2007

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RIBA response to Budget Statement

Date:

21 March 2007

Press office contact:

Melanie Mayfield
T: +44 (0)207 307 3662
E: melanie.mayfield@riba.org

 
 
The Chancellor of the Exchequer, the Rt Hon Gordon Brown MP, delivered his eleventh Budget Statement to the House of Commons this afternoon. Among the key points of most interest to the RIBA are:
  • stamp duty exemption for zero carbon homes costing up to £500,000 with stamp duty reductions for more expensive properties
  • assistance to householders with an intention that all homes will, wherever possible, achieve their cost-effective energy efficiency potential by 2020
  • an increase in the Low Carbon Buildings Programme to £18 million to assist microgeneration
  • Ofgem to be encouraged to increase incentives to householders who export green energy to the National Grid
  • a reduction in VAT to 5% on specified alterations to housing for older people
  • seeking European Union agreement to cut VAT on energy-saving environmentally-friendly products
  • a rise in education investment from £60bn by £74bn by 2010
  • a £8bn rise by 2008 in health investment
  • fiscal assistance to churches and heritage buildings
  • launch of a consultation on improving the effectiveness of tax incentives for developing brownfield land
Responding to the statement, RIBA President Jack Pringle said:
 
"The Chancellor told us that his Budget would be about environmentally sustainable growth. But behind the headline-making tax cuts, there's not much that's new and much that's been left unsaid. If the Government is serious about encouraging householders to do their bit for the environment, then the incentives and grants on offer will need to become far more generous.
 
"There's good news, however - the increased funding to health and education has to be welcomed. But it cannot be squandered and must be accompanied by a greater commitment to design quality and sustainability.
 
"On VAT, the Chancellor recognises there's a social case for reducing the rate for alterations to homes to support older people. I'd like to see the Government recognise a similar social and environmental case for lowering VAT for refurbishment and repairs to existing buildings. We'll be making that point in the consultation on incentives to develop brownfield sites."
 

-ends-

Notes to editors

1. The Budget Statement is published in full on the HM Treasury website at www.hm-treasury.gov.uk|
 
2. For further information, please contact RIBA Head of Public Affairs Steven Harding on 020 7307 3728 or steven.harding@inst.riba.org|

 

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