§ Mr. McGrady
To ask the Chancellor of the Exchequer if he will introduce fiscal instruments to encourage energy-efficient investments.
§ Mr. Dorrell
The existing tax regime already gives relief for capital investment by businesses on equipment, including energy efficient products. By providing a broadly neutral tax system for businesses, with a common rate of capital allowances for investment in equipment, we allow businesses to decide where their money is best spent. Fuel savings provide the best incentive for businesses to make energy-efficient investments.