Asked by: Bill Wiggin (Conservative - North Herefordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will make it his policy to enable full expensing for capital expenditure by farmers.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
At Autumn Statement 2023, the Chancellor announced that full expensing will be made permanent, allowing companies to claim 100% capital allowances on qualifying main rate plant and machinery investments. Full expensing is available to all incorporated companies, including farmers.
There are other generous capital allowances that are available to unincorporated businesses, including the Annual Investment Allowance. In Autumn 2022 it was permanently set at its highest ever level of £1 million a year.
The Annual Investment Allowance allows businesses to claim 100% capital allowances on qualifying main or special rate assets up to a total of £1 million per year.
Asked by: Bill Wiggin (Conservative - North Herefordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to the report entitled Spring Budget briefing 2024 published by the Road Haulage Association in January 2024, what assessment he has made of the implications for his Department’s policies of the recommendations to temporarily suspend (a) vehicle excise duty on HGVs and (b) the HGV Levy.
Answered by Gareth Davies - Exchequer Secretary (HM Treasury)
The government recognises the challenges faced by the haulage sector and their key role in keeping the country running. At Autumn Statement 2023 the Government announced that it is continuing its support for haulage companies by freezing HGV Vehicle Excise Duty and the HGV Levy in 2024-25. This results in a tax saving for one of the most popular HGVs (a 38-44 tonne Artic lorry with 3 axles, EURO VI) of a total of £47 per annum. These measures form a package of support for hauliers, alongside the freezing of Fuel Duty as announced at Spring Budget 2023.
Like all taxes, the government keeps HGV VED and HGV Levy under review.
Asked by: Bill Wiggin (Conservative - North Herefordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will make an estimate of the potential impact of the abolition of marriage value under schedule two of the Leasehold and Freehold Reform Bill on tax revenues derived from the enfranchisement of leasehold properties.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
The Leasehold and Freehold reform bill will make it cheaper and easier for leaseholders to extend their lease or purchase their freehold.
An Impact Assessment for the Leasehold and Freehold Reform Bill has been carried out by the Department for Levelling Up, Housing and Communities and published on the Parliament website at: Leasehold and Freehold Reform Bill publications - Parliamentary Bills - UK Parliament.
The Treasury has not made an estimate of the impact of this specific policy change on tax revenues. Transactions involving lease extensions and collective enfranchisement are just certain elements of total revenue, which is influenced by a broad range of factors including, for property taxes, the broader housing market. The Treasury keeps all tax policy under review.
Asked by: Bill Wiggin (Conservative - North Herefordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what representations he has received from UK-based digital asset firms regulated by the Financial Conduct Authority which have experienced difficulties in obtaining a bank account.
Answered by Andrew Griffith - Minister of State (Department for Science, Innovation and Technology)
The Government is committed to creating a regulatory environment in which firms can innovate, while crucially maintaining financial stability and clear regulatory standards so that people can use new technologies both reliably and safely.
HM Treasury actively engages with the cryptoasset industry through a range of senior and ministerial groups. For example, the ministerial chaired cryptoasset engagement group has been convened four times and will continue to meet regularly over the course of 2023 to engage with key market participants.
The decisions about what products are offered and to whom are commercial decisions for banks and building societies themselves. The Government recognises and values the important role of this sector and does not wish to see banks and building societies decline to service law abiding businesses, it would be inappropriate for the Government to intervene in these decisions.
Asked by: Bill Wiggin (Conservative - North Herefordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps his Department is taking to ensure that newly recognised growth markets qualify for the growth market exemption.
Answered by Andrew Griffith - Minister of State (Department for Science, Innovation and Technology)
The conditions for qualifying as a recognised growth market for the purposes of the growth market exemption are set out in HMRC’s Stamp Taxes on Shares Manual at: https://www.gov.uk/hmrc-internal-manuals/stamp-taxes-shares-manual/stsm041290.
I encourage any entity that may meet these conditions to apply for the status of a recognised growth market. The application process is set out in HMRC’s Stamp Taxes on Shares Manual at: https://www.gov.uk/hmrc-internal-manuals/stamp-taxes-shares-manual/stsm041320.
Asked by: Bill Wiggin (Conservative - North Herefordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if his Department will make an assessment of the potential merits of amending Stamp Duty Reserve Tax legislation so that newly recognised growth markets are not required to be recognised stock exchanges.
Answered by Andrew Griffith - Minister of State (Department for Science, Innovation and Technology)
There are currently no plans to extend the recognised growth market exemption from Stamp Duty Reserve Tax to markets that are not part of a recognised stock exchange.
However, the Government keeps all areas of the tax system under review.
Asked by: Bill Wiggin (Conservative - North Herefordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment they have made of the impact of the UK's departure from the EU on their ability to deliver successful policy outcomes.
Answered by Victoria Atkins - Secretary of State for Health and Social Care
Leaving the EU has provided us with the opportunity to think boldly about how we regulate to achieve objectives such as strengthening our economy.
As an independent trading nation, the UK has the opportunity to shape a new trading relationship with the rest of the world. Since leaving the EU, the Government has secured free trade agreements with 71 countries.
Asked by: Bill Wiggin (Conservative - North Herefordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking to ensure that goods imported from China pay appropriate import duties.
Answered by Lucy Frazer - Secretary of State for Culture, Media and Sport
As the customs authority, HMRC works alongside Border Force to ensure that border processes are as smooth as possible, whilst targeting cross-border threats. HMRC uses a risk based and intelligence-led response focusing compliance interventions on tackling the goods and traders that represent highest risks to revenue, the UK economy and wider society, and our international reputation.
HMRC has provided support on GOV.UK to help importers understand the import procedures they need to follow and the duty they need to pay (including on goods from China).
Asked by: Bill Wiggin (Conservative - North Herefordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking to ensure UK businesses exporting to the EU are not paying high import duties and taxes on their goods.
Answered by Lucy Frazer - Secretary of State for Culture, Media and Sport
Under the UK-EU Trade and Co-operation Agreement (TCA), both the UK and the EU agreed to remove tariffs in relation to the goods originating in the UK/EU. This means that goods exported to the EU from GB that meet the preferential rules of origin in the TCA do not incur customs duty.
HMG has and continues to provide extensive support to GB business.
Asked by: Bill Wiggin (Conservative - North Herefordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, at what point on the tax and income scale does a person become a net contributor to the Exchequer (a) by income and (b) by tax paid in the last three years.
Answered by Lucy Frazer - Secretary of State for Culture, Media and Sport
At Spring Statement 2022, the Government published analysis which illustrates the overall impact of tax, welfare and public services spending for households across the income distribution.
This analysis shows that in the year 2024-25 the poorest 60% of households will receive more in welfare and public spending than they contribute in tax.
Using ONS data from 2019-20, available at Effects of taxes and benefits on household income - Office for National Statistics (ons.gov.uk), which only considers tax and welfare, the poorest 50% of households are estimated to receive more in welfare than they contribute in tax.