On 23 October 2007, I asked:

"What plans he has to support the work of small community organisations."

Phil Hope, the Minister responsible, said:

"Small community organisations are an essential part of a strong local voluntary sector—indeed, they are a key part of a strong and thriving community—and support for their work is a Government priority. The office of the third sector has created the £30 million community assets fund, which will help community groups to take on the ownership and management of assets. It is also introducing a new £80 million programme of small grants for small community and voluntary organisations and a £50 million programme of endowment grants to help local foundations to provide an enduring source of funding."

I followed up to talk about the plight of a local MS treatment centre:

"I thank my hon. Friend for his answer. In Hove and Portslade in my constituency, the Sussex multiple sclerosis treatment centre, a charitable organisation set up and run entirely by MS sufferers, was charged VAT on its building work to enlarge its centre. We were eventually able to get the VAT written off, but does my hon. Friend agree that it would be of particular benefit to all charitable organisations if there was VAT exemption for such third sector organisations?"

The Minister said:

"I congratulate my hon. Friend on achieving the write-off. In any application for a local authority grant to pay for refurbishment or repairs, third sector organisations are very much encouraged to include the costs of VAT, so that every such organisation gets the full cost recovery from grants of that kind. On the wider question, there is a generous package of tax relief and tax exemptions for charities, but broader questions about VAT are a matter for the Treasury. I shall bring her point to the attention of my Treasury colleagues."