Vol. 462 No. 2
66 Mr. Haughey asked the Minister for Finance if he will introduce a VAT refund scheme for disabled people who carry out household repairs such as the provision of new windows, central heating and others; and if he will make a statement on the matter. [4125/96]
This Government is firmly committed to assisting people with a disability. The Department of Health spent over £257 million in its Programme for the Handicapped in 1995 and 1996 expenditure in this regard is estimated to rise to over £266 million. Recent years have seen substantial regular increases in resources devoted to the assistance of people with a disability, with particular emphasis on improving the level of day-care and home support services. I am pleased to advise the Deputy that a special refund scheme also exists in relation to the VAT borne or paid on aids or appliances specially constructed or adapted for use by a person with a disability to assist in overcoming his or her disability in the performance of daily functions or in the exercise of a vocation. The scheme applies to a wide range of goods and includes, for example, walk-in baths, lifting seats, hoists and stair lifts designed for people with a disability as well as medical equipment such as dialysis machines and artificial respirators. Items such as invalid carriages, walking frames and orthopaedic appliances are zero rated for VAT purposes.
In addition, local authorities may pay a grant for the provision of additional accommodation or necessary works of adaptation of a house to meet the needs of a member of the household with a disability. For private houses, the grant may amount to up to two thirds of the cost of the works approved by the local authority. For houses let by the local authority, the grant may amount to the full cost of approved works. The works must cost in excess of £200. Normally, the grant will not exceed £8,000. However, the carrying out of routine household repairs and maintenance would not be covered by the above mentioned schemes. This is because the rationale behind such schemes is to assist people with a disability in overcoming it. Their extension to items of expenditure which are not related to overcoming disability could not be justified.
