HM Treasury is the government’s economic and finance ministry, maintaining control over public spending, setting the direction of the UK’s economic policy and working to achieve strong and sustainable economic growth.
This inquiry will examine quantitative tightening, including its impact on the economy and its fiscal costs. It will also investigate …
Oral Answers to Questions is a regularly scheduled appearance where the Secretary of State and junior minister will answer at the Dispatch Box questions from backbench MPs
Other Commons Chamber appearances can be:Westminster Hall debates are performed in response to backbench MPs or e-petitions asking for a Minister to address a detailed issue
Written Statements are made when a current event is not sufficiently significant to require an Oral Statement, but the House is required to be informed.
HM Treasury does not have Bills currently before Parliament
A Bill to Authorise the use of resources for the year ending with 31 March 2026; to authorise both the issue of sums out of the Consolidated Fund and the application of income for that year; and to appropriate the supply authorised for that year by this Act and by the Supply and Appropriation (Anticipation and Adjustments) Act 2025.
This Bill received Royal Assent on 21st July 2025 and was enacted into law.
A Bill to make provision about secondary Class 1 contributions.
This Bill received Royal Assent on 3rd April 2025 and was enacted into law.
A Bill to make provision about finance.
This Bill received Royal Assent on 20th March 2025 and was enacted into law.
A Bill to amend the Crown Estate Act 1961.
This Bill received Royal Assent on 11th March 2025 and was enacted into law.
A Bill to Authorise the use of resources for the years ending with 31 March 2024, 31 March 2025 and 31 March 2026; to authorise the issue of sums out of the Consolidated Fund for those years; and to appropriate the supply authorised by this Act for the years ending with 31 March 2024 and 31 March 2025.
This Bill received Royal Assent on 11th March 2025 and was enacted into law.
A Bill to make provision for loans or other financial assistance to be provided to, or for the benefit of, the government of Ukraine.
This Bill received Royal Assent on 16th January 2025 and was enacted into law.
A Bill to impose duties on the Treasury and the Office for Budget Responsibility in respect of the announcement of fiscally significant measures.
This Bill received Royal Assent on 10th September 2024 and was enacted into law.
A Bill to authorise the use of resources for the year ending with 31 March 2025; to authorise both the issue of sums out of the Consolidated Fund and the application of income for that year; and to appropriate the supply authorised for that year by this Act and by the Supply and Appropriation (Anticipation and Adjustments) Act 2024.
This Bill received Royal Assent on 30th July 2024 and was enacted into law.
e-Petitions are administered by Parliament and allow members of the public to express support for a particular issue.
If an e-petition reaches 10,000 signatures the Government will issue a written response.
If an e-petition reaches 100,000 signatures the petition becomes eligible for a Parliamentary debate (usually Monday 4.30pm in Westminster Hall).
Raise the income tax personal allowance from £12,570 to £20,000
Gov Responded - 20 Feb 2025 Debated on - 12 May 2025Raise the income tax personal allowance from £12570 to £20000. We think this would help low earners to get off benefits and allow pensioners a decent income.
Don't change inheritance tax relief for working farms
Gov Responded - 5 Dec 2024 Debated on - 10 Feb 2025We think that changing inheritance tax relief for agricultural land will devastate farms nationwide, forcing families to sell land and assets just to stay on their property. We urge the government to keep the current exemptions for working farms.
Don't apply VAT to independent school fees, or remove business rates relief.
Gov Responded - 20 Dec 2024 Debated on - 3 Mar 2025Prevent independent schools from having to pay VAT on fees and incurring business rates as a result of new legislation.
Commons Select Committees are a formally established cross-party group of backbench MPs tasked with holding a Government department to account.
At any time there will be number of ongoing investigations into the work of the Department, or issues which fall within the oversight of the Department. Witnesses can be summoned from within the Government and outside to assist in these inquiries.
Select Committee findings are reported to the Commons, printed, and published on the Parliament website. The government then usually has 60 days to reply to the committee's recommendations.
The Child Poverty Action Group estimate the cost to the country at £40bn per year, which is one of the reasons why the government is removing the two-child limit and lifting 550,000 children out of poverty in the final year of this Parliament.
The Office for National Statistics does not publish this data.
The Valuation Office Agency (VOA) publish Council Tax statistics on gov.uk.
From 1 April 2026, around 2.7m low-paid workers are expected to benefit from the uplifts to the National Living Wage and National Minimum Wage.
This Government is committed to using procurement strategically to drive growth across the United Kingdom, as set out in the National Procurement Policy Statement published in February.
At Budget the Chancellor went further, announcing that we will reform our approach to procurement so that it can actively shape markets and manage demand in the national interest. The Government has consulted on reforms to public procurement and impact assessments will be undertaken as required.
The OBR’s November 2025 Economic and Fiscal Outlook is a detailed document, and plays a key role in our robust and transparent fiscal framework.
The report shows that growth is up this year, that living standards are up over the Parliament, and that we are getting borrowing and debt down.
We recognise the importance of the right to appeal, and the Government will consult on the details of this in the new year.
The Valuation Office Agency are developing their approach to the targeted revaluation and will set out more details in due course, following the outcome of the Government's consultation.
In general, when valuing domestic properties, the VOA uses modern technology and industry standard techniques combined with freely available information including sales data, property attribute details and government records.
There were no changes to UK Government DEL budgets as a result of the High Value Council Tax Surcharge so this policy did not result in Barnett consequentials.
There were no new Child Benefit compliance enquiries opened using Home Office international travel data in the period 1st to 30th November 2025. This is because our focus during that time was on reviewing the c. 23,500 already opened.
The Government made fair and necessary decisions on tax, welfare, and spending to help fix the public finances and fund public services.
The Government of course carefully considers the impacts of all policies, including the changes to employer National Insurance.
An assessment of the changes announced at Autumn Budget 2024 on Employer National Insurance Contributions was published by HMRC in their Tax Information and Impact Note
Further, the OBR’s October 2024 Economic and Fiscal Outlook sets out the expected macroeconomic impact of the changes to employer National Insurance contributions.
Energy bills are too high. The previous Government left Britain dependent on the roller coaster of gas prices and left families paying around £1.7 billion on their bills for their failed energy efficiency ‘ECO’ scheme
This is why we are scrapping ECO and taking some of the expensive legacy levies off bills – saving households an average £150 from April.
Energy bills are too high. The previous Government left Britain dependent on the roller coaster of gas prices and left families paying around £1.7 billion on their bills for their failed energy efficiency ‘ECO’ scheme
This is why we are scrapping ECO and taking some of the expensive legacy levies off bills – saving households an average £150 from April.
The previous Government made the decision to maintain income tax thresholds at their current levels from April 2021 until April 2028
As agreed between the UK and Welsh Governments, under the existing fiscal framework, the Welsh Government is responsible for 10p in income tax rates, whilst income tax thresholds in Wales remain reserved to the UK Government.
The UK Government has regular discussions with the Welsh Government on their fiscal framework, including the impact of UK Government tax policy changes.
Police core spending power refers to the projected total police settlement funding for Counter Terrorism Police and Territorial Police. The Spending Review (SR) Phase 2 settlement projected an average 1.7% real terms increase per year in police spending power. Over the SR period, police spending power is projected to increase by an average 2.3% per year in real terms.
Police core spending power includes projected spending from additional income, including estimated funding from the police council tax precept. The final police precept level and core government funding will be set out in the annual police funding settlement in the usual way.
Redactions to documents shared in confidence are made for reasons of market sensitivity. The full Budget documentation and the Chancellor’s speech are shared with all MPs as soon as the Chancellor finishes delivering the Budget speech.
Redactions to documents shared in confidence are made for reasons of market sensitivity. The full Budget documentation and the Chancellor’s speech are shared with all MPs as soon as the Chancellor finishes delivering the Budget speech.
As announced at Autumn Budget 2025 there will be a 10% increase to annual and cumulative capital borrowing limits and the Wales Reserve overall and annual drawdown limits in 2026-27 which will increase the real value of the Welsh Government’s budget management tools.
At Budget 2025, the Chancellor announced that the relief from Capital Gains Tax available on qualifying disposals to Employee Ownership Trusts will be reduced from 100% to 50%. This will retain a strong incentive for employee ownership, whilst ensuring that business owners pay their fair share of tax. The relief remains more generous than alternative reliefs that individuals might use when disposing of their companies, such as Business Asset Disposal Relief.
An assessment of the impacts can be found in the Tax and Information Note for this measure, here: Capital Gains Tax — Employee Ownership Trusts - GOV.UK
The table below shows the number of P85 forms submitted to HMRC electronically from May 2025 to September 2025.
Month | P85 iForms |
May 2025 | 4,500 |
June 2025 | 4,500 |
July 2025 | 4,900 |
August 2025 | 5,200 |
September 2025 | 6,300 |
Figures rounded to 100
The Government publishes annual statistics on HMRC’s taxable benefits in kind for company cars and company car fuel. These reports document the number of benefit in kind recipients, the CO2 emissions of company cars and their total taxable value. The latest statistics for the tax year 2023-24 were published in June 2025, and are accessible here:
https://www.gov.uk/government/statistics/benefits-in-kind-statistics-june-2025/benefit-in-kind-statistics-commentary-june-2025(opens in a new tab)
The Government annually reviews the rates and thresholds of taxes and reliefs to ensure that they are appropriate and reflect the current state of the economy. The Chancellor makes decisions on tax policy at fiscal events in the context of the public finances.
The government keeps all tax under review as part of the policy making process.
The government is bearing down on business energy prices by reducing Great Britain’s reliance on volatile international gas prices, and through a new framework to scrutinise energy levies, ensuring they are affordable and value-for-money.
The Government recognises that legacy IT infrastructure can present challenges for UK banks as they seek to adopt new financial technology and Artificial Intelligence (AI) systems.
However, the Government believes that safe adoption of AI by the financial services sector is a major strategic opportunity, with potential to power growth across the UK. The Government and regulators are taking a ‘pro-innovation’ approach to AI regulation across the economy and in financial services.
The Government is focused on ensuring that the UK’s policy and regulatory environment is fit for purpose to seize the opportunity of our dual strengths in financial services and AI, and positioning the UK as a world leader in the safe adoption of AI in financial services.
The Financial Services Growth and Competitiveness Strategy is an important part of that effort, with the appointment of an AI Champion intended to act as a catalyst for AI adoption and innovation in financial services.
The Government continually monitors the UK economy and is bearing down on business energy prices by reducing Great Britain’s reliance on volatile international gas prices, and through a new framework to scrutinise energy levies, ensuring they are affordable and value-for-money.
We know that behind taxation, energy prices are the most cited barrier to growth by SMEs (50%). The Government has a variety of schemes, already in place or due to be launched soon, that either directly support businesses by reducing energy costs or support them to reduce costs by making energy efficiencies and decarbonising. Examples include:
The UK Global Tariff is tailored to the UK economy, and has been designed to balance the interests of consumers and producers, and our wider strategic trade objectives. As with all policy, the Government welcomes feedback and monitors these requests closely.
As announced at Budget 2025, the Government is introducing Electric Vehicle Excise Duty (eVED) from April 2028. The rate of eVED for EVs will be half of the equivalent fuel duty rate paid by the average petrol/diesel driver, ensuring that EVs are cheaper to own and run for the majority of EV drivers.
As set out by the OBR, the estimated net impact of eVED and other Budget measures, including the ECG and ECS, is 120,000 fewer new EV sales across the forecast period. This is against a baseline which assumes EV sales more than triple from 2025-26 levels by 2030-31, which means the net impact of eVED represents only 2% of total new EV sales in the period.
The Government has set out expected impacts from eVED and other Budget measures in the Budget 2025 Policy Costings document at GOV.UK: https://assets.publishing.service.gov.uk/media/692872fd2a37784b16ecf676/Budget_2025-Policy_Costings.pdf
The measure does not reduce Council Tax receipts. Summary of the costing is published here: https://assets.publishing.service.gov.uk/media/692872fd2a37784b16ecf676/Budget_2025-Policy_Costings.pdf
The precise design and scope of the power for Mayors to introduce a visitor levy if they so choose is still under development.
The Government has published a consultation running until 18 February 2026, so that the public, businesses, and local government can shape the design of the power to introduce a levy that will be devolved to local leaders.
The impacts of the levy, including how much it will raise, will largely be determined by local decisions. Mayors will decide whether to introduce a levy and, if so, consult on specific proposals. We expect Mayors to engage constructively with businesses and their communities to hear their concerns. This will inform their decisions regarding whether and how a levy will be applied and how any revenue is raised. Giving this power to local leaders who best understand their region enables them to tailor it to growing their local economies.
HMRC does not hold data on all income sources of all individuals that have left the UK, and incomes of individuals vary each year. Individuals who have chosen to leave the UK may still be liable to pay tax in the UK.
HMRC published analysis on Income Tax Liabilities and Statistics annually. Income Tax statistics and distributions - GOV.UK
The precise design and scope of a devolved power for Mayors to introduce an overnight visitor levy if they so choose is under development. The Government has published a consultation running until 18 February 2026, so that the public, businesses, and local government can inform and help shape the design of the devolved power.
A Tax Information and Impact Note (TIIN) has not been published. TIINs usually accompany legislation for tax measures administered by central government.
The impacts of the levy will largely be determined by local decisions. Mayors will decide whether to introduce a levy and, if so, consult on specific proposals.
Following consultation, we expect Mayors would publish a summary of the consultation results and their response, including a final prospectus, and an impact assessment, informed by the consultation.
We are set to spend 2.6 percent of GDP on defence spending in 2027, with an ambition to spend 3 percent of GDP on defence next Parliament when economic and fiscal conditions allow.
We are set to spend 2.6 percent of GDP on defence spending in 2027, with an ambition to spend 3 percent of GDP on defence next Parliament when economic and fiscal conditions allow.
Public sector pay is a devolved responsibility. This means it is for the devolved governments to decide how to allocate the funding they receive across their areas of responsibility, including public sector pay.
Public sector pay is a devolved responsibility. This means it is for the devolved governments to decide how to allocate the funding they receive across their areas of responsibility, including public sector pay.
As a result of decisions at Budget 2025, the Welsh Government will receive an additional £320 million RDEL and £185m CDEL through the operation of the Barnett formula on top of the record settlement provided at Spending Review 2025. This means that the Welsh Government’s settlement continues to grow in real terms between 2024-25 and 2028-29.
The Welsh Government are free to allocate Barnett consequentials as they see fit across their devolved priorities
Where policy changes will take effect in years beyond the existing Spending Review 2025 period, the Barnett formula will apply when departmental budgets change at the next Spending Review.
As a result of decisions at Budget 2025, the Welsh Government will receive an additional £320 million RDEL and £185m CDEL through the operation of the Barnett formula on top of the record settlement provided at Spending Review 2025. This means that the Welsh Government’s settlement continues to grow in real terms between 2024-25 and 2028-29.
The Welsh Government are free to allocate Barnett consequentials as they see fit across their devolved priorities
Where policy changes will take effect in years beyond the existing Spending Review 2025 period, the Barnett formula will apply when departmental budgets change at the next Spending Review.
As a result of decisions at Budget 2025, the Welsh Government will receive an additional £320 million RDEL and £185m CDEL through the operation of the Barnett formula on top of the record settlement provided at Spending Review 2025. This means that the Welsh Government’s settlement continues to grow in real terms between 2024-25 and 2028-29.
The Welsh Government are free to allocate Barnett consequentials as they see fit across their devolved priorities
Where policy changes will take effect in years beyond the existing Spending Review 2025 period, the Barnett formula will apply when departmental budgets change at the next Spending Review.
As a result of decisions at Budget 2025, the Welsh Government will receive an additional £320 million RDEL and £185m CDEL through the operation of the Barnett formula on top of the record settlement provided at Spending Review 2025. This means that the Welsh Government’s settlement continues to grow in real terms between 2024-25 and 2028-29.
The Welsh Government are free to allocate Barnett consequentials as they see fit across their devolved priorities
Where policy changes will take effect in years beyond the existing Spending Review 2025 period, the Barnett formula will apply when departmental budgets change at the next Spending Review.
HM Treasury and Northern Ireland Executive Ministers have regular discussions.
The Northern Ireland Executive’s Interim Fiscal Framework published in May 2024 stated that a full Fiscal Framework would consider the principles of fiscal devolution.
The scope and scale of the full Fiscal Framework will be subject to agreement between the UK Government and the Northern Ireland Executive.
HM Treasury and Northern Ireland Executive Ministers have regular discussions.
The Northern Ireland Executive’s Interim Fiscal Framework published in May 2024 stated that a full Fiscal Framework would consider the principles of fiscal devolution.
The scope and scale of the full Fiscal Framework will be subject to agreement between the UK Government and the Northern Ireland Executive.
We need to address the UK’s borrowing and debt, so we spend less on debt interest and more on the priorities of working people.
The government has a credible consolidation plan that ensures borrowing is falling in every year of the forecast. Borrowing this year is set to be the lowest for 6 years.
The government is reducing borrowing while protecting investment, and is maintaining an increase of over £120 billion departmental capital spending over the Parliament.
From 2025 to 2030, the UK is reducing government borrowing more than any other G7 country.
The costs of the Trader Support Service by financial year are set out below.
Financial Year | Costs |
2022/23 | £114.68m |
2023/24 | £105.19m |
2024/25 | £88.15m |
In 2024, the TSS had a customer satisfaction score of 89%. Traders score on information, ease of use, whether they would recommend the service and overall satisfaction. This feedback is used to make improvements to the TSS portal, communications and education materials.
The Government believes its reforms to agricultural property relief and business property relief from 6 April 2026 get the balance right between supporting farms and businesses, fixing the public finances, and funding public services. The reforms reduce the inheritance tax advantages available to owners of agricultural and business assets, but still mean those assets will be taxed at a much lower effective rate than most other assets. Despite a tough fiscal context, the Government will maintain very significant levels of relief from inheritance tax beyond what is available to others and compared to the position before 1992. Where inheritance tax is due, those liable for a charge can pay any liability on the relevant assets over 10 annual instalments, interest-free.
As announced at the Budget in November 2025, any unused £1 million allowance for the 100% rate of agricultural property relief and business property relief will be transferable between spouses and civil partners, including if the first death was before 6 April 2026.
The Government encourages anyone who is concerned about their own mental health, or the mental health of those around them, to seek support. The Government takes mental health support for farmers very seriously. For example, the Department for Environment, Food & Rural Affairs supports farming welfare organisations through funding the Farmer Welfare Grant. The fund, which supports projects in England, is designed to offer tailored support to farmers and their families as well as prevent further cases of poor mental health by helping to build resilience within farming communities.
The Government set out its overall approach for supporting SMEs in the Small Business Strategy published in July 2025 and built on this with targeted reforms to support small businesses at the Budget in November 2025.
Through our changes to Employer National Insurance Contributions, the threshold at which business start paying Employer NICs has doubled to £10,500.
We are providing support for small businesses in a number of other areas. We are introducing the toughest late payment laws in the G7. We are changing the rules to fully fund SME apprenticeships training costs for eligible people under the age of 25, providing the skills that both workers and businesses need. Through the new Business Growth Service, small businesses will be able to access support with skills training, recruitment, or accessing Start Up Loans and Export Finance.
The Government monitors systemic risks to UK critical national infrastructure, including resilience measures and contingency planning, including cloud providers. The Government recognises the importance of robust protections for the services essential to our society and economy. That is why we introduced the Cyber Security and Resilience Bill on 12 November. The Bill will make sure more types of essential and digital services adhere to robust cyber security practices.