Oral Answers to Questions

Baroness Ritchie of Downpatrick Excerpts

Wednesday 24th June 2015 Commons Chamber

[Mr Wallace]

We are, of course, always talking to the Treasury to ensure that Northern Ireland’s voice is heard and its special needs recognised. We are also working hard with the Northern Ireland parties to ensure that, should the Stormont House agreement be fully implemented, we can achieve the most competitive possible corporation tax in the rest of the United Kingdom in order to allow further inward investment.

[Ms Margaret Ritchie (South Down) (SDLP)]

5. What discussions she has had with the Chancellor of the Exchequer on the implementation of greater fiscal flexibility for Northern Ireland; and if she will make a statement.

[The Secretary of State for Northern Ireland (Mrs Theresa Villiers)]

I have regular discussions with Treasury Ministers, including the Chancellor. The Government are giving £2 billion of extra spending power to the Northern Ireland Executive under the Stormont House agreement.

[Ms Ritchie]

I am glad to hear that Northern Ireland Ministers are having conversations with the Treasury, but will the Secretary of State and her Minister now act as persuaders on behalf of Northern Ireland, which would benefit from a reduced rate of VAT on tourism for the whole United Kingdom?

[Mrs Villiers]

I know that is a matter of great importance to the hon. Lady and her party. The reality is that the Government have to act with caution when it comes to reductions in taxes. We have identified further increases to the income tax threshold as our priority, but no doubt the Chancellor will be able to share more information on those matters in his Budget.