Tampon tax to be scrapped, announces Osborne

时间:2019-11-16 责任编辑:巴搐硝 来源:澳门美高梅国际 - 注册即送~ 点击:16 次

George Osborne has announced that he will abolish the tampon tax – the 5% VAT charged on women’s sanitary products – after the prime minister at a summit in Brussels.

The chancellor had faced a potential rebellion over the issue, after an amendment tabled by the Labour MP for Dewsbury and Mirfield, Paula Sherriff, won the backing of Eurosceptics keen to assert Britain’s power to set its own tax rates.

EU rules determine the scope of VAT, and before he could reduce the rate to zero, Osborne had to persuade his colleagues across the EU. A review of the issue was due to be published next week but on Friday night the government announced that it had already won EU backing for a change in the rules.

The chancellor said: “We’ve used our seat at the top table in to secure what the British public has demanded – common sense on VAT and an end to the tampon tax.”

The Treasury said it would include provisions in next week’s finance bill, which implements the tax and spending decisions announced in Wednesday’s budget, to make the change, after securing EU agreement that national parliaments should have more control over VAT.

“I said last year we were committed to getting the EU rules changed, and until that happened we would use the money raised to fund women’s health and support charities,” said Osborne.

Restive Eurosceptic backbenchers, who had backed the tampon tax amendment partly to make a political point, are also threatening to rebel over VAT levelled on energy-saving products.