Matthew voted against the Government on the introduction of VAT on hot foodstuffs. Dubbed the ‘pasty tax’, the proposal will introduce VAT on sausage rolls, steak bakes, pies, pasties and other foods which are manufactured and sold in many shops in the Hendon constituency.
Matthew said: “I have great reservations about this proposal as it will only apply to foodstuffs which remain hot. If they cool to the ‘ambient temperature’ of the shop then they will not be liable to VAT. In my opinion this is unworkable unless trading standards and HMRC tax officers constantly visit multiple outlets to determine the price of food as it is sold.
“I therefore voted against the Government and supported an amendment that would have excluded freshly baked products from VAT where no attempt is made to keep them hot. This was a sensible compromise that would have satisfied the Government’s wish to bring all genuine takeaway food on to the same tax regime – VAT is already levied on hot takeaways such as fish and chips and curries – but would have excluded pastry foodstuffs which are really snacks.
“Bakeries in Hendon, Edgware, Mill Hill and Burnt Oak have made their feelings known to me about this proposal and I share their concern about the potentially damaging effect on jobs and incomes at this difficult economic time. I believe it is important to represent their views and I will continue to press the Government over this issue.”
Photo: Matthew is pictured with his favourite Cornish pasty outside the House of Commons