Asked by: Luke Akehurst (Labour - North Durham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps her Department is taking to ensure small and mid-sized quoted companies (a) invest in and (b) are listed in the UK.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The UK’s capital markets play a key role in delivering on the government’s growth mission. We have already delivered an ambitious set of reforms to make it easier for firms to start, scale, list and stay on UK markets, and capital markets are a core pillar of the Financial Services Growth and Competitiveness Strategy, launched at Mansion House.
The UK is also a hub for growth capital, with UK growth markets providing funding to growing companies from across the world. Over the last 10 years, over half of all capital raised on European growth markets was raised on AIM.
The government maintains a range of targeted tax reliefs for growth market shares, supporting capital raising for listed businesses, and investors in those shares. This supports growth in the broader UK economy.
Asked by: Bobby Dean (Liberal Democrat - Carshalton and Wallington)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she has made an estimate of the (a) cost to HMRC of administering the Loan Charge since 2019 and (b) total amount recovered in that period; and what assessment she has made of the value for money of that policy.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
At Budget 2024, the Government commissioned an independent review of the loan charge to bring the matter to a close for those affected, ensure fairness for all taxpayers and ensure that appropriate support is in place for those subject to the loan charge. The review was led by Ray McCann, a former President of the Chartered Institute of Taxation.
The Government accepted the review’s conclusion that the loan charge was an extraordinary piece of Government policy which necessitated an exceptional response, and is now legislating a new settlement opportunity that will assist those who have not yet settled to do so.
As a result, most individuals could see reductions of at least 50% in their outstanding loan charge liabilities, and an estimated 30% of individuals could have these liabilities written off entirely. To encourage more people to settle, the Government will write off the first £5,000 of liabilities in addition to the proposals put forward by Ray McCann.
HMRC are committed to supporting people through this process and are working hard to give them certainty on their tax positions as quickly as possible. This includes a dedicated service to guide people through the settlement process and provide extra support for those who need it. HMRC can also provide reasonable adjustments to meet an individual’s needs.
Asked by: Bobby Dean (Liberal Democrat - Carshalton and Wallington)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment her Department has made of the potential impact on of the Loan Charge on individuals subject to it; and whether governance mechanisms are in place for people in serious financial and personal distress.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
At Budget 2024, the Government commissioned an independent review of the loan charge to bring the matter to a close for those affected, ensure fairness for all taxpayers and ensure that appropriate support is in place for those subject to the loan charge. The review was led by Ray McCann, a former President of the Chartered Institute of Taxation.
The Government accepted the review’s conclusion that the loan charge was an extraordinary piece of Government policy which necessitated an exceptional response, and is now legislating a new settlement opportunity that will assist those who have not yet settled to do so.
As a result, most individuals could see reductions of at least 50% in their outstanding loan charge liabilities, and an estimated 30% of individuals could have these liabilities written off entirely. To encourage more people to settle, the Government will write off the first £5,000 of liabilities in addition to the proposals put forward by Ray McCann.
HMRC are committed to supporting people through this process and are working hard to give them certainty on their tax positions as quickly as possible. This includes a dedicated service to guide people through the settlement process and provide extra support for those who need it. HMRC can also provide reasonable adjustments to meet an individual’s needs.
Asked by: Bobby Dean (Liberal Democrat - Carshalton and Wallington)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent assessment her Department has made of the effectiveness of the Loan Charge in meeting its intended objectives; and whether she plans to review that policy.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
At Budget 2024, the Government commissioned an independent review of the loan charge to bring the matter to a close for those affected, ensure fairness for all taxpayers and ensure that appropriate support is in place for those subject to the loan charge. The review was led by Ray McCann, a former President of the Chartered Institute of Taxation.
The Government accepted the review’s conclusion that the loan charge was an extraordinary piece of Government policy which necessitated an exceptional response, and is now legislating a new settlement opportunity that will assist those who have not yet settled to do so.
As a result, most individuals could see reductions of at least 50% in their outstanding loan charge liabilities, and an estimated 30% of individuals could have these liabilities written off entirely. To encourage more people to settle, the Government will write off the first £5,000 of liabilities in addition to the proposals put forward by Ray McCann.
HMRC are committed to supporting people through this process and are working hard to give them certainty on their tax positions as quickly as possible. This includes a dedicated service to guide people through the settlement process and provide extra support for those who need it. HMRC can also provide reasonable adjustments to meet an individual’s needs.
Asked by: Kirsty Blackman (Scottish National Party - Aberdeen North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate her Department has made of the likely change to tax receipts due to the (a) move to 'Making Tax Digital' and (b) removal of Wear and Tear tax free allowance for childminders.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
Childminders make a significant contribution to children’s development, learning, and wellbeing. The Government has eased rules on working from schools and community centres and increased early years funding rates above 2023 average fees. These increases reflect increased costs, and from April 2026, local authorities must pass at least 97 per cent of funding to providers.
Only a small proportion of childminders with qualifying income over £50,000 will be mandated into Making Tax Digital (MTD) for income tax from April 2026. Childminders moving to MTD for income tax can continue to claim tax relief for household costs, wear and tear of household items and furniture, and food and drink, by deducting actual business costs. This ensures childminders receive tax relief for all of the costs that they incur in relation to their childminding business.
The Government will monitor the impact of MTD for income tax on childminders and other home-based childcare providers in the same way as it will for all sole traders moving to MTD for income tax.
Asked by: John McDonnell (Labour - Hayes and Harlington)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many ship management companies have qualified for the Tonnage Tax scheme since 1 April 2024 to date.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The data on the number of ship management companies which have qualified for Tonnage Tax scheme since 1 April 2024 to date is not available as the full set of corporation tax returns relating to 2024-25 liabilities are yet to be received and processed. Estimates will be published in the next Tax relief statistics publication, scheduled for January 2027.
Asked by: Mary Glindon (Labour - Newcastle upon Tyne East and Wallsend)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate she has made of the average percentage change in business rates liabilities for small businesses such as bakeries, cafés, hotels and dry cleaners between 2026 and 2029.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The amount of business rates paid on each property is based on the rateable value of the property, assessed by the Valuation Office Agency (VOA), and the multiplier values, which are set by the Government. Rateable values are re-assessed every three years. Revaluations ensure that the rateable values of properties (i.e. the tax base) remain in line with market changes, and that the tax rates adjust to reflect changes in the tax base.
At the Budget, the VOA announced updated property values from the 2026 revaluation. This revaluation is the first since Covid, which has led to significant increases in rateable values for some properties.
To support with bill increases, at the Budget, the Government introduced a support package worth £4.3 billion over the next three years, including to protect ratepayers seeing their bills increase because of the revaluation. As a result, over half of ratepayers will see no bill increases, including 23% seeing their bills go down. Government support also means that most properties seeing increases will see them capped at 15% or less next year, or £800 for the smallest.
The Government is also introducing new permanently lower tax rates for eligible retail, hospitality and leisure (RHL) properties. These new tax rates are worth nearly £1 billion per year and will benefit over 750,000 properties.
More broadly, later this year, the Government will bring forward a new High Streets Strategy to reinvigorate our communities. The Government will work with businesses and representative bodies to pull this Strategy together.
Asked by: Stuart Anderson (Conservative - South Shropshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment has been made of the potential impact of reducing business rates on hospitality venues that use local food chains.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The amount of business rates paid on each property is based on the rateable value of the property, assessed by the Valuation Office Agency (VOA), and the multiplier values, which are set by the Government. Rateable values are re-assessed every three years. Revaluations ensure that the rateable values of properties (i.e. the tax base) remain in line with market changes, and that the tax rates adjust to reflect changes in the tax base.
At the Budget, the VOA announced updated property values from the 2026 revaluation. This revaluation is the first since Covid, which has led to significant increases in rateable values for some properties.
To support with bill increases, at the Budget, the Government introduced a support package worth £4.3 billion over the next three years, including to protect ratepayers seeing their bills increase because of the revaluation. As a result, over half of ratepayers will see no bill increases, including 23% seeing their bills go down. Government support also means that most properties seeing increases will see them capped at 15% or less next year, or £800 for the smallest.
The Government is also introducing new permanently lower tax rates for eligible retail, hospitality and leisure (RHL) properties. These new tax rates are worth nearly £1 billion per year and will benefit over 750,000 properties.
More broadly, later this year, the Government will bring forward a new High Streets Strategy to reinvigorate our communities. The Government will work with businesses and representative bodies to pull this Strategy together.
Asked by: Lee Anderson (Reform UK - Ashfield)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent assessment she has made of the potential impact of the business rates system on hair salon businesses.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The amount of business rates paid on each property is based on the rateable value of the property, assessed by the Valuation Office Agency (VOA), and the multiplier values, which are set by the Government. Rateable values are re-assessed every three years. Revaluations ensure that the rateable values of properties (i.e. the tax base) remain in line with market changes, and that the tax rates adjust to reflect changes in the tax base.
At the Budget, the VOA announced updated property values from the 2026 revaluation. This revaluation is the first since Covid, which has led to significant increases in rateable values for some properties.
To support with bill increases, at the Budget, the Government introduced a support package worth £4.3 billion over the next three years, including to protect ratepayers seeing their bills increase because of the revaluation. As a result, over half of ratepayers will see no bill increases, including 23% seeing their bills go down. Government support also means that most properties seeing increases will see them capped at 15% or less next year, or £800 for the smallest.
The Government is also introducing new permanently lower tax rates for eligible retail, hospitality and leisure (RHL) properties. These new tax rates are worth nearly £1 billion per year and will benefit over 750,000 properties.
More broadly, later this year, the Government will bring forward a new High Streets Strategy to reinvigorate our communities. The Government will work with businesses and representative bodies to pull this Strategy together.
Asked by: Lee Anderson (Reform UK - Ashfield)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of business rates on hospitality businesses in Ashfield constituency.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The amount of business rates paid on each property is based on the rateable value of the property, assessed by the Valuation Office Agency (VOA), and the multiplier values, which are set by the Government. Rateable values are re-assessed every three years. Revaluations ensure that the rateable values of properties (i.e. the tax base) remain in line with market changes, and that the tax rates adjust to reflect changes in the tax base.
At the Budget, the VOA announced updated property values from the 2026 revaluation. This revaluation is the first since Covid, which has led to significant increases in rateable values for some properties.
To support with bill increases, at the Budget, the Government introduced a support package worth £4.3 billion over the next three years, including to protect ratepayers seeing their bills increase because of the revaluation. As a result, over half of ratepayers will see no bill increases, including 23% seeing their bills go down. Government support also means that most properties seeing increases will see them capped at 15% or less next year, or £800 for the smallest.
The Government is also introducing new permanently lower tax rates for eligible retail, hospitality and leisure (RHL) properties. These new tax rates are worth nearly £1 billion per year and will benefit over 750,000 properties.
More broadly, later this year, the Government will bring forward a new High Streets Strategy to reinvigorate our communities. The Government will work with businesses and representative bodies to pull this Strategy together.