Asked by: Andrew Bridgen (Independent - North West Leicestershire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will make an estimate of the total tax revenue lost due to the smuggling of (a) alcohol and (b) tobacco since 2010.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
HMRC does not estimate the tax gap due to the smuggling of alcohol and tobacco.
Asked by: Jim Shannon (Democratic Unionist Party - Strangford)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will have discussions with the Secretary of State for Education on the potential merits of increasing funding through the Barnett formula to assist schools in Northern Ireland with the cost of heating and electricity.
Answered by Laura Trott - Chief Secretary to the Treasury
In the 2024 Northern Ireland Executive restoration financial package worth over £3.3 billion, the UK Government has committed to implement a 24% needs-based factor into the Barnett formula for the Northern Ireland Executive from 2024-25 onwards.
Funding provided to the Northern Ireland Executive through the Barnett formula is not ringfenced. This provides the Executive with the flexibility to allocate resources in devolved areas as they see fit and assign funding in response to their priorities.
The UK Government has no plans to replace the Barnett Formula
Asked by: Jim Shannon (Democratic Unionist Party - Strangford)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the potential merits of restructuring the Barnett Formula for education.
Answered by Laura Trott - Chief Secretary to the Treasury
In the 2024 Northern Ireland Executive restoration financial package worth over £3.3 billion, the UK Government has committed to implement a 24% needs-based factor into the Barnett formula for the Northern Ireland Executive from 2024-25 onwards.
Funding provided to the Northern Ireland Executive through the Barnett formula is not ringfenced. This provides the Executive with the flexibility to allocate resources in devolved areas as they see fit and assign funding in response to their priorities.
The UK Government has no plans to replace the Barnett Formula
Asked by: Christian Wakeford (Labour - Bury South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will take steps with Cabinet colleagues to increase public sector pay in line with inflation.
Answered by Laura Trott - Chief Secretary to the Treasury
Pay for most frontline workforces is set via independent Pay Review Bodies (PRBs). PRBs consider a range of evidence when forming their recommendations, including the need to recruit, retain and motivate suitably able and qualified people; the financial circumstances of government; the government’s policies for improving public services; and the inflation target.
Asked by: Caroline Nokes (Conservative - Romsey and Southampton North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he has had recent discussions with the (a) insurance sector, (b) Financial Conduct Authority, (c) Financial Ombudsman and (d) Equality and Human Rights Commission on the ability of people in the Gypsy, Roma and Traveller community to obtain (i) buildings and (ii) contents insurance.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
Insurers make commercial decisions about the terms on which they will offer cover following an assessment of the relevant risks. However, the Government is determined that insurers treat customers fairly and insurers must comply with the relevant legislative and regulatory rules.
The Financial Conduct Authority’s rules require insurers to treat their customers fairly and the FCA has robust powers to act against firms that do not comply. The UK Government is also committed to tackling discrimination and the Equality Act 2010 providers legal protections from discrimination due to protected characteristics. This means insurers cannot use ethnicity as a risk factor when determining the price of insurance.
Customers who feel they have not been treated fairly by their insurer are able to complain to the Financial Ombudsman Service, the independent body established to provide arbitration in such cases.
Asked by: Caroline Nokes (Conservative - Romsey and Southampton North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps his Department is taking to help support people in the Gypsy, Roma and Traveller community to obtain (a) buildings and (b) contents insurance.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
Insurers make commercial decisions about the terms on which they will offer cover following an assessment of the relevant risks. However, the Government is determined that insurers treat customers fairly and insurers must comply with the relevant legislative and regulatory rules.
The Financial Conduct Authority’s rules require insurers to treat their customers fairly and the FCA has robust powers to act against firms that do not comply. The UK Government is also committed to tackling discrimination and the Equality Act 2010 providers legal protections from discrimination due to protected characteristics. This means insurers cannot use ethnicity as a risk factor when determining the price of insurance.
Customers who feel they have not been treated fairly by their insurer are able to complain to the Financial Ombudsman Service, the independent body established to provide arbitration in such cases.
Asked by: Helen Morgan (Liberal Democrat - North Shropshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the efficiency and effectiveness of the Financial Services Compensation Scheme in its assessment of mortgage mis-selling complaints.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The Financial Services Compensation Scheme may be able to pay compensation to customers who have lost money as a result of bad mortgage advice or been mis-sold mortgage endowments. The FSCS can only pay compensation if the firm, broker, or advisor that the customer dealt with was regulated and has failed. Any complaints about live regulated firms should be addressed to the Financial Ombudsman Service. For mortgage claims, the FSCS carries out its compensation function within rules set by the Financial Conduct Authority (FCA), but is operationally independent of them. The FSCS publishes an annual report and levy class statements, including for the home finance intermediation levy class. The FSCS’s certified accounts and audit report are provided to HM Treasury each year, and copies are laid before Parliament.
Asked by: Helen Morgan (Liberal Democrat - North Shropshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many and what proportion of appeals to the Financial Services Compensation Scheme have resulted in an over-turned decision.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The Financial Services Compensation Scheme (FSCS) is the UK’s compensation scheme of last resort and pays compensation to consumers when authorised financial firms fail. If a claimant is unhappy with the FSCS’s decision on their claim, they can launch an appeal which will be reviewed by someone independent of the original decision. The FSCS operates a 2-stage internal appeal process. In the financial year 2022-2023, the FSCS made just under 97,000 claims decisions, and 1,695 customers asked the FSCS to review its decisions. The FSCS does not publish data on the proportion of appeals that are upheld or rejected at each stage. Customers who are unhappy at the end of the FSCS’s internal appeal process have the option of seeking a Judicial Review of the FSCS’s decision on their claim.
Asked by: Neil Hudson (Conservative - Penrith and The Border)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps his Department is taking to help preserve access to banking on high streets.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
It is important that all customers have appropriate access to banking and cash services and the Government is monitoring this situation closely.
Guidance from the FCA expects firms to carefully consider the impact of planned branch closures on customers’ everyday banking and cash access needs, and put in place alternatives, where reasonable. Alternative options to access everyday banking services on the high street include via the Post Office or Banking Hubs. Banking Hubs are an industry initiative to enable customers of participating banks to access cash and banking services in shared facilities.
UK Finance confirmed 225 Banking Hubs will be announced by the end of 2024. Furthermore, following my recent discussions with the UK high street banks, participating firms have also committed to improving Hubs by standardising the services available between firms, ensuring that customers do not require their own digital device to bank, trialling a ‘customer liaison service’ and trialling Saturday openings. The banks have agreed to keep services under review to ensure their effectiveness for all customers.
Asked by: Neil Hudson (Conservative - Penrith and The Border)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps his Department is taking to support agricultural businesses to access finance from banks.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The Government recognises the vital role of agricultural businesses across the UK, and it is important they can access the finance they need.
The government’s Growth Guarantee Scheme supports smaller businesses, including agricultural businesses, to access the finance they need to invest and grow. The scheme extends the support previously offered under the Recovery Loan Scheme and provides a 70% government guarantee on lending to UK small and medium-sized enterprises. The scheme supports a wide range of products provided by different lenders such as loan terms, overdrafts, asset finance, invoice finance and asset-based lending.
The government has also supported farmers to adapt to the agricultural transition by providing them with free business advice. Advisers offered one to one consultations, farm visits and free workshops that helped support farming businesses to improve their financial viability, which will have made it easier for them to access finance.