Consultations abound at Westminster
IT was a short speech with no major spending announcements or significant changes to duty, but Chancellor Philip Hammond certainly gave retailers plenty to mull over in his Spring Statement last month.
Hammond, who last year opted to shift the Budget to the autumn, used his slimmed down March address to parliament to launch a clutch of consultations that could play a role in shaping the future of British retailing.
A new consultation on single use plastic floats a number of policies including a potential new tax on chewing gum made from synthetic rubber, as well as a Deposit Return Scheme (DRS) for England and Wales.
The chancellor also announced a call for evidence on potential changes to the VAT threshold amid some claims the current registration threshold may discourage small businesses from pursuing growth.
Forecourt retailers may have avoided a fuel duty rise, but they may not have escaped entirely unscathed with the Chancellor’s new consultation on existing tax relief schemes for non-agricultural red diesel pointing to potential tweaks in the future.
Retailers running or considering introducing an online component to their business could also be affected by the outcome of a new consultation into tax compliance online.
Coinciding with the spring statement, the Treasury also released the results of its consultation on the tax treatment of heated tobacco products – products which heat tobacco in a chamber rather than the traditional method of igniting the plant to produce smoke.
In its response to the consultation, the government said it believes creating a new duty category for heated tobacco products is the best way forward.
• Consultations described above can be found at www.gov.uk/government/consultations.
