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Channon rejects fares VAT veto

26th November 1987
Page 29
Page 29, 26th November 1987 — Channon rejects fares VAT veto
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Which of the following most accurately describes the problem?

• The Government has rejected a Labour Party call to veto EEC plans for VAT on bus fares. Transport Secretary Paul Channon told MPs that taxation was a matter for the Chancellor.

Shadow transport spokesman Bob Hughes warned that the proposed tax on bus, train and air fares would add 15% to fares, and would hit the poor hardest. It was "a time bomb ticking away in the European Community," he warned.