Oral Answers to Questions

Peter Luff Excerpts

Wednesday 3rd December 2014 Commons Chamber

[The Prime Minister]

Oh yes I can. We inherited the biggest budget deficit in Britain’s peacetime history. The Labour party had the longest and deepest recession in a century. That was what we were delivered. Since then, we have turned the economy round; we have 2 million private sector jobs; we have cut the deficit; 760,000 more businesses are operating in our country; and we have the fastest-growing economy of any G7 or major European country. That is an economic record that no Labour Government could ever match.

[Sir Peter Luff (Mid Worcestershire) (Con)]

Q9. Droitwich Spa boxing academy, run entirely by volunteers, trains talented boxers and provides a highly valued community resource, turning round the lives of many disruptive and troubled young people. It is a shining example of the big society. Does the Prime Minister understand my deep concern that the blinkered decision of Her Majesty’s Revenue and Customs to insist on a draconian interpretation of the VAT rules for its new building will result in the academy’s closure?

[The Prime Minister]

First, I know of the important job done by the Droitwich Spa boxing academy, which is run entirely by volunteers, and I know how hard my hon. Friend works for his constituents. We will look carefully at this case. As he might know, unfortunately the zero rating of VAT on construction services is limited and does not apply to buildings used as sports clubs, but HMRC is willing to discuss with the owners flexible arrangements for paying the VAT through its time to pay scheme. I will ensure that discussions take place rapidly between him and HMRC to see what can be done.