Brown rejects calls for VAT on air travel
| March 21, 2007 | Posted by admin under Travel News |
In today’s budget Gordon Brown rejected a recent proposal from the Conservative party that VAT should be slapped on airline tickets, which would have meant a 17.5% rise in prices.
“I have investigated the detail of this proposal. It gives me no pleasure to tell the House that the substance of this measure has not been properly thought through,” he argued.
“It would apply only to domestic flights, business would be able to claim back VAT, and even by 2020 it would save just 50,000 tonnes of carbon – less savings in one year than achieved by the climate change levy in just one week. So I have rejected this proposal in favour of the 6 million tonnes of carbon saving achieved by the fairer and more environmentally efficient measures I have outlined in the budget today.” For more information on today’s budget and how it might affect you go to: http://news.bbc.co.uk/1/hi/uk_politics/6474997.stm
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