Transport Taxation Group 7 December 2006

There was some discussion about Chancellor Gordon Brown’s pre-Budget statement. It was noted that while airport duty had been doubled, aviation zero rating for VAT is now worth a net benefit to the UK aviation industry worth £2billion a year.

It was agreed a joint letter would be sent to the Treasury responding to Mr Brown's statement including reference to the gross distortions arising from the inclusion of revenue from road fuel tax related to transport schemes.


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