VAT On Sports Nutrition Drinks

EDM number 125 in 2012-13, proposed by Austin Mitchell on 23/05/2012.
Categorised under the topics of Food, Health education and preventive medicine and Taxation.

That this House notes that the Chancellor of the Exchequer has permitted only six weeks for consultation on his proposal to imposeVAT on many sports nutrition drinks and that those weeks included two bank holidays and the Easter recess, contrary to the Government's Code of Practice on Consultation which requires 12 weeks; observes that the impact assessment accompanying the consultation wrongly describes the 20 per cent VAT rate as a small increase in price; regrets that this move will push up prices for such products and damage small, specialist manufacturers, will have a negative impact upon jobs and growth, undermine consumer safety by driving customers to source products from less reputable overseas mail order and internet suppliers and, in the year of the London Olympics, send out the wrong message about the importance of sport and exercise in improving public health; further observes that HM Revenue and Customs has also failed to take into account the reduced UK tax revenues associated with a switch to offshore sourcing and the reduction in wider UK tax revenues from the sector as sales reduce, profits fall and employment is affected; considers the move to be bizarre when milkshakes, drinking chocolate and Jaffa cakes continue to be zero-rated; and urges the Chancellor to think again.

This motion has been signed by a total of 28 MPs.