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Landfill Tax

Treasury written question – answered on 18th June 2009.

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Photo of David Drew David Drew Labour, Stroud

To ask the Chancellor of the Exchequer pursuant to the answer of 10 June 2009, Official Report, column 910W, on taxation: construction, if he will take into account the environmental impact of sourcing of the construction materials that become landfill waste in determining levels of landfill tax; and if he will make a statement.

Photo of Stephen Timms Stephen Timms Financial Secretary (HM Treasury) (also in the Department for Business, Innovation and Skills)

In addition to the lower rate of landfill tax for inert waste, the Government introduced the aggregates levy in 2002 with the primary objective of internalising the environmental costs of quarrying on commercially exploited rock, sand and gravel. The levy encourages the use of recycled aggregates and alternative materials. The levy has been a significant factor in reducing sales of virgin aggregates in England by around 18 million tonnes between 2001 and 2005, with an estimated increase in the use of recycled aggregate of nearly 6 million tonnes.

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