Meg Hillier
Main Page: Meg Hillier (Labour (Co-op) - Hackney South and Shoreditch)Department Debates - View all Meg Hillier's debates with the HM Treasury
(2 months ago)
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Madam Deputy Speaker (Judith Cummins)
I call the Chair of the Treasury Committee.
Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)
It never fails to amaze me that the shadow Chancellor tries to lecture this Government on inflation when many of us were here in September 2022 when the Conservative party crashed the economy. I welcome my right hon. Friend’s interventions. I am particularly interested in the cut in VAT in the leisure sector, and I hope that she will commission a full study from the Exchequer Secretary to the Treasury about the impact, because it could be a great way to fuel, promote and keep our stretched leisure and hospitality sector going. Will she commit to that?
Rachel Reeves
I agree with my hon. Friend that we will take no lessons from the Conservatives on inflation, when it reached more than 11% when they were last in office. On VAT in the leisure sector, we are making the changes from 25 June right until 1 September to help boost the hospitality sector but also, crucially, to help families during the summer. Our expectation is that this will cost taxpayers money, but it is funded through the changes that we are making around the foreign branch exemption, so companies cannot book losses overseas to avoid paying their fair share of corporation tax here in Britain.