Asked by: Anna Gelderd (Labour - South East Cornwall)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps her Department is taking to support the use of banking hubs as venues for financial education aimed at improving women’s (a) financial literacy and (b) independence.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
Banking hubs are a voluntary service which were developed by the financial services sector in the context of legislation to protect access to cash under the Financial Services and Markets Act 2023. Their rollout is overseen by Cash Access UK (CAUK), a not-for-profit company set up and funded by the banks for the purpose of coordinating banking hub delivery.
The Government is working closely with industry to roll out 350 banking hubs across the UK. The UK banking sector has committed to deliver these hubs by the end of this Parliament. Over 230 hubs have been announced so far, and over 160 are already open.
Where a branch closure is announced or a community has submitted a cash access assessment request, LINK, the independent industry coordinating body responsible for making access to cash assessments, assesses a community’s access to cash needs. LINK will recommend appropriate solutions where it considers that a community requires additional cash services, such as a banking hub or deposit service.
The Financial Conduct Authority (FCA) rules require LINK to consider a range of factors in their assessments, such as population demographics and levels of vulnerability within the community.
The Government is committed to ensuring that all individuals have the financial capability to manage their money well and recognises that certain groups – such as women – may face specific barriers to financial literacy and inclusion. The Money and Pensions Service (MaPS) is supported by the Government to provide a wide range of tools and guidance to help people manage money confidently at every stage of life. Furthermore, by making Financial Education and Capability a focus within the Financial Inclusion Strategy, the Government aims to address these barriers and ensure that women, as well as other groups who face barriers, are better equipped to access affordable and appropriate financial products and services.
Asked by: Anna Gelderd (Labour - South East Cornwall)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment with the Secretary of State for Culture, Media and Sport of the potential merits of amending legislation on Orchestra Tax Relief (a) to include voice as an eligible acoustic instrument and (b) to extend eligibility to (i) professional and (ii) amateur choirs consisting of 12 or more performers.
Answered by James Murray - Chief Secretary to the Treasury
The Government supports the creative industries, including orchestras, through funding and through the tax system. Orchestra Tax Relief (OTR) provides tax relief on productions costs and provided £33 million of support in 2022-23.
To qualify for OTR, a concert must be performed by a group of at least 12 instrumentalists. The voice is not considered to be an instrument. However, orchestra concerts with a vocal element are eligible for the relief providing that the orchestra also contains at least 12 instrumentalists, not including the voice, and the instrumentalists are the primary focus. These rules help ensure OTR fulfils its objective of supporting and incentivising orchestra concerts specifically.
Asked by: Anna Gelderd (Labour - South East Cornwall)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps her Department is taking to simplify the tax-free childcare eligibility process for self-employed parents in line with the system in place for employed claimants.
Answered by Darren Jones - Minister for Intergovernmental Relations
The Government is committed to ensuring eligible parents, whether they are employed or self-employed, can access Tax-Free Childcare as efficiently as possible.
To be eligible for Tax-Free Childcare, a parent and their partner (if they have one) must expect to earn at least the National Minimum or National Living wage for 16 hours a week on average and earn no more than £100,000 per year. The process to access Tax-Free Childcare for self-employed and employed parents is the same. Both are required to apply and reconfirm each quarter that they meet the same eligibility criteria.
In instances where stated expectations differ from the information HMRC holds through PAYE or Self-Assessment Records, at times HMRC may need information from customers to confirm their eligibility.
The Government recognises that evidencing income can be more complex for self-employed individuals, particularly for those with variable or seasonal earnings. That is why self-employed parents are only expected to meet the minimum income requirement over the entire tax-year (and not quarterly as is the case for employees). In addition, parents who have started new self-employment are also exempted from meeting the minimum income requirement in their first 12 months in Tax-Free Childcare.
Asked by: Anna Gelderd (Labour - South East Cornwall)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment her Department has made of the potential impact of trends in the level of NEET rates on (a) household poverty, (b) tax revenue, (c) benefit expenditure, (d) mental health and (e) productivity.
Answered by Darren Jones - Minister for Intergovernmental Relations
The government is committed to supporting young people who are not in education, employment, or training (NEET), as set out in the Get Britain Working White Paper, published on 26 November 2024. That is why it has announced a Youth Guarantee, so that every young person aged 18-21 in England has access to further learning, help to get a job or an apprenticeship.
In addition to this, the government is taking steps to transform the Apprenticeship Levy into a more flexible Growth and Skills Levy by investing £40 million which will help to deliver new foundation and shorter apprenticeships in key sectors, giving young people a route to careers in critical sectors. The Autumn Budget also provided an additional £300 million for further education to ensure young people are developing the skills this country needs.
To support young people with poor mental health who may be at risk of becoming NEET, the government will provide access to a specialist mental health professional in every school in England.
Asked by: Anna Gelderd (Labour - South East Cornwall)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps her Department is taking with the Financial Conduct Authority to (a) investigate and (b) address (i) fraudulent activity linked to Qualified Recognised Overseas Pension Schemes and (ii) the financial impact on UK citizens.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
A qualifying recognised overseas pension scheme (QROPS) is the name for any pension scheme located outside the UK which meets the criteria to receive transfers of UK tax relieved pension savings. Where the overseas pension scheme has broadly similar tax characteristics to a UK registered pension scheme. QROPS are pension schemes, not products.
Although QROPS can receive UK tax relieved pension savings, this does not mean that the UK has a right to regulate pension schemes in other countries. However, those overseas schemes are required to be regulated by a pensions regulator in the overseas country where they are established in order for them to receive UK tax relieved pensions. HMRC does not impose restrictions on assets a QROPS can invest in that is for the overseas regulator.
There are no plans to make HMRC, or the Pensions Regulator (TPR), or the Financial Conduct Authority (FCA), regulate QROPS. That would not be appropriate because the UK does not have jurisdiction over overseas pension schemes. HMRC’s primary role is to protect UK tax relief that have been given. HMRC can remove the QROPS status from pension schemes when it is not appropriate for the scheme to continue to be able to receive UK tax relieved pension savings. There are also no plans to introduce an investigation unit into QROPS or review the regulatory framework.
In the UK individuals are free to transfer their pension savings but must get financial advice for larger amounts. The QROPS rules allow individuals to move abroad to live or work to take their pension savings with them. HMRC makes clear that individuals should seek suitable professional advice, including from a regulated financial adviser, when transferring pension savings to a QROPS. A transfer to a QROPS is covered by the requirement to take regulated financial advice if transferring more than £30,000 from a Defined Benefit scheme.
Additionally, pension scheme administrators are responsible for carrying out due diligence on transfers to other pension schemes. They are also responsible for complying with the requirements of TPR and the FCA.
HMRC, TPR and the FCA are part of the Pension Scams Action Group (PSAG) - a multi-agency taskforce of law enforcement, Government and industry working together to tackle pension fraud.
Asked by: Anna Gelderd (Labour - South East Cornwall)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate she has made of the tax gap associated with pension fraud linked to QROPS; and what steps she has taken to prevent further losses.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
A qualifying recognised overseas pension scheme (QROPS) is the name for any pension scheme located outside the UK which meets the criteria to receive transfers of UK tax relieved pension savings. Where the overseas pension scheme has broadly similar tax characteristics to a UK registered pension scheme. QROPS are pension schemes, not products.
Although QROPS can receive UK tax relieved pension savings, this does not mean that the UK has a right to regulate pension schemes in other countries. However, those overseas schemes are required to be regulated by a pensions regulator in the overseas country where they are established in order for them to receive UK tax relieved pensions. HMRC does not impose restrictions on assets a QROPS can invest in that is for the overseas regulator.
There are no plans to make HMRC, or the Pensions Regulator (TPR), or the Financial Conduct Authority (FCA), regulate QROPS. That would not be appropriate because the UK does not have jurisdiction over overseas pension schemes. HMRC’s primary role is to protect UK tax relief that have been given. HMRC can remove the QROPS status from pension schemes when it is not appropriate for the scheme to continue to be able to receive UK tax relieved pension savings. There are also no plans to introduce an investigation unit into QROPS or review the regulatory framework.
In the UK individuals are free to transfer their pension savings but must get financial advice for larger amounts. The QROPS rules allow individuals to move abroad to live or work to take their pension savings with them. HMRC makes clear that individuals should seek suitable professional advice, including from a regulated financial adviser, when transferring pension savings to a QROPS. A transfer to a QROPS is covered by the requirement to take regulated financial advice if transferring more than £30,000 from a Defined Benefit scheme.
Additionally, pension scheme administrators are responsible for carrying out due diligence on transfers to other pension schemes. They are also responsible for complying with the requirements of TPR and the FCA.
HMRC, TPR and the FCA are part of the Pension Scams Action Group (PSAG) - a multi-agency taskforce of law enforcement, Government and industry working together to tackle pension fraud.
Asked by: Anna Gelderd (Labour - South East Cornwall)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will establish a QROPS investigation unit to examine cases of pension fraud and regulatory failings.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
A qualifying recognised overseas pension scheme (QROPS) is the name for any pension scheme located outside the UK which meets the criteria to receive transfers of UK tax relieved pension savings. Where the overseas pension scheme has broadly similar tax characteristics to a UK registered pension scheme. QROPS are pension schemes, not products.
Although QROPS can receive UK tax relieved pension savings, this does not mean that the UK has a right to regulate pension schemes in other countries. However, those overseas schemes are required to be regulated by a pensions regulator in the overseas country where they are established in order for them to receive UK tax relieved pensions. HMRC does not impose restrictions on assets a QROPS can invest in that is for the overseas regulator.
There are no plans to make HMRC, or the Pensions Regulator (TPR), or the Financial Conduct Authority (FCA), regulate QROPS. That would not be appropriate because the UK does not have jurisdiction over overseas pension schemes. HMRC’s primary role is to protect UK tax relief that have been given. HMRC can remove the QROPS status from pension schemes when it is not appropriate for the scheme to continue to be able to receive UK tax relieved pension savings. There are also no plans to introduce an investigation unit into QROPS or review the regulatory framework.
In the UK individuals are free to transfer their pension savings but must get financial advice for larger amounts. The QROPS rules allow individuals to move abroad to live or work to take their pension savings with them. HMRC makes clear that individuals should seek suitable professional advice, including from a regulated financial adviser, when transferring pension savings to a QROPS. A transfer to a QROPS is covered by the requirement to take regulated financial advice if transferring more than £30,000 from a Defined Benefit scheme.
Additionally, pension scheme administrators are responsible for carrying out due diligence on transfers to other pension schemes. They are also responsible for complying with the requirements of TPR and the FCA.
HMRC, TPR and the FCA are part of the Pension Scams Action Group (PSAG) - a multi-agency taskforce of law enforcement, Government and industry working together to tackle pension fraud.
Asked by: Anna Gelderd (Labour - South East Cornwall)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps HMRC is taking to (a) engage with victims of pension fraud linked to QROPS and (b) ensure that concerns about regulatory oversight are addressed.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
A qualifying recognised overseas pension scheme (QROPS) is the name for any pension scheme located outside the UK which meets the criteria to receive transfers of UK tax relieved pension savings. Where the overseas pension scheme has broadly similar tax characteristics to a UK registered pension scheme. QROPS are pension schemes, not products.
Although QROPS can receive UK tax relieved pension savings, this does not mean that the UK has a right to regulate pension schemes in other countries. However, those overseas schemes are required to be regulated by a pensions regulator in the overseas country where they are established in order for them to receive UK tax relieved pensions. HMRC does not impose restrictions on assets a QROPS can invest in that is for the overseas regulator.
There are no plans to make HMRC, or the Pensions Regulator (TPR), or the Financial Conduct Authority (FCA), regulate QROPS. That would not be appropriate because the UK does not have jurisdiction over overseas pension schemes. HMRC’s primary role is to protect UK tax relief that have been given. HMRC can remove the QROPS status from pension schemes when it is not appropriate for the scheme to continue to be able to receive UK tax relieved pension savings. There are also no plans to introduce an investigation unit into QROPS or review the regulatory framework.
In the UK individuals are free to transfer their pension savings but must get financial advice for larger amounts. The QROPS rules allow individuals to move abroad to live or work to take their pension savings with them. HMRC makes clear that individuals should seek suitable professional advice, including from a regulated financial adviser, when transferring pension savings to a QROPS. A transfer to a QROPS is covered by the requirement to take regulated financial advice if transferring more than £30,000 from a Defined Benefit scheme.
Additionally, pension scheme administrators are responsible for carrying out due diligence on transfers to other pension schemes. They are also responsible for complying with the requirements of TPR and the FCA.
HMRC, TPR and the FCA are part of the Pension Scams Action Group (PSAG) - a multi-agency taskforce of law enforcement, Government and industry working together to tackle pension fraud.
Asked by: Anna Gelderd (Labour - South East Cornwall)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what discussions her Department has had with HMRC on the regulation and oversight of QROPS to ensure consumer protection.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
A qualifying recognised overseas pension scheme (QROPS) is the name for any pension scheme located outside the UK which meets the criteria to receive transfers of UK tax relieved pension savings. Where the overseas pension scheme has broadly similar tax characteristics to a UK registered pension scheme. QROPS are pension schemes, not products.
Although QROPS can receive UK tax relieved pension savings, this does not mean that the UK has a right to regulate pension schemes in other countries. However, those overseas schemes are required to be regulated by a pensions regulator in the overseas country where they are established in order for them to receive UK tax relieved pensions. HMRC does not impose restrictions on assets a QROPS can invest in that is for the overseas regulator.
There are no plans to make HMRC, or the Pensions Regulator (TPR), or the Financial Conduct Authority (FCA), regulate QROPS. That would not be appropriate because the UK does not have jurisdiction over overseas pension schemes. HMRC’s primary role is to protect UK tax relief that have been given. HMRC can remove the QROPS status from pension schemes when it is not appropriate for the scheme to continue to be able to receive UK tax relieved pension savings. There are also no plans to introduce an investigation unit into QROPS or review the regulatory framework.
In the UK individuals are free to transfer their pension savings but must get financial advice for larger amounts. The QROPS rules allow individuals to move abroad to live or work to take their pension savings with them. HMRC makes clear that individuals should seek suitable professional advice, including from a regulated financial adviser, when transferring pension savings to a QROPS. A transfer to a QROPS is covered by the requirement to take regulated financial advice if transferring more than £30,000 from a Defined Benefit scheme.
Additionally, pension scheme administrators are responsible for carrying out due diligence on transfers to other pension schemes. They are also responsible for complying with the requirements of TPR and the FCA.
HMRC, TPR and the FCA are part of the Pension Scams Action Group (PSAG) - a multi-agency taskforce of law enforcement, Government and industry working together to tackle pension fraud.
Asked by: Anna Gelderd (Labour - South East Cornwall)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether her Department has plans to review the regulatory framework for the qualifying recognised overseas pension scheme including the role of the Financial Conduct Authority.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
A qualifying recognised overseas pension scheme (QROPS) is the name for any pension scheme located outside the UK which meets the criteria to receive transfers of UK tax relieved pension savings. Where the overseas pension scheme has broadly similar tax characteristics to a UK registered pension scheme. QROPS are pension schemes, not products.
Although QROPS can receive UK tax relieved pension savings, this does not mean that the UK has a right to regulate pension schemes in other countries. However, those overseas schemes are required to be regulated by a pensions regulator in the overseas country where they are established in order for them to receive UK tax relieved pensions. HMRC does not impose restrictions on assets a QROPS can invest in that is for the overseas regulator.
There are no plans to make HMRC, or the Pensions Regulator (TPR), or the Financial Conduct Authority (FCA), regulate QROPS. That would not be appropriate because the UK does not have jurisdiction over overseas pension schemes. HMRC’s primary role is to protect UK tax relief that have been given. HMRC can remove the QROPS status from pension schemes when it is not appropriate for the scheme to continue to be able to receive UK tax relieved pension savings. There are also no plans to introduce an investigation unit into QROPS or review the regulatory framework.
In the UK individuals are free to transfer their pension savings but must get financial advice for larger amounts. The QROPS rules allow individuals to move abroad to live or work to take their pension savings with them. HMRC makes clear that individuals should seek suitable professional advice, including from a regulated financial adviser, when transferring pension savings to a QROPS. A transfer to a QROPS is covered by the requirement to take regulated financial advice if transferring more than £30,000 from a Defined Benefit scheme.
Additionally, pension scheme administrators are responsible for carrying out due diligence on transfers to other pension schemes. They are also responsible for complying with the requirements of TPR and the FCA.
HMRC, TPR and the FCA are part of the Pension Scams Action Group (PSAG) - a multi-agency taskforce of law enforcement, Government and industry working together to tackle pension fraud.