Early Day Motion outlines single VAT rate to apply to new building and
refurbishment
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Labour backbenchers have ganged up on chancellor Gordon Brown to demand a new
single rate of VAT to apply to new building and refurbishment, which will
replace existing tax incentives to demolish or build on greenfield sites.
A motion signed earlier this week by five MPs led by Blackpool South's Gordon
Marsden attacked the present 17.5% on conversion and repair work compared with
zero-rated new construction.
The MPs came out against extending zero rating but urged the government to
apply a reduced rate below 10% to all building work, including the conversion,
refurbishment and repair of historic buildings and places of worship.
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