Question to the Department for Science, Innovation & Technology:

To ask the Secretary of State for Science, Innovation and Technology, whether he has had recent discussions with the Chancellor of the Exchequer on the application of VAT for (a) medicines and (b) treatments provided for medical (i) trials or (ii) compassionate use under the Early Access to Medicines Scheme.

The DSIT Secretary of State has not met with the Chancellor of the Exchequer to discuss this particular matter.

There has been no recent law or policy change in this area.

Application of VAT is determined on a case-by-case basis depending on specific details of the nature of the supplies. This includes medicines or treatments provided for free under the Early Access to Medicines Scheme (EAMS). In certain circumstances the giving of goods away for free can be outside the scope of VAT. Where the supply is within the scope of VAT a relief may apply, meaning the supply can be made VAT free.