Construction Industry

Oral Answers to Questions — National Finance – in the House of Commons at 12:00 am on 24 March 1983.

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Photo of Mr Harry Greenway Mr Harry Greenway , Ealing North 12:00, 24 March 1983

asked the Chancellor of the Exchequer whether he has received any representations from the construction industry concerning his Budget proposals; and if he will make a statement.

Photo of Mr Geoffrey Howe Mr Geoffrey Howe , East Surrey

I received a number of such representations, which I took into account in reaching my Budget judgment.

Photo of Mr Harry Greenway Mr Harry Greenway , Ealing North

I welcome the measures that my right hon. and learned Friend has taken in his Budget to help the construction industry. Will he reconsider the imposition of VAT on house maintenance and repairs, because removal of that would stimulate employment in the construction industry and help the Government's excellent home improvement programme?

Photo of Mr Geoffrey Howe Mr Geoffrey Howe , East Surrey

Of course I shall consider any suggestions that my hon. Friend advances but I should not like to give rise to any expectations of that type. I am grateful to him for his tribute to the improving performance of the construction industry. In the year to the end of 1982, construction output increased by 6·5 per cent., new orders increased by 15 per cent. and private housing output increased by 33 per cent. Total housing starts have risen by 47 per cent. since the last quarter of 1981 and are now above the level that was reached at the beginning of 1979.