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5 Mar 2003 : Column 1049W—continued

ECOFIN

Mr. Hood: To ask the Chancellor of the Exchequer what the outcome was of the ECOFIN Council held on 18th February; what the Government's stance was on the issues discussed, including its voting record; and if he will make a statement. [100140]

Mr. Gordon Brown: I attended the ECOFIN meeting on 18 February. ECOFIN held its first discussion on preparation for the Spring Council on 21–22 March. The Commission presented their Spring report, and the Presidency's draft Key Issues Paper was also tabled. I welcomed both contributions, and referred to the UK progress report on economic reform in Europe, published on 17 February. I also set out the UK's priorities for the Spring Council: employment, research and development, competition, state aids and better regulation. ECOFIN also agreed Council conclusions on the Broad Economic Policy Guidelines Implementation Report.

There was a discussion of the Commission Communication on reinterpreting the Stability and Growth Pact. It was agreed that draft Council Conclusions should be tabled at 7 March ECOFIN and adopted ahead of the Spring Council.

Council adopted conclusions on voting reforms of the Governing Council of the European Central Bank. This will be tabled again at the 7 March ECOFIN ahead of the Spring Council.

Under Implementation of the Stability and Growth Pact, the Council adopted Opinions on the Stability and Convergence programmes of the UK, Denmark, Spain, Ireland and Belgium.

The Council agreed a joint Commission/Council report on eurozone statistics to go forward to the Spring Council. It also agreed conclusions on the fifth progress report on the implementation of information requirements in EMU and a code of best practice on improving the quality of budgetary statistics.

The Council adopted a Decision to establish the Financial Services Committee, as foreseen by the Conclusions on Financial Supervision agreed at the 3 December ECOFIN.

Agreement was postponed on energy taxation until the 7 March ECOFIN.

Political agreement was reached on VAT Administrative Co-operation without discussion.

The UK's Convergence Programme was adopted on the basis of Qualified Majority (including the UK) in support of the final text.

Employers Liability Insurance

Mr. Flook: To ask the Chancellor of the Exchequer what his estimates are for revenue raised by the

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5 per cent. insurance levy on employers' liability insurance with regard to the construction industry (a) since its inception, (b) for the financial year and (c) for the next financial year. [100669]

Ruth Kelly: Separate data on the amount of Insurance Premium Tax collected from Employers' Liability Insurance from the construction industry are not available, as IPT receipts are not broken down by source.

EU Money Laundering Directive

Ms Joan Walley: To ask the Chancellor of the Exchequer what the proposed time scale is for the development of a third EU Money Laundering Directive. [100612]

Ruth Kelly: The second EU Money Laundering Directive 1 adopted in December 2001 calls on the Commission to present a proposal for a further Directive before 15 December 2004.


Euro

Mr. Prisk: To ask the Chancellor of the Exchequer if he will initiate a rolling programme of reassessment, should his Department conclude that Britain does not meet the five economic tests for entry to the euro. [101058]

Ruth Kelly: The Government will not speculate on the outcome of the assessment of the five economic tests, which will be completed within two years of the start of this Parliament.

Mr. Prisk: To ask the Chancellor of the Exchequer if he will publish a statement setting out the (a) costs and (b) benefits of entry into the eurozone, if his Department concludes that Britain meets the five economic tests for entry to the euro. [101059]

Ruth Kelly: A comprehensive and rigorous assessment of the five economic tests will be completed within two years of the start of this Parliament. Once the assessment is complete, the supporting studies will be published alongside all to be subject to intensive public scrutiny and debate.

Mr. Prisk: To ask the Chancellor of the Exchequer whether he has made an assessment of what the effect would be on British business if his Department's assessment of the five economic tests for euro entry is (a) that Britain should enter the euro and (b) that Britain should not enter the euro. [101153]

Ruth Kelly: As set out in the Paper for the Treasury Committee on the Treasury's approach to the preliminary and technical work, published on 6 September 2002, a number of supporting studies will be

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published alongside the assessment of the five economic tests. A supporting study will be published, examining "The impact of EMU on business in different manufacturing and business sectors of the UK economy." Further detail can be found in the 6 September Paper.

Insurance Premium Tax

Mrs. Gillan: To ask the Chancellor of the Exchequer what plans he has to increase the basic rate of insurance premium tax. [100248]

Ruth Kelly [holding answer 3 March 2003]: As with all taxes, Insurance Premium Tax is kept under review and any changes would be announced in the annual Budget.

Mr. David Marshall: To ask the Chancellor of the Exchequer what plans he has to review the cost to employees of the insurance premium tax; and if he will make a statement. [100855]

Ruth Kelly: As with all taxes, Insurance Premium Tax is kept under review and any changes would be announced in the annual Budget.

Interest Rates

Mr. Flight: To ask the Chancellor of the Exchequer what assessment he has made of the sensitivity of the economy of (a) the UK, (b) other members of the European Union and (c) other G7 nations to interest rate changes. [101282]

Ruth Kelly: As set out in the Paper for the Treasury Committee on the Treasury's approach to the preliminary and technical work, published on 6 September 2002, a number of supporting studies will be published alongside the assessment of the five economic tests. A supporting study will be published, "Assessing whether the monetary transmission mechanism differs substantively in the UK compared with the euro area". Further detail can be found in the 6 September Paper.

Network Rail

Mr. Flight: To ask the Chancellor of the Exchequer what discussions his Department has had with the National Audit Office on the Auditor General's policy on the approval of the national accounts in relation to the treatment of Network Rail debt; and if he will make a statement. [100958]

Mr. Boateng: The Treasury has discussions with the National Audit Office on wide range of issues. However, the National Accounts are the responsibility of the Office for National Statistics and not the Comptroller and Auditor General

Mr. Flight: To ask the Chancellor of the Exchequer if he will undertake not to conclude loan contracts for Network Rail until the Comptroller and Auditor General has approved the accounting treatment for new debt in the Government accounts. [100959]

Mr. Boateng: While departments can, and do, consult the C&AG and his staff on accounting treatments, the ultimate responsibility for determining any accounting treatment rests with the body preparing the financial

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statements, not the C&AG, provided that the accounting policies selected are the most appropriate for giving a true and fair view and comply with the requirements of the Resource Accounting Manual or other accounting guidance issued by the Treasury.

Publicity and Advertising

Mr. Laws: To ask the Chancellor of the Exchequer (1) how much the Inland Revenue spent on (a) publicity and (b) advertising in each year from 1990–91 to 2002–03; and if he will make a statement; [91722]

Ruth Kelly: Figures for 1995 to 1996 are not readily available and could be provided only at disproportionate cost.

For detailed figures from 1997 to 2002 I refer the hon. Gentleman to the answer given to the hon. Member for Buckingham (Mr. Bercow) on 7 May 2002, Official Report, column 36W.

The latest information for 2002–03 is as follows:

Inland Revenue

Self Assessment publicity, £7.4 million which includes advertising media spend of £5.78 million

Work on the communications campaign for the new Working Tax Credit and Child Tax Credit is continuing and to date has involved a spend of £9.75 million on paid for media.

Government Actuary's Department

Expenditure to date (a) £35,000 (b) £18,000

The Royal Mint

Advertising 1 £2,395,669

Publicity 2 £123,155.77




£

2002–03(13)
Printing40,000.00
Recruitment advertising50,000.00
Auction advertising(14)300,000.00
Total390,000.00

(13) Estimation to year end

(14) Auction advertising costs are recovered from the National Loans Fund

Valuation Office Agency

£57,185 Estimated

Office for National Statistics

Publicity expenditure £140,000.

No expenditure is expected in respect of advertising.

The publicity spend covers two phases—the launch of the first Census population statistics in September at a cost of £61,000 and the launch of Census key statistics planned for 13 February at an estimated cost of £79,000.

HM Customs and Excise

Tackling Tobacco smuggling campaign year three of three.

To date £1,000,000 exclusive of VAT.

Fuel Fraud campaign year one of three

To date, £230,000 exclusive of VAT.

National Savings and Investments

Above the line Advertising £1,775,000 (estimated)

Press and Public Relations (Publicity) £470,000 (estimated)

Below-the-line £6,399,000 (estimated)

Office of Government Commerce

(i) Expenditure on publicity—Nil.

(ii) Expenditure on advertising: £3,878 spent in 2001–02 by OGC buying solutions. This figure reflects the spend since the launch of OGC (1 April 2000) to date and OGC buying solutions (1 April 2001) to date.

These figures relate to external advertising and publicity and exclude communications within the public sector.


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