Northern Ireland Protocol: Implementation Proposals Debate

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Department: Northern Ireland Office

Northern Ireland Protocol: Implementation Proposals

Stephen Farry Excerpts
Wednesday 18th November 2020

(3 years, 11 months ago)

Commons Chamber
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Robin Walker Portrait Mr Walker
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My hon. Friend makes an interesting proposal. In the absence of an agreement and a deal between the UK and the EU, clearly we would need to explore everything that could be done at a bilateral level. I am not aware of those discussions as of now, but I am happy to discuss that with Treasury colleagues and write back to him if that is the case.

Stephen Farry Portrait Stephen Farry (North Down) (Alliance) [V]
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I am concerned that the conclusion of the Joint Committee work is being overly conflated with the future relationship negotiations. There is also an emerging issue around the loss of access to the VAT margin scheme for used cars sourced in Great Britain for sale in Northern Ireland, which entails VAT on the full value, rather than just the profit margin. Will the Minister undertake to have urgent discussions with HMRC to find a resolution to that problem?

Robin Walker Portrait Mr Walker
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The hon. Gentleman makes an important point about not conflating the future relationship with delivery of the protocol. The protocol is agreed between the parties, and we need to deliver on it in all circumstances. I think that many of us in this House hope that an agreement on the future relationship will make that more straightforward. On his point about VAT, I am happy to have those discussions with HMRC and look into that issue in more detail.