§ 22. Dr. WhiteheadTo ask the Chancellor of the Exchequer what plans he has to recycle the proceeds of the landfill levy. [165002]
§ John HealeyThe Government have confirmed that the announced increases in landfill tax will be recycled to businesses and local authorities. We have been developing ideas on recycling the extra revenue to business through close working with stakeholders. We also commissioned independent research that was published in February: "An assessment of options for 1681W recycling landfill tax revenue", available from the Treasury website. Budget 2004 has also announced that the Government are examining in detail a number of options and that consultations with stakeholders are continuing.
The Landfill Tax Credit Scheme (LTCS) has also been reformed. The value of the LTCS has been revalorised so that for 2004–05 it is worth £48.3 million. The Government have improved the LTCS following consultation with stakeholders so that its scope has been expanded to cover projects that conserve or promote biodiversity in natural habitats, providing more choice and increased support for species and habitats in the vicinity of landfill sites; and the administration of the scheme has been streamlined to provide greater transparency and accountability. There is also a fast track application system for small grants.