Clive Lewis
Main Page: Clive Lewis (Labour - Norwich South)Let me take issue with my hon. Friend’s first point, which was that there will be no changes. If he checks the Finance Bill, which is published today, he will see that VAT is not rising as had been foretold. One reason why is the Prime Minister’s VAT action plan: he was able to go to Brussels and negotiate a better relationship so that countries can have their own VAT rates stayed. It seems to me that that is a very good example of the EU working for this country.
I would like to follow up on that. It is just two days since the Government accepted the amendment that I and my hon. Friends the Members for Wigan (Lisa Nandy) and for Salford and Eccles (Rebecca Long Bailey) tabled to the Budget resolution. The Chancellor was the first in history who had to accept an Opposition amendment to his own Budget, and that was within a week of its delivery. Now we discover that the Finance Bill makes no provision whatsoever regarding VAT on energy-saving products. In fact, it is worse than that, because my hon. Friend the Member for Salford and Eccles has just received a written answer from the Financial Secretary stating that the Government are “still considering” their policy, and that the lower rate of VAT will continue only “in the meantime”. Will the Secretary of State tell us whether there is a now a U-turn on the U-turn?