Asked by: Stephen Hammond (Conservative - Wimbledon)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate he has made of the number of first time buyers that have used a (a) Help to Buy ISA and (b) Lifetime ISA to fund the purchase of a home.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
370,768 first-time buyers have made use of a Help to Buy: ISA up to September 2019. This information is available in the Help to Buy: ISA Scheme Quarterly Statistics report, which was released on 27 February 2020 and is available here: https://www.gov.uk/government/statistics/help-to-buy-isa-scheme-quarterly-statistics-december-2015-to-30-september-2019
An estimate of the number of first-time buyers who have used a Lifetime ISA to fund the purchase of a home is not currently available.
Asked by: Stephen Hammond (Conservative - Wimbledon)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the cost to UK business of the roll-out of the off-payroll rules to the private sector.
Answered by Jesse Norman
The off-payroll working rules (sometimes known as IR35) have been in place since 2000. They are designed to ensure that individuals working like employees pay broadly the same amount of tax and NICs, regardless of the structure they work through. They do not affect the self-employed.
In 2017 the Government reformed the way the rules operate in the public sector in order to address widespread non-compliance. Evidence shows that compliance is improving, without reducing the flexibility of the labour market.
Budget 2018 announced that the reform would be extended to all sectors, but not until April 2020, giving businesses more time to prepare. The Government has consulted extensively on the reform and HMRC are rolling out guidance as well as an education and support programme.
On 11 July 2019, HMRC published a Tax Information and Impact Note setting out the costs to business and individuals of the reform. This can be found here: https://www.gov.uk/government/publications/rules-for-off-payroll-working-from-april-2020/rules-for-off-payroll-working-from-april-2020.
Asked by: Stephen Hammond (Conservative - Wimbledon)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the number of contracting roles that will potentially be lost to the UK economy from the roll-out of the off-payroll rules.
Answered by Jesse Norman
The off-payroll working rules (sometimes known as IR35) have been in place since 2000. They are designed to ensure that individuals working like employees pay broadly the same amount of tax and NICs, regardless of the structure they work through. They do not affect the self-employed.
In 2017 the Government reformed the way the rules operate in the public sector in order to address widespread non-compliance. Evidence shows that compliance is improving, without reducing the flexibility of the labour market.
Budget 2018 announced that the reform would be extended to all sectors, but not until April 2020, giving businesses more time to prepare. The Government has consulted extensively on the reform and HMRC are rolling out guidance as well as an education and support programme.
On 11 July 2019, HMRC published a Tax Information and Impact Note setting out the costs to business and individuals of the reform. This can be found here: https://www.gov.uk/government/publications/rules-for-off-payroll-working-from-april-2020/rules-for-off-payroll-working-from-april-2020.
Asked by: Stephen Hammond (Conservative - Wimbledon)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the effect on the public sector of the off-payroll rules.
Answered by Jesse Norman
The off-payroll working rules (sometimes known as IR35) have been in place since 2000. They are designed to ensure that individuals working like employees pay broadly the same amount of tax and NICs, regardless of the structure they work through. They do not affect the self-employed.
In 2017 the Government reformed the way the rules operate in the public sector in order to address widespread non-compliance. Evidence shows that compliance is improving, without reducing the flexibility of the labour market.
Budget 2018 announced that the reform would be extended to all sectors, but not until April 2020, giving businesses more time to prepare. The Government has consulted extensively on the reform and HMRC are rolling out guidance as well as an education and support programme.
On 11 July 2019, HMRC published a Tax Information and Impact Note setting out the costs to business and individuals of the reform. This can be found here: https://www.gov.uk/government/publications/rules-for-off-payroll-working-from-april-2020/rules-for-off-payroll-working-from-april-2020.
Asked by: Stephen Hammond (Conservative - Wimbledon)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the effect on rates of pay of the off-payroll roll-out.
Answered by Jesse Norman
The off-payroll working rules (sometimes known as IR35) have been in place since 2000. They are designed to ensure that individuals working like employees pay broadly the same amount of tax and NICs, regardless of the structure they work through. They do not affect the self-employed.
In 2017 the Government reformed the way the rules operate in the public sector in order to address widespread non-compliance. Evidence shows that compliance is improving, without reducing the flexibility of the labour market.
Budget 2018 announced that the reform would be extended to all sectors, but not until April 2020, giving businesses more time to prepare. The Government has consulted extensively on the reform and HMRC are rolling out guidance as well as an education and support programme.
On 11 July 2019, HMRC published a Tax Information and Impact Note setting out the costs to business and individuals of the reform. This can be found here: https://www.gov.uk/government/publications/rules-for-off-payroll-working-from-april-2020/rules-for-off-payroll-working-from-april-2020.
Asked by: Stephen Hammond (Conservative - Wimbledon)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, whether a first-time buyer purchasing a shared ownership resale property qualifies for the first-time buyer relief on Stamp Duty Land Tax if they elect to pay that tax on the full value of the property rather than on the share being purchased.
Answered by Mel Stride - Secretary of State for Work and Pensions
The option to elect to pay Stamp Duty Land Tax (SDLT) on the full market value of shared ownership property can only be made by the first purchaser on the initial grant of a lease to them. Subsequent purchasers are not able to make an election.
However, where there is a resale of a shared ownership property, first time buyers’ relief will be available where the purchase price is £500,000 or below.
Asked by: Stephen Hammond (Conservative - Wimbledon)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what assessment he has made of whether purchasers of shared ownership properties are benefiting from the the stamp duty exemption announced in Autumn Budget 2017; and whether purchasers who opt to stamp duty on the value of the initial share benefit from that exemption.
Answered by Mel Stride - Secretary of State for Work and Pensions
First-time buyers of shared ownership property who choose to pay SDLT at purchase on the whole market value of the property can benefit from the relief. If the property is worth £300,000 or less, there will be no SDLT to pay. According to Ministry of Housing, Communities and Local Government data, the median shared ownership market value is £220,000.
Where market value treatment does not apply, or has not been opted for, the first-time buyers’ relief cannot be claimed. There is already a special SDLT treatment given to purchasers of new shared ownership properties. Purchasers can choose to pay SDLT on the initial portion purchased with a further SDLT charge if they buy the remaining share in the future.
Asked by: Stephen Hammond (Conservative - Wimbledon)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what the timetable is for the Prudential Regulation Authority to issue guidance for insurance firms headquartered in the EEA on the criteria for authorisations for third party branches and subsidiaries in the UK after the UK leaves the EU.
Answered by Steve Barclay - Secretary of State for Environment, Food and Rural Affairs
Authorisation of insurers is a matter for the Prudential Regulation Authority, which is independent of government. This is a matter for the Bank of England.
Asked by: Stephen Hammond (Conservative - Wimbledon)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what discussions he has had with the Prudential Regulation Authority on its expected guidance to insurance firms headquartered in the EEA but which have branches in the UK on the process for future authorisations after the UK leaves the EU.
Answered by Steve Barclay - Secretary of State for Environment, Food and Rural Affairs
Treasury Ministers and officials have meetings with a wide variety of organisations in the public and private sectors as part of the process of policy development and delivery. Details of ministerial and permanent secretary meetings with external organisations on departmental business are published on a quarterly basis and are available at https://www.gov.uk/government/collections/hmt-ministers-meetings-hospitality-gifts-and-overseas-travel.
Asked by: Stephen Hammond (Conservative - Wimbledon)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what assessment his Department has made on the potential effect of complying with the requirements of the US Foreign Account Tax Compliance Act additional to those already placed on them through the UK compliance system on UK-based (a) non-life insurers, (b) brokers and intermediaries and (c) consumers.
Answered by Mel Stride - Secretary of State for Work and Pensions
An assessment of the administrative and financial impact on UK industry of the implementation of the US Foreign Account Tax Compliance Act (FATCA) in the UK, including compliance costs, was published alongside The International Tax Compliance (United States of America) Regulations 2013 which gave effect to FATCA.