§ Mr. SayeedTo ask the Chancellor of the Exchequer what representations he has received on the VAT rate of 17.5 per cent. on the sale of thermal insulation products for private purchasers; and if he will make a statement. [91976]
§ John HealeyThe Government has received numerous representations from members of the public, and others from individual hon. members and businesses. Under long-standing formal agreements with our European partners, we are not able to introduce a reduced rate of VAT for energy-efficient or energy-saving materials sold direct to the public. The Government has pressed the European Commission to bring forward, during this year's review of VAT reduced rates, proposals to allow a reduced rate for energy-saving materials purchased for DIY installation.