HC Deb 28 January 2003 vol 398 cc745-6W
David Burnside

To ask the Chancellor of the Exchequer what plans he has to revise the operation of the landfill tax credit in Northern Ireland. [93270]

John Healey

As announced in the pre-Budget report, the Government will continue a reformed tax credit scheme which will make available approximately a third of the funding that is currently going through the landfill tax credit scheme, around £47 million per year, for spending on local community environment projects. The figure of £47 million will be kept broadly constant in real terms, which will ensure that the current level of support for these types of projects is maintained. The Government are considering how this successor tax credit scheme, which will apply throughout the UK, may be changed to take account of the most serious criticisms of the current scheme made by bodies including the Public Accounts Committee. The Government will set out its plans for reform of the scheme on a Budget timetable.

The remainder of the funding which would otherwise be going through the landfill tax credit scheme, around £100 million in 2003–04, will be allocated to public spending to encourage sustainable waste management.

This spending will be a devolved matter, and it will be for the Northern Ireland Assembly or, during a period when the Assembly is suspended, Northern Ireland Office Ministers to determine how to allocate these funds to sustainable waste management activities in Northern Ireland.