Mr. John David Taylor
asked the Chancellor of the Exchequer why he agreed at the last Council meeting of EC Finance Ministers to increase in real terms the discrimination against the United Kingdom involved in the Republic of Ireland's derogation in respect of EC travellers' allowances.
§ Mr. Lawson
I do not regared the long-standing derogation under which items with a unit value over 77 ecu are excluded from the intra-Community travellers allowances in the Republic of Ireland as discrimination against the United Kingdom. These allowances are designed for people making genuine international journeys rather than those on shopping day trips. The Council150W accepted that the Republic has a particular problem in that respect and was prepared to extend the derogation as part of the agreement to increase the value of the intra-Community travellers allowance from 210 ecu (£120) to 280 ecu (£155) from 1 July this year.