Treasury written question – answered on 7 March 2023.
The Earl of Liverpool
Conservative
To ask His Majesty's Government whether they will carry out a detailed cost-benefit analysis of tax-free shopping which also takes account of the potential benefits to the wider economy of removing such taxes.
Baroness Penn
The Parliamentary Secretary, HM Treasury
The independent Office for Budget Responsibility (OBR) published their assessment of the withdrawal of the previous VAT-free shopping schemes in November 2020. This showed that the withdrawal of VAT-free shopping would raise a significant amount of revenue and have a limited behavioural effect on decisions to visit, or spend, in the UK. The Treasury remains confident in the OBR’s analysis.
Yes1 person thinks so
No1 person thinks not
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