GRAHAM STUART MP and David Davis MP met with Chancellor George Osborne to continue the campaign to protect the East Yorkshire economy and stop the proposed imposition of VAT on static caravans.
During a meeting with the Chancellor earlier today (18th April 2012) they explained the job losses which would occur if the tax change was made and asked the Chancellor decisively to reject any modification to VAT on caravans.
Graham said, “We had a good meeting with the Chancellor today. He listened and seemed to understand the serious threat the proposal to impose VAT on static caravans poses for the East Yorkshire economy. He promised that the consultation was a genuine one and that he would listen to representations made by those affected. I urge anyone involved in the business or who owns a caravan to go to the HMRC website and make their feelings known.
“The Chancellor said that the VAT exemption of static caravans not used as permanent homes was an anomaly and that imposing the VAT would be fairer to those with mobile caravans and other holiday accommodation. Even if this is true, however, we argued that making the change now would be a mistake, would destroy jobs and hurt the rural economy across the country.”
More information on the consultation on VAT can be downloaded from the HM Revenue & Customs website at: http://www.hmrc.gov.uk/budget2012/vat-con-4801.htm (page 20 – 22).
Graham Stuart is also hoping that Parliament will consider his amendment to the Finance Bill calling for a rejection of VAT taxes on static caravans. The amendment, which has been supported by a number of MPs, will help shed light on how destructive this tax rise could be.