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Written question asked by James Gray (Conservative) on Thursday, 14 March 2024, in the House of Commons. It was due for an answer on Monday, 18 March 2024. It was answered by James Cartlidge (Conservative) on Friday, 22 March 2024 on behalf of the Ministry of Defence.

Ministry of Defence: VAT

Question

To ask the Secretary of State for Defence, how much VAT was paid by his Department to HM Treasury in each of the last three years; whether such payments are notional balance sheet transactions; and whether such payment count towards the NATO target of two percent of GDP spent on defence.

Answer

The table below provides details of VAT paid and not recovered by MOD’s main VAT registration for the previous three financial years (FY).

VAT paid by HMRC and not recovered £million

FY20/21

3,026

FY21/22

3,143

FY22/23

3,607

Total

9,776

These payments are not notional balance sheet transactions. They are are actual cash payments made by MOD and are accordingly considered part of the Department’s spend for NATO purposes.

Secondary information

Type
Written question
Reference
18640
Session
2023-24
Subjects
Public expenditure Ministry of Defence VAT
Contains statistics
Yes
Link
View this Written question on www.parliament.uk