My right honourable friend the Chancellor of the Exchequer has made the following Written Ministerial Statement.

The Economic and Financial Affairs Council will be held in Brussels on 10 November 2009. The following items are on the agenda:

Follow-up to the October European Council

The presidency will provide a debrief following the meeting of the European Council in Brussels at the end of October. This should focus on work to be taken forward by ECOFIN on financial supervision, fiscal and financial exit strategies, crisis management and the successor to the Lisbon strategy.

Follow-up to the G20 meeting on 6 and 7 November

The presidency and the UK will provide a debrief on the meeting of G20 Finance Ministers and central bank governors in St Andrews.

Sustainability of public finances

Ministers will discuss next steps following the publication of the Commission’s sustainability report. The Government recognise the importance of sustainable public finances and are committed to the consolidation path set out in Budget 2009.

Better regulation—Reduction of administrative burdens

Ministers will discuss and agree conclusions on a Commission action programme, calling for more work to reduce administrative burdens by 25 per cent by 2012. The Government support progress in this area and have pledged their own commitment to meet the 25 per cent reduction target by 2010.

Taxation

Proposal for a Council Directive on administrative co-operation in the field of taxation

The council will be asked to agree a general approach on the directive, which improves exchange of information and brings the EU into line with OECD standards by removing the right to refuse information on grounds of bank secrecy. The UK supports the proposal and further work in this area, which links to the wider G20 agenda on good governance in taxation.

VAT treatment of postal services

ECOFIN will be asked to provide political guidelines on how to take further the issue of the VAT treatment of postal services.

Proposal for a Council Directive amending Directives 92/79/EEC, 92/80/EEC and 95/59/EC on the structure and rates of excise duty applied on manufactured tobacco

The council will be asked to reach a political agreement on the tobacco directive, which will set out the structure and rates of excise duties applied on manufactured tobacco products as well as implementation dates. The UK supports work in this area, which has the potential to reduce revenue lost from cross-border shopping and smuggling of tobacco products into the UK from low tax EU member states.