division_name: Budget Resolutions and Economic Situation - 11. Withdrawal of relief on medical insurance premiums
motion: <p>Resolved, 
  <p>That provision may be made enabling the Secretary of State to require payments to be made to him in connection with--
   
  
    <p> 
  (a) steps taken by him for facilitating the transmission of information to him electronically in connection with licence applications under the Vehicle Excise and Registration Act 1994, and
   
  
   
  (b) the processing of such applications where information is so transmitted.
  <p>Motion made, and Question put, 
  <p>That--
  <p> 
   
  (1) Subject to paragraphs (2) and (3) below, relief under section 54 of the Finance Act 1989 shall not be given in respect of any payment where either--
   
  
   
  (a) the premium in respect of which the payment is made is a premium under a contract entered into on or after 2nd July 1997; or
   
  
   
  (b) the payment is received by the insurer on or after 6th April 1999.
   
  
   
  (2) Paragraph (1) above shall not affect the giving of relief in respect of a payment received by an insurer before 6th April 1999 where--
   
  
   
  (a) the premium in respect of which the payment is made is a premium under a contract entered into on or after 2nd July 1997 but before 1st August 1997;
   
  
   
  (b) the contract is one entered into in pursuance of a written proposal received by or on behalf of the insurer before 2nd July 1997;
   
  
   
  (c) the contract is not a contract entered into by way of the renewal of an earlier contract; and
   
  
   
  (d) if the payment is not itself a payment received before 1st August 1997, the insurer had before 1st August 1997 received an earlier payment in respect of a premium under the contract in question.
  <p>
   
  (3) Paragraph (1) above shall not affect the giving of relief in respect of a payment received by an insurer before 6th April 1999 where--
   
  
   
  (a) the premium in respect of which the payment is made is a premium under a contract entered into on or after 2nd July 1997 but before 1st August 1997;
   
  
   
  (b) that contract is one entered into by way of the renewal of an earlier contract;
   
  
   
  (c) the period of insurance under the earlier contract ended before 2nd July 1997; and
   
  
   
  (d) if the payment is not itself a payment received before 1st August 1997, the insurer had before 1st August 1997 received an earlier payment in respect of a premium under the renewal contract.
   
  
   
  (4) For the purposes of the preceding provisions of this Resolution a contract shall be taken to have been entered into by way of the renewal of an earlier contract only if--
   
  
   
  (a) it was entered into by way of the renewal of a contract which was an eligible contract for the purposes of section 54 of the Finance Act 1989 when that earlier contract was entered into;
   
  
   
  (b) the insurer under the earlier contract and the insurer under the contract by which it has been renewed are the same; and
   
  
   
  (c) the period of insurance under the earlier contract ended immediately before the beginning of the period of insurance under the contract by which it has been renewed.
   
  
   
  (5) This Resolution has effect for the year 1997-98 and subsequent years of assessment.
   
  And it is hereby declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.
   
  
   The House divided:  Ayes 377, Noes 113.
  <p> 
    