concerning reduced VAT rates on labour-intensive services. [98176]
§ Dawn PrimaroloThe UK has made it clear to the Commission that any change to VAT rates and coverage would be for the Chancellor to decide in the next Budget.