Asked by: Anne Main (Conservative - St Albans)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will suspend the 2019 Loan Charge while the review of that charge is ongoing.
Answered by Jesse Norman
The Government remains committed to tackling tax avoidance schemes, but it has listened to concerns about the impact of the Loan Charge on individuals. An independent review is under way to consider the appropriateness of the Loan Charge as a policy response, and its impact on individuals.
The reviewer, Sir Amyas Morse, has been asked to provide recommendations by mid-November so that any individuals affected can have certainty about their next steps in advance of the 31 January 2020 Self - Assessment deadline.
While the Review is under way, it is right that the Loan Charge remains in force, in line with current legislation.
HMRC has made clear it will consider all personal circumstances to agree a manageable and sustainable payment plan wherever possible and there is no maximum limit on how long a customer can be given to pay the charge.
Further information about the Review and guidance for affected taxpayers is available at www.gov.uk/government/publications/disguised-remuneration-independent-loan-charge-review.
Asked by: Anne Main (Conservative - St Albans)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what (a) financial and (b) other support her Department provides to pubs in high value property areas.
Answered by Jesse Norman
To provide support for pubs, the Government announced a freeze on beer duty at Budget 2018. The price of a typical pint of beer in 2019 will be 2p lower than it would have been had duty increased with inflation. Cuts and freezes to alcohol duty since 2013 have provided over £5.2 billion in support for the alcoholic drinks sector; revenues that would have otherwise gone to the Exchequer.
Many pubs are also benefitting from the business rates retail discount announced at Budget 2018, which is cutting bills by one third for two years. It is available to properties with a rateable value below £51,000, and is worth an estimated £1 billion to businesses. Up to 75% of pubs in England could be eligible for the discount, subject to state aid limits and eligibility for other reliefs.
Pubs are also benefitting from wider reforms and reductions to business rates. In total, since Budget 2016 the Government has announced measures which are saving businesses more than £13 billion over the next five years.
Asked by: Anne Main (Conservative - St Albans)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps his Department is taking to increase the level of support it provides to the FinTech sector in the UK.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The UK has been independently ranked as the best place in the world to start and grow a Fintech firm, and the government is committed to maintaining the UK’s leading edge in the sector. That is why the government has delivered against all of the commitments made in the Fintech Sector Strategy, which was launched last year.
The government announced at Mansion House 2019 that HM Treasury would launch a review into the payments landscape, which looks to ensure that regulation and infrastructure is able to keep pace with new payments models. The government also announced that it would explore building on the success of Open Banking by developing an agenda for ‘Open Finance’, looking at ways to safely and securely share data across a wider range of financial services products. This will further revolutionise the sector and increase the ability of Fintech firms to compete with traditional financial services firms.
Asked by: Anne Main (Conservative - St Albans)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if his Department will make an estimate of the potential costs of the UK's contributions to the EU budget in the event that the UK remains in the EU for a period of two years.
Answered by Elizabeth Truss
The Government will bring forward proposals for a third meaningful vote as soon as possible and, if it is passed, an extension to 22 May will provide the time to pass the necessary legislation. If Parliament does not agree a deal this week, the EU has agreed to extend Article 50 until 12 April.
If Article 50 were to be extended for two years, as an EU Member State we would continue to have rights and obligations until exit.
Asked by: Anne Main (Conservative - St Albans)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent discussions the Government has had with (a) peer-to-peer lenders and (b) other organisations in the fintech sector on proposals for regulation of the sector in the Financial Conduct Authority's July 2018 CP18/20 consultation paper.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Government has regular conversations with the Financial Conduct Authority (FCA), the peer-to-peer (P2P) lending sector and other Fintech organisations on a range of topics, including the FCA’s proposed new rules for P2P lending.
The Government has implemented a proportionate, principles based regime for P2P lending that balances the need for consumer protection with allowing the sector to grow and evolve. As the FCA’s CP18/20 makes clear, P2P lending is an increasingly important source of finance for small businesses, and the Government remains supportive of the industry. As the independent conduct regulator for the financial services industry, the FCA is best placed to set the appropriate regulatory requirements for P2P lending.
The UK has been independently ranked by EY and Deloitte as the world’s leading hub for Fintech – the best place in the world to start and grow a Fintech firm. The Government is committed to ensuring that it remains the best place in the world for Fintech, and has set out how it intends to do that in the ambitious Fintech Sector Strategy, launched in March 2018.
Asked by: Anne Main (Conservative - St Albans)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the potential effect on the international competitiveness of the UK's fintech sector of the Financial Conduct Authority's proposals for regulation of the peer-to-peer lending sector in its July 2018 CP18/20 consultation paper.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Government has regular conversations with the Financial Conduct Authority (FCA), the peer-to-peer (P2P) lending sector and other Fintech organisations on a range of topics, including the FCA’s proposed new rules for P2P lending.
The Government has implemented a proportionate, principles based regime for P2P lending that balances the need for consumer protection with allowing the sector to grow and evolve. As the FCA’s CP18/20 makes clear, P2P lending is an increasingly important source of finance for small businesses, and the Government remains supportive of the industry. As the independent conduct regulator for the financial services industry, the FCA is best placed to set the appropriate regulatory requirements for P2P lending.
The UK has been independently ranked by EY and Deloitte as the world’s leading hub for Fintech – the best place in the world to start and grow a Fintech firm. The Government is committed to ensuring that it remains the best place in the world for Fintech, and has set out how it intends to do that in the ambitious Fintech Sector Strategy, launched in March 2018.
Asked by: Anne Main (Conservative - St Albans)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what discussions the Government has had with the Financial Conduct Authority on the potential effect on the strength of the UK's peer-to-peer lending sector of the proposals on marketing restrictions in the FCA July 2018 CP 18/20 consultation paper.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Government has regular conversations with the Financial Conduct Authority (FCA), the peer-to-peer (P2P) lending sector and other Fintech organisations on a range of topics, including the FCA’s proposed new rules for P2P lending.
The Government has implemented a proportionate, principles based regime for P2P lending that balances the need for consumer protection with allowing the sector to grow and evolve. As the FCA’s CP18/20 makes clear, P2P lending is an increasingly important source of finance for small businesses, and the Government remains supportive of the industry. As the independent conduct regulator for the financial services industry, the FCA is best placed to set the appropriate regulatory requirements for P2P lending.
The UK has been independently ranked by EY and Deloitte as the world’s leading hub for Fintech – the best place in the world to start and grow a Fintech firm. The Government is committed to ensuring that it remains the best place in the world for Fintech, and has set out how it intends to do that in the ambitious Fintech Sector Strategy, launched in March 2018.
Asked by: Anne Main (Conservative - St Albans)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many people are being pursued for repayments under the 2019 Loan Charge in (a) St Albans and (b) the UK since it came into force.
Answered by Mel Stride - Secretary of State for Work and Pensions
The charge on disguised remuneration (DR) loans is targeted at artificial tax avoidance schemes where earnings were paid via a third party in the form of ‘loans’. These loans were paid in place of ordinary remuneration, with the sole purpose of avoiding income tax and National Insurance contributions. In reality these loans were never repaid. When taking into account the loan they received, loan scheme users have on average twice as much income as the average UK taxpayer.
The Government estimates that up to 50,000 individuals will be affected by the 2019 loan charge. Information is not held at constituency level.
Since the announcement of the 2019 loan charge at Budget 2016, HMRC has agreed settlements on disguised remuneration schemes with employers and individuals of over 650 million pounds. More than 90% of this amount was collected from employers, with less than 10% from individuals.
HMRC has simplified the process for those who choose to settle their use of avoidance schemes before the charge arises, so that those earning less than £50,000 a year and no longer engaging in tax avoidance can agree a payment plan of up to five years without the need for detailed supporting information. There is no maximum period within which an overall settlement can be agreed, and HMRC will deal with individual cases appropriately and sympathetically.
Asked by: Anne Main (Conservative - St Albans)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the potential merits for the tourism industry of a reduction in VAT on hotels and tourist attractions.
Answered by Mel Stride - Secretary of State for Work and Pensions
The government explored the impact of VAT on the tourism industry in its recent call for evidence, in the context of a focus on Northern Ireland. The government published its response at Budget 2018.
In light of the legal restrictions on VAT devolution and the fiscal implications of reform on a UK wide reform, the government will not be making a change at this time.
This is a complex issue, affecting an important source of revenue for the Exchequer and the government will continue to analyse the evidence and receive representations, in order to keep these issues under close review.
Asked by: Anne Main (Conservative - St Albans)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, how much (a) tin, (b) tantalum, (c) tungsten and (d) molybdenum has been imported into the UK as scrap metal exempt of import duty in each year since 2010.
Answered by Mel Stride - Secretary of State for Work and Pensions
The value and weight of these imports is set out in the tables attached.