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Listed Places of Worship Grant Scheme

Volume 487: debated on Tuesday 10 February 2009

To ask the Chancellor of the Exchequer whether he plans to extend the Listed Places of Worship Grant Scheme beyond the end of March 2011. (255766)

The Government's long-term objective is to secure the necessary agreement at European level to allow the introduction of a reduced rate of VAT for church repairs, which is not currently permitted by EU VAT agreements. The European Commission has proposed changes to Directive 2006/112/EC to allow a reduced VAT rate to be applied to church repairs, as part of a broader proposal on reduced VAT rates, but member states' discussions of the proposal are ongoing. The Government will take into account any changes to EU VAT agreements when reviewing whether the current arrangements should be extended beyond 2011.