Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether his Department has made an assessment of the effect of VAT rates applicable to digital publications on literacy levels among young people.

The Government keeps all taxes under review, including VAT.

The impact on literacy levels of any reduction of VAT on e-publications is likely to depend on commercial decisions about the extent to which any tax saving would lead to price reductions for consumers, and any associated behavioural changes.

Any amendments to the VAT regime as it applies to physical publications and e-publications must be carefully assessed against policy, economic and fiscal considerations. Any representations on this issue will be considered as part of the fiscal event process.