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David Cameron faces possible Commons defeat on 'tampon tax' David Cameron faces possible Commons defeat on 'tampon tax'
(34 minutes later)
David Cameron faces the possibility of a Commons defeat over the “tampon tax” as a group of Tories prepares to vote with Labour and other opposition parties to demand a strategy to end the VAT on sanitary items.David Cameron faces the possibility of a Commons defeat over the “tampon tax” as a group of Tories prepares to vote with Labour and other opposition parties to demand a strategy to end the VAT on sanitary items.
The attempt to get rid of the 5% VAT rate is led by Labour MP Paula Sherriff, who is tabling an amendment to the finance bill. The attempt to get rid of the 5% VAT rate is led by Labour MP Paula Sherriff, who is tabling an amendment to the finance bill. Cameron has argued that the EU sets the rules and it would be difficult to get them overturned.
Cameron has argued that the EU sets the rules and it would be difficult to get them overturned.
During the election campaign, he said: “I wish we could get rid of this … There’s a problem with getting rid of VAT on certain individual issues because of the way this tax is regulated and set in Europe.”During the election campaign, he said: “I wish we could get rid of this … There’s a problem with getting rid of VAT on certain individual issues because of the way this tax is regulated and set in Europe.”
Sherriff’s amendment, however, would force George Osborneto set out how he would negotiate the end of VAT on sanitary products within three months. The chancellor would also have to update the Commons on his progress.Sherriff’s amendment, however, would force George Osborneto set out how he would negotiate the end of VAT on sanitary products within three months. The chancellor would also have to update the Commons on his progress.
It will be up to the Speaker to decide which amendments to call, but if it is selected, Labour, the Liberal Democrats and a number of anti-EU Tories are likely to vote in favour of it.It will be up to the Speaker to decide which amendments to call, but if it is selected, Labour, the Liberal Democrats and a number of anti-EU Tories are likely to vote in favour of it.
The likely Tory rebels have held up the “tampon tax” as an example of the EU having too much influence over domestic taxation. Ukip also opposes the VAT rate, calling it a tax on women.The likely Tory rebels have held up the “tampon tax” as an example of the EU having too much influence over domestic taxation. Ukip also opposes the VAT rate, calling it a tax on women.
Alison Thewliss, an SNP MP, has tabled a separate amendment that would commit the Treasury to publishing a report setting out the impact of exempting women’s sanitary products from VAT.Alison Thewliss, an SNP MP, has tabled a separate amendment that would commit the Treasury to publishing a report setting out the impact of exempting women’s sanitary products from VAT.
“The SNP has long called for the abolition of the unfair tampon tax, and after five years of inaction from this Tory government it’s time for George Osborne to set out when we can expect the VAT rules to be changed,” Thewliss said.“The SNP has long called for the abolition of the unfair tampon tax, and after five years of inaction from this Tory government it’s time for George Osborne to set out when we can expect the VAT rules to be changed,” Thewliss said.
“Sanitary protection products are not an optional luxury. They are an essential product for over half the population. It is absurd that while men’s razors, children’s nappies and even products like Jaffa cakes, exotic meats and edible cake decorations are free from VAT, women are still having to pay additional costs on what is already an expensive yet vital product.” “Sanitary protection products are not an optional luxury. They are an essential product for over half the population. It is absurd that while men’s razors, children’s nappies and even products like Jaffa Cakes, exotic meats and edible cake decorations are free from VAT, women are still having to pay additional costs on what is already an expensive yet vital product.”
More than 250,000 people have signed a Change.org petition calling for the issue to be addressed. More than 250,000 people have signed a Change.org petition calling for the issue to be addressed. It says: “David Cameron has accepted that removing sanitary tax will be ‘very difficult to do but I’ll have to go away and have a look and come back to you’. Well, Mr Cameron, it’s time for a response. We need to know why the government still taxes sanitary products on luxurious, ‘non-essential’ grounds, but not helicopters, the maintenance of our private jets, or crocodile steaks.”
It says: “David Cameron has accepted that removing sanitary tax will be ‘very difficult to do but I’ll have to go away and have a look and come back to you’. Well Mr Cameron, it’s time for a response. We need to know why the government still taxes sanitary products on luxurious, ‘non-essential’ grounds, but not helicopters, the maintenance of our private jets, or crocodile steaks.” Labour reduced VAT on sanitary products from 17.5% to 5% in 2000 but could not go any further under EU rules.
Labour reduced VAT on sanitary products from 17.5% to 5% in 2000, but could not go any further under EU rules.