Asked by: James Cartlidge (Conservative - South Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to the Government press release entitled UK to deliver on 5% NATO pledge as Government drives greater security for working people, published on 23 June 2025, how much of the announced commitment to spend 1.5 percent of GDP on resilience and security represents new money.
Answered by Darren Jones - Chief Secretary to the Treasury
NATO provides reporting guidelines for the 1.5% defence and security related spending. It will include investments that raise the overall resilience of our societies, such as energy security, telecommunications, and infrastructure, as well as the execution of defence plans, expanding industrial capacity and innovation and counter hybrid actions.
Our National Security Strategy confirms our belief that these types of investment are vital to national security and we are pleased that this is now recognised by NATO. As set out in the Spending Review 2025, this government is making significant investment into these areas and we are confident we will meet the 1.5% target on defence and security related spending.
Along with all other NATO allies, the UK will report against the new categories of defence spending at the next NATO reporting deadline.
Asked by: James Cartlidge (Conservative - South Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to page 45, clause 15, of the National Security Document 2025: Security for the British people in a dangerous world, whether the announced 2.6 percent of defence spending from 2027 will include any expenditure on resilience and security.
Answered by Darren Jones - Chief Secretary to the Treasury
The National Security Strategy 2025 was published on 24 June 2025. It confirms that by combining an increase in funding with recognition of the vital contribution the Single Intelligence Account plays to our national defence, the UK will spend 2.6% on NATO qualifying defence spending from 2027. This 2.6% will be considered core defence spending.
Asked by: James Cartlidge (Conservative - South Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to page 45, clause 15, of the National Security Document 2025: Security for the British people in a dangerous world, whether the announced 2.6 per cent of defence spending from 2027 will be classified as core defence spending.
Answered by Darren Jones - Chief Secretary to the Treasury
The National Security Strategy 2025 was published on 24 June 2025. It confirms that by combining an increase in funding with recognition of the vital contribution the Single Intelligence Account plays to our national defence, the UK will spend 2.6% on NATO qualifying defence spending from 2027. This will be classified as core spending.
Asked by: James Cartlidge (Conservative - South Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to the Government press release entitled UK to deliver on 5% NATO pledge as Government drives greater security for working people, published on 23 June 2025, how much of the 4.1 percent of GDP spent in 2027 will be classified as core defence spending.
Answered by Darren Jones - Chief Secretary to the Treasury
This government is confident that it will spend at least 4.1% GDP on NATO qualifying defence and security related spend in 2027. This will comprise 2.6% core defence spend which we have already announced, and at least 1.5% on defence and security related spending.
Asked by: Bell Ribeiro-Addy (Labour - Clapham and Brixton Hill)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what discussions she has had with her Welsh counterpart on the universal basic income pilot scheme in that country.
Answered by Darren Jones - Chief Secretary to the Treasury
The Chancellor regularly meets with the Welsh First Minister. During their last engagement, the issue of universal basic income was not discussed.
Asked by: Lord Wigley (Plaid Cymru - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government how much of the increased defence expenditure being invested in Scotland referred to by the Chancellor of the Exchequer in her spending review Statement on 11 June (HC Deb col 978) will be spent in Scotland in each of the next three financial years.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
The recently published Strategic Defence Review set out a new vision for defence. The Spending Review 2025 sees the Ministry of Defence (MOD) budget grow by £10.9bn in real terms from 2023-24 to 2028-29, allowing the Defence Secretary to start delivering on this new vision. The Defence Secretary will set out the detailed articulation of the new defence programme in the Defence Investment Plan later in the year which will include details of the programme and where we expect money to be spent, which will include programmes in Scotland. This includes an initial investment of £250 million over the next three years to begin the multi-decade multi-billion-pound redevelopment of HM Naval Base Clyde through the ‘Clyde 2070’ programme.
Asked by: James Cartlidge (Conservative - South Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to page 45, clause 15, of the National Security Document 2025: Security for the British people in a dangerous world, if she will list (a) all government departments that will be included in the commitment to spend 2.6 percent of GDP on defence expenditure from 2027 and (b) the financial quantum in each case.
Answered by Darren Jones - Chief Secretary to the Treasury
The National Security Strategy 2025 was published on 24 June 2025. It confirms that by combining an increase in funding with recognition of the vital contribution the Single Intelligence Account plays to our national defence, the UK will spend 2.6% on NATO qualifying defence spending from 2027.The inclusion of departmental spending that falls under NATO qualifying defence spending definitions will continue to be periodically reviewed in line with NATO guidance.
Asked by: Grahame Morris (Labour - Easington)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment her Department has made of the potential impact of the proposed changes to Agricultural Property Relief and Business Property Relief on levels of food production.
Answered by James Murray - Exchequer Secretary (HM Treasury)
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, and fixing the public finances. 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.
The reforms are expected to result in up to 520 estates claiming agricultural property relief, including those also claiming business property relief, paying more inheritance tax in 2026-27. Almost three-quarters of estates claiming agricultural property relief, including those that also claim for business property relief, will not pay any more tax as a result of the changes in 2026-27, based on the latest available data.
The Government will invest more than £2.7 billion a year in sustainable farming and nature recovery in England from 2026-27 until 2028-29. This will boost productivity and protect the natural ecosystems underpinning food production and broader economic activity, which will support food and economic security.
Asked by: Lola McEvoy (Labour - Darlington)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment of the potential merits of using Darlington as a pilot case study for the place based reforms to the Green Book.
Answered by Darren Jones - Chief Secretary to the Treasury
Following the Green Book Review 2025, the government has committed to introducing place-based business cases. These will help to identify the right combination of long-term interventions needed to unlock growth in a particular area. The government will set out further details on place-based business cases in due course.
Asked by: Angus MacDonald (Liberal Democrat - Inverness, Skye and West Ross-shire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent assessment her Department has made of the potential impact of the cost of living on households in Inverness, Skye and West Ross-shire constituency.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Government is taking a comprehensive approach in response to increasing costs: supporting those in immediate need while addressing the structural changes necessary to fix the country's foundations. The Plan for Change outlines key milestones, including raising living standards in every part of the United Kingdom to put more money back in people’s pockets. In the latest data, living standards (as measured by real household disposable income per capita) are already growing at their fastest quarterly rate in two years.
The Government has set out the next steps in delivering our approach for regional growth, spreading growth across the country through investment and reform. This will benefit people across the country, including in the Inverness, Skye and West Ross-shire constituency.