Clause 225 - Miscellaneous reliefs etc

Part of Finance Bill – in a Public Bill Committee at 8:15 pm on 26 June 2012.

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Photo of Cathy Jamieson Cathy Jamieson Shadow Minister (Treasury) 8:15, 26 June 2012

I hope not to take too much of the Committee’s time, notwithstanding the fact that the clause and the schedule deal with a number of repeals of miscellaneous reliefs following the Office of Tax Simplification review of reliefs.

On reading the background notes, I immediately spotted the word “nationalisation” and wondered whether something was being slipped in that I ought to take a closer look at. However, it turned out to be something fairly innocuous in relation to exemption of stamp duty for instruments connected with nationalisation schemes.

The clause goes through in some detail a number of what ought, as I understand it, to be tidying up arrangements. I was surprised by some of the things that I found. I had no idea, for example, that a previous Labour Government had introduced a scheme whereby, on certain designated days, people who cycled to work were able to have their breakfast provided courtesy of their employer without incurring any liability for tax. That is now to be repealed.

I understand from the background notes and the information provided that very few people took up the option of a cyclist’s breakfast and in the consultation process no one suggested that that particular section ought not to be repealed. Perhaps the Minister will think differently, and perhaps hon. Members will say whether they have ever taken up that opportunity to have a cyclist’s breakfast, six of which they were entitled to during the course of the year.

Another tucked-away item is a reduction for meal vouchers. Perhaps the Minister will spell out exactly what that particular repeal will mean for people who currently receive such vouchers from their employer. On black beer, which I know has been raised in the Chamber on occasions, there has been concern about the way in which that is dealt with in the Alcoholic Liquor Duties Act 1979. Paragraph 51(2)(a) amends the definition of beer by removing the exclusion for black beer, making black beer liable to excise duty.

Mr Bone, I do not always simply talk about alcohol. I hope people will not think that as I move on to Angostura bitters. Paragraph 52(1) repeals section 1(7) and section 6 of the aforesaid Act, which deems Angostura bitters not to be spirits for certain duty purposes. Will the Minister clarify the situation that will arise as a result of that?

There is one other issue that I want to raise. [Interruption.] I am hearing lots of comments.