Oral question asked in the House of Commons, by Sammy Wilson (Democratic Unionist Party). It was answered on Tuesday, 1 November 2011 on behalf of the Northern Ireland Grand Committee.

Aggregates Credit Levy Scheme

Question: May I put on record my thanks for the efforts the Minister has made on air passenger duty? I know that the same commitment is being shown on the aggregates levy. Indeed, during the summer recess, had it not been for his intervention and the steps taken by the Chancellor, we would not have had the result that we now have, so I want to put that on the record. On the aggregates levy, one thing that worries quarry owners in Northern Ireland is not just the fact that the scheme has now been declared illegal by the European Commission, but the prospect of the recovery of all the money saved as a result of the aggregates levy. If that is imposed, it will devastate the quarry industry. What discussions has the Minister had with the Treasury to seek assurances that if Europe seeks recovery, it will be vigorously opposed by Her Majesty’s Government and that the Treasury will take a case to ensure that recovery is not sought?

Answer: I am tempted to say that the hon. Gentleman is uncharacteristically conceding defeat before matters have been negotiated. The Government’s position is clear, as it was in all the early discussions that we had with him and Treasury Ministers. We want the matter resolved as quickly as possible. Of course I take on board the retrospective issue, and it is a key part of the negotiation, but it is critical that the industry in Northern Ireland knows what is going to happen. The longer the delay, the longer the industry will have to live in uncertainty at an extremely difficult time. That is why we will continue. We commit publicly this afternoon to push the matter as far as we can, but it is being negotiated properly at a high level in Brussels. We are aware of all the points made by the hon. Gentleman, and I have sympathy with them.

Secondary information