Asked by: Alex Baker (Labour - Aldershot)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an estimate of the number of bank branch closures in (a) Aldershot constituency and (b) Hampshire in each year since 2010.
Answered by Tulip Siddiq
The Government does not hold bank branch closure data. However, according to consumer website Which?, Aldershot constituency lost just under 60% of its branch network between January 2015 and November 2024, and has eight branches remaining.
Guidance from the FCA sets out its expectation of firms when they are deciding to reduce their physical branches or the number of free-to-use ATMs. Firms are expected to carefully consider the impact of planned branch closures on their customers’ everyday banking and cash access needs, and put in place alternatives, where this is reasonable.
The Government understands the importance of face-to-face banking to communities and high streets in Aldershot and across the UK, and is committed to championing sufficient access for all as a priority. This is why the Government is working closely with banks to roll out 350 banking hubs, which will provide individuals and businesses up and down the country with critical cash and banking services.
Asked by: Alex Baker (Labour - Aldershot)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of the cost of living on the numbers of (a) businesses at risk of insolvency and (b) people in debt in Aldershot constituency; and what fiscal steps she is taking to support those (i) businesses and (ii) people.
Answered by Tulip Siddiq
The Government recognises the significant impact the cost of living has had on personal finances, and particularly for those struggling with debt. We regularly engage with the Bank of England, the Financial Conduct Authority (FCA) and the Money and Pensions Service (MaPS) to monitor personal finances and debt levels. The Money and Pensions Service conducts an annual survey of people in financial difficulty. The results of their latest survey were published on 29 February 2024.
Given cost-of-living pressures, the Government remains committed to helping people that are in problem debt and vulnerable circumstances. For this reason, the Government offers a variety of debt advice services through the Money and Pensions Service to support individuals facing debt issues in England, including both national and community-based debt advice provision.
The Government has also put in place several measures to support the households who face the greatest hardships, including the Fair Repayment Rate for debt deductions in Universal Credit, which means approximately 1.2 million families will keep more of their award each month. The Household Support Fund has also been extended to 2025-26, which will help households facing financial crisis by supporting them with the cost of essentials such as food, energy and water.
We’ve also increased the National Living Wage to £12.21 per hour, an increase of 6.7% which is worth up to £1,4000 for a full-time worker.
With respect to business debt, this is principally a commercial matter. However, the Government is strongly supportive of the work of the British Business Bank as a critical tool to help ensure finance reaches those parts of the economy that otherwise may struggle to obtain the capital they need.
This is why at Autumn Budget, to help support the Government’s mission to kickstart economic growth, the Department for Business and Trade’s (DBT) settlement will allow them to invest over £1 billion across 2024–25 and 2025–26 for the BBB to enhance access to finance for small businesses, including over £250 million each year for small business loans programmes, including Start Up Loans and the Growth Guarantee Scheme.
Asked by: Alex Baker (Labour - Aldershot)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the impact of trends in the level of mortgage interest rates on the levels of household disposable income in (a) Aldershot constituency, (b) Hampshire and (c) England.
Answered by Tulip Siddiq
Average offered interest rates on 2-year and 5-year fixed rate mortgages have fallen from their peak in the Summer of 2023.
The pricing and availability of mortgages is a commercial decision for lenders in which the Government does not intervene. Mortgage interest rates are in part driven by Bank Rate, set by the independent Monetary Policy Committee (MPC) of the Bank of England. The MPC continues to have the Government’s full support as it takes action to return inflation to target through its independent monetary policy decisions.
This government’s missions to deliver growth, restore stability, increase investment and reform the economy will support price stability and drive up prosperity and living standards across the UK.
In their October 2024 Economic and Fiscal Outlook, the Office for Budget Responsibility forecast real household disposable income (RHDI) per capita to grow by an annual average of 0.5% over this parliament. This is more than double the pace of RHDI per capita growth observed in the 2019-2024 parliament.
RHDI per capita is only reported at a national level, but to ensure growth is felt by everyone we are also monitoring GDP capita on a regional basis.
Asked by: Alex Baker (Labour - Aldershot)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of bank closures on people in Aldershot constituency.
Answered by Tulip Siddiq
The Government does not hold bank branch closure data. However, according to consumer website Which?, Aldershot constituency lost just under 60% of its branch network between January 2015 and November 2024, and has eight branches remaining.
Guidance from the FCA sets out its expectation of firms when they are deciding to reduce their physical branches or the number of free-to-use ATMs. Firms are expected to carefully consider the impact of planned branch closures on their customers’ everyday banking and cash access needs, and put in place alternatives, where this is reasonable.
The Government understands the importance of face-to-face banking to communities and high streets in Aldershot and across the UK, and is committed to championing sufficient access for all as a priority. This is why the Government is working closely with banks to roll out 350 banking hubs, which will provide individuals and businesses up and down the country with critical cash and banking services.
Asked by: Alex Baker (Labour - Aldershot)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of trends in the level of households in arrears with mortgage payments in Aldershot constituency in the last (a) six and (b) 12 months.
Answered by Tulip Siddiq
The Government closely monitors levels of mortgage arrears, which remain low by historical standards. UK Finance has predicted mortgage arrears will fall in 2025.
There are significant measures in place to protect vulnerable mortgage borrowers. Financial Conduct Authority (FCA) rules require lenders to engage individually with their customers who are struggling or who are worried about their payments, and the Mortgage Charter also remains in place providing additional flexibilities to help customers manage their mortgage payments over a short period.
Asked by: Alex Baker (Labour - Aldershot)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if her Department will make an estimate of the number of mortgage defaults in Aldershot constituency in each of the next twelve months.
Answered by Tulip Siddiq
The Government closely monitors levels of mortgage arrears, which remain low by historical standards. UK Finance has predicted mortgage arrears will fall in 2025.
There are significant measures in place to protect vulnerable mortgage borrowers. Financial Conduct Authority (FCA) rules require lenders to engage individually with their customers who are struggling or who are worried about their payments, and the Mortgage Charter also remains in place providing additional flexibilities to help customers manage their mortgage payments over a short period.
Asked by: Alex Baker (Labour - Aldershot)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether her Department is taking steps to help secure free access to cash withdrawals and deposit facilities in Aldershot constituency.
Answered by Tulip Siddiq
The Government recognises that cash continues to be used by millions of people across the UK, including those in vulnerable groups, and is committed to protecting access to cash for individuals and businesses.
The most recent data from the Financial Conduct Authority shows that 97 per cent of people in urban areas live within 1 mile of a free-to-use cash access point offering deposits. In rural areas, 98 percent of people live within 3 miles of a free-to-use cash access point offering deposits.
The Financial Conduct Authority (FCA) has recently assumed regulatory responsibility for access to cash, and its rules came into effect on 18 September 2024. These rules require the UK’s largest banks and building societies to assess the impact of a closure of a relevant cash withdrawal or deposit facility and put in place a new service if necessary. Where a branch closure is announced and it is deemed that this closure will impact free access to cash, the branch cannot close until a replacement service is operational and any gap in provision has been filled.
Where a consumer, or anyone with a strong connection to a local area, feels access to cash in their community is insufficient, they can submit a request for a cash access assessment. Further information about submitting a cash access request can be found at the following link: https://www.link.co.uk/helping-you-access-cash/request-access-to-cash
Asked by: Alex Baker (Labour - Aldershot)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many people paying National Insurance contributions in Aldershot constituency were earning under £25,000 in the 2022-23 financial year.
Answered by James Murray - Chief Secretary to the Treasury
This information on taxpayer numbers is not available at levels lower than Government Office Regions.
In 2022-23 there are projected to be 1.59m individuals paying individual National Insurance Contributions (Class 1, 2 or 4) with total income under £25,000 in the South East, which includes the Parliamentary Constituency of Aldershot.
These estimates are based on the 2021-22 Survey of Personal Incomes, projected using economic assumptions consistent with the Office for Budget Responsibility’s March 2024 Economic and Fiscal Outlook.