Loan Charge 2019: Sir Amyas Morse Review

Anthony Mangnall Excerpts

Thursday 19th March 2020 Commons Chamber

[Paul Holmes (Eastleigh) (Con)]

I congratulate my right hon. Friend the Member for Haltemprice and Howden (Mr Davis) on securing the debate, and all Members who are members of the all-party parliamentary group for being here today. Having been in this Chamber for only four months, I am not as experienced as others in complicated tax arrangements, but, very quickly during my election campaign and during my surgeries, this issue has proven to be a huge worry for the many of my hard-working and honest constituents who run small businesses. For me, thankfully, this is not a debate that revolves around complicated tax issues. It is a debate that revolves around fairness and proportionality, and I think the Government have got that drastically wrong. That is where the Morse review has not gone far enough.

Like my hon. Friend the Member for South Basildon and East Thurrock (Stephen Metcalfe), I believe that everyone in our country must pay the taxes they owe—individuals, businesses, everybody. That is how a responsible society works. But the people this affects are not tax avoiders, so I have some concerns on behalf of my constituents about some aspects of the Government’s approach. I believe that it is my duty as a constituency MP to bring them up with Ministers.

Many constituents have come to see me at the surgery and have told me the severe pressure that this has put them under; the pressure of making payments and possible insolvency has, in some cases, caused the breakdown of marriages, physical exhaustion, and suicidal thoughts through no fault of their own whatsoever. I am also aware from my constituents that many of those who used some form of disguised remuneration scheme did so at the behest of financial professionals they had hired to advise them. Some were told that these schemes were HMRC compliant. Others were not even told that these schemes were tax avoidance and thought that they were normal procedure.

I want briefly to ask the Minister to consider the following points. Of course, any shortening of the time for which people affected are liable for these payments is welcome, but even after 10 years the payments over three years are too regimented and draconian. What thoughts has the Minister had about lengthening the terms? It is simply not fair of HMRC to impose the retrospectivity that follows from this review. As I have said, many people were advised by financial advisers and are now being penalised because of the late realisation and intransigence of HMRC. Does the Minister accept that that should not be a portent for any decision making on policy in this area? What steps is he taking to share the cost burden with the financial advisers who recommended these schemes? They are getting away scot-free.

Lastly, I want to raise the subject of HMRC. Even in normal times, it is not the most transparent Government Department, or the easiest to deal with; it is not known for its empathy or human nature. I really hope that the Government do not continue down this path, but if they do, it is vital that a bespoke, compassionate team be set up solely to deal with the vulnerable people in our constituencies who are affected by this issue.

[Anthony Mangnall (Totnes) (Con)]

That is a gross understatement of HMRC’s lack of compassion. If we are to move forward, HMRC must give individuals who have suffered as a result of the loan charge situation certainty that there will be finality in the way the issue is dealt with.

[Paul Holmes]

My hon. Friend is absolutely correct. His point backs up mine. Any team that the Treasury sets up—and there should be one—to deal with people affected by the issue should treat them as people, not as numbers, which is unfortunately how HMRC has a track record of treating them.

Oral Answers to Questions

Anthony Mangnall Excerpts

Tuesday 11th February 2020 Commons Chamber

[Mr Clarke]

We are consulting on the option of accelerating the phasing out of petrol and diesel cars, because the average lifespan of a vehicle is around 14 years, and if we are to hit our net zero targets by 2050, we need to be sensitive to that. I can reassure the right hon. Gentleman that we are listening carefully to the industry on this issue. Just last week, I met the Society of Motor Manufacturers and Traders for a productive conversation on how we can do this in a way that supports the sector.

[Anthony Mangnall (Totnes) (Con)]

5. What fiscal steps he is taking to help small businesses.

[Sir David Evennett (Bexleyheath and Crayford) (Con)]

9. What fiscal steps he is taking to help small businesses.

[The Economic Secretary to the Treasury (John Glen)]

The UK’s 5.8 million small businesses play a vital role in our economy. We have lowered corporation tax from 28% in 2010 to 19%. We have introduced the employment allowance, to reduce employers’ national insurance contributions bill by £3,000 every year, and we have reduced the business rates burden, so that more than 675,000 of the smallest businesses pay no rates at all.

[Anthony Mangnall]

Last week, Members from across the House came together to celebrate our beers, breweries and pubs. Will the Chancellor and his team raise a glass to our pubs and breweries and lower the duty on those institutions?

[John Glen]

The Treasury team love pubs, and we recognise the importance of pubs to the economy and to community life up and down this country; they provide a place to socialise and drink responsibly. That is why we have frozen the duty over six of the last seven years, which means that a pint of beer is 14p cheaper than it would have been otherwise, and we are now at a 30-year low in real terms.

Beer and Pub Taxation

Anthony Mangnall Excerpts

Wednesday 5th February 2020 Westminster Hall

[Anthony Mangnall (Totnes) (Con)]

It is a pleasure to serve under your chairmanship, Mr Gray. I thank my hon. Friend the Member for Dudley South (Mike Wood) for securing this debate. If he is successful in his mission, this will surely be the last time we see him sober. In my constituency and across the country he will be welcome in taverns and pubs. I want to make four brief points, but first I should like to welcome the Government’s decision to reduce business rates for pubs across this country, and I also welcome the further rate review mentioned by the Chancellor and Chief Secretary. It is welcome news indeed.

To add to the remarks made by my hon. Friend the Member for Clacton (Giles Watling), the essence of a pub makes it community-orientated. When I think about the pub, I think about community ownership through organisations such as the Pub is the Hub, which provides services such as libraries. I think of the integral value that it has for rural and urban communities. It is important to remember that urban communities play a significant part in the role of the pub.

I want to touch on the economic aspect. We know that when we reduce the tax revenues on beer duty we can get more people into pubs and see revenue rise. Perhaps Members will cast their minds back to the 1600s and the introduction of tea and coffee into this country. The high prices drove people out of the coffee shops and into the pubs and taverns, and I would like to see that again. I am sure many Members will agree.

On the essence of localisation, every Member in this House embraces having a strong local community and a vibrant local economy, and pubs are at the heart of that. Perhaps we can encourage further business and attach new businesses to our pubs. We have an opportunity to do so. The history and culture of our pubs goes back to the Romans. I am sure my right hon. Friend the Member for North East Somerset (Mr Rees-Mogg) could do the Latin; if only I could, but I am afraid I shall disappoint colleagues.

I want to mention three pubs in my constituency. The Queens Arms in Brixham has recently fund-raised to put a defibrillator outside its own building as a service to the local community. The second is the Avon Inn, which has recently branched out to help host local community groups. The third is the New Inn in Moreleigh, which has been there since the 1700s and is family-run. Those are all embodiments of community spirit. They are localised and drive the local economy.

Special Educational Needs and Disability Funding

Anthony Mangnall Excerpts

Wednesday 29th January 2020 Westminster Hall

[Anthony Mangnall (Totnes) (Con)]

It is a pleasure to serve under your chairmanship, Mr Pritchard. I hope that Members will forgive me if I speak for slightly less than the allotted time, but that is because Members before me have said a great deal of what I believe, and I understand the passion and feeling about the issue. I thank the hon. Member for Twickenham (Munira Wilson) for securing the debate. She has set the bar very high for the new intake of MPs. I suspect that my hon. Friends the Members for Ipswich (Tom Hunt) and for Carshalton and Wallington (Elliot Colburn) and I will all pay great attention to her career, and to how we can match her skills.

My hon. Friends the Members for North Devon (Selaine Saxby) and for East Devon (Simon Jupp) have asked me to say some words on this topic. Given that across Devon we have 6,500 young children in EHCPs, 794 of whom are looked after, with 94,000 pupils and 369 schools, the issue is hugely impactful and it is necessary that we address it. I welcome the Government’s actions over the past few years, including the recent £780 million; the 2014 reforms to extend eligibility for support for 16 to 25-year-olds; delivering a further 50,000 teaching assistants; and, as has been mentioned, the further commitment to £31.6 million to train more than 600 educational psychologists. That is welcome news and should be applauded.

However, I am not here to be a mouthpiece for the Government. Although I recognise their successes, there is more work to be done. For all the positive action that has been taken over the past few years, there have also been some serious negative impacts. Within my constituency of Totnes there is undoubtedly a considerable challenge for the local authorities that have to subsidise the dedicated schools grant high needs block. The continued demand for EHCPs, as my hon. Friend the Member for Cheltenham (Alex Chalk) mentioned, obviously takes up a huge amount of time, and it is difficult to get through them. That difficulty is also reflected in school transport and how that can be taken on by local authorities.

In my efforts to be brief, I shall put a few questions to the Minister. What action will the Government take to ensure that schools receive further funding for SEND children in future? Will they recognise the requirement of mixed provision and the benefit of it? Do they understand that mainstream settings can often be as beneficial as those in special schools? Lastly, does the Minister agree that providing long-term support allows for improved school budgeting and consideration for how to effectively provide for SEND children?

I have one last point about the families of those who travel abroad in the service of a Government Department and who then return and have to reapply through the EHCP programme, which is incredibly difficult. Will the Government look at how those who serve this country abroad with their families can go forward in that process when they return?

[Several hon. Members rose—]

Oral Answers to Questions

Anthony Mangnall Excerpts

Tuesday 7th January 2020 Commons Chamber

[Mr Clarke]

The whole United Kingdom needs to work together to make sure that we deliver on our climate goals. We clearly need a diverse energy mix to help to deliver on that, and nuclear has a clear role to play within that settlement. We are very clear that we obviously monitor all projects to make sure they deliver maximum value for money, but we do need some baseload power.

[Anthony Mangnall (Totnes) (Con)]

T1. If he will make a statement on his departmental responsibilities.

[The Chancellor of the Exchequer (Sajid Javid)]

The year 2020 marks the end of a decade of economic recovery—10 years of uninterrupted growth, which is only the third time this has been achieved since 1700. At the election, I warned of a double whammy of uncertainty that risked the economy: continued Brexit delay and an agenda from the Labour party that would bankrupt our economy. We have removed those uncertainties and the markets have welcomed that. Now, since the election, I have appointed an excellent new Governor of the Bank of England, I have confirmed the national living wage will rise by 6.2% in April and I can confirm that I will bring the Budget to this House on 11 March. This Government will lay the foundations for a decade of economic renewal for every corner of our great country.

[Anthony Mangnall]

I welcome my right hon. Friend the Chancellor’s having further reduced business rates for small and medium-sized enterprises in rural areas. However, for businesses that do not fall within the rate relief levels, such as South Brent village shop in my constituency, will he work with me to see those rates reduced and review all business rates?

[Sajid Javid]

I welcome my hon. Friend to his place. He is absolutely right about the importance of business rates, which are a real burden, particularly on smaller community and village shops. That is why we have made our exemption for the smallest businesses—some 675,000 businesses—permanent, and we have a rural and retail discount scheme. He will also know that in our manifesto we committed to a fundamental review of our business rates schemes. I look forward to working with him and hearing his ideas.