Loyd Grossman calls for a cut in VAT on older buildings
The 20% VAT rate on the restoration of old buildings should be scrapped, Loyd Grossman, Chairman of The Heritage Alliance, has claimed speaking on the BBC Daily Politics Show on Wednesday 22nd October.
Speaking after the Prime Ministers questions and using the Ragged School Museum in East London as an example, Loyd Grossman argued that heritage was not a luxury that requires subsidy, but an essential part of our society and economy which justifies investment.
According to research conducted by the Historic Houses Association [Alliance member], essential repairs to member houses exceeds £750 million pounds in 2014, up from £390 million in 2009. Loyd Grossman argued, however, that it was not just big houses that face these costs as 86% of listed buildings are owned by people outside the top income bracket.
During the interview, Loyd Grossman said:
“Why can’t the government grasp the value of heritage and do something positive? Get rid of the VAT regime which slaps a full rate of tax on the repair and maintenance of old buildings but levies zero per cent on new-build and demolition. The current system just doesn’t make any sense.”
The Heritage Alliance is part of the Cut the VAT coalition, which calls for a reduction in the rate of VAT from 20% to 5% as permitted under EU rules. To find out more about our campaign, visit the Heritage Alliance website and see our Manifesto and Supplementary Briefing on VAT. To watch the video and see the debate, visit the BBC News website here.