Commons Sense

House of Commons · Ministers' Questions

Covid-19: VAT Reduction

Tuesday 24 March 2020 · 1 question

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 1 Partly answered 0 Not answered 0

Key points

  • Scottish National party Members welcome the actions announced by the Chancellor to support the economy during the outbreak.
  • The Minister thanked the hon. Member Owen Thompson for his question.
  • The Minister stated that businesses in sectors like hospitality are already benefiting from VAT announcements for the next quarter and grants of 10,000 and 25,000 for smaller and larger businesses respectively.

Topics (select to filter)

Questions & Answers

Q1 Owen Thompson SNP North East Fife
Economy Taxation
Context

The Chancellor announced a deferral of VAT payments worth more than £30 billion for UK businesses affected by the outbreak. Additionally, grants and loans have been provided to support businesses through the crisis.

Question

Scottish National party Members welcome the actions that have been announced so far by the Chancellor to support the economy during this outbreak. Given the particular strain felt by sectors such as hospitality, will the Minister consider reducing the VAT rate they are charged, in addition to the deferrals already announced?

Answer from Jesse Norman

I thank the hon. Gentleman for his question. He will be aware that those businesses will fall under the VAT announcements that have already been made for the next quarter and that they are also already the beneficiaries of grants of £10,000 for the smallest businesses and of £25,000 for larger ones in the hospitality, leisure and retail sectors.

Answered
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