Mr Balls drew MPs' attention to previous U-turns on changes to the rules governing tax relief on charitable giving, and imposing VAT on static caravan sales and hot takeaway food.
In recent years, areas where the relationship has been strained include the loss of Low Value Consignment Relief, which allowed certain items to be sent to UK VAT-free, the ending of reciprocal health agreements and the clampdown on tax evasion, the latest move being announced in the UK budget.