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Employment Tax Credit

Miss Begg: To ask the Chancellor of the Exchequer if he will make a statement on his proposals for an employment tax credit. [44533]

Dawn Primarolo: In April 2003 the Government are planning to introduce the Working Tax Credit to help make work pay and tackle in-work poverty. The Working Tax Credit will replace the adult elements of the Working Families' Tax Credit, Disabled Person's Tax Credit and the Employment Credit 50+. It will also extend the principle of Working Families Tax Credit to workers aged over 25 without children or a disability. The Working Tax Credit will be complemented by the Child Tax Credit. The rates and tapers of the Working Tax Credit and the Child Tax Credit will be announced in Budget 2002.

VAT

Brian Cotter: To ask the Chancellor of the Exchequer what estimate his Department has made of the costs to small businesses of administering VAT. [44535]

Job No: CW0126 Folios: 000-000Operator: Operator Number 3. Date: 11/04/02

Dawn Primarolo: I refer the hon. Member to the answers given to the hon. Member for Kingston and Surbiton (Mr. Davey) on 26 November 2001, Official Report, columns 630W and 631W.

Project Sponsorship

Mr. Beith: To ask the Chancellor of the Exchequer which of his Department's projects have received sponsorship since 1997, including (a) details of the sponsor, (b) the nature of the project, (c) the date of the project, (d) the total cost of the project and (e) the amount of money involved in the sponsorship deal.[48407]

Ruth Kelly: This information is not held centrally, and could only be assembled at disproportionate cost.

Exports

Paul Holmes: To ask the Chancellor of the Exchequer what estimate his Department has made of the level of UK exports if the pound fell 10 per cent. against the euro; and if he will make a statement. [44536]

Ruth Kelly: I refer the hon. Gentleman to the answer I gave to the hon. Member for Fareham (Mr. Hoban) on 4 February 2002, Official Report, column 696W.

Job No: CW0126 Folios: 000-000Operator: Operator Number 3. Date: 11/04/02

11 Apr 2002 : Column 576W

Health Expenditure

Mr. Djanogly: To ask the Chancellor of the Exchequer what recent steps have been taken by the Treasury concerning the planning and control of health expenditure. [44517]

Mr. Andrew Smith: These are matters for consideration by the Chancellor prior to the Budget and Spending Review.

Mr. Goodman: To ask the Chancellor of the Exchequer when he last met the Secretary of State for Health to discuss planned levels of health spending after 2003–04. [44520]

Mr. Andrew Smith: The Chancellor meets with ministerial colleagues in the Department of Health to discuss a variety of issues on a regular basis.

Arthur Andersen

Matthew Taylor: To ask the Chancellor of the Exchequer, pursuant to his answer of 25 February 2002, Ref. 37050, with reference to Clause 19 of the Cabinet Office Guidance to Departments on Sponsorship of Government Activities, if he will place the written agreement between his Department and Andersen in the Library; and if he will make a statement. [39615]

Ruth Kelly: The commercial arrangements for the "Creating Knowledge: Creating Wealth" conference on 14 April 1999 were as follows. The Treasury paid £15,500.85 (including VAT) for the hire of the conference facility, catering, staging and audio/visual equipment. Arthur Andersen incurred costs of £5,499.15 for the preparation of conference packs and for graphic design.

Arthur Andersen's role was to help identify speakers and with the administration of the event. I have placed in the Library of the House a copy of a letter from my officials dated 25 November 1998 setting out these arrangements.

Job No: CW0126 Folios: 000-000Operator: Operator Number 3. Date: 11/04/02

PFI/PPPs

Mr. Bercow: To ask the Chancellor of the Exchequer if he will list the (a) private finance initiative and (b) public private partnership projects which have been delayed. [44880]

Mr. Andrew Smith: The information is as follows:

(a) PFI Projects Delayed

Inland Revenue—Archer House project, Stockport. The delay was due to a proposed site change and an interim change of specification.

(b) There have been no delayed PPP projects.

Scottish Transport Group

Annabelle Ewing: To ask the Chancellor of the Exchequer on what date his Department was first informed of the level of Scottish Transport Group pension scheme's surplus. [48168]

Mr. Andrew Smith: The wind up of the STG pension scheme is being taken forward by the Scottish Executive following privatisation. The Scottish Executive

11 Apr 2002 : Column 577W

announced in December 2000 how the surplus was being distributed following agreement with Treasury Ministers.

Scottish Bus Group

Annabelle Ewing: To ask the Chancellor of the Exchequer what rules in respect of double taxation are applicable to the Scottish Bus Group employee pension fund. [48284]

Mr. Andrew Smith: A surplus from a pension fund scheme can carry a tax liability. A tax charge is provided for under section 601 of the Income and Corporation Taxes Act 1988. It applies to all payments to an employer from the funds of an exempt approved pension scheme, as the Scottish Transport Group schemes are. The current rate at which the tax is charged is 35 per cent. in accordance with Section 74 of the Finance Act 2001. The tax payable on payments to pensioners will depend on the personal tax circumstances of the individual. Payments have yet to be finalised.

Annabelle Ewing: To ask the Chancellor of the Exchequer what legal advice his Department has obtained in relation to the distribution of the Scottish Bus Group employee pension funds; under what statutory provisions these funds are liable to public general taxation; to what extent ex-gratia payments made to former members of the fund are liable to tax; to what extent this applies in respect of payments in excess of £30,000; and at what rate. [48282]

Mr. Andrew Smith: The Scottish Executive is taking forward the wind up of the STG pension schemes. The tax position is set out in the answer I am today giving to another question of the hon. Lady's ref. 48284.

Job No: CW0126 Folios: 000-000Operator: Op Number 3. Date: 11/04/02

Performance Targets

Mr. Bercow: To ask the Chancellor of the Exchequer what new initiatives his Department has taken in 2001–02 to assist in achieving its Public Service Agreements targets. [47186]

Ruth Kelly: Information about the measures put in place to achieve the Treasury's PSA targets will be published in the Treasury's 2002 Departmental Report.

Ministerial Visits

Mr. Vaz: To ask the Chancellor of the Exchequer if he will list his overseas visits since 7 June 2001. [46173]

Ruth Kelly: I refer my hon. Friend the answer given by the Deputy Prime Minister on 4 February, Official Report, column 707W.

Rebo

Tax Credits

Mr. Willetts: To ask the Chancellor of the Exchequer, pursuant to the answer of 7 February 2002, to my hon. Friend the Member for Hertsmere (Mr. Clappison), Official Report, columns 1142–43W, on tax credits, what the average penalty imposed on each person who has been subjected to a penalty as a result of an investigation into a WFTC or DPTC claim is, broken down into each financial year. [40509]

11 Apr 2002 : Column 578W

Dawn Primarolo: The average penalty imposed as a result of an investigation into a WFTC/DPTC claim is as follows:

	October 1999–March 2000	April 2000–March 2001	April 2001–December 2001
Average penalty	£481	£521	£593

Widows' Pensions

David Burnside: To ask the Chancellor of the Exchequer if he will make a statement on the difference in the treatment for tax purposes of the attributable pension awarded to war widows and widows of disabled service personnel. [46410]

Dawn Primarolo [holding answer 26 March 2002]: Specific rules mean that pensions paid under the War Pensions Scheme to widows or widowers in respect of the death of their spouses are exempt from tax. Pensions paid to widows or widowers of service personnel under the Armed Forces Pension Scheme are taxable in the normal way.

Capital Gains Tax

Mr. Woodward: To ask the Chancellor of the Exchequer what recent estimate he has made of the cost to the Treasury of collecting capital gains tax. [47635]

Dawn Primarolo: The cost of collecting Capital Gains Tax in 2000–01 was £43 million. This equates to 1.33 pence for every pound of Capital Gains Tax collected.

The figure relates mainly to costs arising from gains to individuals and trustees but some other costs (mainly of land valuations for companies) that cannot be separately identified are included in the collection costs of capital gains tax.

Mr. Woodward: To ask the Chancellor of the Exchequer what the income from capital gains tax was in each of the last five years. [47655]

Dawn Primarolo: Receipt of capital gains tax in each of the last five years are given on the Inland Revenue website at: http://www.inlandrevenue.gov.uk/stats/tax—receipts/g—t02—1.htm.

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