---

Finance Bill

I do not understand why the hon. Gentleman thinks that. Budgets are an opportunity to examine tax rates and arrangements in all areas, and announcements on these issues are always made at Budgets. They are certainly not made in the middle of Westminster Hall debates, when the work leading up to the Budget is still ongoing. Our principal aim in the Budget with respect to gambling taxation has been to simplify the tax regime and bring increased clarity to the sector. Clause 20 is part of that package of reforms to gambling taxation. It has two elements. First, it increases the rate of bingo duty to 22 per cent., as has been pointed out. Secondly, it increases the money prize limit to £70, as the hon. Member for Bath was generous enough to point out, for duty-exempt small scale bingo conducted on certain premises. The increase in the rate is part of a package of measures that includes making bingo participation fees exempt from VAT, which will be debated upstairs on clause 112. The principal aim has been to simplify bingo taxation, as the industry had requested. The three amendments to clause 20 have different objectives, but they all relate primarily to the aspect of the clause that amends the bingo duty rate. Amendment 9 seeks to commit the Government to publish a report on the impact of changes made at the Budget. We always keep taxes under review and we take decisions at the Budget. Gambling taxes are no different, and we will continue to engage with the industry about the state of the industry and the impact of taxation and potential taxation measures. There is therefore no need for the Government to publish a report on the impact of increases in bingo duty later this year. Amendment 14 seeks to retain bingo duty at 15 per cent. Amendment 15 seeks to delay the increase in bingo duty until after court proceedings have concluded and Parliament has again debated the taxation of the bingo industry. The hon. Member for Hammersmith and Fulham has been up front with the Committee today and said that the official Opposition will vote against clause 112 when we come to that debate, to remove participation fees from bingo as part of that package. I look forward to having that debate with him when the time comes. Both those amendments would cost money—£35 million, on the basis of figures in the Red Book. The effective tax rate on bingo is now 22 per cent., as I said earlier, comparable to the average rates of tax on casinos, gaming machines and the lottery. It is not clear why the Government should await the conclusion of a court case before deciding on an appropriate rate of tax for the bingo industry. I therefore ask hon. Members to withdraw their amendments.