Wells Cathedral Stonemasons say the Budget announcement will boost much-needed restoration.

While most businesses are poring over Gordon Brown's latest Budget to find measures that will help or hinder them, one Somerset company has given the Budget an unqualified welcome.Wells Cathedral Stonemasons, the company originally founded to restore Wells Cathedral, says that his extension of special VAT dispensation for church repairs to 2008, and the inclusion of projects to restore memorials, will bring a vital relief to the restoration-fund treasurers of many British churches.

According to Ryan Brunt, Operations Director at the Cheddar-based company: "For the next three years, churches will be allowed to reclaim the full 17.5% VAT paid on repair and restoration work, which can amount to savings of many thousands of pounds on major projects. Since 2000, churches have only been able to reclaim 12.5% of the VAT on restoration repairs.

"This 'VAT holiday' could also provide a jump for those restoration-fund thermometers we all see outside churches: since the total cost will be reduced by the VAT refund, it could mean the target-sum is also reduced - and reached much earlier", said Mr Brunt.

"Since this year is the 60th anniversary of the end of World War II, the Chancellor has chosen the right moment to extend the VAT exemption to the restoration of memorials", Mr Brunt added.