Asked by: Lord Macpherson of Earl's Court (Crossbench - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what assessment they have made of the readiness of the self-employed to submit quarterly returns through Making Tax Digital.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
The government is undertaking a range of activities to ensure those needing to use Making Tax Digital (MTD) for Income Tax from April 2026 are ready and able to do so successfully.
This includes media campaigns, awareness letters, developing guidance, and working with the software industry to ensure a broad range of MTD‑compatible products is available, including free options.
MTD quarterly updates are not like making a tax return each quarter. Software will manage much of the process, creating simple summaries of income and expenses from the taxpayer’s digital records ready for submission.
Information provided within the quarterly updates will be carried forward to the tax return, helping to reduce errors and make the end of year process faster and easier.
Asked by: Lord Macpherson of Earl's Court (Crossbench - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government, further to the answer of Lord Bates on 5 February 2018 (HL4939), whether they will publish an updated table including (1) pensions, (2) health, and (3) total managed expenditure, for 2021–22.
Answered by Baroness Penn
The requested information is in the table:
| 1978-79 | 1996-97 | 2009-10 | 2015-16 | 2016-17 | 2021-22 |
(1) National insurance-funded pensions (£billion) (1) | 7.6 | 32.0 | 66.8 | 89.3 | 91.5 | 104.5 |
as a percentage of Total Managed Expenditure | 9.48% | 9.78% | 9.26% | 11.23% | 11.24% | 9.86% |
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(2) UK Health Expenditure (£billion) (2) | 7.8 | 42.8 | 116.9 | 138.5 | 142.6 | 216.8 |
as a percentage of Total Managed Expenditure | 9.79% | 13.08% | 16.19% | 17.42% | 17.52% | 20.45% |
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Total Managed Expenditure (£billion) (3) | 79.7 | 327.3 | 721.9 | 794.9 | 813.8 | 1,060.3 |
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Data Sources: | ||||||
(1) Figures up to 2016-17 taken from benefit expenditure and caseload tables published by the Department of Work and Pensions. The figure for 2021-22 taken from the DWP Annual Report and Accounts. Figures for National insurance-funded pensions have been provided in line with the request in the initial PQ referred to. | ||||||
(2) Data from 2009-10 onwards taken from table 4.2 of the Public Expenditure Statistical Analysis (PESA) 2022. Data for 1996-97 are as at PESA 2020. 1978-79 data taken from HoC Briefing Paper on NHS Funding and expenditure. | ||||||
(3) Data published by the Office for National Statistics consistent with PESA 2022. | ||||||
Asked by: Lord Macpherson of Earl's Court (Crossbench - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what is their policy on the use of Latin on the coinage.
Answered by Baroness Penn
The designs of UK coins are approved by the Chancellor as Master of the Mint, His Majesty The King and the Privy Council. This process is supported by the advice of the Royal Mint Advisory Committee, whose role is to ensure that designs meet high standards. UK coinage includes a combination of Latin and English.
Asked by: Lord Macpherson of Earl's Court (Crossbench - Life peer)
Question to the HM Treasury:
To ask Her Majesty's Government what contribution the public sector made to growth in GDP in Northern Ireland in (1) 2020, and (2) 2021.
Answered by Baroness Penn
According to data from the Office for National Statistics (ONS), Northern Ireland’s public sector gross valued added (GVA) (defined as the sum of Public Administration & Defence, Education and Human health and social work activities) accounted for 26.5% of Northern Ireland’s GVA in 2020. There are currently no official ONS estimates of sector GVA in 2021 for Northern Ireland.
The Northern Ireland Statistics and Research Agency publish an experimental quarterly Composite Economic Index (NICEI), which provides a more recent measure of economic activity, including for the public sector. In the final quarter of 2021, annual growth in the NICEI was 4.9%, of which the public sector contributed 0.5 percentage points. The NICEI is not produced on a fully equivalent basis to UK GDP.
The ONS’ GVA data for Northern Ireland will capture the contribution of spend from the UK Government and the Northern Ireland Executive. The Northern Ireland Executive are responsible for allocating their funding from their Barnett-based block grant as they see fit in all areas of devolved responsibility, such as health and education. The Northern Ireland Executive received a total Barnett-based block grant of £17.2bn in 2020-21 and £16.2bn in 2021-22.
Asked by: Lord Macpherson of Earl's Court (Crossbench - Life peer)
Question to the HM Treasury:
To ask Her Majesty's Government what plans they have to reform the taxation of residence and domicile.
Answered by Baroness Penn
The Government believes that the tax system needs to be competitive and attractive, so that those people who will generate growth and jobs will want to reside here.
However, it is also right that those who stay in the UK longer-term pay tax in the same way as everybody else, which is why the Government changed the rules in 2017 to end permanent non-domicile status.
The Government published its Tax Plan at the recent Budget which set out a vision for a lower tax economy for everyone, supporting growth in the economy and ensuring the proceeds of that growth are shared fairly.
Decisions on taxation are a matter for the Chancellor and are considered as part of the budget process. As with all aspects of the tax system, the Government will keep this under review.
Asked by: Lord Macpherson of Earl's Court (Crossbench - Life peer)
Question to the HM Treasury:
To ask Her Majesty's Government what proportion of income tax receipts is accounted for by income tax on property income.
Answered by Baroness Penn
The information on income tax is not readily available, however, information published by HMRC about taxable incomes is as follows.
The 2018-19 Survey of Personal Incomes provides an estimate for income from property in Table 3.7 and total income estimates are provided in Table 3.3. Income from property was estimated at £21.5 billion in 2018-19 and total income across all income types was estimated at £1,120 billion. Income from property therefore represents around 2 per cent of total income.
Asked by: Lord Macpherson of Earl's Court (Crossbench - Life peer)
Question to the HM Treasury:
To ask Her Majesty's Government whether, in order to estimate the revenue yield of a one per cent increase on all income tax rates payable on property income, they can draw on the data in Table 3.7 from the Survey of Personal Incomes, which compiles numbers of taxpayers and associated estimates of property income.
Answered by Lord Agnew of Oulton
While the Survey of Personal Incomes offers information on the amounts of property income received by Income Tax payers, additional analysis would be required to assess the revenue raised by increasing the rates of Income Tax on property income. This would need to include an assessment of interactions with other aspects of Income Tax, such as the application of allowances and thresholds and the behavioural response to the policy change.
The Government has not made an assessment of the revenue that would be raised by increasing income tax rates applicable to property income by one per cent.
Asked by: Lord Macpherson of Earl's Court (Crossbench - Life peer)
Question to the HM Treasury:
To ask Her Majesty's Government what assessment they have made, if any, of the revenue that would be raised by increasing all income tax rates applicable to rental income by 1.25 per cent.
Answered by Lord Agnew of Oulton
The government has not made an assessment of the revenue that would be raised by increasing all income tax rates applicable to rental income by 1.25 per cent.
The government keeps all aspects of the tax system under review and any decision on future changes will be taken as part of the annual Budget process in the context of the wider public finances.
Asked by: Lord Macpherson of Earl's Court (Crossbench - Life peer)
Question to the HM Treasury:
To ask Her Majesty's Government how much revenue would be raised by increasing the income tax rate applicable to Schedule A income by 1.25 per cent.
Answered by Lord Agnew of Oulton
As a result of the Tax Law Rewrite, taxation of Schedule A income for individuals was repealed in 2005, and for companies in 2009. As a result, it would only be possible to estimate the revenue raised through an increase to the tax rate of Schedule A at a disproportionate cost.
Asked by: Lord Macpherson of Earl's Court (Crossbench - Life peer)
Question to the HM Treasury:
To ask Her Majesty's Government what were the receipts from stamp duty land tax on residential properties sold for over £1 million in each year from 2013–14 to 2018–19.
Answered by Lord Agnew of Oulton
The table below summarises the amount of Stamp Duty Land Tax (SDLT) paid on residential properties valued over £1 million.
Tax year | Stamp Duty Land Tax (£million) |
2013/14 | 1,810 |
2014/15 | 2,155 |
2015/16 | 2,820 |
2016/17 | 2,530 |
2017/18 | 2,845 |
2018/19 | 2,625 |