Oral Answers to Questions

Angus Brendan MacNeil Excerpts

Tuesday 12th October 2010 Commons Chamber

[Mr Gauke]

I understand the concern that my hon. Friend raises. The situation that we face is that there will be difficult decisions to get the deficit down—a point that Government Members appreciate. The difficulty is that looking at the issue on a household basis would mean creating a complex and large bureaucracy. We have come up with a proposal that will ensure that the poorest households are protected and will continue to receive child benefit.

[Mr Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)]

I welcome the Chief Secretary to the Treasury’s weekend announcement about a rural fuel derogation, which will make the tax system infinitely fairer in the islands and is a victory for common sense. I first raised the issue a few years ago. Does the hon. Gentleman feel that time was wasted by the previous Labour Government, who sat on their hands and did nothing for the islands?

When will the fuel derogation come into being? Will the Minister acknowledge that, despite that welcome step, we in the islands will still be paying more tax per litre than those on the mainland?

[Mr Gauke]

Was time wasted by the previous Government? Yes. What will the timing be? Negotiations need to be had with Europe, and there will be further announcements in due course.