§ Mr. Damian GreenTo ask the Chancellor of the Exchequer what recent representations he has made to the European Commission on the issue of reducing VAT on repairs to historic churches; and if he will make a statement. [28081]
§ Mr. BoatengThe European Commission has indicated that it will consider a reduced rate of VAT for listed places of worship in their general review of the reduced rates in 2003.
The Chancellor announced in Budget 2001 the introduction of a UK-wide grant scheme to help congregations with the VAT cost of the repair and maintenance of listed buildings that are used as places of worship. The effect of the grant is to reduce the VAT cost on eligible repairs from 17.5 to 5 per cent.
This grant scheme, known as the Listed Places of Worship Grant Scheme, was launched on 4 December.