Oral Answers to Questions Debate

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Department: HM Treasury
Tuesday 20th October 2020

(4 years ago)

Commons Chamber
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Rishi Sunak Portrait Rishi Sunak
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My hon. Friend is absolutely right that there are businesses that are experiencing a difficult time, especially in the sectors he mentioned. Our comprehensive set of interventions, whether loans, grants or business-rates holidays, will all provide help in different ways, but the most important thing that we can all focus on is supressing the spread of the virus and unlocking those parts of our economy that are unable to function. That is the surest and only way, in the long run, to protect the jobs that we all care about.

Paul Holmes Portrait Paul Holmes (Eastleigh) (Con)
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The Minister or Chancellor will know that tax-free shopping is a major source of income for airports such as Southampton airport in my constituency. With the ongoing problems for the sector caused by covid, that income is even more important, so will the Chancellor or a Minister meet me and representatives from Southampton airport to discuss the continuation of tax-free shopping, which is a valuable lifeline for our struggling aviation industry? [907825]

Kemi Badenoch Portrait The Exchequer Secretary to the Treasury (Kemi Badenoch)
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I thank my hon. Friend for raising this matter. As someone with an airport in my own constituency, I fully understand the issues. I have had various meetings with many stakeholders and am happy to offer Southampton airport a meeting with Treasury officials to discuss the changes. At the same time as removing tax-free sales from 1 January 2020, the Government are extending duty-free sales to EU-bound passengers for the first time in more than 20 years. That will be a significant boost to regional airports, such as the one in Southampton, which serve significantly more EU than non-EU destinations and have not previously been able to offer duty-free sales to EU-bound passengers.