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Allister urges Chancellor to reduce VAT on Home Repairs

07 March 2006

DUP MEP Jim Allister has called on the Chancellor of the Exchequer to take up an opportunity from the European Union to reduce VAT on home repairs to 5%.

In a statement the MEP said:-
“There is presently a window of opportunity for national governments to assist their local building industry and homeowners, by reducing VAT on home repairs from 17.5% to 5%.  The EU, which sets minimum VAT requirements, is permitting this concession as a means of aiding the building industry.  However, the concession will not last and, therefore, it is imperative that the Chancellor moves to act upon it.  Belgium, France, Italy and Spain have already taken advantage of this opportunity, but the UK has been dragging its feet.

Cutting the VAT rate would not only facilitate the repair of empty homes and others in need of renovation, but it would strike a meaningful blow against cowboy builders by enabling skilled tradesmen to more fairly compete.  Thus this is a “win,win” situation, benefiting both the building industry and the homeowner.  Since Vat receipts go into EU coffers the Chancellor has really nothing to lose, so, I call on him to sanction this relief before it is too late.”

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